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HomeMy WebLinkAboutC-2065 - MOU's - Newport Beach Employees League (LEAGUE) (NBEL)SIDE LETTER OF AGREEMENT BETWEEN CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE This Side Letter of Agreement ("Agreement") is made and entered into by and between the City of Newport Beach ("City") and the Newport Beach Employees League ("League") (collectively "Parties") with respect to the following: WHEREAS, on January 25, 2022, the City Council adopted Resolution No. 2022-08 approving a Memorandum of Understanding ("MOU") between the Parties with a term of January 1, 2022, through December 31, 2025; WHEREAS, to aid in the recruitment and retention of valuable employees, the Parties wish to modify the MOU; WHEREAS, on MA h 2 , 2023, this Agreement was ratified by the League; and WHEREAS, this Agreement will not have the effect of an agreement, and will not be binding on either party, until it is approved by the City Council. NOW, THEREFORE, it is mutually agreed between the Parties as follows: 1. Section 2, Compensation, of the MOU is amended to add the following to Subsection A, which shall read as follows: Salary Schedule Adjustment Effective the pay period which includes July 1, 2023, the City will add a new top step ("New Top Step") to the salary schedule for all represented positions, which shall be five percent (5%) more than the current top step ("Current Top Step"). The Parties acknowledge and agree that the first step for all represented positions currently in effect is not being eliminated. With the following exception, step advancement through the salary ranges is unaffected by the addition of the New Top Step: Employees who have been at the Current Top Step for longer than 12 months as of June 30, 2023, will advance to the New Top Step in the pay period which includes July 1, 2023, 2. Exhibit "A" of the MOU is replaced in its entirety with Exhibit A to this Agreement, which is attached hereto and incorporated herein by this reference. 3. Except as expressly modified herein, all other provisions, terms, and covenants set forth in the MOU shall remain unchanged and shall be in full force and effect. Signatures on the next page League Side Letter Agreement — July 2023 ATTEST: Executed this I t. day of A P2 I t- , 2023. FOR THE NEWPORT BEACH EMPLOYEES LEAGUE: B _ Y• Patrick Piersall, President oah Blom, Mayor CITY OF NEWPORT BEACH APPROVED AS TO FORM: By: M..- C w W."r Aaron C. Harp, City Attorney • Leilani Brown, City Clerk N� �'_qL1 FORi Attachment: Exhibit A — Salary Schedule League Side Letter Agreement —July 2023 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Concrete Finisher 75A 1 $ 28.78 $ 4,989 $ 59,867 Concrete Finisher 75A 2 $ 30.23 $ 5,241 $ 62,888 Concrete Finisher 75A 3 $ 31.70 $ 5,495 $ 65,935 Concrete Finisher 75A 4 $ 33.31 $ 5,773 $ 69,278 Concrete Finisher 75A 5 $ 34.97 $ 6,062 $ 72,746 Concrete Finisher 75A 6 $ 36.75 $ 6,370 $ 76,437 Concrete Finisher 75A 7 $ 38.57 $ 6,686 $ 80,226 Concrete Finisher 75A 8 $ 40.46 $ 7,014 $ 84,165 Concrete Finisher 75A 9 $ 42.49 $ 7,364 $ 88,373 Electrical & Instrumentation Specialist 25C 1 $ 32.09 $ 5,563 $ 66,752 Electrical & Instrumentation Specialist 25C 2 $ 33.71 $ 5,843 $ 70,121 Electrical & Instrumentation Specialist 25C 3 $ 35.38 $ 6,132 $ 73,589 Electrical & Instrumentation Specialist 25C 4 $ 37.13 $ 6,436 $ 77,230 Electrical & Instrumentation Specialist 25C 5 $ 39.02 $ 6,764 $ 81,167 Electrical & Instrumentation Specialist 25C 6 $ 40.98 $ 7,102 $ 85,230 Electrical & Instrumentation Specialist 25C 7 $ 43.05 $ 7,462 $ 89,539 Electrical & Instrumentation Specialist 25C 8 $ 45.19 $ 7,833 $ 93,998 Electrical & Instrumentation Specialist 25C 9 $ 47.45 $ 8,225 $ 98,698 Equipment Mechanic 1 45 1 $ 25.17 $ 4,363 $ 52,361 Equipment Mechanic 1 45 2 $ 26.42 $ 4,580 $ 54,962 Equipment Mechanic 1 45 3 $ 27.71 $ 4,803 $ 57,637 Equipment Mechanic 1 45 4 $ 29.10 $ 5,045 $ 60,535 Equipment Mechanic 1 45 5 $ 30.57 $ 5,298 $ 63,582 Equipment Mechanic 1 45 6 $ 32.09 $ 5,563 $ 66,752 Equipment Mechanic 1 45 7 $ 33.71 $ 5,843 $ 70,121 Equipment Mechanic 1 45 8 $ 35.38 $ 6,132 $ 73,589 Equipment Mechanic 1 45 9 $ 37.15 $ 6,439 $ 77,268 Equipment Mechanic II 80 1 $ 29.10 $ 5,045 $ 60,535 Equipment Mechanic 11 80 2 $ 30.57 $ 5,298 $ 63,582 Equipment Mechanic 11 80 3 $ 32.09 $ 5,563 $ 66,752 Equipment Mechanic 11 80 4 $ 33.71 $ 5,843 $ 70,121 Equipment Mechanic II 80 5 $ 35.38 $ 6,132 $ 73,589 Equipment Mechanic 11 80 6 $ 37.13 $ 6,436 $ 77,230 Equipment Mechanic II 80 7 $ 39.02 $ 6,764 $ 81,167 Equipment Mechanic II 80 8 $ 40.98 $ 7,102 $ 85,230 Equipment Mechanic 11 80 9 $ 43.02 $ 7,458 $ 89,491 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Equipment Mechanic, Senior 25F 1 $ 32.09 $ 5,563 $ 66,752 Equipment Mechanic, Senior 25F 2 $ 33.71 $ 5,843 $ 70,121 Equipment Mechanic, Senior 25F 3 $ 35.38 $ 6,132 $ 73,589 Equipment Mechanic, Senior 25F 4 $ 37.13 $ 6,436 $ 77,230 Equipment Mechanic, Senior 25F 5 $ 39.02 $ 6,764 $ 81,167 Equipment Mechanic, Senior 25F 6 $ 40.98 $ 7,102 $ 85,230 Equipment Mechanic, Senior 25F 7 $ 43.05 $ 7,462 $ 89,539 Equipment Mechanic, Senior 25F 8 $ 45.19 $ 7,833 $ 93,998 Equipment Mechanic, Senior 25F 9 $ 47.45 $ 8,225 $ 98,698 Equipment Operator 1 40 1 $ 26.08 $ 4,520 $ 54,244 Equipment Operator 1 40 2 $ 27.38 $ 4,745 $ 56,944 Equipment Operator 1 40 3 $ 28.78 $ 4,989 $ 59,867 Equipment Operator 1 40 4 $ 30.23 $ 5,241 $ 62,888 Equipment Operator 1 40 5 $ 31.70 $ 5,495 $ 65,935 Equipment Operator 1 40 6 $ 33.31 $ 5,773 $ 69,278 Equipment Operator 1 40 7 $ 34.99 $ 6,064 $ 72,771 Equipment Operator 1 40 8 $ 36.75 $ 6,370 $ 76,437 Equipment Operator 1 40 9 $ 38.59 $ 6,688 $ 80,259 Equipment Operator II 65A 1 $ 27.44 $ 4,756 $ 57,067 Equipment Operator 11 65A 2 $ 28.81 $ 4,993 $ 59,916 Equipment Operator 11 65A 3 $ 30.25 $ 5,243 $ 62,913 Equipment Operator II 65A 4 $ 31.76 $ 5,505 $ 66,059 Equipment Operator 11 65A 5 $ 33.33 $ 5,777 $ 69,328 Equipment Operator 11 65A 6 $ 35.02 $ 6,070 $ 72,846 Equipment Operator 11 65A 7 $ 36.77 $ 6,374 $ 76,486 Equipment Operator II 65A 8 $ 38.59 $ 6,690 $ 80,276 Equipment Operator II 65A 9 $ 40.52 $ 7,024 $ 84,290 Facilities Maintenance Technician 75 1 $ 28.78 $ 4,989 $ 59,867 Facilities Maintenance Technician 75 2 $ 30.23 $ 5,241 $ 62,888 Facilities Maintenance Technician 75 3 $ 31.70 $ 5,495 $ 65,935 Facilities Maintenance Technician 75 4 $ 33.31 $ 5,773 $ 69,278 Facilities Maintenance Technician 75 5 $ 34.97 $ 6,062 $ 72,746 Facilities Maintenance Technician 75 6 $ 36.75 $ 6,370 $ 76,437 Facilities Maintenance Technician 75 7 $ 38.57 $ 6,686 $ 80,226 Facilities Maintenance Technician 75 8 $ 40.46 $ 7,014 $ 84,165 Facilities Maintenance Technician 75 9 $ 42.49 $ 7,364 $ 88,373 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Facilities Maintenance Worker II 25A 1 $ 23.69 $ 4,105 $ 49,266 Facilities Maintenance Worker II 25A 2 $ 24.86 $ 4,310 $ 51,718 Facilities Maintenance Worker II 25A 3 $ 26.08 $ 4,520 $ 54,244 Facilities Maintenance Worker II 25A 4 $ 27.38 $ 4,745 $ 56,944 Facilities Maintenance Worker II 25A 5 $ 28.78 $ 4,989 $ 59,867 Facilities Maintenance Worker II 25A 6 $ 30.23 $ 5,241 $ 62,888 Facilities Maintenance Worker II 25A 7 $ 31.70 $ 5,495 $ 65,935 Facilities Maintenance Worker II 25A 8 $ 33.31 $ 5,773 $ 69,278 Facilities Maintenance Worker II 25A 9 $ 34.97 $ 6,062 $ 72,742 Groundsworker II 50 1 $ 25.32 $ 4,388 $ 52,659 Groundsworker II 50 2 $ 26.60 $ 4,611 $ 55,333 Groundsworker II 50 3 $ 27.95 $ 4,844 $ 58,133 Groundsworker II 50 4 $ 29.33 $ 5,084 $ 61,006 Groundsworker II 50 5 $ 30.79 $ 5,338 $ 64,052 Groundsworker II 50 6 $ 32.32 $ 5,602 $ 67,223 Groundsworker II 50 7 $ 33.99 $ 5,891 $ 70,690 Groundsworker II 50 8 $ 35.66 $ 6,182 $ 74,183 Groundsworker If 50 9 $ 37.45 $ 6,491 $ 77,892 Maintenance Worker I 25H 1 $ 23.69 $ 4,105 $ 49,266 Maintenance Worker I 25H 2 $ 24.86 $ 4,310 $ 51,718 Maintenance Worker I 25H 3 $ 26.08 $ 4,520 $ 54,244 Maintenance Worker I 25H 4 $ 27.38 $ 4,745 $ 56,944 Maintenance Worker I 25H 5 $ 28.78 $ 4,989 $ 59,867 Maintenance Worker I 25H 6 $ 30.23 $ 5,241 $ 62,888 Maintenance Worker I 25H 7 $ 31.70 $ 5,495 $ 65,935 Maintenance Worker I 25H 8 $ 33.31 $ 5,773 $ 69,278 Maintenance Worker I 25H 9 $ 34.97 $ 6,062 $ 72,742 Maintenance Worker II 39 1 $ 24.86 $ 4,310 $ 51,718 Maintenance Worker II 39 2 $ 26.08 $ 4,520 $ 54,244 Maintenance Worker II 39 3 $ 27.38 $ 4,745 $ 56,944 Maintenance Worker II 39 4 $ 28.78 $ 4,989 $ 59,867 Maintenance Worker II 39 5 $ 30.23 $ 5,241 $ 62,888 Maintenance Worker II 39 6 $ 31.70 $ 5,495 $ 65,935 Maintenance Worker II 39 7 $ 33.31 $ 5,773 $ 69,278 Maintenance Worker II 39 8 $ 34.99 $ 6,064 $ 72,771 Maintenance Worker 11 39 9 $ 36.74 $ 6,367 $ 76,410 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Public Works Crew Chief 25 1 $ 32.09 $ 5,563 $ 66,752 Public Works Crew Chief 25 2 $ 33.71 $ 5,843 $ 70,121 Public Works Crew Chief 25 3 $ 35.38 $ 6,132 $ 73,589 Public Works Crew Chief 25 4 $ 37.13 $ 6,436 $ 77,230 Public Works Crew Chief 25 5 $ 39.02 $ 6,764 $ 81,167 Public Works Crew Chief 25 6 $ 40.98 $ 7,102 $ 85,230 Public Works Crew Chief 25 7 $ 43.05 $ 7,462 $ 89,539 Public Works Crew Chief 25 8 $ 45.19 $ 7,833 $ 93,998 Public Works Crew Chief 25 9 $ 47.45 $ 8,225 $ 98,698 Public Works Supervisor 65 1 $ 37.17 $ 6,443 $ 77,313 Public Works Supervisor 65 2 $ 39.02 $ 6,764 $ 81,168 Public Works Supervisor 65 3 $ 40.99 $ 7,105 $ 85,258 Public Works Supervisor 65 4 $ 43.04 $ 7,459 $ 89,513 Public Works Supervisor 65 5 $ 45.17 $ 7,830 $ 93,956 Public Works Supervisor 65 6 $ 47.41 $ 8,217 $ 98,610 Public Works Supervisor 65 7 $ 49.79 $ 8,631 $ 103,570 Public Works Supervisor 65 8 $ 52.29 $ 9,064 $ 108,765 Public Works Supervisor 65 9 $ 54.91 $ 9,517 $ 114,203 Senior Services Shuttle Driver 10 1 $ 22.82 $ 3,955 $ 47,457 Senior Services Shuttle Driver 10 2 $ 23.92 $ 4,147 $ 49,761 Senior Services Shuttle Driver 10 3 $ 25.17 $ 4,363 $ 52,361 Senior Services Shuttle Driver 10 4 $ 26.42 $ 4,580 $ 54,962 Senior Services Shuttle Driver 10 5 $ 27.72 $ 4,805 $ 57,662 Senior Services Shuttle Driver 10 6 $ 29.10 $ 5,045 $ 60,535 Senior Services Shuttle Driver 10 7 $ 30.57 $ 5,298 $ 63,582 Senior Services Shuttle Driver 10 8 $ 32.12 $ 5,567 $ 66,802 Senior Services Shuttle Driver 10 9 $ 33.72 $ 5,845 $ 70,142 Utilities Crew Chief 25G 1 $ 32.09 $ 5,563 $ 66,752 Utilities Crew Chief 25G 2 $ 33.71 $ 5,843 $ 70,121 Utilities Crew Chief 25G 3 $ 35.38 $ 6,132 $ 73,589 Utilities Crew Chief 25G 4 $ 37.13 $ 6,436 $ 77,230 Utilities Crew Chief 25G 5 $ 39.02 $ 6,764 $ 81,167 Utilities Crew Chief 25G 6 $ 40.98 $ 7,102 $ 85,230 Utilities Crew Chief 25G 7 $ 43.05 $ 7,462 $ 89,539 Utilities Crew Chief 25G 8 $ 45.19 $ 7,833 $ 93,998 Utilities Crew Chief 25G 9 $ 47.45 $ 8,225 $ 98,698 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Utilities Scada Coordinator 03 1 $ 34.41 $ 5,965 $ 71,582 Utilities Scada Coordinator 03 2 $ 36.14 $ 6,264 $ 75,174 Utilities Scada Coordinator 03 3 $ 37.95 $ 6,578 $ 78,939 Utilities Scada Coordinator 03 4 $ 39.82 $ 6,902 $ 82,827 Utilities Scada Coordinator 03 5 $ 41.86 $ 7,255 $ 87,063 Utilities Scada Coordinator 03 6 $ 43.93 $ 7,614 $ 91,373 Utilities Scada Coordinator 03 7 $ 46.14 $ 7,998 $ 95,980 Utilities Scada Coordinator 03 8 $ 48.44 $ 8,397 $ 100,760 Utilities Scada Coordinator 03 9 $ 50.86 $ 8,816 $ 105,798 Utilities Specialist 60 1 $ 26.60 $ 4,611 $ 55,333 Utilities Specialist 60 2 $ 27.95 $ 4,844 $ 58,133 Utilities Specialist 60 3 $ 29.33 $ 5,084 $ 61,006 Utilities Specialist 60 4 $ 30.79 $ 5,338 $ 64,052 Utilities Specialist 60 5 $ 32.32 $ 5,602 $ 67,223 Utilities Specialist 60 6 $ 33.99 $ 5,891 $ 70,690 Utilities Specialist 60 7 $ 35.65 $ 6,180 $ 74,158 Utilities Specialist 60 8 $ 37.44 $ 6,489 $ 77,874 Utilities Specialist 60 9 $ 39.31 $ 6,814 $ 81,767 Utilities Specialist, Senior 01 1 $ 28.59 $ 4,956 $ 59,470 Utilities Specialist, Senior 01 2 $ 30.03 $ 5,206 $ 62,467 Utilities Specialist, Senior 01 3 $ 31.53 $ 5,466 $ 65,588 Utilities Specialist, Senior 01 4 $ 33.10 $ 5,738 $ 68,858 Utilities Specialist, Senior 01 5 $ 34.77 $ 6,027 $ 72,325 Utilities Specialist, Senior 01 6 $ 36.51 $ 6,328 $ 75,941 Utilities Specialist, Senior 01 7 $ 38.33 $ 6,644 $ 79,731 Utilities Specialist, Senior 01 8 $ 40.24 $ 6,975 $ 83,694 Utilities Specialist, Senior 01 9 $ 42.25 $ 7,323 $ 87,879 Utilities Supervisor 55 1 $ 37.13 $ 6,436 $ 77,230 Utilities Supervisor 55 2 $ 39.02 $ 6,764 $ 81,167 Utilities Supervisor 55 3 $ 40.98 $ 7,102 $ 85,230 Utilities Supervisor 55 4 $ 43.04 $ 7,460 $ 89,515 Utilities Supervisor 55 5 $ 45.19 $ 7,833 $ 93,998 Utilities Supervisor 55 6 $ 47.43 $ 8,221 $ 98,655 Utilities Supervisor 55 7 $ 49.78 $ 8,628 $ 103,534 Utilities Supervisor 55 8 $ 52.29 $ 9,063 $ 108,760 Utilities Supervisor 55 9 $ 54.90 $ 9,517 $ 114,198 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective July 1, 2023 - Additional Step Water Production Operator 26 1 $ 33.71 $ 5,843 $ 70,121 Water Production Operator 26 2 $ 35.38 $ 6,132 $ 73,589 Water Production Operator 26 3 $ 37.13 $ 6,436 $ 77,230 Water Production Operator 26 4 $ 39.02 $ 6,764 $ 81,167 Water Production Operator 26 5 $ 40.98 $ 7,102 $ 85,230 Water Production Operator 26 6 $ 43.04 $ 7,460 $ 89,515 Water Production Operator 26 7 $ 45.19 $ 7,833 $ 93,998 Water Production Operator 26 8 $ 47.43 $ 8,221 $ 98,655 Water Production Operator 26 9 $ 49.80 $ 8,632 $ 103,587 Water Production Supervisor 65B 1 $ 39.02 $ 6,764 $ 81,167 Water Production Supervisor 65B 2 $ 40.98 $ 7,102 $ 85,230 Water Production Supervisor 65B 3 $ 43.04 $ 7,460 $ 89,515 Water Production Supervisor 65B 4 $ 45.19 $ 7,833 $ 93,998 Water Production Supervisor 65B 5 $ 47.43 $ 8,221 $ 98,655 Water Production Supervisor 65B 6 $ 49.78 $ 8,628 $ 103,534 Water Production Supervisor 65B 7 $ 52.29 $ 9,063 $ 108,760 Water Production Supervisor 65B 8 $ 54.91 $ 9,517 $ 114,209 Water Production Supervisor 65B 9 $ 57.65 $ 9,993 $ 119,920 Water Quality Coordinator 55B 1 $ 37.13 $ 6,436 $ 77,230 Water Quality Coordinator 55B 2 $ 39.02 $ 6,764 $ 81,167 Water Quality Coordinator 55B 3 $ 40.98 $ 7,102 $ 85,230 Water Quality Coordinator 55B 4 $ 43.04 $ 7,460 $ 89,515 Water Quality Coordinator 55B 5 $ 45.19 $ 7,833 $ 93,998 Water Quality Coordinator 55B 6 $ 47.43 $ 8,221 $ 98,655 Water Quality Coordinator 55B 7 $ 49.78 $ 8,628 $ 103,534 Water Quality Coordinator 55B 8 $ 52.29 $ 9,063 $ 108,760 Water Quality Coordinator 55B 9 $ 54.90 $ 9,517 $ 114,198 Hourly rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. Actual rates may vary slightly due to rounding. EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Concrete Finisher 75A 1 $ 29.65 $ 5,139 $ 61,663 Concrete Finisher 75A 2 $ 31.14 $ 5,398 $ 64,775 Concrete Finisher 75A 3 $ 32.65 $ 5,659 $ 67,913 Concrete Finisher 75A 4 $ 34.31 $ 5,946 $ 71,357 Concrete Finisher 75A 5 $ 36.02 $ 6,244 $ 74,929 Concrete Finisher 75A 6 $ 37.85 $ 6,561 $ 78,730 Concrete Finisher 75A 7 $ 39.73 $ 6,886 $ 82,633 Concrete Finisher 75A 8 $ 41.68 $ 7,224 $ 86,690 Concrete Finisher 75A 9 $ 43.76 $ 7,585 $ 91,024 Electrical & Instrumentation Specialist 25C 1 $ 33.06 $ 5,730 $ 68,755 Electrical & Instrumentation Specialist 25C 2 $ 34.72 $ 6,019 $ 72,224 Electrical & Instrumentation Specialist 25C 3 $ 36.44 $ 6,316 $ 75,796 Electrical & Instrumentation Specialist 25C 4 $ 38.24 $ 6,629 $ 79,546 Electrical & Instrumentation Specialist 25C 5 $ 40.19 $ 6,967 $ 83,602 Electrical & Instrumentation Specialist 25C 6 $ 42.21 $ 7,316 $ 87,787 Electrical & Instrumentation Specialist 25C 7 $ 44.34 $ 7,685 $ 92,226 Electrical & Instrumentation Specialist 25C 8 $ 46.55 $ 8,068 $ 96,818 Electrical & Instrumentation Specialist 25C 9 $ 48.87 $ 8,472 $ 101,659 Equipment Mechanic 1 45 1 $ 25.93 $ 4,494 $ 53,932 Equipment Mechanic 1 45 2 $ 27.22 $ 4,718 $ 56,611 Equipment Mechanic 1 45 3 $ 28.54 $ 4,947 $ 59,367 Equipment Mechanic 1 45 4 $ 29.98 $ 5,196 $ 62,351 Equipment Mechanic 1 45 5 $ 31.49 $ 5,457 $ 65,489 Equipment Mechanic 1 45 6 $ 33.06 $ 5,730 $ 68,755 Equipment Mechanic 1 45 7 $ 34.72 $ 6,019 $ 72,224 Equipment Mechanic 1 45 8 $ 36.44 $ 6,316 $ 75,796 Equipment Mechanic 1 45 9 $ 38.26 $ 6,632 $ 79,586 Equipment Mechanic II 80 1 $ 29.98 $ 5,196 $ 62,351 Equipment Mechanic II 80 2 $ 31.49 $ 5,457 $ 65,489 Equipment Mechanic II 80 3 $ 33.06 $ 5,730 $ 68,755 Equipment Mechanic 11 80 4 $ 34.72 $ 6,019 $ 72,224 Equipment Mechanic II 80 5 $ 36.44 $ 6,316 $ 75,796 Equipment Mechanic 11 80 6 $ 38.24 $ 6,629 $ 79,546 Equipment Mechanic 11 80 7 $ 40.19 $ 6,967 $ 83,602 Equipment Mechanic II 80 8 $ 42.21 $ 7,316 $ 87,787 Equipment Mechanic 11 80 9 $ 44.32 $ 7,681 $ 92,176 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Equipment Mechanic, Senior 25F 1 $ 33.06 $ 5,730 $ 68,755 Equipment Mechanic, Senior 25F 2 $, 34.72 $ 6,019 $ 72,224 Equipment Mechanic, Senior 25F 3 $ 36.44 $ 6,316 $ 75,796 Equipment Mechanic, Senior 25F 4 $ 38.24 $ 6,629 $ 79,546 Equipment Mechanic, Senior 25F 5 $ 40.19 $ 6,967 $ 83,602 Equipment Mechanic, Senior 25F 6 $ 42.21 $ 7,316 $ 87,787 Equipment Mechanic, Senior 25F 7 $ 44.34 $ 7,685 $ 92,226 Equipment Mechanic, Senior 25F 8 $ 46.55 $ 8,068 $ 96,818 Equipment Mechanic, Senior 25F 9 $ 48.87 $ 8,472 $ 101,659 Equipment Operator 1 40 1 $ 26.86 $ 4,656 $ 55,871 Equipment Operator 1 40 2 $ 28.20 $ 4,888 $ 58,652 Equipment Operator 1 40 3 $ 29.65 $ 5,139 $ 61,663 Equipment Operator 1 40 4 $ 31.14 $ 5,398 $ 64,775 Equipment Operator 1 40 5 $ 32.65 $ 5,659 $ 67,913 Equipment Operator 1 40 6 $ 34.31 $ 5,946 $ 71,357 Equipment Operator 1 40 7 $ 36.04 $ 6,246 $ 74,954 Equipment Operator 1 40 8 $ 37.85 $ 6,561 $ 78,730 Equipment Operator 1 40 9 $ 39.74 $ 6,889 $ 82,667 Equipment Operator II 65A 1 $ 28.26 $ 4,898 $ 58,779 Equipment Operator II 65A 2 $ 29.67 $ 5,143 $ 61,713 Equipment Operator II 65A 3 $ 31.15 $ 5,400 $ 64,800 Equipment Operator II 65A 4 $ 32.71 $ 5,670 $ 68,040 Equipment Operator II 65A 5 $ 34.33 $ 5,951 $ 71,408 Equipment Operator II 65A 6 $ 36.07 $ 6,253 $ 75,031 Equipment Operator II 65A 7 $ 37.88 $ 6,565 $ 78,781 Equipment Operator II 65A 8 $ 39.75 $ 6,890 $ 82,684 Equipment Operator II 65A 9 $ 41.74 $ 7,235 $ 86,819 Facilities Maintenance Technician 75 1 $ 29.65 $ 5,139 $ 61,663 Facilities Maintenance Technician 75 2 $ 31.14 $ 5,398 $ 64,775 Facilities Maintenance Technician 75 3 $ 32.65 $ 5,659 $ 67,913 Facilities Maintenance Technician 75 4 $ 34.31 $ 5,946 $ 71,357 Facilities Maintenance Technician 75 5 $ 36.02 $ 6,244 $ 74,929 Facilities Maintenance Technician 75 6 $ 37.85 $ 6,561 $ 78,730 Facilities Maintenance Technician 75 7 $ 39.73 $ 6,886 $ 82,633 Facilities Maintenance Technician 75 8 $ 41.68 $ 7,224 $ 86,690 Facilities Maintenance Technician 75 9 $ 43.76 $ 7,585 $ 91,024 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Facilities Maintenance Worker II 25A 1 $ 24.40 $ 4,229 $ 50,744 Facilities Maintenance Worker II 25A 2 $ 25.61 $ 4,439 $ 53,269 Facilities Maintenance Worker II 25A 3 $ 26.86 $ 4,656 $ 55,871 Facilities Maintenance Worker II 25A 4 $ 28.20 $ 4,888 $ 58,652 Facilities Maintenance Worker II 25A 5 $ 29.65 $ 5,139 $ 61,663 Facilities Maintenance Worker II 25A 6 $ 31.14 $ 5,398 $ 64,775 Facilities Maintenance Worker II 25A 7 $ 32.65 $ 5,659 $ 67,913 Facilities Maintenance Worker II 25A 8 $ 34.31 $ 5,946 $ 71,357 Facilities Maintenance Worker II 25A 9 $ 36.02 $ 6,244 $ 74,925 Groundsworker II 50 1 $ 26.08 $ 4,520 $ 54,238 Groundsworker II 50 2 $ 27.40 $ 4,749 $ 56,993 Groundsworker II 50 3 $ 28.79 $ 4,990 $ 59,877 Groundsworker II 50 4 $ 30.21 $ 5,236 $ 62,836 Groundsworker II 50 5 $ 31.72 $ 5,498 $ 65,974 Groundsworker II 50 6 $ 33.29 $ 5,770 $ 69,239 Groundsworker II 50 7 $ 35.01 $ 6,068 $ 72,811 Groundsworker II 50 8 $ 36.73 $ 6,367 $ 76,408 Groundsworker II 50 9 $ 38.57 $ 6,686 $ 80,229 Maintenance Worker I 25H 1 $ 24.40 $ 4,229 $ 50,744 Maintenance Worker I 25H 2 $ 25.61 $ 4,439 $ 53,269 Maintenance Worker I 25H 3 $ 26.86 $ 4,656 $ 55,871 Maintenance Worker I 25H 4 $ 28.20 $ 4,888 $ 58,652 Maintenance Worker I 25H 5 $ 29.65 $ 5,139 $ 61,663 Maintenance Worker I 25H 6 $ 31.14 $ 5,398 $ 64,775 Maintenance Worker I 25H 7 $ 32.65 $ 5,659 $ 67,913 Maintenance Worker I 25H 8 $ 34.31 $ 5,946 $ 71,357 Maintenance Worker I 25H 9 $ 36.02 $ 6,244 $ 74,925 Maintenance Worker II 39 1 $ 25.61 $ 4,439 $ 53,269 Maintenance Worker II 39 2 $ 26.86 $ 4,656 $ 55,871 Maintenance Worker II 39 3 $ 28.20 $ 4,888 $ 58,652 Maintenance Worker II 39 4 $ 29.65 $ 5,139 $ 61,663 Maintenance Worker II 39 5 $ 31.14 $ 5,398 $ 64,775 Maintenance Worker II 39 6 $ 32.65 $ 5,659 $ 67,913 Maintenance Worker II 39 7 $ 34.31 $ 5,946 $ 71,357 Maintenance Worker II 39 8 $ 36.04 $ 6,246 $ 74,954 Maintenance Worker 11 39 9 $ 37.84 $ 6,558 $ 78,702 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Public Works Crew Chief 25 1 $ 33.06 $ 5,730 $ 68,755 Public Works Crew Chief 25 2 $ 34.72 $ 6,019 $ 72,224 Public Works Crew Chief 25 3 $ 36.44 $ 6,316 $ 75,796 Public Works Crew Chief 25 4 $ 38.24 $ 6,629 $ 79,546 Public Works Crew Chief 25 5 $ 40.19 $ 6,967 $ 83,602 Public Works Crew Chief 25 6 $ 42.21 $ 7,316 $ 87,787 Public Works Crew Chief 25 7 $ 44.34 $ 7,685 $ 92,226 Public Works Crew Chief 25 8 $ 46.55 $ 8,068 $ 96,818 Public Works Crew Chief 25 9 $ 48.87 $ 8,472 $ 101,659 Public Works Supervisor 65 1 $ 38.28 $ 6,636 $ 79,633 Public Works Supervisor 65 2 $ 40.19 $ 6,967 $ 83,603 Public Works Supervisor 65 3 $ 42.22 $ 7,318 $ 87,816 Public Works Supervisor 65 4 $ 44.33 $ 7,683 $ 92,198 Public Works Supervisor 65 5 $ 46.53 $ 8,065 $ 96,775 Public Works Supervisor 65 6 $ 48.83 $ 8,464 $ 101,568 Public Works Supervisor 65 7 $ 51.29 $ 8,890 $ 106,677 Public Works Supervisor 65 8 $ 53.86 $ 9,336 $ 112,028 Public Works Supervisor 65 9 $ 56.55 $ 9,802 $ 117,629 Senior Services Shuttle Driver 10 1 $ 23.50 $ 4,073 $ 48,881 Senior Services Shuttle Driver 10 2 $ 24.64 $ 4,271 $ 51,254 Senior Services Shuttle Driver 10 3 $ 25.93 $ 4,494 $ 53,932 Senior Services Shuttle Driver 10 4 $ 27.22 $ 4,718 $ 56,611 Senior Services Shuttle Driver 10 5 $ 28.55 $ 4,949 $ 59,392 Senior Services Shuttle Driver 10 6 $ 29.98 $ 5,196 $ 62,351 Senior Services Shuttle Driver 10 7 $ 31.49 $ 5,457 $ 65,489 Senior Services Shuttle Driver 10 8 $ 33.08 $ 5,734 $ 68,806 Senior Services Shuttle Driver 10 9 $ 34.73 $ 6,021 $ 72,246 Utilities Crew Chief 25G 1 $ 33.06 $ 5,730 $ 68,755 Utilities Crew Chief 25G 2 $ 34.72 $ 6,019 $ 72,224 Utilities Crew Chief 25G 3 $ 36.44 $ 6,316 $ 75,796 Utilities Crew Chief 25G 4 $ 38.24 $ 6,629 $ 79,546 Utilities Crew Chief 25G 5 $ 40.19 $ 6,967 $ 83,602 Utilities Crew Chief 25G 6 $ 42.21 $ 7,316 $ 87,787 Utilities Crew Chief 25G 7 $ 44.34 $ 7,685 $ 92,226 Utilities Crew Chief 25G 8 $ 46.55 $ 8,068 $ 96,818 Utilities Crew Chief 25G 9 $ 48.87 $ 8,472 $ 101,659 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Utilities Scada Coordinator 03 1 $ 35.45 $ 6,144 $ 73,730 Utilities Scada Coordinator 03 2 $ 37.23 $ 6,452 $ 77,429 Utilities Scada Coordinator 03 3 $ 39.09 $ 6,776 $ 81,307 Utilities Scada Coordinator 03 4 $ 41.02 $ 7,109 $ 85,312 Utilities Scada Coordinator 03 5 $ 43.11 $ 7,473 $ 89,675 Utilities Scada Coordinator 03 6 $ 45.25 $ 7,843 $ 94,114 Utilities Scada Coordinator 03 7 $ 47.53 $ 8,238 $ 98,859 Utilities Scada Coordinator 03 8 $ 49.90 $ 8,649 $ 103,783 Utilities Scada Coordinator 03 9 $ 52.39 $ 9,081 $ 108,972 Utilities Specialist 60 1 $ 27.40 $ 4,749 $ 56,993 Utilities Specialist 60 2 $ 28.79 $ 4,990 $ 59,877 Utilities Specialist 60 3 $ 30.21 $ 5,236 $ 62,836 Utilities Specialist 60 4 $ 31.72 $ 5,498 $ 65,974 Utilities Specialist 60 5 $ 33.29 $ 5,770 $ 69,239 Utilities Specialist 60 6 $ 35.01 $ 6,068 $ 72,811 Utilities Specialist 60 7 $ 36.72 $ 6,365 $ 76,383 Utilities Specialist 60 8 $ 38.56 $ 6,684 $ 80,210 Utilities Specialist 60 9 $ 40.49 $ 7,018 $ 84,220 Utilities Specialist, Senior 01 1 $ 29.45 $ 5,105 $ 61,254 Utilities Specialist, Senior 01 2 $ 30.93 $ 5,362 $ 64,341 Utilities Specialist, Senior 01 3 $ 32.48 $ 5,630 $ 67,555 Utilities Specialist, Senior 01 4 $ 34.10 $ 5,910 $ 70,923 Utilities Specialist, Senior 01 5 $ 35.81 $ 6,208 $ 74,495 Utilities Specialist, Senior 01 6 $ 37.61 $ 6,518 $ 78,220 Utilities Specialist, Senior 01 7 $ 39.48 $ 6,844 $ 82,123 Utilities Specialist, Senior 01 8 $ 41.44 $ 7,184 $ 86,205 Utilities Specialist, Senior 01 9 $ 43.52 $ 7,543 $ 90,515 Utilities Supervisor 55 1 $ 38.24 $ 6,629 $ 79,546 Utilities Supervisor 55 2 $ 40.19 $ 6,967 $ 83,602 Utilities Supervisor 55 3 $ 42.21 $ 7,316 $ 87,787 Utilities Supervisor 55 4 $ 44.33 $ 7,683 $ 92,200 Utilities Supervisor 55 5 $ 46.55 $ 8,068 $ 96,818 Utilities Supervisor 55 6 $ 48.85 $ 8,468 $ 101,614 Utilities Supervisor 55 7 $ 51.27 $ 8,887 $ 106,640 Utilities Supervisor 55 8 $ 53.86 $ 9,335 $ 112,023 Utilities Supervisor 55 9 $ 56.55 $ 9,802 $ 117,624 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment (COLA) Water Production Operator 26 1 $ 34.72 $ 6,019 $ 72,224 Water Production Operator 26 2 $ 36.44 $ 6,316 $ 75,796 Water Production Operator 26 3 $ 38.24 $ 6,629 $ 79,546 Water Production Operator 26 4 $ 40.19 $ 6,967 $ 83,602 Water Production Operator 26 5 $ 42.21 $ 7,316 $ 87,787 Water Production Operator 26 6 $ 44.33 $ 7,683 $ 92,200 Water Production Operator 26 7 $ 46.55 $ 8,068 $ 96,818 Water Production Operator 26 8 $ 48.85 $ 8,468 $ 101,614 Water Production Operator 26 9 $ 51.30 $ 8,891 $ 106,695 Water Production Supervisor 65B 1 $ 40.19 $ 6,967 $ 83,602 Water Production Supervisor 65B 2 $ 42.21 $ 7,316 $ 87,787 Water Production Supervisor 65B 3 $ 44.33 $ 7,683 $ 92,200 Water Production Supervisor 65B 4 $ 46.55 $ 8,068 $ 96,818 Water Production Supervisor 65B 5 $ 48.85 $ 8,468 $ 101,614 Water Production Supervisor 65B 6 $ 51.27 $ 8,887 $ 106,640 Water Production Supervisor 65B 7 $ 53.86 $ 9,335 $ 112,023 Water Production Supervisor 65B 8 $ 56.56 $ 9,803 $ 117,636 Water Production Supervisor 65B 9 $ 59.38 $ 10,293 $ 123,517 Water Quality Coordinator 55B 1 $ 38.24 $ 6,629 $ 79,546 Water Quality Coordinator 55B 2 $ 40.19 $ 6,967 $ 83,602 Water Quality Coordinator 55B 3 $ 42.21 $ 7,316 $ 87,787 Water Quality Coordinator 55B 4 $ 44.33 $ 7,683 $ 92,200 Water Quality Coordinator 55B 5 $ 46.55 $ 8,068 $ 96,818 Water Quality Coordinator 55B 6 $ 48.85 $ 8,468 $ 101,614 Water Quality Coordinator 55B 7 $ 51.27 $ 8,887 $ 106,640 Water Quality Coordinator 55B 8 $ 53.86 $ 9,335 $ 112,023 Water Quality Coordinator 55B 9 $ 56.55 $ 9,802 $ 117,624 Hourly rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. Actual rates may vary slightly due to rounding. EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Concrete Finisher 75A 1 $ 30.53 $ 5,293 $ 63,512 Concrete Finisher 75A 2 $ 32.08 $ 5,560 $ 66,718 Concrete Finisher 75A 3 $ 33.63 $ 5,829 $ 69,950 Concrete Finisher 75A 4 $ 35.34 $ 6,125 $ 73,497 Concrete Finisher 75A 5 $ 37.10 $ 6,431 $ 77,176 Concrete Finisher 75A 6 $ 38.99 $ 6,758 $ 81,092 Concrete Finisher 75A 7 $ 40.92 $ 7,093 $ 85,112 Concrete Finisher 75A 8 $ 42.93 $ 7,441 $ 89,290 Concrete Finisher 75A 9 $ 45.07 $ 7,813 $ 93,755 Electrical & Instrumentation Specialist 25C 1 $ 34.05 $ 5,901 $ 70,817 Electrical & Instrumentation Specialist 25C 2 $ 35.76 $ 6,199 $ 74,391 Electrical & Instrumentation Specialist 25C 3 $ 37.53 $ 6,506 $ 78,070 Electrical & Instrumentation Specialist 25C 4 $ 39.39 $ 6,828 $ 81,933 Electrical & Instrumentation Specialist 25C 5 $ 41.40 $ 7,176 $ 86,111 Electrical & Instrumentation Specialist 25C 6 $ 43.47 $ 7,535 $ 90,420 Electrical & Instrumentation Specialist 25C 7 $ 45.67 $ 7,916 $ 94,992 Electrical & Instrumentation Specialist 25C 8 $ 47.94 $ 8,310 $ 99,722 Electrical & Instrumentation Specialist 25C 9 $ 50.34 $ 8,726 $ 104,708 Equipment Mechanic 1 45 1 $ 26.71 $ 4,629 $ 55,550 Equipment Mechanic 1 45 2 $ 28.03 $ 4,859 $ 58,309 Equipment Mechanic 1 45 3 $ 29.40 $ 5,096 $ 61,148 Equipment Mechanic 1 45 4 $ 30.88 $ 5,352 $ 64,222 Equipment Mechanic 1 45 5 $ 32.43 $ 5,621 $ 67,454 Equipment Mechanic 1 45 6 $ 34.05 $ 5,901 $ 70,817 Equipment Mechanic 1 45 7 $ 35.76 $ 6,199 $ 74,391 Equipment Mechanic 1 45 8 $ 37.53 $ 6,506 $ 78,070 Equipment Mechanic 1 45 9 $ 39.41 $ 6,831 $ 81,974 Equipment Mechanic II 80 1 $ 30.88 $ 5,352 $ 64,222 Equipment Mechanic II 80 2 $ 32.43 $ 5,621 $ 67,454 Equipment Mechanic II 80 3 $ 34.05 $ 5,901 $ 70,817 Equipment Mechanic II 80 4 $ 35.76 $ 6,199 $ 74,391 Equipment Mechanic 11 80 5 $ 37.53 $ 6,506 $ 78,070 Equipment Mechanic II 80 6 $ 39.39 $ 6,828 $ 81,933 Equipment Mechanic II 80 7 $ 41.40 $ 7,176 $ 86,111 Equipment Mechanic II 80 8 $ 43.47 $ 7,535 $ 90,420 Equipment Mechanic 11 80 9 $ 45.64 $ 7,912 $ 94,941 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Equipment Mechanic, Senior 25F 1 $ 34.05 $ 5,901 $ 70,817 Equipment Mechanic, Senior 25F 2 $ 35.76 $ 6,199 $ 74,391 Equipment Mechanic, Senior 25F 3 $ 37.53 $ 6,506 $ 78,070 Equipment Mechanic, Senior 25F 4 $ 39.39 $ 6,828 $ 81,933 Equipment Mechanic, Senior 25F 5 $ 41.40 $ 7,176 $ 86,111 Equipment Mechanic, Senior 25F 6 $ 43.47 $ 7,535 $ 90,420 Equipment Mechanic, Senior 25F 7 $ 45.67 $ 7,916 $ 94,992 Equipment Mechanic, Senior 25F 8 $ 47.94 $ 8,310 $ 99,722 Equipment Mechanic, Senior 25F 9 $ 50.34 $ 8,726 $ 104,708 Equipment Operator 1 40 1 $ 27.67 $ 4,796 $ 57,547 Equipment Operator 1 40 2 $ 29.04 $ 5,034 $ 60,412 Equipment Operator 1 40 3 $ 30.53 $ 5,293 $ 63,512 Equipment Operator 1 40 4 $ 32.08 $ 5,560 $ 66,718 Equipment Operator 1 40 5 $ 33.63 $ 5,829 $ 69,950 Equipment Operator 1 40 6 $ 35.34 $ 6,125 $ 73,497 Equipment Operator 1 40 7 $ 37.12 $ 6,434 $ 77,203 Equipment Operator 1 40 8 $ 38.99 $ 6,758 $ 81,092 Equipment Operator 1 40 9 $ 40.94 $ 7,096 $ 85,147 Equipment Operator II 65A 1 $ 29.11 $ 5,045 $ 60,543 Equipment Operator 11 65A 2 $ 30.56 $ 5,297 $ 63,565 Equipment Operator 11 65A 3 $ 32.09 $ 5,562 $ 66,744 Equipment Operator 11 65A 4 $ 33.69 $ 5,840 $ 70,082 Equipment Operator II 65A 5 $ 35.36 $ 6,129 $ 73,550 Equipment Operator 11 65A 6 $ 37.15 $ 6,440 $ 77,282 Equipment Operator 11 65A 7 $ 39.01 $ 6,762 $ 81,144 Equipment Operator 11 65A 8 $ 40.94 $ 7,097 $ 85,165 Equipment Operator II 65A 9 $ 42.99 $ 7,452 $ 89,423 Facilities Maintenance Technician 75 1 $ 30.53 $ 5,293 $ 63,512 Facilities Maintenance Technician 75 2 $ 32.08 $ 5,560 $ 66,718 Facilities Maintenance Technician 75 3 $ 33.63 $ 5,829 $ 69,950 Facilities Maintenance Technician 75 4 $ 35.34 $ 6,125 $ 73,497 Facilities Maintenance Technician 75 5 $ 37.10 $ 6,431 $ 77,176 Facilities Maintenance Technician 75 6 $ 38.99 $ 6,758 $ 81,092 Facilities Maintenance Technician 75 7 $ 40.92 $ 7,093 $ 85,112 Facilities Maintenance Technician 75 8 $ 42.93 $ 7,441 $ 89,290 Facilities Maintenance Technician 75 9 $ 45.07 $ 7,813 $ 93,755 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Facilities Maintenance Worker II 25A 1 $ 25.13 $ 4,355 $ 52,266 Facilities Maintenance Worker II 25A 2 $ 26.38 $ 4,572 $ 54,867 Facilities Maintenance Worker II 25A 3 $ 27.67 $ 4,796 $ 57,547 Facilities Maintenance Worker II 25A 4 $ 29.04 $ 5,034 $ 60,412 Facilities Maintenance Worker II 25A 5 $ 30.53 $ 5,293 $ 63,512 Facilities Maintenance Worker II 25A 6 $ 32.08 $ 5,560 $ 66,718 Facilities Maintenance Worker II 25A 7 $ 33.63 $ 5,829 $ 69,950 Facilities Maintenance Worker II 25A 8 $ 35.34 $ 6,125 $ 73,497 Facilities Maintenance Worker II 25A 9 $ 37.10 $ 6,431 $ 77,172 Groundsworker II 50 1 $ 26.86 $ 4,655 $ 55,865 Groundsworker II 50 2 $ 28.22 $ 4,892 $ 58,703 Groundsworker II 50 3 $ 29.65 $ 5,139 $ 61,673 Groundsworker II 50 4 $ 31.12 $ 5,393 $ 64,721 Groundsworker II 50 5 $ 32.67 $ 5,663 $ 67,953 Groundsworker II 50 6 $ 34.29 $ 5,943 $ 71,317 Groundsworker II 50 7 $ 36.06 $ 6,250 $ 74,996 Groundsworker II 50 8 $ 37.84 $ 6,558 $ 78,701 Groundsworker II 50 9 $ 39.73 $ 6,886 $ 82,636 Maintenance Worker I 25H 1 $ 25.13 $ 4,355 $ 52,266 Maintenance Worker I 25H 2 $ 26.38 $ 4,572 $ 54,867 Maintenance Worker I 25H 3 $ 27.67 $ 4,796 $ 57,547 Maintenance Worker I 25H 4 $ 29.04 $ 5,034 $ 60,412 Maintenance Worker I 25H 5 $ 30.53 $ 5,293 $ 63,512 Maintenance Worker I 25H 6 $ 32.08 $ 5,560 $ 66,718 Maintenance Worker I 25H 7 $ 33.63 $ 5,829 $ 69,950 Maintenance Worker I 25H 8 $ 35.34 $ 6,125 $ 73,497 Maintenance Worker I 25H 9 $ 37.10 $ 6,431 $ 77,172 Maintenance Worker II 39 1 $ 26.38 $ 4,572 $ 54,867 Maintenance Worker II 39 2 $ 27.67 $ 4,796 $ 57,547 Maintenance Worker II 39 3 $ 29.04 $ 5,034 $ 60,412 Maintenance Worker II 39 4 $ 30.53 $ 5,293 $ 63,512 Maintenance Worker II 39 5 $ 32.08 $ 5,560 $ 66,718 Maintenance Worker II 39 6 $ 33.63 $ 5,829 $ 69,950 Maintenance Worker II 39 7 $ 35.34 $ 6,125 $ 73,497 Maintenance Worker II 39 8 $ 37.12 $ 6,434 $ 77,203 Maintenance Worker 11 39 9 $ 38.97 $ 6,755 $ 81,063 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Public Works Crew Chief 25 1 $ 34.05 $ 5,901 $ 70,817 Public Works Crew Chief 25 2 $ 35.76 $ 6,199 $ 74,391 Public Works Crew Chief 25 3 $ 37.53 $ 6,506 $ 78,070 Public Works Crew Chief 25 4 $ 39.39 $ 6,828 $ 81,933 Public Works Crew Chief 25 5 $ 41.40 $ 7,176 $ 86,111 Public Works Crew Chief 25 6 $ 43.47 $ 7,535 $ 90,420 Public Works Crew Chief 25 7 $ 45.67 $ 7,916 $ 94,992 Public Works Crew Chief 25 8 $ 47.94 $ 8,310 $ 99,722 Public Works Crew Chief 25 9 $ 50.34 $ 8,726 $ 104,708 Public Works Supervisor 65 1 $ 39.43 $ 6,835 $ 82,022 Public Works Supervisor 65 2 $ 41.40 $ 7,176 $ 86,111 Public Works Supervisor 65 3 $ 43.49 $ 7,538 $ 90,451 Public Works Supervisor 65 4 $ 45.66 $ 7,914 $ 94,964 Public Works Supervisor 65 5 $ 47.92 $ 8,306 $ 99,678 Public Works Supervisor 65 6 $ 50.30 $ 8,718 $ 104,615 Public Works Supervisor 65 7 $ 52.83 $ 9,156 $ 109,877 Public Works Supervisor 65 8 $ 55.48 $ 9,616 $ 115,389 Public Works Supervisor 65 9 $ 58.25 $ 10,097 $ 121,158 Senior Services Shuttle Driver 10 1 $ 24.21 $ 4,196 $ 50,347 Senior Services Shuttle Driver 10 2 $ 25.38 $ 4,399 $ 52,791 Senior Services Shuttle Driver 10 3 $ 26.71 $ 4,629 $ 55,550 Senior Services Shuttle Driver 10 4 $ 28.03 $ 4,859 $ 58,309 Senior Services Shuttle Driver 10 5 $ 29.41 $ 5,098 $ 61,174 Senior Services Shuttle Driver 10 6 $ 30.88 $ 5,352 $ 64,222 Senior Services Shuttle Driver 10 7 $ 32.43 $ 5,621 $ 67,454 Senior Services Shuttle Driver 10 8 $ 34.07 $ 5,906 $ 70,870 Senior Services Shuttle Driver 10 9 $ 35.78 $ 6,201 $ 74,413 Utilities Crew Chief 25G 1 $ 34.05 $ 5,901 $ 70,817 Utilities Crew Chief 25G 2 $ 35.76 $ 6,199 $ 74,391 Utilities Crew Chief 25G 3 $ 37.53 $ 6,506 $ 78,070 Utilities Crew Chief 25G 4 $ 39.39 $ 6,828 $ 81,933 Utilities Crew Chief 25G 5 $ 41.40 $ 7,176 $ 86,111 Utilities Crew Chief 25G 6 $ 43.47 $ 7,535 $ 90,420 Utilities Crew Chief 25G 7 $ 45.67 $ 7,916 $ 94,992 Utilities Crew Chief 25G 8 $ 47.94 $ 8,310 $ 99,722 Utilities Crew Chief 25G 9 $ 50.34 $ 8,726 $ 104,708 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Utilities Scada Coordinator 03 1 $ 36.51 $ 6,328 $ 75,942 Utilities Scada Coordinator 03 2 $ 38.34 $ 6,646 $ 79,752 Utilities Scada Coordinator 03 3 $ 40.26 $ 6,979 $ 83,746 Utilities Scada Coordinator 03 4 $ 42.25 $ 7,323 $ 87,871 Utilities Scada Coordinator 03 5 $ 44.41 $ 7,697 $ 92,365 Utilities Scada Coordinator 03 6 $ 46.60 $ 8,078 $ 96,937 Utilities Scada Coordinator 03 7 $ 48.95 $ 8,485 $ 101,825 Utilities Scada Coordinator 03 8 $ 51.39 $ 8,908 $ 106,896 Utilities Scada Coordinator 03 9 $ 53.96 $ 9,353 $ 112,241 Utilities Specialist 60 1 $ 28.22 $ 4,892 $ 58,703 Utilities Specialist 60 2 $ 29.65 $ 5,139 $ 61,673 Utilities Specialist 60 3 $ 31.12 $ 5,393 $ 64,721 Utilities Specialist 60 4 $ 32.67 $ 5,663 $ 67,953 Utilities Specialist 60 5 $ 34.29 $ 5,943 $ 71,317 Utilities Specialist 60 6 $ 36.06 $ 6,250 $ 74,996 Utilities Specialist 60 7 $ 37.82 $ 6,556 $ 78,674 Utilities Specialist 60 8 $ 39.72 $ 6,885 $ 82,616 Utilities Specialist 60 9 $ 41.71 $ 7,229 $ 86,747 Utilities Specialist, Senior 01 1 $ 30.33 $ 5,258 $ 63,092 Utilities Specialist, Senior 01 2 $ 31.86 $ 5,523 $ 66,271 Utilities Specialist, Senior 01 3 $ 33.45 $ 5,799 $ 69,582 Utilities Specialist, Senior 01 4 $ 35.12 $ 6,088 $ 73,051 Utilities Specialist, Senior 01 5 $ 36.89 $ 6,394 $ 76,730 Utilities Specialist, Senior 01 6 $ 38.73 $ 6,714 $ 80,566 Utilities Specialist, Senior 01 7 $ 40.67 $ 7,049 $ 84,586 Utilities Specialist, Senior 01 8 $ 42.69 $ 7,399 $ 88,791 Utilities Specialist, Senior 01 9 $ 44.82 $ 7,769 $ 93,231 Utilities Supervisor 55 1 $ 39.39 $ 6,828 $ 81,933 Utilities Supervisor 55 2 $ 41.40 $ 7,176 $ 86,111 Utilities Supervisor 55 3 $ 43.47 $ 7,535 $ 90,420 Utilities Supervisor 55 4 $ 45.66 $ 7,914 $ 94,966 Utilities Supervisor 55 5 $ 47.94 $ 8,310 $ 99,722 Utilities Supervisor 55 6 $ 50.32 $ 8,722 $ 104,663 Utilities Supervisor 55 7 $ 52.81 $ 9,153 $ 109,839 Utilities Supervisor 55 8 $ 55.47 $ 9,615 $ 115,384 Utilities Supervisor 55 9 $ 58.25 $ 10,096 $ 121,153 EXHIBIT C: Side Letter of Agreement Between the City and League The City of Newport Beach Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment (COLA) Water Production Operator 26 1 $ 35.76 $ 6,199 $ 74,391 Water Production Operator 26 2 $ 37.53 $ 6,506 $ 78,070 Water Production Operator 26 3 $ 39.39 $ 6,828 $ 81,933 Water Production Operator 26 4 $ 41.40 $ 7,176 $ 86,111 Water Production Operator 26 5 $ 43.47 $ 7,535 $ 90,420 Water Production Operator 26 6 $ 45.66 $ 7,914 $ 94,966 Water Production Operator 26 7 $ 47.94 $ 8,310 $ 99,722 Water Production Operator 26 8 $ 50.32 $ 8,722 $ 104,663 Water Production Operator 26 9 $ 52.83 $ 9,158 $ 109,896 Water Production Supervisor 65B 1 $ 41.40 $ 7,176 $ 86,111 Water Production Supervisor 65B 2 $ 43.47 $ 7,535 $ 90,420 Water Production Supervisor 65B 3 $ 45.66 $ 7,914 $ 94,966 Water Production Supervisor 65B 4 $ 47.94 $ 8,310 $ 99,722 Water Production Supervisor 65B 5 $ 50.32 $ 8,722 $ 104,663 Water Production Supervisor 65B 6 $ 52.81 $ 9,153 $ 109,839 Water Production Supervisor 65B 7 $ 55.47 $ 9,615 $ 115,384 Water Production Supervisor 65B 8 $ 58.25 $ 10,097 $ 121,165 Water Production Supervisor 65B 9 $ 61.16 $ 10,602 $ 127,223 Water Quality Coordinator 55B 1 $ 39.39 $ 6,828 $ 81,933 Water Quality Coordinator 55B 2 $ 41.40 $ 7,176 $ 86,111 Water Quality Coordinator 55B 3 $ 43.47 $ 7,535 $ 90,420 Water Quality Coordinator 55B 4 $ 45.66 $ 7,914 $ 94,966 Water Quality Coordinator 55B 5 $ 47.94 $ 8,310 $ 99,722 Water Quality Coordinator 55B 6 $ 50.32 $ 8,722 $ 104,663 Water Quality Coordinator 55B 7 $ 52.81 $ 9,153 $ 109,839 Water Quality Coordinator 55B 8 $ 55.47 $ 9,615 $ 115,384 Water Quality Coordinator 55B 9 $ 58.25 $ 10,096 $ 121,153 Hourly rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. Actual rates may vary slightly due to rounding. SIDE LETTER OF AGREEMENT BETWEEN CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE This Side Letter of Agreement ("Agreement") is made and entered into this VI day of N o Y fctM UE , 2022, by and between the City of Newport Beach ("City") and the Newport Beach Employees League ("League") (collectively "Parties") with respect to the following: WHEREAS, on January 25, 2022, the City Council adopted Resolution No. 2022- 08 approving a Memorandum of Understanding ("MOU") between the Parties with a term of January 1, 2022, through December 31, 2025; WHEREAS, given increases in the cost of medical insurance and to aid in the recruitment and retention of valuable employees, the Parties wish to modify the MOU; and WHEREAS, this Agreement will not have the effect of an agreement, and will not be binding on either party, until it is ratified by the affected bargaining unit and approved by the City Council. NOW, THEREFORE, it is mutually agreed between the Parties as follows: 1. The following language in Section 4.D.2. Fringe Benefits, Retirement Benefit, Employee Contributions, of the MOU is amended to read as follows: 2. Employee Contributions The LEAGUE has agreed to share in the rising cost of pension obligations. Under the terms of this MOU, unit members will contribute additional amounts toward the Ca1PERS retirement benefit, to the extent permissible by law. Should any provision be deemed invalid, the City and LEAGUE agree to meet for the purpose of renegotiating employee retirement contributions. Employee retirement contributions that are in addition to the normal Ca1PERS Member Contribution (of 7% or 8%) shall be calculated on base pay, special pays, and other pays normally reported as "PERSable" compensation and will be made on a pre-tax basis through payroll deduction, to the extent allowable by law. It is recognized that these payments will not be reported to Ca1PERS as contributions toward either the Member or Employer rate, as provided under Government Code Section 20516(f). Under a separate agreement and ratified via a contract amendment with Ca1PERS in 2008, Tier I employees shall contribute 2.42% compensation earnable (as cost sharing) per Government Code section 20516(a). League Side Letter Agreement Page 1 of 4 Tier I Employees - shall contribute a total employee contribution of 13% as follows: Tier 1 — Eight percent (8%) member contribution, 2.42% of compensation earnable as cost sharing per Government Code section 20516(a) and 2.58% of compensation earnable as cost sharing per Government Code section 20516(0. Temporary Reduction. Effective the pay period that includes January 1, 2023, Tier I Employees shall contribute a total employee contribution of 11.5% as follows: Tier 1 — Eight percent (8%) member contributions, 2.42% of compensation earnable as cost sharing per Government Code section 20516(a) and 1.08% of compensation earnable as cost sharing per Government Code section 20516(0. This reduction in the employee contribution rate sunsets at the end of the Last full pay period in December 2024. Accordingly, effective the pay period that includes January 1, 2025, Tier I Employees shall contribute a total employee contribution of 13% as follows: Tier 1 — Eight percent (8%) member contribution, 2.42% of compensation earnable as cost sharing per Government Code section 20516(a) and 2.58% of compensation earnable as cost sharing per Government Code section 20516(0. Tier II Employees - shall contribute a total employee contribution of 13% as follows: seven percent (7%) (compensation earnable) member contribution and six percent (6%) of compensation earnable as cost sharing per Government Code section 20516(0. Temporary Reduction. Effective the pay period that includes January 1, 2023, Tier II Employees shall contribute a total employee contribution of 11.5% as follows: seven percent (7%) (compensation earnable) member contribution and four and one-half percent (4.5%) of compensation earnable as cost sharing per Government Code section 20516(f). This reduction in the employee contribution rate sunsets at the end of the last full pay period in December 2024. Accordingly, effective the pay period that includes January 1, 2025, Tier II employees shall contribute a total employee contribution of 13% as follows: seven percent (7%) (compensation earnable) member contribution and six percent (6%) of compensation earnable as cost sharing per Government Code section 20516(0. Tier III Employees - The minimum statutory employee contribution for employees in Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal cost". Tier III employees shall make an additional contribution of pensionable compensation toward retirement pursuant to Government Code section 20516(f), such that the total employee contribution equals 13% of pensionable compensation. Temporary Reduction. Effective the pay period that includes January 1, 2023, the minimum statutory employee contribution for employees in Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal cost". Tier III employees shall make an additional contribution of pensionable compensation toward retirement pursuant to Government Code section 20516(f), such that the total League Side Letter Agreement Page 2 of 4 employee contribution equals no less than 11.5% of pensionable compensation (i.e., the greater of 11.5% or 50% of the "total normal cost"). This reduction in the employee contribution rate sunsets at the end of the last full pay period in December 2024. Accordingly, effective the pay period that includes January 1, 2025, the minimum statutory employee contribution for employees in Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal cost". Tier III employees shall make an additional contribution of pensionable compensation toward retirement pursuant to Government Code section 20516(f), such that the total employee contribution equals no less than 13% of pensionable compensation (i.e., the greater of 13% or 50% of the "total normal cost"). The City contracts with Ca1PERS for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the pre -retirement option settlement 2 death benefit (Government Code Section 21548) 3. Except as expressly modified herein, all other provisions, terms, and covenants set forth in the MOU shall remain unchanged and shall be in full force and effect. Signatures on the next page League Side Letter Agreement Page 3 of 4 Executed this day of , 2022 ATTEST: By: FOR THE NEWPORT BEACH CITY EMPLOYEES LEAGUE: By: Craig uge •, Preside FOR THE CITY 0 EWPORT BEACH. B Kevin Muldor CITY OF NEWPORT BEACH APPROVED AS TO FORM: By: 0.0'1•0%- C w- Aaron C. Harp, City Attorney Leilani BrowCity ClerkA League Side Letter Agreement Page 4 of 4 SIDE LETTER OF AGREEMENT BETWEEN CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE This Side Letter of Agreement ("Agreement") is made and entered into this Z3 day of At) Cs V ST 2022, by and between the City of Newport Beach ("City") and the Newport Beach Employees League ("League") (collectively "Parties") with respect to the following: WHEREAS, on January 25, 2022, the City Council adopted Resolution No. 2022- 08 approving a Memorandum of Understanding ("MOU") between the Parties with a term of January 1, 2022, through December 31, 2025; WHEREAS, given increases in the Cost -of -Living and to aid in the recruitment and retention of valuable employees, the Parties wish to modify the MOU; and WHEREAS, this Agreement will not have the effect of an agreement, and will not be binding on either party, until it is ratified by the affected bargaining unit and approved by the City Council. NOW, THEREFORE, it is mutually agreed between the Parties as follows: 1. Section 2, Compensation, Subsection A, Salary, of the MOU is amended to read as follows: Base salary increases for all NBEL represented classifications shall be as follows and as specified in Exhibit A: Effective the first day of the pay period following January 1, 2022 there shall be a base salary increase of one percent (1.0%) for all classifications in the bargaining unit. Individuals must be employed by the City on the first day of the pay period following City Council adoption to qualify for retroactive payment of the cost -of - living adjustment (COLA). Effective the first day of the pay period following January 1, 2023 there shall be a base salary increase of three percent (3.0%) for all classifications in the bargaining unit. Effective the first day of the pay period following January 1, 2024 there shall be a base salary increase of three percent (3.0%) for all classifications in the bargaining unit. Effective the first day of the pay period following January 1, 2025 there shall be a base salary increase of three percent (3.0%) for all classifications in the bargaining unit. 2. Exhibit A of the MOU is replaced in its entirety with Exhibit A to this Agreement, which is attached hereto and incorporated herein by this reference. 3. Except as expressly modified herein, all other provisions, terms, and covenants set forth in the MOU shall remain unchanged and shall be in full force and effect. Signatures on the next page Executed this 23 day of A v (*QV' , 2022 ATTEST: By: FOR THE NEWPORT BEACH EMPLOYEES LEAGUE: By: FOR THE CITY OF NEWPOR Kevin Muld►.n, Mayor CITY OF NEWPORT BEACH APPROVED AS TO FORM: By: �— C. Aa on C. Harp, City Attorney EACH: Leilani Brown, CiClerk 1 Attachment: Exhibit A — Salary Schedule with Cost -of -Living Adjustment EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 14, 2023 - 3% Cost -of -Living Adjustment Concrete Finisher Concrete Finisher Concrete Finisher Concrete Finisher Concrete Finisher Concrete Finisher Concrete Finisher Concrete Finisher Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Electrical & Instrumentation Specialist Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic I Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic II Equipment Mechanic, Senior Equipment Mechanic, Senior Equipment Mechanic, Senior Equipment Mechanic, Senior Equipment Mechanic, Senior Equipment Mechanic, Senior 75A 1 $ 28.78 $ 4,989 $ 75A 2 $ 30.23 $ 5,241 $ 75A 3 $ 31.70 $ 5,495 $ 75A 4 $ 33.31 $ 5,773 $ 75A 5 $ 34.97 $ 6,062 $ 75A 6 $ 36.75 $ 6,370 $ 75A 7 $ 38.57 $ 6,686 $ 75A 8 $ 40.46 $ 7,014 $ 25C 1 $ 32.09 $ 5,563 $ 25C 2 $ 33.71 $ 5,843 $ 25C 3 $ 35.38 $ 6,132 $ 25C 4 $ 37.13 $ 6,436 $ 25C 5 $ 39.02 $ 6,764 $ 25C 6 $ 40.98 $ 7,102 $ 25C 7 $ 43.05 $ 7,462 $ 25C 8 $ 45.19 $ 7,833 $ 45 1 $ 25.17 $ 4,363 $ 45 2 $ 26.42 $ 4,580 $ 45 3 $ 27.71 $ 4,803 $ 45 4 $ 29.10 $ 5,045 $ 45 5 $ 30.57 $ 5,298 $ 45 6 $ 32.09 $ 5,563 $ 45 7 $ 33.71 $ 5,843 $ 45 8 $ 35.38 $ 6,132 $ 80 1 $ 29.10 $ 5,045 $ 80 2 $ 30.57 $ 5,298 $ 80 3 $ 32.09 $ 5,563 $ 80 4 $ 33.71 $ 5,843 $ 80 5 $ 35.38 $ 6,132 $ 80 6 $ 37,13 $ 6,436 $ 80 7 $ 39.02 $ 6,764 $ 80 8 $ 40.98 $ 7,102 $ 25F 1 $ 32.09 $ 5,563 $ 25F 2 $ 33.71 $ 5,843 $ 25F 3 $ 35.38 $ 6,132 $ 25F 4 $ 37.13 $ 6,436 $ 25F 5 $ 39.02 $ 6,764 $ 25F 6 $ 40.98 $ 7,102 $ 59,867 62,888 65,935 69,278 72,746 76,437 80,226 84,165 66,752 70,121 73,589 77,230 81,167 85,230 89,539 93,998 52,361 54,962 57,637 60,535 63,582 66,752 70,121 73,589 60,535 63,582 66,752 70,121 73,589 77,230 81,167 85,230 66,752 70,121 73,589 77,230 81,167 85,230 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 14, 2023 - 3% Cost -of -Living Adjustment Equipment Mechanic, Senior 25F 7 $ 43.05 $ 7,462 $ Equipment Mechanic, Senior 25F 8 $ 45.19 $ 7,833 $ Equipment Operator I 40 1 $ 26.08 $ 4,520 $ Equipment Operator I 40 2 $ 27.38 $ 4,745 $ Equipment Operator I 40 3 $ 28.78 $ 4,989 $ Equipment Operator I 40 4 $ 30.23 $ 5,241 $ Equipment Operator I 40 5 $ 31.70 $ 5,495 $ Equipment Operator I 40 6 $ 33.31 $ 5,773 $ Equipment Operator I 40 7 $ 34.99 $ 6,064 $ Equipment Operator I 40 8 $ 36.75 $ 6,370 $ Equipment Operator II 65A 1 $ 27.44 $ 4,756 $ Equipment Operator II 65A 2 $ 28.81 $ 4,993 $ Equipment Operator II 65A 3 $ 30.25 $ 5,243 $ Equipment Operator II 65A 4 $ 31.76 $ 5,505 $ Equipment Operator II 65A 5 $ 33.33 $ 5,777 $ Equipment Operator II 65A 6 $ 35.02 $ 6,070 $ Equipment Operator II 65A 7 $ 36.77 $ 6,374 $ Equipment Operator II 65A 8 $ 38.59 $ 6,690 $ Facilities Maintenance Technician 75 1 $ 28.78 $ 4,989 $ Facilities Maintenance Technician 75 2 $ 30.23 $ 5,241 $ Facilities Maintenance Technician 75 3 $ 31.70 $ 5,495 $ Facilities Maintenance Technician 75 4 $ 33.31 $ 5,773 $ Facilities Maintenance Technician 75 5 $ 34.97 $ 6,062 $ Facilities Maintenance Technician 75 6 $ 36.75 $ 6,370 $ Facilities Maintenance Technician 75 7 $ 38.57 $ 6,686 $ Facilities Maintenance Technician 75 8 $ 40.46 $ 7,014 $ Facilities Maintenance Worker II 25A 1 $ 23.69 $ 4,105 $ Facilities Maintenance Worker II 25A 2 $ 24.86 $ 4,310 $ Facilities Maintenance Worker II 25A 3 $ 26.08 $ 4,520 $ Facilities Maintenance Worker II 25A 4 $ 27.38 $ 4,745 $ Facilities Maintenance Worker II 25A 5 $ 28.78 $ 4,989 $ Facilities Maintenance Worker II 25A 6 $ 30.23 $ 5,241 $ Facilities Maintenance Worker II 25A 7 $ 31.70 $ 5,495 $ Facilities Maintenance Worker II 25A 8 $ 33.31 $ 5,773 $ Groundsworker II 50 1 $ 25.32 $ 4,388 $ Groundsworker II 50 2 $ 26.60 $ 4,611 $ Groundsworker II 50 3 $ 27.95 $ 4,844 $ Groundsworker II 50 4 $ 29.33 $ 5,084 $ 89,539 93,998 54,244 56,944 59,867 62,888 65,935 69,278 72,771 76,437 57,067 59,916 62,913 66,059 69,328 72,846 76,486 80,276 59,867 62,888 65,935 69,278 72,746 76,437 80,226 84,165 49,266 51,718 54,244 56,944 59,867 62,888 65,935 69,278 52,659 55,333 58,133 61,006 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 14, 2023 - 3% Cost -of -Living Adjustment Groundsworker II 50 5 $ 30.79 $ 5,338 $ Groundsworker II 50 6 $ 32.32 $ 5,602 $ Groundsworker II 50 7 $ 33.99 $ 5,891 $ Groundsworker II 50 8 $ 35.66 $ 6,182 $ Maintenance Worker I 25H 1 $ 23.69 $ 4,105 $ Maintenance Worker I 25H 2 $ 24.86 $ 4,310 $ Maintenance Worker I 25H 3 $ 26.08 $ 4,520 $ Maintenance Worker I 25H 4 $ 27.38 $ 4,745 $ Maintenance Worker I 25H 5 $ 28.78 $ 4,989 $ Maintenance Worker I 25H 6 $ 30.23 $ 5,241 $ Maintenance Worker I 25H 7 $ 31.70 $ 5,495 $ Maintenance Worker I 25H 8 $ 33.31 $ 5,773 $ Maintenance Worker II 39 1 $ 24.86 $ 4,310 $ Maintenance Worker II 39 2 $ 26.08 $ 4,520 $ Maintenance Worker II 39 3 $ 27.38 $ 4,745 $ Maintenance Worker II 39 4 $ 28.78 $ 4,989 $ Maintenance Worker II 39 5 $ 30.23 $ 5,241 $ Maintenance Worker II 39 6 $ 31.70 $ 5,495 $ Maintenance Worker II 39 7 $ 33.31 $ 5,773 $ Maintenance Worker II 39 8 $ 34.99 $ 6,064 $ Public Works Crew Chief 25 1 $ 32.09 $ 5,563 $ Public Works Crew Chief 25 2 $ 33.71 $ 5,843 $ Public Works Crew Chief 25 3 $ 35.38 $ 6,132 $ Public Works Crew Chief 25 4 $ 37.13 $ 6,436 $ Public Works Crew Chief 25 5 $ 39.02 $ 6,764 $ Public Works Crew Chief 25 6 $ 40.98 $ 7,102 $ Public Works Crew Chief 25 7 $ 43.05 $ 7,462 $ Public Works Crew Chief 25 8 $ 45.19 $ 7,833 $ Public Works Supervisor 65 1 $ 37.17 $ 6,443 $ Public Works Supervisor 65 2 $ 39.02 $ 6,764 $ Public Works Supervisor 65 3 $ 40.99 $ 7,105 $ Public Works Supervisor 65 4 $ 43.04 $ 7,459 $ Public Works Supervisor 65 5 $ 45.17 $ 7,830 $ Public Works Supervisor 65 6 $ 47.41 $ 8,217 $ Public Works Supervisor 65 7 $ 49.79 $ 8,631 $ Public Works Supervisor 65 8 $ 52.29 $ 9,064 $ Senior Services Shuttle Driver 10 1 $ 22.82 $ 3,955 $ Senior Services Shuttle Driver 10 2 $ 23.92 $ 4,147 $ 64,052 67,223 70,690 74,183 49,266 51,718 54,244 56,944 59,867 62,888 65,935 69,278 51,718 54,244 56,944 59,867 62,888 65,935 69,278 72,771 66,752 70,121 73,589 77,230 81,167 85,230 89,539 93,998 77,313 81,168 85,258 89,513 93,956 98,610 103,570 108,765 47,457 49,761 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 14, 2023 - 3% Cost -of -Living Adjustment • PRESENTED POSITIONS Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior tLY RATE? 10 3 $ 25.17 $ 4,363 $ 10 4 $ 26.42 $ 4,580 $ 10 5 $ 27.72 $ 4,805 $ 10 6 $ 29.10 $ 5,045 $ 10 7 $ 30.57 $ 5,298 $ 10 8 $ 32.12 $ 5,567 $ 25G 1 $ 32.09 $ 5,563 $ 25G 2 $ 33.71 $ 5,843 $ 25G 3 $ 35.38 $ 6,132 $ 25G 4 $ 37.13 $ 6,436 $ 25G 5 $ 39.02 $ 6,764 $ 25G 6 $ 40.98 $ 7,102 $ 25G 7 $ 43.05 $ 7,462 $ 25G 8 $ 45.19 $ 7,833 $ 03 1 $ 34.41 $ 5,965 $ 03 2 $ 36.14 $ 6,264 $ 03 3 $ 37.95 $ 6,578 $ 03 4 $ 39.82 $ 6,902 $ 03 5 $ 41.86 $ 7,255 $ 03 6 $ 43.93 $ 7,614 $ 03 7 $ 46.14 $ 7,998 $ 03 8 $ 48.44 $ 8,397 $ 60 1 $ 26.60 $ 4,611 $ 60 2 $ 27.95 $ 4,844 $ 60 3 $ 29,33 $ 5,084 $ 60 4 $ 30.79 $ 5,338 $ 60 5 $ 32.32 $ 5,602 $ 60 6 $ 33.99 $ 5,891 $ 60 7 $ 35.65 $ 6,180 $ 60 8 $ 37.44 $ 6,489 $ 01 1 $ 28.59 $ 4,956 $ 01 2 $ 30.03 $ 5,206 $ 01 3 $ 31.53 $ 5,466 $ 01 4 $ 33.10 $ 5,738 $ 01 5 $ 34.77 $ 6,027 $ 01 6 $ 36.51 $ 6,328 $ 01 7 $ 38.33 $ 6,644 $ 01 8 $ 40.24 $ 6,975 $ 52,361 54,962 57,662 60,535 63,582 66,802 66,752 70,121 73,589 77,230 81,167 85,230 89,539 93,998 71,582 75,174 78,939 82,827 87,063 91,373 95,980 100,760 55,333 58,133 61,006 64,052 67,223 70,690 74,158 77,874 59,470 62,467 65,588 68,858 72,325 75,941 79,731 83,694 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 14, 2023 - 3% Cost -of -Living Adjustment REPRESENTED POSIT• Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator 55 55 55 55 55 55 55 55 26 26 26 26 26 26 26 26 65B 65B 65B 65B 65B 65B 65B 65B 55B 55B 55B 55B 55B 55B 55B 55B 1 2 3 4 5 6 7 8 1 2 3 4 5 6 7 8 1 2 3 4 5 6 7 8 1 2 3 4 5 6 7 8 37.13 39.02 40.98 43.04 45.19 47.43 49.78 52.29 33.71 35.38 37.13 39.02 40.98 43.04 45.19 47.43 39.02 40.98 43.04 45.19 47.43 49.78 52.29 54.91 37.13 39.02 40.98 43.04 45.19 47.43 49.78 52.29 6,436 6,764 7,102 7,460 7,833 8,221 8,628 9,063 5,843 6,132 6,436 6,764 7,102 7,460 7,833 8,221 6,764 7,102 7,460 7,833 8,221 8,628 9,063 9,517 6,436 6,764 7,102 7,460 7,833 8,221 8,628 9,063 Hourly pay rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. 77,230 81,167 85,230 89,515 93,998 98,655 103,534 108,760 70,121 73,589 77,230 81,167 85,230 89,515 93,998 98,655 81,167 85,230 89,515 93,998 98,655 103,534 108,760 114,209 77,230 81,167 85,230 89,515 93,998 98,655 103,534 108,760 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -living Adjustment Concrete Finisher 75A 1 $ 29.65 $ 5 139 $ Concrete Finisher 75A 2 $ 31.14 $ 5 398 $ Concrete Finisher 75A 3 $ 32.65 $ 5 659 $ Concrete Finisher 75A 4 $ 34.31 $ 5 946 $ Concrete Finisher 75A 5 $ 36.02 $ 6 244 $ Concrete Finisher 75A 6 $ 37.85 $ 6 561 $ Concrete Finisher 75A 7 $ 39.73 $ 6 886 $ Concrete Finisher 75A 8 $ 41.68 $ 7 224 $ Electrical & Instrumentation Specialist 25C 1 $ 33.06 $ 5 730 $ Electrical & Instrumentation Specialist 25C 2 $ 34.72 $ 6 019 $ Electrical & Instrumentation Specialist 25C 3 $ 36.44 $ 6 316 $ Electrical & Instrumentation Specialist 25C 4 $ 38.24 $ 6 629 $ Electrical & Instrumentation Specialist 25C 5 $ 40.19 $ 6 967 $ Electrical & Instrumentation Specialist 25C 6 $ 42.21 $ 7 316 $ Electrical & Instrumentation Specialist 25C 7 $ 44.34 $ 7,685 $ Electrical & Instrumentation Specialist 25C 8 $ 46.55 $ 8,068 $ Equipment Mechanic I 45 1 $ 25.93 $ 4,494 $ Equipment Mechanic I 45 2 $ 27.22 $ 4,718 $ Equipment Mechanic I 45 3 $ 28.54 $ 4,947 $ Equipment Mechanic I 45 4 $ 29.98 $ 5,196 $ Equipment Mechanic I 45 5 $ 31.49 $ 5,457 $ Equipment Mechanic I 45 6 $ 33.06 $ 5,730 $ Equipment Mechanic I 45 7 $ 34.72 $ 6,019 $ Equipment Mechanic I 45 8 $ 36.44 $ 6,316 $ Equipment Mechanic II 80 1 $ 29.98 $ 5,196 $ Equipment Mechanic 11 80 2 $ 31.49 $ 5,457 $ Equipment Mechanic II 80 3 $ 33.06 $ 5,730 $ Equipment Mechanic II 80 4 $ 34.72 $ 6,019 $ Equipment Mechanic II 80 5 $ 36.44 $ 6,316 $ Equipment Mechanic II 80 6 $ 38.24 $ 6,629 $ Equipment Mechanic II 80 7 $ 40.19 $ 6,967 $ Equipment Mechanic II 80 8 $ 42.21 $ 7,316 $ Equipment Mechanic, Senior 25F 1 $ 33.06 $ 5,730 $ Equipment Mechanic, Senior 25F 2 $ 34.72 $ 6,019 $ Equipment Mechanic, Senior 25F 3 $ 36.44 $ 6,316 $ Equipment Mechanic, Senior 25F 4 $ 38.24 $ 6,629 $ Equipment Mechanic, Senior 25F 5 $ 40.19 $ 6,967 $ Equipment Mechanic, Senior 25F 6 $ 42.21 $ 7,316 $ 61,663 64,775 67,913 71,357 74,928 78,730 82,633 86,690 68,755 72,224 75,797 79,546 83,602 87,787 92,226 96,818 53,932 56,611 59,367 62,351 65,489 68,755 72,224 75,797 62,351 65,489 68,755 72,224 75,797 79,546 83,602 87,787 68,755 72,224 75,797 79,546 83,602 87,787 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment Equipment Mechanic, Senior 25F 7 $ 44.34 $ 7,685 $ 92,226 Equipment Mechanic, Senior 25F 8 $ 46.55 $ 8,068 $ 96,818 Equipment Operator I 40 1 $ 26.86 $ 4,656 $ 55,871 Equipment Operator I 40 2 $ 28.20 $ 4,888 $ 58,652 Equipment Operator I 40 3 $ 29.65 $ 5,139 $ 61,663 Equipment Operator I 40 4 $ 31.14 $ 5,398 $ 64,775 Equipment Operator I 40 5 $ 32.65 $ 5,659 $ 67,913 Equipment Operator I 40 6 $ 34.31 $ 5,946 $ 71,357 Equipment Operator I 40 7 $ 36.04 $ 6,246 $ 74,954 Equipment Operator I 40 8 $ 37.85 $ 6,561 $ 78,730 Equipment Operator II 65A 1 $ 28.26 $ 4,898 $ 58,779 Equipment Operator 11 65A 2 $ 29.67 $ 5,143 $ 61,713 Equipment Operator II 65A 3 $ 31.15 $ 5,400 $ 64,800 Equipment Operator II 65A 4 $ 32.71 $ 5,670 $ 68,040 Equipment Operator II 65A 5 $ 34.33 $ 5,951 $ 71,408 Equipment Operator II 65A 6 $ 36.07 $ 6,253 $ 75,031 Equipment Operator II 65A 7 $ 37.88 $ 6,565 $ 78,781 Equipment Operator II 65A 8 $ 39.75 $ 6,890 $ 82,684 Facilities Maintenance Technician 75 1 $ 29.65 $ 5,139 $ 61,663 Facilities Maintenance Technician 75 2 $ 31.14 $ 5,398 $ 64,775 Facilities Maintenance Technician 75 3 $ 32.65 $ 5,659 $ 67,913 Facilities Maintenance Technician 75 4 $ 34.31 $ 5,946 $ 71,357 Facilities Maintenance Technician 75 5 $ 36.02 $ 6,244 $ 74,928 Facilities Maintenance Technician 75 6 $ 37.85 $ 6,561 $ 78,730 Facilities Maintenance Technician 75 7 $ 39.73 $ 6,886 $ 82,633 Facilities Maintenance Technician 75 8 $ 41.68 $ 7,224 $ 86,690 Facilities Maintenance Worker II 25A 1 $ 24.40 $ 4,229 $ 50,744 Facilities Maintenance Worker II 25A 2 $ 25.61 $ 4,439 $ 53,269 Facilities Maintenance Worker II 25A 3 $ 26.86 $ 4,656 $ 55,871 Facilities Maintenance Worker II 25A 4 $ 28.20 $ 4,888 $ 58,652 Facilities Maintenance Worker II 25A 5 $ 29.65 $ 5,139 $ 61,663 Facilities Maintenance Worker II 25A 6 $ 31.14 $ 5,398 $ 64,775 Facilities Maintenance Worker II 25A 7 $ 32.65 $ 5,659 $ 67,913 Facilities Maintenance Worker II 25A 8 $ 34.31 $ 5,946 $ 71,357 Groundsworker II 50 1 $ 26.08 $ 4,520 $ 54,238 Groundsworker II 50 2 $ 27.40 $ 4,749 $ 56,994 Groundsworker II 50 3 $ 28.79 $ 4,990 $ 59,877 Groundsworker II 50 4 $ 30.21 $ 5,236 $ 62,836 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment Groundsworker II 50 5 $ 31.72 $ 5,498 $ Groundsworker II 50 6 $ 33.29 $ 5,770 $ Groundsworker II 50 7 $ 35.01 $ 6,068 $ Groundsworker II 50 8 $ 36.73 $ 6,367 $ Maintenance Worker I 25H 1 $ 24.40 $ 4,229 $ Maintenance Worker I 25H 2 $ 25.61 $ 4,439 $ Maintenance Worker I 25H 3 $ 26.86 $ 4,656 $ Maintenance Worker I 25H 4 $ 28.20 $ 4,888 $ Maintenance Worker I 25H 5 $ 29.65 $ 5,139 $ Maintenance Worker I 25H 6 $ 31.14 $ 5,398 $ Maintenance Worker I 25H 7 $ 32.65 $ 5,659 $ Maintenance Worker I 25H 8 $ 34.31 $ 5,946 $ Maintenance Worker II 39 1 $ 25.61 $ 4,439 $ Maintenance Worker II 39 2 $ 26.86 $ 4,656 $ Maintenance Worker II 39 3 $ 28.20 $ 4,888 $ Maintenance Worker II 39 4 $ 29.65 $ 5,139 $ Maintenance Worker II 39 5 $ 31.14 $ 5,398 $ Maintenance Worker II 39 6 $ 32.65 $ 5,659 $ Maintenance Worker II 39 7 $ 34.31 $ 5,946 $ Maintenance Worker II 39 8 $ 36.04 $ 6,246 $ Public Works Crew Chief 25 1 $ 33.06 $ 5,730 $ Public Works Crew Chief 25 2 $ 34.72 $ 6,019 $ Public Works Crew Chief 25 3 $ 36.44 $ 6,316 $ Public Works Crew Chief 25 4 $ 38.24 $ 6,629 $ Public Works Crew Chief 25 5 $ 40.19 $ 6,967 $ Public Works Crew Chief 25 6 $ 42.21 $ 7,316 $ Public Works Crew Chief 25 7 $ 44.34 $ 7,685 $ Public Works Crew Chief 25 8 $ 46.55 $ 8,068 $ Public Works Supervisor 65 1 $ 38.28 $ 6,636 $ Public Works Supervisor 65 2 $ 40.19 $ 6,967 $ Public Works Supervisor 65 3 $ 42.22 $ 7,318 $ Public Works Supervisor 65 4 $ 44.33 $ 7,683 $ Public Works Supervisor 65 5 $ 46.53 $ 8,065 $ Public Works Supervisor 65 6 $ 48.83 $ 8,464 $ Public Works Supervisor 65 7 $ 51.29 $ 8,890 $ Public Works Supervisor 65 8 $ 53.86 $ 9,336 $ Senior Services Shuttle Driver 10 1 $ 23.50 $ 4,073 $ Senior Services Shuttle Driver 10 2 $ 24.64 $ 4,271 $ 65,974 69,240 72,811 76,408 50,744 53,269 55,871 58,652 61,663 64,775 67,913 71,357 53,269 55,871 58,652 61,663 64,775 67,913 71,357 74,954 68,755 72,224 75,797 79,546 83,602 87,787 92,226 96,818 79,633 83,603 87,816 92,198 96,775 101,568 106,677 112,028 48,881 51,254 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment REPRESENTED POSITIONS, Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Senior Services Shuttle Driver Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Crew Chief Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Scada Coordinator Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior Utilities Specialist, Senior 10 3 $ 25.93 $ 4,494 $ 10 4 $ 27.22 $ 4,718 $ 10 5 $ 28.55 $ 4,949 $ 10 6 $ 29.98 $ 5,196 $ 10 7 $ 31.49 $ 5,457 $ 10 8 $ 33.08 $ 5,734 $ 25G 1 $ 33.06 $ 5,730 $ 25G 2 $ 34.72 $ 6,019 $ 25G 3 $ 36.44 $ 6,316 $ 25G 4 $ 38.24 $ 6,629 $ 25G 5 $ 40.19 $ 6,967 $ 25G 6 $ 42.21 $ 7,316 $ 25G 7 $ 44.34 $ 7,685 $ 25G 8 $ 46.55 $ 8,068 $ 03 1 $ 35.45 $ 6,144 $ 03 2 $ 37.23 $ 6,452 $ 03 3 $ 39.09 $ 6,776 $ 03 4 $ 41.02 $ 7,109 $ 03 5 $ 43.11 $ 7,473 $ 03 6 $ 45.25 $ 7,843 $ 03 7 $ 47.53 $ 8,238 $ 03 8 $ 49.90 $ 8,649 $ 60 1 $ 27.40 $ 4,749 $ 60 2 $ 28.79 $ 4,990 $ 60 3 $ 30.21 $ 5,236 $ 60 4 $ 31.72 $ 5,498 $ 60 5 $ 33.29 $ 5,770 $ 60 6 $ 35.01 $ 6,068 $ 60 7 $ 36.72 $ 6,365 $ 60 8 $ 38.56 $ 6,684 $ 01 1 $ 29.45 $ 5,104 $ 01 2 $ 30.93 $ 5,362 $ 01 3 $ 32.48 $ 5,630 $ 01 4 $ 34.10 $ 5,910 $ 01 5 $ 35.82 $ 6,208 $ 01 6 $ 37.61 $ 6,518 $ 01 7 $ 39.48 $ 6,844 $ 01 8 $ 41.44 $ 7,184 $ 53,932 56,611 59,392 62,351 65,489 68,806 68,755 72,224 75,797 79,546 83,602 87,787 92,226 96,818 73,730 77,429 81,307 85,312 89,675 94,114 98,859 103,783 56,994 59,877 62,836 65,974 69,240 72,811 76,383 80,210 61,254 64,341 67,556 70,923 74,495 78,220 82,123 86,205 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 13, 2024 - 3% Cost -of -Living Adjustment REPRESENTED POSITIONS ; Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Utilities Supervisor Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Operator Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Production Supervisor Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator Water Quality Coordinator 55 1 $ 38.24 $ 6,629 $ 55 2 $ 40.19 $ 6,967 $ 55 3 $ 42.21 $ 7,316 $ 55 4 $ 44.33 $ 7,683 $ 55 5 $ 46.55 $ 8,068 $ 55 6 $ 48.85 $ 8,468 $ 55 7 $ 51.27 $ 8,887 $ 55 8 $ 53.86 $ 9,335 $ 26 1 $ 34.72 $ 6,019 $ 26 2 $ 36.44 $ 6,316 $ 26 3 $ 38.24 $ 6,629 $ 26 4 $ 40.19 $ 6,967 $ 26 5 $ 42,21 $ 7,316 $ 26 6 $ 44.33 $ 7,683 $ 26 7 $ 46.55 $ 8,068 $ 26 8 $ 48.85 $ 8,468 $ 65B 1 $ 40.19 $ 6,967 $ 65B 2 $ 42.21 $ 7,316 $ 65B 3 $ 44.33 $ 7,683 $ 65B 4 $ 46.55 $ 8,068 $ 65B 5 $ 48.85 $ 8,468 $ 65B 6 $ 51.27 $ 8,887 $ 65B 7 $ 53.86 $ 9,335 $ 65B 8 $ 56.56 $ 9,803 $ 55B 1 $ 38.24 $ 6,629 $ 55B 2 $ 40.19 $ 6,967 $ 55B 3 $ 42.21 $ 7,316 $ 55B 4 $ 44.33 $ 7,683 $ 55B 5 $ 46.55 $ 8,068 $ 55B 6 $ 48.85 $ 8,468 $ 55B 7 $ 51.27 $ 8,887 $ 55B 8 $ 53.86 $ 9,335 $ Hourly pay rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. 79,546 83,602 87,787 92,200 96,818 101,614 106,640 112,023 72,224 75,797 79,546 83,602 87,787 92,200 96,818 101,614 83,602 87,787 92,200 96,818 101,614 106,640 112,023 117,635 79,546 83,602 87,787 92,200 96,818 101,614 106,640 112,023 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment Concrete Finisher 75A 1 $ 30.53 $ 5 293 $ Concrete Finisher 75A 2 $ 32.08 $ 5 560 $ Concrete Finisher 75A 3 $ 33.63 $ 5 829 $ Concrete Finisher 75A 4 $ 35.34 $ 6 125 $ Concrete Finisher 75A 5 $ 37.10 $ 6,431 $ Concrete Finisher 75A 6 $ 38.99 $ 6,758 $ Concrete Finisher 75A 7 $ 40.92 $ 7,093 $ Concrete Finisher 75A 8 $ 42.93 $ 7,441 $ Electrical & Instrumentation Specialist 25C 1 $ 34.05 $ 5,901 $ Electrical & Instrumentation Specialist 25C 2 $ 35.77 $ 6,199 $ Electrical & Instrumentation Specialist 25C 3 $ 37.53 $ 6,506 $ Electrical & Instrumentation Specialist 25C 4 $ 39.39 $ 6,828 $ Electrical & Instrumentation Specialist 25C 5 $ 41.40 $ 7,176 $ Electrical & Instrumentation Specialist 25C 6 $ 43.47 $ 7,535 $ Electrical & Instrumentation Specialist 25C 7 $ 45.67 $ 7,916 $ Electrical & Instrumentation Specialist 25C 8 $ 47.94 $ 8,310 $ Equipment Mechanic I 45 1 $ 26.71 $ 4,629 $ Equipment Mechanic I 45 2 $ 28.03 $ 4,859 $ Equipment Mechanic I 45 3 $ 29.40 $ 5,096 $ Equipment Mechanic I 45 4 $ 30.88 $ 5,352 $ Equipment Mechanic I 45 5 $ 32.43 $ 5,621 $ Equipment Mechanic I 45 6 $ 34.05 $ 5,901 $ Equipment Mechanic I 45 7 $ 35.77 $ 6,199 $ Equipment Mechanic I 45 8 $ 37.53 $ 6,506 $ Equipment Mechanic II 80 1 $ 30.88 $ 5,352 $ Equipment Mechanic II 80 2 $ 32.43 $ 5,621 $ Equipment Mechanic II 80 3 $ 34.05 $ 5,901 $ Equipment Mechanic II 80 4 $ 35.77 $ 6,199 $ Equipment Mechanic II 80 5 $ 37.53 $ 6,506 $ Equipment Mechanic II 80 6 $ 39.39 $ 6,828 $ Equipment Mechanic II 80 7 $ 41.40 $ 7,176 $ Equipment Mechanic II 80 8 $ 43.47 $ 7,535 $ Equipment Mechanic, Senior 25F 1 $ 34.05 $ 5,901 $ Equipment Mechanic, Senior 25F 2 $ 35.77 $ 6,199 $ Equipment Mechanic, Senior 25F 3 $ 37.53 $ 6,506 $ Equipment Mechanic, Senior 25F 4 $ 39.39 $ 6,828 $ Equipment Mechanic, Senior 25F 5 $ 41.40 $ 7,176 $ Equipment Mechanic, Senior 25F 6 $ 43.47 $ 7,535 $ 63,513 66,718 69,950 73,497 77,176 81,092 85,112 89,290 70,817 74,391 78,070 81,933 86,110 90,420 94,992 99,722 55,550 58,309 61,147 64,222 67,454 70,817 74,391 78,070 64,222 67,454 70,817 74,391 78,070 81,933 86,110 90,420 70,817 74,391 78,070 81,933 86,110 90,420 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -living Adjustment Equipment Mechanic, Senior 25F 7 $ 45.67 $ 7 916 $ Equipment Mechanic, Senior 25F 8 $ 47.94 $ 8 310 $ Equipment Operator I 40 1 $ 27.67 $ 4 796 $ Equipment Operator I 40 2 $ 29.04 $ 5 034 $ Equipment Operator I 40 3 $ 30.53 $ 5 293 $ Equipment Operator I 40 4 $ 32.08 $ 5 560 $ Equipment Operator I 40 5 $ 33.63 $ 5,829 $ Equipment Operator I 40 6 $ 35.34 $ 6,125 $ Equipment Operator I 40 7 $ 37.12 $ 6,434 $ Equipment Operator I 40 8 $ 38.99 $ 6,758 $ Equipment Operator II 65A 1 $ 29.11 $ 5,045 $ Equipment Operator II 65A 2 $ 30.56 $ 5,297 $ Equipment Operator II 65A 3 $ 32.09 $ 5,562 $ Equipment Operator II 65A 4 $ 33.69 $ 5,840 $ Equipment Operator II 65A 5 $ 35.36 $ 6,129 $ Equipment Operator II 65A 6 $ 37.15 $ 6,440 $ Equipment Operator 11 65A 7 $ 39.01 $ 6,762 $ Equipment Operator II 65A 8 $ 40.94 $ 7,097 $ Facilities Maintenance Technician 75 1 $ 30.53 $ 5,293 $ Facilities Maintenance Technician 75 2 $ 32.08 $ 5,560 $ Facilities Maintenance Technician 75 3 $ 33.63 $ 5,829 $ Facilities Maintenance Technician 75 4 $ 35.34 $ 6,125 $ Facilities Maintenance Technician 75 5 $ 37.10 $ 6,431 $ Facilities Maintenance Technician 75 6 $ 38.99 $ 6,758 $ Facilities Maintenance Technician 75 7 $ 40.92 $ 7,093 $ Facilities Maintenance Technician 75 8 $ 42.93 $ 7,441 $ Facilities Maintenance Worker II 25A 1 $ 25.13 $ 4,355 $ Facilities Maintenance Worker II 25A 2 $ 26.38 $ 4,572 $ Facilities Maintenance Worker II 25A 3 $ 27.67 $ 4,796 $ Facilities Maintenance Worker II 25A 4 $ 29.04 $ 5,034 $ Facilities Maintenance Worker II 25A 5 $ 30.53 $ 5,293 $ Facilities Maintenance Worker II 25A 6 $ 32.08 $ 5,560 $ Facilities Maintenance Worker II 25A 7 $ 33.63 $ 5,829 $ Facilities Maintenance Worker II 25A 8 $ 35.34 $ 6,125 $ Groundsworker II 50 1 $ 26.86 $ 4,655 $ Groundsworker II 50 2 $ 28.22 $ 4,892 $ Groundsworker II 50 3 $ 29.65 $ 5,139 $ Groundsworker II 50 4 $ 31.12 $ 5,393 $ 94,992 99,722 57,547 60,412 63,513 66,718 69,950 73,497 77,203 81,092 60,543 63,565 66,744 70,082 73,550 77,282 81,144 85,165 63,513 66,718 69,950 73,497 77,176 81,092 85,112 89,290 52,266 54,867 57,547 60,412 63,513 66,718 69,950 73,497 55,865 58,703 61,673 64,721 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment Groundsworker II 50 5 $ 32.67 $ 5 663 $ Groundsworker II 50 6 $ 34.29 $ 5 943 $ Groundsworker II 50 7 $ 36.06 $ 6 250 $ Groundsworker II 50 8 $ 37.84 $ 6 558 $ Maintenance Worker I 25H 1 $ 25.13 $ 4 355 $ Maintenance Worker I 25H 2 $ 26.38 $ 4 572 $ Maintenance Worker I 25H 3 $ 27.67 $ 4 796 $ Maintenance Worker I 25H 4 $ 29.04 $ 5 034 $ Maintenance Worker I 25H 5 $ 30.53 $ 5 293 $ Maintenance Worker I 25H 6 $ 32.08 $ 5 560 $ Maintenance Worker I 25H 7 $ 33.63 $ 5 829 $ Maintenance Worker I 25H 8 $ 35.34 $ 6,125 $ Maintenance Worker II 39 1 $ 26.38 $ 4,572 $ Maintenance Worker II 39 2 $ 27.67 $ 4,796 $ Maintenance Worker II 39 3 $ 29.04 $ 5,034 $ Maintenance Worker II 39 4 $ 30.53 $ 5,293 $ Maintenance Worker II 39 5 $ 32.08 $ 5,560 $ Maintenance Worker II 39 6 $ 33.63 $ 5,829 $ Maintenance Worker II 39 7 $ 35.34 $ 6,125 $ Maintenance Worker II 39 8 $ 37.12 $ 6,434 $ Public Works Crew Chief 25 1 $ 34.05 $ 5,901 $ Public Works Crew Chief 25 2 $ 35.77 $ 6,199 $ Public Works Crew Chief 25 3 $ 37.53 $ 6,506 $ Public Works Crew Chief 25 4 $ 39.39 $ 6,828 $ Public Works Crew Chief 25 5 $ 41.40 $ 7,176 $ Public Works Crew Chief 25 6 $ 43.47 $ 7,535 $ Public Works Crew Chief 25 7 $ 45.67 $ 7,916 $ Public Works Crew Chief 25 8 $ 47.94 $ 8,310 $ Public Works Supervisor 65 1 $ 39.43 $ 6,835 $ Public Works Supervisor 65 2 $ 41.40 $ 7,176 $ Public Works Supervisor 65 3 $ 43.49 $ 7,538 $ Public Works Supervisor 65 4 $ 45.66 $ 7,914 $ Public Works Supervisor 65 5 $ 47.92 $ 8,306 $ Public Works Supervisor 65 6 $ 50.30 $ 8,718 $ Public Works Supervisor 65 7 $ 52.83 $ 9,156 $ Public Works Supervisor 65 8 $ 55.48 $ 9,616 $ Senior Services Shuttle Driver 10 1 $ 24.21 $ 4,196 $ Senior Services Shuttle Driver 10 2 $ 25.38 $ 4,399 $ 67,953 71,316 74,996 78,700 52,266 54,867 57,547 60,412 63,513 66,718 69,950 73,497 54,867 57,547 60,412 63,513 66,718 69,950 73,497 77,203 70,817 74,391 78,070 81,933 86,110 90,420 94,992 99,722 82,021 86,111 90,451 94,964 99,678 104,615 109,877 115,389 50,347 52,791 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment Senior Services Shuttle Driver 10 3 $ 26.71 $ 4,629 $ Senior Services Shuttle Driver 10 4 $ 28.03 $ 4,859 $ Senior Services Shuttle Driver 10 5 $ 29.41 $ 5,098 $ Senior Services Shuttle Driver 10 6 $ 30.88 $ 5,352 $ Senior Services Shuttle Driver 10 7 $ 32.43 $ 5,621 $ Senior Services Shuttle Driver 10 8 $ 34.07 $ 5,906 $ Utilities Crew Chief 25G 1 $ 34.05 $ 5,901 $ Utilities Crew Chief 25G 2 $ 35.77 $ 6,199 $ Utilities Crew Chief 25G 3 $ 37.53 $ 6,506 $ Utilities Crew Chief 25G 4 $ 39.39 $ 6,828 $ Utilities Crew Chief 25G 5 $ 41.40 $ 7,176 $ Utilities Crew Chief 25G 6 $ 43.47 $ 7,535 $ Utilities Crew Chief 25G 7 $ 45.67 $ 7,916 $ Utilities Crew Chief 25G 8 $ 47.94 $ 8,310 $ Utilities Scada Coordinator 03 1 $ 36.51 $ 6,328 $ Utilities Scada Coordinator 03 2 $ 38.34 $ 6,646 $ Utilities Scada Coordinator 03 3 $ 40.26 $ 6,979 $ Utilities Scada Coordinator 03 4 $ 42.25 $ 7,323 $ Utilities Scada Coordinator 03 5 $ 44.41 $ 7,697 $ Utilities Scada Coordinator 03 6 $ 46.60 $ 8,078 $ Utilities Scada Coordinator 03 7 $ 48.95 $ 8,485 $ Utilities Scada Coordinator 03 8 $ 51.39 $ 8,908 $ Utilities Specialist 60 1 $ 28.22 $ 4,892 $ Utilities Specialist 60 2 $ 29.65 $ 5,139 $ Utilities Specialist 60 3 $ 31.12 $ 5,393 $ Utilities Specialist 60 4 $ 32.67 $ 5,663 $ Utilities Specialist 60 5 $ 34.29 $ 5,943 $ Utilities Specialist 60 6 $ 36.06 $ 6,250 $ Utilities Specialist 60 7 $ 37.82 $ 6,556 $ Utilities Specialist 60 8 $ 39.72 $ 6,885 $ Utilities Specialist, Senior 01 1 $ 30.33 $ 5,258 $ Utilities Specialist, Senior 01 2 $ 31.86 $ 5,523 $ Utilities Specialist, Senior 01 3 $ 33.45 $ 5,799 $ Utilities Specialist, Senior 01 4 $ 35.12 $ 6,088 $ Utilities Specialist, Senior 01 5 $ 36.89 $ 6,394 $ Utilities Specialist, Senior 01 6 $ 38.73 $ 6,714 $ Utilities Specialist, Senior 01 7 $ 40.67 $ 7,049 $ Utilities Specialist, Senior 01 8 $ 42.69 $ 7,399 $ 55,550 58,309 61,174 64,222 67,454 70,870 70,817 74,391 78,070 81,933 86,110 90,420 94,992 99,722 75,941 79,752 83,746 87,871 92,365 96,937 101,825 106,896 58,703 61,673 64,721 67,953 71,316 74,996 78,674 82,616 63,092 66,271 69,582 73,051 76,730 80,566 84,587 88,791 EXHIBIT A RESOLUTION NO. 2022- The City of Newport Beach Employees League Salary Schedule Adjustment MOU Term: January 1, 2022 - December 31, 2025 (Exhibit A) Effective January 11, 2025 - 3% Cost -of -Living Adjustment Utilities Supervisor 55 1 $ 39.39 $ 6,828 $ 81,933 Utilities Supervisor 55 2 $ 41.40 $ 7,176 $ 86,110 Utilities Supervisor 55 3 $ 43.47 $ 7,535 $ 90,420 Utilities Supervisor 55 4 $ 45.66 $ 7,914 $ 94,966 Utilities Supervisor 55 5 $ 47.94 $ 8,310 $ 99,722 Utilities Supervisor 55 6 $ 50.32 $ 8,722 $ 104,663 Utilities Supervisor 55 7 $ 52.81 $ 9,153 $ 109,839 Utilities Supervisor 55 8 $ 55.47 $ 9,615 $ 115,384 Water Production Operator 26 1 $ 35.77 $ 6,199 $ 74,391 Water Production Operator 26 2 $ 37.53 $ 6,506 $ 78,070 Water Production Operator 26 3 $ 39.39 $ 6,828 $ 81,933 Water Production Operator 26 4 $ 41.40 $ 7,176 $ 86,110 Water Production Operator 26 5 $ 43.47 $ 7,535 $ 90,420 Water Production Operator 26 6 $ 45.66 $ 7,914 $ 94,966 Water Production Operator 26 7 $ 47.94 $ 8,310 $ 99,722 Water Production Operator 26 8 $ 50.32 $ 8,722 $ 104,663 Water Production Supervisor 65B 1 $ 41.40 $ 7,176 $ 86,110 Water Production Supervisor 65B 2 $ 43.47 $ 7,535 $ 90,420 Water Production Supervisor 65B 3 $ 45.66 $ 7,914 $ 94,966 Water Production Supervisor 65B 4 $ 47.94 $ 8,310 $ 99,722 Water Production Supervisor 65B 5 $ 50.32 $ 8,722 $ 104,663 Water Production Supervisor 65B 6 $ 52.81 $ 9,153 $ 109,839 Water Production Supervisor 65B 7 $ 55.47 $ 9,615 $ 115,384 Water Production Supervisor 65B 8 $ 58.25 $ 10,097 $ 121,165 Water Quality Coordinator 55B 1 $ 39.39 $ 6,828 $ 81,933 Water Quality Coordinator 55B 2 $ 41.40 $ 7,176 $ 86,110 Water Quality Coordinator 55B 3 $ 43.47 $ 7,535 $ 90,420 Water Quality Coordinator 55B 4 $ 45.66 $ 7,914 $ 94,966 Water Quality Coordinator 55B 5 $ 47.94 $ 8,310 $ 99,722 Water Quality Coordinator 55B 6 $ 50.32 $ 8,722 $ 104,663 Water Quality Coordinator 55B 7 $ 52.81 $ 9,153 $ 109,839 Water Quality Coordinator 55B 8 $ 55.47 $ 9,615 $ 115,384 Hourly pay rates are rounded to the nearest hundredth. Monthly and annual salaries are rounded to the nearest whole dollar. MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE Term: January 1, 2022 through December 31, 2025 TABLE OF CONTENTS Paae PREAMBLE 1 SECTION 1 - GENERAL PROVISIONS Recognition 1 Term 2 Release Time 2 Scope 2 Conclusiveness 3 Modifications 4 NBEL Dues 4 SECTION 2 - COMPENSATION Salary 4 Overtime 5 Standby Duty 6 Call -Back Duty 6 Accumulation of Compensatory Time Off 6 Night Shift Differential 7 Acting Pay 7 Certification Pay 7 Court Time 9 One -Time Payment 9 SECTION 3 - LEAVES Flex Leave 9 Vacation Leave 10 Sick Leave 11 Holiday Leave 12 Bereavement Leave 13 Leave Sellback 13 SECTION 4 - FRINGE BENEFITS Health Insurance 14 Additional Health Insurance/Programs 16 Employee Assistance Program 17 PERS Retirement Benefit 17 Retiree Medical Benefit 19 Tuition Reimbursement 23 Deferred Compensation 23 i SECTION 5 — MISCELLANEOUS/WORKING CONDITIONS Reduction in Force/Layoffs 24 Non -Discrimination 26 Promotional Preference 26 Work Schedules 27 Labor Management Committee 27 Discipline — Notice of Intent 28 Grievance Procedure 28 Probationary Period 29 Failure of Probation 30 Accident Reporting 30 Safety Shoes 31 Uniforms 31 Voluntary Training Program 32 In -Service Supervisory and Safety Training 32 Clean -Up Time 32 Rest Periods 32 Service Awards 32 Direct Deposit 32 Salary on Reclassification 33 Classification and Compensation Studies 33 Separability 33 EXHIBIT A — Represented Classifications and Pay Rates 35 ii MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), a recognized employee organization, affiliated with the Orange County Employees Association ("OCEA"), 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. 2 NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from January 1, 2022 through December 31, 2025 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. 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, City hereby confirms its prior certification of NBEL as the recognized employee organization for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in those classifications specified in Exhibit "A", or as appropriately modified in accordance with the Employer/Employee Resolution. All other classifications and positions not specifically included within Exhibit "A" are excluded from representation by the NBEL. 1 Newport Beach Employees League 2022-25 B. Term 1. 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 January 1, 2022. This MOU shall remain in full force and effect until December 31, 2025, 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. 2. The provisions 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. C. Release Time 1. Four NBEL officers designated by the NBEL shall collectively be granted an annual maximum of 150 hours paid release time, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. 4. Each January, the City will examine the number of Release Time hours the NBEL used the preceding year. If the NBEL used in excess of 75% of the hours normally granted (150), the NBEL will be granted an additional 30 hours for that year. D. Scope 1. 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. 2 Newport Beach Employees League 2022-25 2. 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. 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 the Employer -Employee Relations Resolution No. 2001-50. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (j) 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 With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the term 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 within the scope of representation except as expressly 3 Newport Beach Employees League 2022-25 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. As provided in the Employer -Employee Relations Resolution No. 2001-50, the City shall determine the manner in which City services are to be provided, including whether the City should provide services directly or contract out work, including work that is currently being performed by NBEL members. In the event the City introduces a plan to outsource services currently being performed by NBEL members to achieve greater efficiency and/or cost savings, and upon request by the NBEL, the City shall meet and confer with NBEL representatives to discuss the impacts of the City's decision to contract out work. The City shall retain sole authority to decide whether or not to contract out work, including work that is currently being performed by NBEL members. This provision shall not limit the City's authority to enter into such an agreement for any City services. F. Modifications Any agreement, understanding, 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. NBEL Dues 1. The collection of NBEL dues shall be handled through the payroll deduction process. 2. NBEL agrees to defend, indemnify and hold harmless the City for its collection of NBEL dues. SECTION 2. — Compensation A. Salary Base salary increases for all NBEL represented classifications shall be as follows and as specified in Exhibit A: Effective the first day of the pay period following January 1, 2022 there shall be a base salary increase of one percent (1.0%) for all classifications in the bargaining unit. Individuals must be employed by the City on the first day of the pay period following City Council adoption to qualify for retroactive payment of the cost of living adjustment (COLA). Effective the first day of the pay period following January 1, 2023 there shall be a base salary increase of two percent (2.0%) for all classifications in the bargaining unit. Individuals must be employed by the City on the first day of the pay period 4 Newport Beach Employees League 2022-25 following City Council adoption to qualify for retroactive payment of the cost of living adjustment (COLA). Effective the first day of the pay period following January 1, 2024 there shall be a base salary increase of two percent (2.0%) for all classifications in the bargaining unit. Individuals must be employed by the City on the first day of the pay period following City Council adoption to qualify for retroactive payment of the cost of living adjustment (COLA). Effective the first day of the pay period following January 1, 2025 there shall be a base salary increase of two percent (2.0%) for all classifications in the bargaining unit. Individuals must be employed by the City on the first day of the pay period following City Council adoption to qualify for retroactive payment of the cost of living adjustment (COLA). B. Overtime 1. Advanced Approval - Employees must have advanced approval from their supervisor to work overtime. 2. FLSA Overtime - Overtime earned for actual work hours in excess of 40 in the employee's defined FLSA workweek. 3. Contract Overtime - Overtime earned for an employee whose hours paid in their defined FLSA workweek exceeds 40. For purposes of calculating hours paid for contract overtime, holidays and pre -scheduled vacation or Flex leave occurring during the work week count as time worked. The use of sick leave, floating holiday hours or flex leave that is not pre -scheduled and approved in writing in advance do not count as hours worked for purposes of calculating hours paid for determining eligibility for contract overtime. 4. Rate at Which Overtime is Calculated - Both FLSA and Contract Overtime (paid at time and one half — 1.5) shall be calculated at the regular rate of pay, except that the rate at which Contract 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 by choosing benefits which cost less than the Allowance. 5. Workweek for Purposes of Calculating Overtime - For employees who work the 9/80 work schedule, their defined FLSA workweek shall begin exactly four hours after the start time of their shift on their alternating regular day off (i.e., their eight -hour day) and end exactly 168 hours later. For employees who work a 5/40 work schedule, their workweek shall begin on Saturday at 12:01 a.m. and will end exactly 168 hours later the following Saturday at 12:00 a.m. 6. Work Schedule - Regardless of the type of work schedule an employee is assigned (e.g., 5/40 and 9/80), full time employees are regularly scheduled to work forty (40) hours in their defined FLSA workweek. 5 Newport Beach Employees League 2022-25 7. Reporting Time - The City calculates overtime in tenths of an hour. An employee who works in excess of three minutes of the next tenth should round up to the next tenth and if the employee works three minutes or less of the next tenth should round down. For example, if an employee whose normal work schedule ends at 5:00 p.m. works until 5:03 p.m. he/she should round down and not report the additional three minutes. However, if the employee works until 5:04 p.m., he/she should report an additional tenth of an hour of time worked. C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation Standby duty compensation for all unit employees shall be eight dollars ($8.00) per hour. Standby pay will not be piggybacked with any other paid time, such as call-back, scheduled or unscheduled overtime, or if working a scheduled shift. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All employees on call-back duty shall receive a minimum of two (2) hours pay. If an employee works more than two (2) hours, he/she shall receive pay for actual hours worked. E. Accumulation of Compensatory Time Off Unit members may receive compensatory time off (CTO), in lieu of cash, as 6 Newport Beach Employees League 2022-25 compensation for overtime hours worked at the rate of one and one half hours for each hour of overtime worked. An employee may only accrue CTO if requested and then approved by the employee's supervisor. Call-back time may be converted to CTO with supervisor approval. Employees may accumulate up to eighty (80) hours of CTO. If an employee has eighty (80) hours of accrued CTO, he/she will not be able to accrue additional CTO until he/she uses CTO to reduce his/her balance below eighty (80) hours. F Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5 p.m. and 5 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. The parties agree that to the extent permitted by law, the shift differential pay in this section is special compensation and shall be reported to CaIPERS as such pursuant to Title 2 CCR, Section 571(a)(4) or Section 571.1(b)(3) Shift Differential Pay. G. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours' requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41 st hour worked in the higher classification. The parties agree that to the extent permitted by law, acting pay is special compensation and shall be reported to CaIPERS as such pursuant to Title 2 CCR, Section 571(a)(3) Temporary Upgrade Pay. The employee must be performing 100% of the duties in the higher classification for Temporary Upgrade Pay to be reportable. For new members as defined by the Public Employees' Pension Reform Act of 2013, Acting Pay will not be reported as pensionable compensation to CaIPERS. H. Certification Pay Payment for certifications will be made on a bi-weekly basis for unit members holding a valid and current certification in areas indicated below. Employees may 7 Newport Beach Employees League 2022-25 submit proof of valid certificates, including renewals, upon completion. The bi- weekly payment for such eligible certificates will begin the first pay period following department approval. All amounts listed below reflect the annual benefit for the specified certificate: 1. Water or Wastewater Operator Grade I $110 Grade II $350 Grade III $450 Grade IV $650 Grade V $800 These pays do not stack. Employees receive the one pay from the list above for the Grade they have achieved. 2. Backflow Certification - $220 3. Qualified Applicator Certificate - $110 for each category, up to a maximum of $330 4. Fire Mechanic State Level I - $110 5. Fire Mechanic State Level II - $220 6. Fire Mechanic III - $400 7. Certified Arborist - $110 8. ASE Certification - $55 each and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Driver's License, Class A - $220 10. Commercial Driver's License, Class B - $165 11. Public Works Certificate (18-20 Jr. College units) or Maintenance Superintendents Association (MSA) Certificate - $300 12. Water Utility Science Certificate - $300 13. Cross Connection Specialist - $110 14. Crane Certification - $110 15. Forklift Trainer - $300 (2 employees, max) 8 Newport Beach Employees League 2022-25 The maximum certificate pay benefit for unit members shall be $5,000 annually. The parties agree that to the extent permitted by law, the City shall report to the Ca1PERS eligible certificate pays as Educational Incentive pursuant to Title 2 CCR, Section 571(a)(2) or 571.1(b)(2). The City will reimburse employees for: 1) application, testing, and certification fees for successfully completing certification examinations for the above listed certificates, and 2) required physicals when employees obtain/renew required Class A or B Drivers Licenses. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. J. One -Time Payment All bargaining unit employees in paid status for the entirety of the first full pay period following the adoption of the MOU by the City Council will receive a signing bonus of $2,000. The parties intend and understand that this lump sum payment is non -pensionable and will not be reported to CaIPERS. The parties also agree that this payment is intended to be specific to the pay period in which it is paid and is to be considered part of the FLSA regular rate for this pay period only. SECTION 3. - Leaves A. Flex Leave 1. Unit members shall accrue Flex leave at the following rates: Years of Continuous Hrs Accrued per Annual Max Balance Service Pay Period hours (hours) Less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 6.00 6.61 7.23 8.15 8.77 9.38 10.00 156.00 468.00 171.86 515.58 187.98 563.94 211.90 635.70 228.02 684.06 243.88 731.64 260.00 780.00 Members shall accrue three (3) months (i.e., 39 hours) of Flex leave (as provided in the chart above) upon completion of three (3) months of 9 Newport Beach Employees League 2022-25 continuous employment with the City of Newport Beach, provided however, this amount shall be reduced by any Flex leave time advanced during the first three (3) months of employment. 2. Limit on Accumulation Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned Flex leave in excess of the maximum permitted accrual at the member's hourly rate of pay provided that they have utilized at least eighty (80) hours of Flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 3. Method of Use The Department Director shall approve all requests for Flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. 8. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to Vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Accrual per pay period Service (Hours) Less than 5 3.38 5 but Tess than 9 3.99 9 but less than 12 4.61 12 but less than 16 5.22 16 but Tess than 20 5.84 20 but less than 25 6.46 25 and over 7.07 10 Newport Beach Employees League 2022-25 2. Limit on Accumulation Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31 st of the following year. 3. Method of Use The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week - 40 hours Service Time Monthly Accrual 0- 1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use (a) General An employee may use sick leave for an entire day or partial day if needed. If used for a partial day, employees should report its use to the nearest tenth of an hour. (b) Approval Sick leave may be granted only at the discretion of or with the approval 11 Newport Beach Employees League 2022-25 of the Department Director and as defined in the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of Sick Leave equal to or greater than the full value of 50 months of accrued Sick Leave, and who have used six or less days of Sick Leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of Sick Leave to paid vacation at the value of 50% (maximum value of 3 days per year). D. Holiday Leave 1. The following days shall be observed as paid holidays (i.e., employees shall have the day off with pay) by all unit members. For each holiday, except the Floating Holiday (where the employee chooses the day off), if an employee is required to work on the holiday, they will receive their pay for the holiday and in addition either pay or Flex Leave for the number of hours worked on the holiday. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas Day New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st - 1 day* *The floating holiday (eight (8) hours of holiday leave) is awarded on July 1. The hours are added to employees' Flex Leave account. Holidays will be paid based on the employee's regular work day schedule. For example, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 9 hours, the employee is entitled to receive 9 hours of Holiday pay. However, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 8 hours, the employee is entitled to receive 8 hours of holiday pay. Employees will receive 8 hours of Holiday Pay annually for the Floating Holiday. 12 Newport Beach Employees League 2022-25 Holidays listed above (except the Floating Holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility Following are the limitations on eligibility for Holiday pay: (a) Holiday pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized paid leave (e.g. approved vacation or sick leave that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave Bereavement leave shall be defined as "the necessary absence from duty by an employee because of the death or terminal illness in his/her immediate family." Unit members shall be entitled to forty (40) hours of bereavement leave per calendar year per incident (terminal illness followed by death is considered one incident). Bereavement leave shall be administered in accordance with the provisions of the Employee Policy Manual. Leave hours need not be used consecutively, but should occur in proximate time to the occurrence. For the purposes of this section, immediate family shall mean an employee's father, mother, stepfather, stepmother, brother, sister, spouse/domestic partner, child, stepchild, grandparents and the employee's spouse's/domestic partner's father, mother, brother, sister, child and grandparents. The provisions of this Section shall not diminish or reduce any rights a member may have pursuant to applicable provisions of State or Federal law. An employee requesting bereavement leave shall notify his/her supervisor as soon as possible of the need to take leave. F. Leave Sellback During calendar year 2019, employees shall have the option (on two occasions) of selling back on an hour for hour basis, accrued Flex or Vacation leave. In no event shall the Flex or Vacation leave balance be reduced below one hundred and sixty (160) hours. Hours sold back will be subject to the Retiree Health Savings Plan Part C contributions, per Section 4 (E), Retiree Medical. For the term of this MOU the League has elected Part C contributions for Flex/Vacation at 0%. Effective in calendar year 2020 and thereafter, 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 13 Newport Beach Employees League 2022-25 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 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 all 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. 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 and up to three City representatives. The Benefits Information Committee 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 association with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. In addition to the contribution amounts listed below, the City shall contribute the minimum CaIPERS participating employer's contribution towards medical insurance for employees enrolled in a CaIPERS medical plan, per Government Code Section 22892. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Subject to the terms and conditions stated below, 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. The City's contribution towards the Cafeteria Plan is One Thousand, Seven Hundred Twenty -Five Dollars ($1,725), plus the minimum CaIPERS participating employer's contribution. 14 Newport Beach Employees League 2022-25 NBEL members who do not 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. Unit members whose actual start date occurs prior to the first day of the pay period following City Council approval of this MOU and who elect to opt out of medical coverage 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 One Thousand Dollars ($1, 000) per month in taxable cash paid bi-weekly. For these same employees, if they elect medical coverage and spend less than the City contribution provided above, those unused cafeteria plan funds shall be paid to the employee as taxable cash biweekly. Newly appointed unit members whose actual start date occurs on or after the first day of the pay period following City Council approval of this MOU and who elect to opt out of medical coverage offered by the City because they have provided proof of MEC through another source (other than coverage in the individual market, whether or not obtained through Covered California) shall receive Five Hundred Dollars ($500) per month in taxable cash paid biweekly. For these same employees, if they elect medical coverage and spend less than the City contribution provided above, there shall be no cash back provided. The preceding language as applied to the following scenarios: 1. Part-time employee hired by the City prior to MOU adoption but not appointed as a full-time employee into the League until on or after MOU adoption — this employee is subject to the $500 opt -out amount and does not receive cash back if the medical coverage elected is less than the City contribution. 2. Full-time employee hired by the City prior to MOU adoption who later drops down to part-time and then is reappointed to the unit as a full-time employee — this employee is subject to the $500 opt -out amount and does not receive cash back if the medical coverage elected is less than the City contribution. 3. Full-time employee hired by the City prior to MOU adoption who later transfers into the unit from another unit — if the employee was not subject to the $500 opt -out amount and/or no cash back in the unit from which they are transferring, they will receive the benefit of $1,000 opt -out and/or cash back if the medical coverage elected is less than the City contribution. On or before July 1, 2023, at the request of either party, the parties shall meet 15 Newport Beach Employees League 2022-25 and confer in good faith to discuss possible changes to the medical benefit program, contribution levels, or other elements of healthcare services, provided, however, that any changes to the MOU may only occur by mutual agreement of the parties. 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. 5. Healthcare Reform The parties recognize that certain State and Federal laws, programs and regulations, including the Affordable Care Act, may impact future medical plan offerings. Either party may request to reopen Section 4,A,(2) regarding medical insurance for the purpose of discussing alternative approaches and proposals to providing healthcare coverage. In addition, should State or Federal laws concerning taxation of healthcare benefits change, the parties agree to meet and discuss the impact of such change. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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. An NBEL member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit Maximum Benefit 66.67% gross weekly wages $10,000/month 16 Newport Beach Employees League 2022-25 Minimum Benefit $15 (STD) and $100 (LTD) Waiting Period 30 Calendar Days (STD) 180 Calendar Days (LTD) Effective the first premium payment after the later of (a) City Council adoption of the MOU or (b) January 1, 2022, the City will pay for this benefit. Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. NBEL members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. Retirement Formula The City contracts with 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: Tier 1: For employees hired by the City on or before November 23, 2012, the retirement formula shall be the 2.5%@55 calculated on the basis ofthe single highest year. Tier 2: For employees first hired by the City between November 24 and December 31, 2012, or hired on or after January 1, 2013 and are current Classic members of the retirement system, as defined in the Public Employees' Pension Reform Act ("PEPRA"), the retirement formula shall be 2%@60 calculated on the average 36 highest month's salary. Tier 3: For employees first hired by the City on or after January 1, 2013, and 17 Newport Beach Employees League 2022-25 who do not meet the Tier 2 criteria because they are new members as defined by the PEPRA, the retirement formula shall be 2.0%@62 calculated on the average 36 highest month's salary. 2. Employee Contributions The NBEL has agreed to share in the rising cost of pension obligations. Under the terms of this MOU, unit members will contribute additional amounts toward the PERS retirement benefit, to the extent permissible by law. Should any provision be deemed invalid, the City and NBEL agree to meet for the purpose of renegotiating employee retirement contributions. Employees in each Tier contribute 13% of pensionable pay toward the retirement benefit. Employee retirement contributions that are in addition to the normal PERS Member Contribution (of 7% or 8%) shall be calculated on base pay, special pays, and other pays normally reported as "PERSable" compensation, and will be made on a pre-tax basis through payroll deduction, to the extent allowable by law. It is recognized that these payments will not be reported to PERS as contributions toward either the Member or Employer rate, as provided under GC Section 20516(f). Tier I Employees shall pay their eight percent (8%) (compensation earnable) member contribution, 2.42% compensation earnable (as cost sharing) per Government Code section 20516(a) and 2.58% compensation earnable (as cost sharing) per Government Code section 20516(f). Tier 2 employees shall pay their seven percent (7%) (compensation earnable) member contribution and six percent (6%) of compensation earnable as cost sharing per Government Code section 20516(f). Tier 3 The minimum statutory employee contribution for employees in Tier 3 is subject to the provisions of the (PEPRA) and equals 50% of the "total normal cost". Tier 3 employees shall make an additional contribution of pensionable compensation toward retirement pursuant to Government Code Section 20516(f), for a total employee contribution of 13% of pensionable compensation. The City contracts with PERS for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the pre -retirement option settlement 2 death benefit (Section 21548). 18 Newport Beach Employees League 2022-25 E. Retiree Medical Benefit This is an Integral Part Trust (IPT) RHS Retiree Health Savings (RHS) plan (formerly the Medical Expense Reimbursement Program - "MERP"). Each member has an individual RHS account ("Account"), which accumulates based on the category they fall under. Funds from the Account may be used for eligible health care expenses after separation, retirement or a change in personnel status to a position that does not receive the RHS benefit. These changes in personnel status will activate the Account and allow funds to be withdrawn until the Account balance is depleted. Since the plan restricts all distributions to be spent for health insurance premiums and health care expenses, as defined by the Internal Revenue Code Publication 502, § 213(d) and the Plan document the contributions, fund investment earnings and benefit payments (when withdrawn from the Account) are not taxable when posted. Additionally, certain contributions may only be deposited upon retirement from the City. The categories are provided below. 1. Background In 2005, the City and NBCEA 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 is ongoing for an extended period. During the transition, employees and (then) existing retirees were administratively classified into different categories. The benefit is structured differently for each of the categories. The categories are as follows: a. Category 1 - Employees who become eligible for the benefit after January 1, 2006. This may include new hires, rehires and part-time employees appointing to full-time status. b. Category 2 - Employees who were active and enrolled in the previous defined benefit as of December 31, 2005, eligible for the new defined contribution program as of January 1, 2006 and whose age plus years of service as of January 1, 2006 was less than 50. c. Category 3 - Employees who were active and enrolled in the previous defined benefit as of December 31, 2005, eligible for the new defined contribution program as of January 1, 2006 and whose age plus years of service as of January 1, 2006 was 50 or greater. 2. Eligibility All League members are eligible for the RHS benefit. However, if a member separates or changes positions to a bargaining unit which does not offer this 19 Newport Beach Employees League 2022-25 benefit, the member is no longer eligible for any contributions to the plan and their Account will be activated for use and withdrawal of funds by the employee (or former employee). This means if a unit member subsequently reappoints to a position which offers the RHS benefit, they will be enrolled in "Category 1" and must revest in the program. Any remaining balance deposited during prior eligibility will remain in the Account. Employees who become ineligible (no longer covered by a City employee association, union or plan offering the RHS benefit) before vesting forfeit the City's Part B contribution. Said employee will only receive Part A and Part C contributions. The only exception is an active employee who separates before vesting due to an approved industrial disability. In such case, the employee will receive exactly five 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 Account at the time of separation. 3. Account Contributions Account contributions are categorized as Part A, Part B and Part C. Part A contributions are a mandatory, automatic 1 % employee contribution deducted each pay period and deposited into the Account through payroll. Deductions begin the pay period in which the employee becomes eligible and are reported to CaIPERS as pensionable. Part B contributions require a five year vesting period which begins when the employee becomes eligible for the RHS benefit. At the conclusion of the vesting period, the City will credit the first five years' worth of Part B contributions into the Account (interest does not accrue during that period and the contributions are calculated at $2.50 per month for each year of the employee's full-time service plus age) and begin to contribute $2.50 per month for each year of the employee's full-time service plus age (e.g. 30 years old and five years of service would be a factor of 35. $2.50 x 35 = $87.50 per month). This factor is updated annually in the pay period including January 1. Part B contributions are not reported to CaIPERS as pensionable. 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) towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS medical plan, or any other plan with a similar employer 20 Newport Beach Employees League 2022-25 contribution requirement, the required employer contribution will be deducted from the employer's contribution to the retiree's account. Part C contributions are determined by League election and deposited into the Account when flex leave hours are converted to taxable cash through leave cash -out or at the time of separation or status change. Spillover pay does not qualify for Part C contributions. Part C contributions are not reported to CalPERS as pensionable. The Association determines the level of contribution for all unit members, subject to the following constraints. All employees within the Association must participate at the same level. The participation level shall be specified as a percentage of the flex leave balance available in each employee's leave bank at the time of separation from the City, or status change, or as a percentage of the flex leave balance being cashed out. For example, if the Association wishes to elect 30% Part C contributions, then each member leaving the City, or cashing out eligible leave at any other time, would have the cash equivalent of 30% of the amount that is cashed out deposited to their RHS Account on a pre-tax basis. The remaining 70% would be paid in cash as taxable income. Individual employees do not have the option to deviate from this breakout. The Association may change the Part C contribution amount as part of a meet and confer process. 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. The Association has decided to participate in Part C contributions at the level of zero percent (0%) flex leave. Nothing in this section restricts taking leave for time off purposes. Benefit a. Category 1: Employees in this category make Part A and receive Part B contributions (subject to vesting) automatically each pay period through payroll deductions. Part C contributions are received through cash outs. No contributions are made to Category 1 participants after separation. 21 Newport Beach Employees League 2022-25 b. Category 2: Employees in this category make Part A and receive Part B contributions (subject to vesting) automatically each pay period through payroll deductions. Part C contributions are received through cash outs. No contributions are made to Category 2 participants after separation. If a Category 2 participant retires from the City with a minimum of 5 consecutive years of full-time service, the City will contribute to the participant's Account a one-time contribution equal to $100 per month for every month the participant contributed to the previous "defined benefit" plan up to a maximum of 15 years (180 months). This contribution is deposited into the Account at the time of retirement, and only if the employee retires from the City and becomes a CalPERS annuitant of the City of Newport Beach. No interest will be earned in the interim. Category 2 participants with less than five years of continuous contributions into the prior defined benefit plan as of January 1, 2006: only the years of service after January 1, 2006 count towards Part B contributions upon vesting. Contributions in years before 2006 will be paid out as stated in the above paragraph. c. Category 3: Employees in this category make Part A contributions automatically each pay period through payroll deductions. Category 3 participants do not receive any Part 8 contributions. Part C contributions are received through cash outs. If an eligible Category 3 participant retires from the City of Newport Beach, the City will deposit $400 per month into the Account upon retirement, up to a maximum of $4, 800 per year, less the CalPERS minimum required employer contribution as determined by CaIPERS annually, which shall continue as long as the employee or surviving spouse/qualified dependent is still living. To offset this expense to the City, active Category 3 participants will contribute an additional $100 per month to the plan until retirement. There is no cash out option for these funds and they cannot be spent in advance of receipt. Category 3 participants also receive an additional one-time City contribution of $75 per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of 15 years (180 months). This contribution is deposited into the Account at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. Contributions are contingent upon remaining a CalPERS annuitant of the City. 22 Newport Beach Employees League 2022-25 5. 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. 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. Tuition Reimbursement NBEL members attending accredited community colleges, colleges, trade schools or universities, or recognized professional organizations or agencies, 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, seminars, or professional development programs. Maximum tuition reimbursement for employees shall be $1,500 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Human Resources Director or designee. G. Deferred Compensation Each employee shall have the right to enroll in the deferred compensation program set up by the City and subject to the rules of IRS Code section 457. For each employee who enrolls in the deferred compensation program, the City shall contribute to each employee's deferred compensation account as follows: Effective the first day of the pay period which includes January 1, 2020, the City shall contribute twenty five dollars ($25) per month to each enrolled employee's deferred compensation account if the employee contributes at least twenty five dollars ($25) per month towards his/her deferred compensation account. The City is only obligated to make the contribution to an employee's deferred compensation account if the employee has enrolled in the deferred compensation program. 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 year and will not owe the employee any additional compensation related to this section. 23 Newport Beach Employees League 2022-25 SECTION 5. Miscellaneous/Working Conditions 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 1. "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "Seniority" shall mean the time an employee has worked in a Classification or Series calculated from the date on which the employee was firstgranted regular status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to regular status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a 24 Newport Beach Employees League 2022-25 classification in which the employee previously held regular status. No employee shall have the right to bump into a classification forwhich the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Division within the Municipal Operations Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired- first fired" basis. The layoff system for the Utilities Division shall operate the same department -wide seniority as does the General Services Division, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a Tess senior employee in a lower ranking classification within a series. 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. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Employees who are laid off shall be placed on a Department re-employment list in reverse order of layoff. The re-employment list shall expire in 18 months. 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 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, first class postage prepaid, and addressed to the employee at his or her last known address. Any employee shall have the right to 25 Newport Beach Employees League 2022-25 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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 laidoff will be paid for all accumulated paid leave, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of any protected classification identified in the law. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and 2. The Department Director approves of the transfer. 26 Newport Beach Employees League 2022-25 D. Work Schedules Employees in the unit work either a 9/80 or 5/40 work schedule. Employees assigned to the 9/80 work schedule will have alternating Fridays off with the City determining which employees will work on each alternating Friday to ensure effective coverage of the work. The City agrees to maintain flex -scheduling where it is currently in place in this unit in the Municipal Operations Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the NBEL and the employees affected work group of the problem in writing, supported with cause. The NBEL and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the NBEL and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. 27 Newport Beach Employees League 2022-25 F. Discipline - Notice of Intent 1. Employees who are to be the subject of discipline equal to an unpaid suspension of three (3) days or greater shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity for a Skelly meeting before their Department Director prior to the imposition of the penalty. All other discipline resulting in less than a three (3) day suspension will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to a suspension of one or two days who wish to appeal the suspension shall have the right to appeal the decision to the City Manager or designee. Employees who have received a written reprimand, shall have the right to place comments on the document prior to placement in his/her personnel file as well as file a grievance as addressed in the grievance procedure. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by the NBEL. The Grievance Procedure is the sole and exclusive method by which an employee or the NBEL may challenge a provision of this MOU. A grievance shall be brought to the attention of the immediate supervisor for discussion within ten (10) business days after an employee or NBEL Board member knew, or in the exercise of reasonable diligence should have known, the act or events upon which the grievance is based. If the Employee or the NBEL (if filed by the NBEL) is not satisfied with the decision reached through the informal discussion or if extenuating circumstances exist, the Employee or NBEL shall have the right to file a formal grievance in accordance with Step 2 of this section. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) business days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the employee or the NBEL (if filed by the NBEL) is not in agreement with the decision rendered in Step 1, the grievant shall have the right to present a formal 28 Newport Beach Employees League 2022-25 grievance to the Department Director within ten (10) business days after the discussion in Step 1. The right to file a grievance petition shall be waived in the event the Employee or NBEL fails to file a formal grievance within ten (10) business days after the occurrence of the incident that forms the basis of the grievance. All formal grievances shall be submitted on the form prescribed by the Human Resources Director and no formal grievance shall be accepted until the form is complete. The formal grievance shall contain a clear, concise statement of the grievance, the facts upon which the grievance is based, the rule, regulation or policy the interpretation of which is involved in the grievance, and the specific remedy or remedies sought by the grievant. The Department Director should render a written decision within ten (10) business days after receipt of the formal grievance. Step 3: If the formal grievance has not been satisfactorily adjusted in Step 2, it may be appealed to the City Manager or designee within ten (10) business days after the Employee receives the decision. The City Manager or designee may accept or reject the decision of the Department Director and shall render a written decision within ten (10) business days after conducting a grievance hearing. The decision of the City Manager or designee shall be final and conclusive. If mutually agreeable, a meeting may be conducted involving all affected parties at any step in the grievance procedure prior to a decision. The City Manager or designee may delegate uninvolved Department Directors to act on behalf of the City Manager to provide findings and recommendations. The findings and recommendations of the uninvolved Department Directors are advisory only and the City Manager's or designee's decision shall be final. Time Limits: Grievances shall be processed from one step to the next within the time limit indicated for each step. Time limits shall be strictly enforced. Any time limits established can be waived or extended only by mutual agreement confirmed in writing. Any grievance not carried to the next step by the Employee or NBEL within the prescribed time limit shall be deemed resolved upon the basis of the previous decision. A grievance may also be filed and appealed to the 3rd step of the grievance procedure for performance evaluations and written reprimands. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. 29 Newport Beach Employees League 2022-25 Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the 30 Newport Beach Employees League 2022-25 vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Safety Shoes If the City determines that an employee in the bargaining unit is required to wear safety shoes, the employee shall be provided with a voucher (annually) which enables the employee to purchase safety shoes from the City's vendor for safety shoes. The City has identified certain safety shoe styles for which it will pay (as of 1 /1 /19 the maximum the City will pay is $172.80). If the cost of the particular safety shoe styles (for which the City will pay) increases, the amount the City will pay will increase (by the increased cost of those styles of shoes). If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he/she will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. L. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. PERS Reporting of Uniform Allowance - To the extent permitted by law, the City shall report to the California Public Employees' Retirement System (CaIPERS) the uniform allowance of $95 per year for classifications who receive a uniform as special compensation in accordance with Title 2, 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. 31 Newport Beach Employees League 2022-25 M. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. N. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs and any additional training required by law. O. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. Rest Periods Employees shall be allowed a rest period of fifteen (15) minutes during the first half of their shift and another rest period of fifteen (15) minutes during the second half of their shift. Rest periods should be taken as close to mid shift as is possible. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hour of the beginning or the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. Q. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. An employee is required to individually notify the awards committee of all of the service time. R. Direct Deposit All employees shall participate in the payroll direct deposit system. 32 Newport Beach Employees League 2022-25 S. Salary on Reclassification An employee who is reclassified will be provided with a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). T. Classification and Compensation Studies In accordance with the City of Newport Beach Employee Policy Manual (EPM), the City Manager shall reclassify positions upon a determination that there has been a material change in the normal duties regularly performed by, or expected of, the employee(s) occupying the position. The NBEL may submit up to one request for a job audit per fiscal year to the Human Resources Director. The Human Resources Director may terminate at any time the job audit upon a determination that there is no substantial evidence of a material change in duties. At the time of the request for a job audit, NBEL will provide the bases for the job audit request, including but not limited to, all substantial evidence of a material change in duties. The job audit should include a detailed analysis of the work performed by, or expected of, the employee(s) and a comparison of that work with the job specifications for the classification. The Human Resources Director shall submit a completed job audit, together with recommendations relative to reclassification to the Department Director, City Manager and NBEL. In the event a position is reclassified, the salary range and effective date shall comply with section 9.28 of the City's EPM. This provision shall terminate upon the expiration of this MOU. U. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect. Signatures are on the next page. 33 Newport Beach Employees League 2022-25 Executed this 2.5 day of JA p4. At2/ By: , 2022. NEWPORT BEACH EMPLOYEES LEAGUE raig (A+' ger, President CITY OF NEWP•'T BEACH Kevin Muldoon, ayor APPROVED AS TO FORM By: ATTEST: By: Leilani Brown, Ci Clerk Charles Sakai, Special Counsel 34 Newport Beach Employees League 2022-25 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 1.0% Cost of Living Adjustment Effective the pay period following January 1, 2022 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Concrete Finisher 75A 1 2 3 4 5 6 7 8 Electrical & Instrumentation Specialist 25C 1 2 3 4 5 6 7 8 Equipment Mechanic I 45 1 2 3 4 5 6 7 8 Equipment Mechanic II 80 1 2 3 4 5 6 7 8 Equipment Mechanic, Senior 25F 1 2 3 4 5 6 27.94 29.35 30.78 32.34 33.96 35.68 37.45 39.29 31.16 32.73 34.35 36.05 37.89 39.78 41.79 43.88 24.44 25.65 26.90 28.26 29.68 31.16 32.73 34.35 28.26 29.68 31.16 32.73 34.35 36.05 37.89 39.78 31.16 32.73 34.35 36.05 37.89 39.78 4,844 5,088 5,335 5,605 5,886 6,184 6,491 6,809 5,401 5,673 5,954 6,248 6,567 6,896 7,244 7,605 4,236 4,447 4,663 4,898 5,144 5,401 5,673 5,954 4,898 5,144 5,401 5,673 5,954 6,248 6,567 6,896 5,401 5,673 5,954 6,248 6,567 6,896 58,123 61,057 64,014 67,260 70,627 74,211 77,890 81,713 64,808 68,078 71,445 74,980 78,803 82,747 86,932 91,260 50,837 53,361 55,959 58,772 61,730 64,808 68,078 71,445 58,772 61,730 64,808 68,078 71,445 74,980 78,803 82,747 64,808 68,078 71,445 74,980 78,803 82,747 City of Newport Beach Employees LEAGUE 35 1% COLA 1/1/2022 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 1.0% Cost of Living Adjustment Effective the pay period following January 1, 2022 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Equipment Operator I 7 8 40 1 2 3 4 5 6 7 8 Equipment Operator II 65A 1 2 3 4 5 6 7 8 Facilities Maintenance Technician 75 1 2 3 4 5 6 7 8 Facilities Maintenance Worker II 25A 1 2 3 4 5 6 7 8 Groundsworker II 50 1 2 3 4 41.79 43.88 25.32 26.58 27.94 29.35 30.78 32.34 33.97 35.68 26.64 27.97 29.37 30.83 32.36 34.00 35.70 37.47 27.94 29.35 30.78 32.34 33.96 35.68 37.45 39.29 23.00 24.14 25.32 26.58 27.94 29.35 30.78 32.34 24.58 25.83 27.13 28.48 7,244 7,605 4,389 4,607 4,844 5,088 5,335 5,605 5,888 6,184 4,617 4,848 5,090 5,345 5,609 5,894 6,188 6,495 4,844 5,088 5,335 5,605 5,886 6,184 6,491 6,809 3,986 4,184 4,389 4,607 4,844 5,088 5,335 5,605 4,260 4,477 4,703 4,936 86,932 91,260 52,664 55,285 58,123 61,057 64,014 67,260 70,652 74,211 55,405 58,171 61,080 64,135 67,309 70,724 74,259 77,938 58,123 61,057 64,014 67,260 70,627 74,211 77,890 81,713 47,831 50,211 52,664 55,285 58,123 61,057 64,014 67,260 51,125 53,722 56,440 59,229 City of Newport Beach Employees LEAGUE 36 1% COLA 1/1/2022 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 1.0% Cost of Living Adjustment Effective the pay period following January 1, 2022 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Maintenance Worker I Maintenance Worker II Public Works Crew Chief Public Works Supervisor Senior Services Shuttle Driver 5 6 7 8 25H 1 2 3 4 5 6 7 8 39 1 2 3 4 5 6 7 8 25 1 2 3 4 5 6 7 8 65 1 2 3 4 5 6 7 8 10 1 2 29.90 31.38 33.00 34.63 23.00 24.14 25.32 26.58 27.94 29.35 30.78 32.34 24.14 25.32 26.58 27.94 29.35 30.78 32.34 33.97 31.16 32.73 34.35 36.05 37.89 39.78 41.79 43.88 36.09 37.89 39.80 41.78 43.86 46.03 48.34 50.77 22.15 23.23 5,182 $ 5,439 $ 5,719 $ 6,002 $ 3,986 $ 4,184 $ 4,389 $ 4,607 $ 4,844 $ 5,088 $ 5,335 $ 5,605 $ 4,184 $ 4,389 $ 4,607 $ 4,844 $ 5,088 $ 5,335 $ 5,605 $ 5,888 $ 5,401 $ 5,673 $ 5,954 $ 6,248 $ 6,567 $ 6,896 $ 7,244 $ 7,605 $ 6,255 $ 6,567 $ 6,898 $ 7,242 $ 7,602 $ 7,978 $ 8,379 $ 100,553 8,800 $ 105,597 3,840 $ 46,075 4,026 $ 48,312 62,187 65,265 68,631 72,022 47,831 50,211 52,664 55,285 58,123 61,057 64,014 67,260 50,211 52,664 55,285 58,123 61,057 64,014 67,260 70,652 64,808 68,078 71,445 74,980 78,803 82,747 86,932 91,260 75,061 78,804 82,775 86,906 91,219 95,738 City of Newport Beach Employees LEAGUE 37 1% COLA 1/1/2022 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 1.0% Cost of Living Adjustment Effective the pay period following January 1, 2022 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary 3 4 5 6 7 8 Utilities Coordinator, SCADA 03 1 2 3 4 5 6 7 8 Utilities Crew Chief 25G 1 2 3 4 5 6 7 8 Utilities Specialist 60 1 2 3 4 5 6 7 8 Utilities Specialist, Senior 01 1 2 3 4 5 6 7 8 24.44 25.65 26.91 28.26 29.68 31.18 33.41 35.09 36.85 38.66 40.64 42.65 44.80 47.03 31.16 32.73 34.35 36.05 37.89 39.78 41.79 43.88 25.83 27.13 28.48 29.90 31.38 33.00 34.61 36.35 27.76 29.16 30.61 32.14 33.76 35.45 37.22 39.07 4,236 4,447 4,665 4,898 5,144 5,405 5,791 6,082 6,387 6,701 7,044 7,393 7,765 8,152 5,401 5,673 5,954 6,248 6,567 6,896 7,244 7,605 4,477 4,703 4,936 5,182 5,439 5,719 6,000 6,300 4,811 5,054 5,306 5,571 5,852 6,144 6,451 6,771 50,837 53,361 55,983 58,772 61,730 64,856 69,497 72,984 76,639 80,415 84,527 88,711 93,184 97,825 64,808 68,078 71,445 74,980 78,803 82,747 86,932 91,260 53,722 56,440 59,229 62,187 65,265 68,631 71,998 75,605 57,738 60,647 63,678 66,852 70,219 73,730 77,409 81,256 City of Newport Beach Employees LEAGUE 38 1% COLA 1/1/2022 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 1.0% Cost of Living Adjustment Effective the pay period following January 1, 2022 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Utilities Supervisor Water Production Operator Water Production Supervisor Water Quality Coordinator 55 1 2 3 4 5 6 7 8 26 1 2 3 4 5 6 7 8 65B 1 2 3 4 5 6 7 8 55B 1 2 3 4 5 6 7 8 Hourly pay rates are rounded to the nearest hundredth. Monthly and Annual pay rates are rounded to nearest whole dollar. 36.05 37.89 39.78 41.78 43.88 46.05 48.33 50.77 32.73 34.35 36.05 37.89 39.78 41.78 43.88 46.05 37.89 39.78 41.78 43.88 46.05 48.33 50.77 53.31 36.05 37.89 39.78 41.78 43.88 46.05 48.33 50.77 6,248 6,567 6,896 7,242 7,605 7,982 8,377 8,799 5,673 5,954 6,248 6,567 6,896 7,242 7,605 7,982 6,567 6,896 7,242 7,605 7,982 8,377 8,799 9,240 6,248 6,567 6,896 7,242 7,605 7,982 8,377 8,799 74,980 78,803 82,747 86,907 91,260 95,781 100,519 105,593 68,078 71,445 74,980 78,803 82,747 86,907 91,260 95,781 78,803 82,747 86,907 91,260 95,781 100,519 105,593 110,883 74,980 78,803 82,747 86,907 91,260 95,781 100,519 105,593 City of Newport Beach Employees LEAGUE 39 1% COLA 1/1/2022 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2023 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Concrete Finisher 75A 1 2 3 4 5 6 7 8 Electrical & Instrumentation Specialist 25C 1 2 3 4 5 6 7 8 Equipment Mechanic I 45 1 2 3 4 5 6 7 8 Equipment Mechanic II 80 1 2 3 4 5 6 7 8 Equipment Mechanic, Senior 25F 1 2 3 4 5 6 28.50 29.94 31.39 32.98 34.63 36.39 38.20 40.07 31.78 33.38 35.04 36.77 38.64 40.58 42.63 44.75 24.93 26.17 27.44 28.82 30.27 31.78 33.38 35.04 28.82 30.27 31.78 33.38 35.04 36.77 38.64 40.58 31.78 33.38 35.04 36.77 38.64 40.58 4,940 5,190 5,441 5,717 6,003 6,308 6,621 6,946 5,509 5,787 6,073 6,373 6,698 7,034 7,389 7,757 4,321 4,536 4,756 4,996 5,247 5,509 5,787 6,073 4,996 5,247 5,509 5,787 6,073 6,373 6,698 7,034 5,509 5,787 6,073 6,373 6,698 7,034 59,285 62,278 65,295 68,606 72,040 75,695 79,447 83,347 66,104 69,440 72,874 76,480 80,379 84,402 88,670 93,085 51,853 54,428 57,078 59,947 62,964 66,104 69,440 72,874 59,947 62,964 66,104 69,440 72,874 76,480 80,379 84,402 66,104 69,440 72,874 76,480 80,379 84,402 City of Newport Beach Employees LEAGUE 40 2% COLA 1/1/2023 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2023 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Equipment Operator I 7 8 40 1 2 3 4 5 6 7 8 Equipment Operator II 65A 1 2 3 4 5 6 7 8 Facilities Maintenance Technician 75 1 2 3 4 5 6 7 8 Facilities Maintenance Worker II 25A 1 2 3 4 5 6 7 8 Groundsworker II 50 1 2 3 4 42.63 44.75 25.83 27.11 28.50 29.94 31.39 32.98 34.65 36.39 27.17 28.53 29.95 31.45 33.01 34.68 36.42 38.22 28.50 29.94 31.39 32.98 34.63 36.39 38.20 40.07 23.46 24.62 25.83 27.11 28.50 29.94 31.39 32.98 25.07 26.34 27.68 29.04 7,389 7,757 4,476 4,699 4,940 5,190 5,441 5,717 6,005 6,308 4,709 4,945 5,192 5,451 5,721 6,012 6,312 6,625 4,940 5,190 5,441 5,717 6,003 6,308 6,621 6,946 4,066 4,268 4,476 4,699 4,940 5,190 5,441 5,717 4,346 4,566 4,797 5,034 88,670 93,085 53,717 56,391 59,285 62,278 65,295 68,606 72,064 75,695 56,513 59,334 62,302 65,418 68,655 72,138 75,744 79,497 59,285 62,278 65,295 68,606 72,040 75,695 79,447 83,347 48,787 51,215 53,717 56,391 59,285 62,278 65,295 68,606 52,147 54,796 57,568 60,413 City of Newport Beach Employees LEAGUE 41 2% COLA 1/1/2023 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2023 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Maintenance Worker I Maintenance Worker II Public Works Crew Chief Public Works Supervisor Senior Services Shuttle Driver 5 6 7 8 25H 1 2 3 4 5 6 7 8 39 1 2 3 4 5 6 7 8 25 1 2 3 4 5 6 7 8 65 1 2 3 4 5 6 7 8 10 1 2 30.50 32.00 33.66 35.32 23.46 24.62 25.83 27.11 28.50 29.94 31.39 32.98 24.62 25.83 27.11 28.50 29.94 31.39 32.98 34.65 31.78 33.38 35.04 36.77 38.64 40.58 42.63 44.75 36.81 38.64 40.59 42.62 44.73 46.95 49.31 51.78 22.59 23.69 5,286 5,547 5,834 6,122 4,066 4,268 4,476 4,699 4,940 5,190 5,441 5,717 4,268 4,476 4,699 4,940 5,190 5,441 5,717 6,005 5,509 5,787 6,073 6,373 6,698 7,034 7,389 7,757 6,380 6,698 7,036 7,387 7,754 8,138 8,547 8,976 3,916 4,106 63,430 66,570 70,004 73,462 48,787 51,215 53,717 56,391 59,285 62,278 65,295 68,606 51,215 53,717 56,391 59,285 62,278 65,295 68,606 72,064 66,104 69,440 72,874 76,480 80,379 84,402 88,670 93,085 76,562 80,380 84,431 88,644 93,044 97,653 102,564 107,709 46,996 49,278 City of Newport Beach Employees LEAGUE 42 2% COLA 1/1/2023 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2023 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary 3 4 5 6 7 8 Utilities Coordinator, SCADA 03 1 2 3 4 5 6 7 8 Utilities Crew Chief 25G 1 2 3 4 5 6 7 8 Utilities Specialist 60 1 2 3 4 5 6 7 8 Utilities Specialist, Senior 01 1 2 3 4 5 6 7 8 24.93 26.17 27.45 28.82 30.27 31.80 34.08 35.79 37.58 39.43 41.45 43.50 45.70 47.97 31.78 33.38 35.04 36.77 38.64 40.58 42.63 44.75 26.34 27.68 29.04 30.50 32.00 33.66 35.31 37.08 28.31 29.74 31.23 32.78 34.43 36.16 37.96 39.85 4,321 4,536 4,759 4,996 5,247 5,513 5,907 6,204 6,514 6,835 7,185 7,540 7,921 8,315 5,509 5,787 6,073 6,373 6,698 7,034 7,389 7,757 4,566 4,797 5,034 5,286 5,547 5,834 6,120 6,426 4,908 5,155 5,413 5,682 5,969 6,267 6,580 6,907 51,853 54,428 57,102 59,947 62,964 66,153 70,887 74,444 78,172 82,023 86,218 90,485 95,048 99,782 66,104 69,440 72,874 76,480 80,379 84,402 88,670 93,085 54,796 57,568 60,413 63,430 66,570 70,004 73,438 77,118 58,893 61,860 64,951 68,189 71,623 75,204 78,957 82,881 City of Newport Beach Employees LEAGUE 43 2% COLA 1/1/2023 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2023 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Utilities Supervisor Water Production Operator Water Production Supervisor Water Quality Coordinator 55 1 2 3 4 5 6 7 8 26 1 2 3 4 5 6 7 8 65B 1 2 3 4 5 6 7 8 55B 1 2 3 4 5 6 7 8 Hourly pay rates are rounded to the nearest hundredth. Monthly and Annual pay rates are rounded to nearest whole dollar. 36.77 38.64 40.58 42.62 44.75 46.97 49.29 51.78 33.38 35.04 36.77 38.64 40.58 42.62 44.75 46.97 38.64 40.58 42.62 44.75 46.97 49.29 51.78 54.38 36.77 38.64 40.58 42.62 44.75 46.97 49.29 51.78 6,373 6,698 7,034 7,387 7,757 8,141 8,544 8,975 5,787 6,073 6,373 6,698 7,034 7,387 7,757 8,141 6,698 7,034 7,387 7,757 8,141 8,544 8,975 9,425 6,373 6,698 7,034 7,387 7,757 8,141 8,544 8,975 76,480 80,379 84,402 88,645 93,085 97,697 102,529 107,704 69,440 72,874 76,480 80,379 84,402 88,645 93,085 97,697 80,379 84,402 88,645 93,085 97,697 102,529 107,704 113,101 76,480 80,379 84,402 88,645 93,085 97,697 102,529 107,704 City of Newport Beach Employees LEAGUE 44 2% COLA 1/1/2023 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2024 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Concrete Finisher 75A 1 2 3 4 5 6 7 8 Electrical & Instrumentation Specialist 25C 1 2 3 4 5 6 7 8 Equipment Mechanic I 45 1 2 3 4 5 6 7 8 Equipment Mechanic II 80 1 2 3 4 5 6 7 8 Equipment Mechanic, Senior 25F 1 2 3 4 5 6 29.07 30.54 32.02 33.64 35.33 37.12 38.96 40.87 32.42 34.05 35.74 37.50 39.42 41.39 43.48 45.65 25.43 26.69 27.99 29.40 30.88 32.42 34.05 35.74 29.40 30.88 32.42 34.05 35.74 37.50 39.42 41.39 32.42 34.05 35.74 37.50 39.42 41.39 5,039 5,294 5,550 5,831 6,123 6,434 6,753 7,085 5,619 5,902 6,194 6,501 6,832 7,174 7,537 7,912 4,408 4,626 4,852 5,096 5,352 5,619 5,902 6,194 5,096 5,352 5,619 5,902 6,194 6,501 6,832 7,174 5,619 5,902 6,194 6,501 6,832 7,174 60,471 63,523 66,600 69,978 73,481 77,209 81,036 85,014 67,426 70,829 74,332 78,010 81,987 86,090 90,444 94,947 52,890 55,517 58,219 61,146 64,224 67,426 70,829 74,332 61,146 64,224 67,426 70,829 74,332 78,010 81,987 86,090 67,426 70,829 74,332 78,010 81,987 86,090 City of Newport Beach Employees LEAGUE 45 2% COLA 1/1/2024 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2024 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Equipment Operator I 7 8 40 1 2 3 4 5 6 7 8 Equipment Operator II 65A 1 2 3 4 5 6 7 8 Facilities Maintenance Technician 75 1 2 3 4 5 6 7 8 Facilities Maintenance Worker II 25A 1 2 3 4 5 6 7 8 Groundsworker II 50 1 2 3 4 43.48 45.65 26.34 27.65 29.07 30.54 32.02 33.64 35.34 37.12 27.71 29.10 30.55 32.08 33.67 35.38 37.14 38.98 29.07 30.54 32.02 33.64 35.33 37.12 38.96 40.87 23.92 25.12 26.34 27.65 29.07 30.54 32.02 33.64 25.57 26.87 28.23 29.63 7,537 7,912 4,566 4,793 5,039 5,294 5,550 5,831 6,125 6,434 4,804 5,043 5,296 5,560 5,836 6,132 6,438 6,757 5,039 5,294 5,550 5,831 6,123 6,434 6,753 7,085 4,147 4,353 4,566 4,793 5,039 5,294 5,550 5,831 4,433 4,658 4,893 5,135 90,444 94,947 54,792 57,519 60,471 63,523 66,600 69,978 73,506 77,209 57,644 60,521 63,548 66,726 70,028 73,581 77,259 81,087 60,471 63,523 66,600 69,978 73,481 77,209 81,036 85,014 49,763 52,240 54,792 57,519 60,471 63,523 66,600 69,978 53,190 55,892 58,720 61,622 City of Newport Beach Employees LEAGUE 46 2% COLA 1/1/2024 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2024 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Maintenance Worker I Maintenance Worker II Public Works Crew Chief Public Works Supervisor Senior Services Shuttle Driver 5 6 7 8 25H 1 2 3 4 5 6 7 8 39 1 2 3 4 5 6 7 8 25 1 2 3 4 5 6 7 8 65 1 2 3 4 5 6 7 8 10 1 2 31.11 32.64 34.33 36.02 23.92 25.12 26.34 27.65 29.07 30.54 32.02 33.64 25.12 26.34 27.65 29.07 30.54 32.02 33.64 35.34 32.42 34.05 35.74 37.50 39.42 41.39 43.48 45.65 37.55 39.42 41.40 43.47 45.63 47.89 50.30 52.82 23.05 24.17 5,392 5,658 5,950 6,244 4,147 4,353 4,566 4,793 5,039 5,294 5,550 5,831 4,353 4,566 4,793 5,039 5,294 5,550 5,831 6,125 5,619 5,902 6,194 6,501 6,832 7,174 7,537 7,912 6,508 6,832 7,177 7,535 7,909 8,300 8,718 9,155 3,995 4,189 64,699 67,901 71,404 74,932 49,763 52,240 54,792 57,519 60,471 63,523 66,600 69,978 52,240 54,792 57,519 60,471 63,523 66,600 69,978 73,506 67,426 70,829 74,332 78,010 81,987 86,090 90,444 94,947 78,094 81,988 86,119 90,417 94,905 99,606 104,616 109,863 47,936 50,263 City of Newport Beach Employees LEAGUE 47 2% COLA 1/1/2024 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2024 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary 3 4 5 6 7 8 Utilities Coordinator, SCADA 03 1 2 3 4 5 6 7 8 Utilities Crew Chief 25G 1 2 3 4 5 6 7 8 Utilities Specialist 60 1 2 3 4 5 6 7 8 Utilities Specialist, Senior 01 1 2 3 4 5 6 7 8 25.43 26.69 28.00 29.40 30.88 32.44 34.76 36.51 38.33 40.22 42.28 44.37 46.61 48.93 32.42 34.05 35.74 37.50 39.42 41.39 43.48 45.65 26.87 28.23 29.63 31.11 32.64 34.33 36.01 37.82 28.88 30.34 31.85 33.44 35.12 36.88 38.72 40.64 4,408 4,626 4,854 5,096 5,352 5,623 6,025 6,328 6,645 6,972 7,329 7,691 8,079 8,481 5,619 5,902 6,194 6,501 6,832 7,174 7,537 7,912 4,658 4,893 5,135 5,392 5,658 5,950 6,242 6,555 5,006 5,258 5,521 5,796 6,088 6,392 6,711 7,045 52,890 55,517 58,244 61,146 64,224 67,476 72,305 75,933 79,736 83,663 87,942 92,295 96,949 101,777 67,426 70,829 74,332 78,010 81,987 86,090 90,444 94,947 55,892 58,720 61,622 64,699 67,901 71,404 74,907 78,660 60,070 63,097 66,250 69,553 73,056 76,708 80,536 84,539 City of Newport Beach Employees LEAGUE 48 2% COLA 1/1/2024 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2024 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Utilities Supervisor Water Production Operator Water Production Supervisor Water Quality Coordinator 55 1 2 3 4 5 6 7 8 26 1 2 3 4 5 6 7 8 65B 1 2 3 4 5 6 7 8 55B 1 2 3 4 5 6 7 8 Hourly pay rates are rounded to the nearest hundredth. Monthly and Annual pay rates are rounded to nearest whole dollar. 37.50 39.42 41.39 43.47 45.65 47.91 50.28 52.82 34.05 35.74 37.50 39.42 41.39 43.47 45.65 47.91 39.42 41.39 43.47 45.65 47.91 50.28 52.82 55.46 37.50 39.42 41.39 43.47 45.65 47.91 50.28 52.82 6,501 6,832 7,174 7,535 7,912 8,304 8,715 9,155 5,902 6,194 6,501 6,832 7,174 7,535 7,912 8,304 6,832 7,174 7,535 7,912 8,304 8,715 9,155 9,614 6,501 6,832 7,174 7,535 7,912 8,304 8,715 9,155 78,010 81,987 86,090 90,418 94,947 99,651 104,580 109,858 70,829 74,332 78,010 81,987 86,090 90,418 94,947 99,651 81,987 86,090 90,418 94,947 99,651 104,580 109,858 115,363 78,010 81,987 86,090 90,418 94,947 99,651 104,580 109,858 City of Newport Beach Employees LEAGUE 49 2% COLA 1/1/2024 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2025 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Concrete Finisher 75A 1 2 3 4 5 6 7 8 Electrical & Instrumentation Specialist 25C 1 2 3 4 5 6 7 8 Equipment Mechanic I 45 1 2 3 4 5 6 7 8 Equipment Mechanic II 80 1 2 3 4 5 6 7 8 Equipment Mechanic, Senior 25F 1 2 3 4 5 6 29.65 31.15 32.66 34.32 36.03 37.86 39.74 41.69 33.06 34.73 36.45 38.25 40.21 42.22 44.35 46.56 25.94 27.22 28.55 29.99 31.49 33.06 34.73 36.45 29.99 31.49 33.06 34.73 36.45 38.25 40.21 42.22 33.06 34.73 36.45 38.25 40.21 42.22 5,140 5,399 5,661 5,948 6,246 6,563 6,888 7,226 5,731 6,020 6,318 6,631 6,969 7,318 7,688 8,071 4,496 4,719 4,949 5,197 5,459 5,731 6,020 6,318 5,197 5,459 5,731 6,020 6,318 6,631 6,969 7,318 5,731 6,020 6,318 6,631 6,969 7,318 61,681 64,794 67,932 71,378 74,950 78,753 82,657 86,715 68,775 72,245 75,818 79,570 83,627 87,812 92,253 96,846 53,948 56,627 59,384 62,369 65,508 68,775 72,245 75,818 62,369 65,508 68,775 72,245 75,818 79,570 83,627 87,812 68,775 72,245 75,818 79,570 83,627 87,812 City of Newport Beach LEAGUE 50 2% COLA 1/1/2025 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2025 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Equipment Operator I 7 8 40 1 2 3 4 5 6 7 8 Equipment Operator II 65A 1 2 3 4 5 6 7 8 Facilities Maintenance Technician 75 1 2 3 4 5 6 7 8 Facilities Maintenance Worker II 25A 1 2 3 4 5 6 7 8 Groundsworker II 50 1 2 3 4 44.35 46.56 26.87 28.21 29.65 31.15 32.66 34.32 36.05 37.86 28.27 29.68 31.16 32.72 34.34 36.08 37.89 39.76 29.65 31.15 32.66 34.32 36.03 37.86 39.74 41.69 24.40 25.62 26.87 28.21 29.65 31.15 32.66 34.32 26.08 27.41 28.80 30.22 7,688 8,071 4,657 4,889 5,140 5,399 5,661 5,948 6,248 6,563 4,900 5,144 5,402 5,672 5,952 6,254 6,567 6,892 5,140 5,399 5,661 5,948 6,246 6,563 6,888 7,226 4,230 4,440 4,657 4,889 5,140 5,399 5,661 5,948 4,521 4,751 4,991 5,238 92,253 96,846 55,887 58,669 61,681 64,794 67,932 71,378 74,976 78,753 58,796 61,731 64,819 68,060 71,429 75,052 78,804 82,709 61,681 64,794 67,932 71,378 74,950 78,753 82,657 86,715 50,758 53,285 55,887 58,669 61,681 64,794 67,932 71,378 54,254 57,010 59,894 62,854 City of Newport Beach LEAGUE 51 2% COLA 1/1/2025 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2025 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Maintenance Worker I Maintenance Worker II Public Works Crew Chief Public Works Supervisor Senior Services Shuttle Driver 5 6 7 8 25H 1 2 3 4 5 6 7 8 39 1 2 3 4 5 6 7 8 25 1 2 3 4 5 6 7 8 65 1 2 3 4 5 6 7 8 10 1 2 31.73 33.30 35.02 36.75 24.40 25.62 26.87 28.21 29.65 31.15 32.66 34.32 25.62 26.87 28.21 29.65 31.15 32.66 34.32 36.05 33.06 34.73 36.45 38.25 40.21 42.22 44.35 46.56 38.30 40.21 42.23 44.34 46.54 48.85 51.30 53.88 23.51 24.65 5,499 5,772 6,069 6,369 4,230 4,440 4,657 4,889 5,140 5,399 5,661 5,948 4,440 4,657 4,889 5,140 5,399 5,661 5,948 6,248 5,731 6,020 6,318 6,631 6,969 7,318 7,688 8,071 6,638 6,969 7,320 7,685 8,067 8,466 8,892 9,338 4,075 4,272 65,993 69,259 72,832 76,430 50,758 53,285 55,887 58,669 61,681 64,794 67,932 71,378 53,285 55,887 58,669 61,681 64,794 67,932 71,378 74,976 68,775 72,245 75,818 79,570 83,627 87,812 92,253 96,846 79,656 83,627 87,842 92,225 96,803 101,598 106,708 112,061 48,895 51,268 City of Newport Beach LEAGUE 52 2% COLA 1/1/2025 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2025 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary 3 4 5 6 7 8 Utilities Coordinator, SCADA 03 1 2 3 4 5 6 7 8 Utilities Crew Chief 25G 1 2 3 4 5 6 7 8 Utilities Specialist 60 1 2 3 4 5 6 7 8 Utilities Specialist, Senior 01 1 2 3 4 5 6 7 8 25.94 27.22 28.56 29.99 31.49 33.09 35.46 37.24 39.10 41.03 43.13 45.26 47.54 49.91 33.06 34.73 36.45 38.25 40.21 42.22 44.35 46.56 27.41 28.80 30.22 31.73 33.30 35.02 36.73 38.57 29.46 30.94 32.49 34.11 35.83 37.62 39.49 41.46 4,496 4,719 4,951 5,197 5,459 5,735 6,146 6,454 6,778 7,111 7,475 7,845 8,241 8,651 5,731 6,020 6,318 6,631 6,969 7,318 7,688 8,071 4,751 4,991 5,238 5,499 5,772 6,069 6,367 6,686 5,106 5,363 5,631 5,912 6,210 6,520 6,846 7,186 53,948 56,627 59,409 62,369 65,508 68,826 73,751 77,451 81,330 85,337 89,701 94,141 98,888 103,813 68,775 72,245 75,818 79,570 83,627 87,812 92,253 96,846 57,010 59,894 62,854 65,993 69,259 72,832 76,405 80,233 61,272 64,359 67,575 70,944 74,517 78,242 82,146 86,230 City of Newport Beach LEAGUE 53 2% COLA 1/1/2025 Exhibit A NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2022 - December 31, 2025 2.0% Cost of Living Adjustment Effective the pay period following January 1, 2025 Represented Positions Grade Step Hourly Rate Monthly Rate Annual Salary Utilities Supervisor Water Production Operator Water Production Supervisor Water Quality Coordinator 55 1 2 3 4 5 6 7 8 26 1 2 3 4 5 6 7 8 65B 1 2 3 4 5 6 7 8 55B 1 2 3 4 5 6 7 8 Hourly pay rates are rounded to the nearest hundredth. Monthly and Annual pay rates are rounded to nearest whole dollar. 38.25 40.21 42.22 44.34 46.56 48.87 51.28 53.87 34.73 36.45 38.25 40.21 42.22 44.34 46.56 48.87 40.21 42.22 44.34 46.56 48.87 51.28 53.87 56.57 38.25 40.21 42.22 44.34 46.56 48.87 51.28 53.87 6,631 6,969 7,318 7,686 8,071 8,470 8,889 9,338 6,020 6,318 6,631 6,969 7,318 7,686 8,071 8,470 6,969 7,318 7,686 8,071 8,470 8,889 9,338 9,806 6,631 6,969 7,318 7,686 8,071 8,470 8,889 9,338 79,570 83,627 87,812 92,227 96,846 101,644 106,671 112,055 72,245 75,818 79,570 83,627 87,812 92,227 96,846 101,644 83,627 87,812 92,227 96,846 101,644 106,671 112,055 117,670 79,570 83,627 87,812 92,227 96,846 101,644 106,671 112,055 City of Newport Beach LEAGUE 54 2% COLA 1/1/2025 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE Term: January 1, 2019 through December 31, 2021 TABLE OF CONTENTS Page PREAMBLE 1 SECTION 1 - GENERAL PROVISIONS Recognition 1 Term 2 Release Time... 2 Scope 2 Conclusiveness 3 Modifications 4 NBEL Dues 4 SECTION 2 - COMPENSATION Salary 4 Overtime 5 Standby Duty 6 Call -Back Duty 6 Accumulation of Compensatory Time Off 6 Night Shift Differential 7 Acting Pay 7 Certification Pay 7 Court Time 9 SECTION 3 - LEAVES Flex Leave 9 Vacation Leave 10 Sick Leave 11 Holiday Leave 12 Bereavement Leave 13 Leave Sellback 13 SECTION 4 - FRINGE BENEFITS Health Insurance 14 Additional Health Insurance/Programs 15 Employee Assistance Program 16 PERS Retirement Benefit 16 Retiree Medical Benefit 18 Tuition Reimbursement 22 Deferred Compensation 22 SECTION 5 — MISCELLANEOUS/WORKING CONDITIONS Reduction in Force/Layoffs 22 Non -Discrimination 25 Promotional Preference 25 Work Schedules 26 Labor Management Committee 26 Discipline — Notice of Intent...., 27 Grievance Procedure 27 Probationary Period 28 Failure of Probation 29 Accident Reporting 29 Safety Shoes 30 Uniforms 30 Voluntary Training Program 31 In -Service Supervisory and Safety Training 31 Clean -Up Time 31 Rest Periods 31 Service Awards 31 Direct Deposit 31 Salary on Reclassification 32 Separability 32 EXHIBIT A — Represented Classifications and Pay Rates 34 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1 The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), a recognized employee organization, affiliated with the Orange County Employees Association ("OCEA"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from January 1, 2019 through December 31, 2021 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. 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, City hereby confirms its prior certification of NBEL as the recognized employee organization for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in those classifications specified in Exhibit "A", or as appropriately modified in accordance with the Employer/Employee Resolution. All other classifications and positions not specifically included within Exhibit "A" are excluded from representation by the NBEL. B. Term 1. 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 January 1, 2019. This MOU shall remain in full force and effect until December 31, 2021, 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. 2. The provisions 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. C. Release Time 1. Four NBEL officers designated by the NBEL shall collectively be granted an annual maximum of 150 hours paid release time, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. 4. Each January, the City will examine the number of Release Time hours the NBEL used the preceding year. If the NBEL used in excess of 75% of the hours normally granted (150), the NBEL will be granted an additional 30 hours for that year. D. Scope 1. 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. 2 Newport Beach Employees League 2019-21 2. 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. 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 the Employer -Employee Relations Resolution No. 2001-50. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (i) 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 With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the term 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 within the scope of representation except as expressly 3 Newport Beach Employees League 2019-21 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. As provided in the Employer -Employee Relations Resolution No. 2001-50, the City shall determine the manner in which City services are to be provided, including whether the City should provide services directly or contract out work, including work that is currently being performed by NBEL members. In the event the City introduces a plan to outsource services currently being performed by NBEL members to achieve greater efficiency and/or cost savings, and upon request by the NBEL, the City shall meet and confer with NBEL representatives to discuss the impacts of the City's decision to contract out work. The City shall retain sole authority to decide whether or not to contract out work, including work that is currently being performed by NBEL members. This provision shall not limit the City's authority to enter into such an agreement for any City services. F. Modifications Any agreement, understanding, 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. NBEL Dues 1. The collection of NBEL dues shall be handled through the payroll deduction process. 2. NBEL agrees to defend, indemnify and hold harmless the City for its collection of NBEL dues. SECTION 2. — Compensation A. Salary Base salary increases for all NBEL represented classifications shall be as follows and as specified in Exhibit A: Effective the pay period that includes January 1, 2019, base salaries will be increased by one and nine tenths percent (1.90%). Effective the pay period that includes January 1, 2020, base salaries will be increased by one and nine tenths percent (1.90%). Effective the pay period that includes January 1, 2021, base salaries will be increased by one and ninety-two one hundredths percent (1.92%). 4 Newport Beach Employees League 2019-21 B. Overtime 1. Advanced Approval - Employees must have advanced approval from their supervisor to work overtime. 2. FLSA Overtime - Overtime earned for actual work hours in excess of 40 in the employee's defined FLSA workweek. 3. Contract Overtime - Overtime earned for an employee whose hours paid in their defined FLSA workweek exceeds 40. For purposes of calculating hours paid for contract overtime, holidays and pre -scheduled vacation or Flex leave occurring during the work week count as time worked. The use of sick leave, floating holiday hours or flex leave that is not pre -scheduled and approved in writing in advance do not count as hours worked for purposes of calculating hours paid for determining eligibility for contract overtime. 4. Rate at Which Overtime is Calculated - Both FLSA and Contract Overtime (paid at time and one half — 1.5) shall be calculated at the regular rate of pay, except that the rate at which Contract 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 by choosing benefits which cost less than the Allowance. 5. Workweek for Purposes of Calculating Overtime - For employees who work the 9/80 work schedule, their defined FLSA workweek shall begin exactly four hours after the start time of their shift on their alternating regular day off (i.e., their eight -hour day) and end exactly 168 hours later. For employees who work a 5/40 work schedule, their workweek shall begin on Saturday at 12:01 a.m. and will end exactly 168 hours later the following Saturday at 12:00 a.m. 6. Work Schedule - Regardless of the type of work schedule an employee is assigned (e.g., 5/40 and 9/80), full time employees are regularly scheduled to work forty (40) hours in their defined FLSA workweek. 7 Reporting Time - The City calculates overtime in tenths of an hour. An employee who works in excess of three minutes of the next tenth should round up to the next tenth and if the employee works three minutes or less of the next tenth should round down. For example, if an employee whose normal work schedule ends at 5:00 p.m. works until 5:03 p.m. he/she should round down and not report the additional three minutes. However, if the employee works until 5.04 p.m., he/she should report an additional tenth of an hour of time worked. 5 Newport Beach Employees League 2019-21 C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation Standby duty compensation for all unit employees shall be eight dollars ($8.00) per hour. Standby pay will not be piggybacked with any other paid time, such as call-back, scheduled or unscheduled overtime, or if working a scheduled shift. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All employees on call-back duty shall receive a minimum of two (2) hours pay. If an employee works more than two (2) hours, he/she shall receive pay for actual hours worked. E. Accumulation of Compensatory Time Off Unit members may receive compensatory time off (CTO), in lieu of cash, as compensation for overtime hours worked at the rate of one and one half hours for each hour of overtime worked. An employee may only accrue CTO if requested and then approved by the employee's supervisor. Call-back time may be converted to CTO with supervisor approval. 6 Newport Beach Employees League 2019-21 Employees may accumulate up to eighty (80) hours of CTO. If an employee has eighty (80) hours of accrued CTO, he/she will not be able to accrue additional CTO until he/she uses CTO to reduce his/her balance below eighty (80) hours. F. Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5 p.m. and 5 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. The parties agree that to the extent permitted by law, the shift differential pay in this section is special compensation and shall be reported to Ca1PERS as such pursuant to Title 2 CCR, Section 571(a)(4) Shift Differential Pay. G. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours' requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41 st hour worked in the higher classification. The parties agree that to the extent permitted by law, acting pay is special compensation and shall be reported to Ca1PERS as such pursuant to Title 2 CCR, Section 571(a)(3) Temporary Upgrade Pay. H. Certification Pay Payment for certifications will be made on a bi-weekly basis for unit members holding a valid and current certification in areas indicated below. Employees may submit proof of valid certificates, including renewals, upon completion. The bi-weekly payment for such eligible certificates will begin the first pay period following department approval. All amounts listed below reflect the annual benefit for the specified certificate: 7 Newport Beach Employees League 2019-21 1 Water or Wastewater Operator Grade I $110 Grade II $350 Grade III $450 Grade IV $650 Grade V $800 These pays do not stack. Employees receive the one pay from the list above for the Grade they have achieved. 2. Backflow Certification - $220 3. Qualified Applicator Certificate - $110 for each category, up to a maximum of $330 4. Fire Mechanic State Level I - $110 5. Fire Mechanic State Level II - $220 6. Fire Mechanic III - $400 7. Certified Arborist - $110 8. ASE Certification - $55 each and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Driver's License, Class A - $220 10.Commercial Driver's License, Class B - $165 11. Public Works Certificate (18-20 Jr. College units) or Maintenance Superintendents Association (MSA) Certificate - $300 12.Water Utility Science Certificate - $300 13. Cross Connection Specialist - $110 14.Crane Certification - $110 15. Forklift Trainer - $300 (2 employees, max) The maximum certificate pay benefit for unit members shall be $5, 000 annually. 8 Newport Beach Employees League 2019-21 The City will reimburse employees for: 1) application, testing, and certification fees for successfully completing certification examinations for the above listed certificates, and 2) required physicals when employees obtain/renew required Class A or B Drivers Licenses. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. SECTION 3. - Leaves A. Flex Leave 1. Unit members shall accrue Flex leave at the following rates: Years of Continuous Hrs Accrued per Annual Max Balance Service Pay Period hours hours Less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 6.00 6.61 7.23 8.15 8.77 9.38 10.00 156.00 468.00 171.86 515.58 187.98 563.94 211.90 635.70 228.02 684.06 243.88 731.64 260.00 780.00 Members shall accrue three (3) months (i.e., 39 hours) of Flex leave (as provided in the chart above) upon completion of three (3) months of continuous employment with the City of Newport Beach, provided however, this amount shall be reduced by any Flex leave time advanced during the first three (3) months of employment. 2. Limit on Accumulation Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned Flex leave in excess of the maximum permitted accrual at the member's hourly rate of pay provided that they have utilized at least eighty (80) hours of Flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. 9 Newport Beach Employees League 2019-21 Employees 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. 3. Method of Use The Department Director shall approve all requests for Flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to Vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Accrual per pay period Service (Hours) Less than 5 3.38 5 but less than 9 3.99 9 but less than 12 4.61 12 but less than 16 5.22 16 but less than 20 5.84 20 but less than 25 6.46 25 and over 7.07 2. Limit on Accumulation Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation 10 Newport Beach Employees League 2019-21 leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week - 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use (a) General An employee may use sick leave for an entire day or partial day if needed. If used for a partial day, employees should report its use to the nearest tenth of an hour. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and as defined in the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of Sick Leave equal to or greater than the full value of 50 months of accrued Sick Leave, and who have used six or less days of Sick Leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of Sick Leave to paid vacation at the value of 50% (maximum value of 3 days per year). 11 Newport Beach Employees League 2019-21 D. Holiday Leave 1. The following days shall be observed as paid holidays (i.e., employees shall have the day off with pay) by all unit members. For each holiday, except the Floating Holiday (where the employee chooses the day off), if an employee is required to work on the holiday, they will receive their pay for the holiday and in addition either pay or Flex Leave for the number of hours worked on the holiday. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas Day New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st - 1 day* *The floating holiday (eight (8) hours of holiday leave) is awarded on July 1. The hours are added to employees' Flex Leave account. Holidays will be paid based on the employee's regular work day schedule. For example, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 9 hours, the employee is entitled to receive 9 hours of Holiday pay. However, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 8 hours, the employee is entitled to receive 8 hours of holiday pay. Employees will receive 8 hours of Holiday Pay annually for the Floating Holiday. Holidays listed above (except the Floating Holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility Following are the limitations on eligibility for Holiday pay: (a) Holiday pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized 12 Newport Beach Employees League 2019-21 paid leave (e.g. approved vacation or sick leave that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave Bereavement leave shall be defined as "the necessary absence from duty by an employee because of the death or terminal illness in his/her immediate family." Unit members shall be entitled to forty (40) hours of bereavement leave per calendar year per incident (terminal illness followed by death is considered one incident). Bereavement leave shall be administered in accordance with the provisions of the Employee Policy Manual. Leave hours need not be used consecutively, but should occur in proximate time to the occurrence. For the purposes of this section, immediate family shall mean an employee's father, mother, stepfather, stepmother, brother, sister, spouse/domestic partner, child, stepchild, grandparents and the employee's spouse's/domestic partner's father, mother, brother, sister, child and grandparents. The provisions of this Section shall not diminish or reduce any rights a member may have pursuant to applicable provisions of State or Federal law. An employee requesting bereavement leave shall notify his/her supervisor as soon as possible of the need to take leave. F. Leave Sellback During calendar year 2019, employees shall have the option (on two occasions) of selling back on an hour for hour basis, accrued Flex or Vacation leave. In no event shall the Flex or Vacation leave balance be reduced below one hundred and sixty (160) hours. Hours sold back will be subject to the Retiree Health Savings Plan Part C contributions, per Section 4 (E), Retiree Medical. For the term of this MOU the Association has elected Part C contributions for Flex/Vacation at 0%. Effective in calendar year 2020 and thereafter, 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 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 all 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. 13 Newport Beach Employees League 2019-21 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 and up to three City representatives. The Benefits Information Committee 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 association with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. In addition to the contribution amounts listed below, the City shall contribute the minimum CalPERS participating employer's contribution towards medical insurance for employees enrolled in a CaIPERS medical plan, per Government Code Section 22892. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. 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. The City will contribute the PERS minimum contribution amount and $1, 725 per month towards the Cafeteria Plan. NBEL members who do not 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. Employees electing to opt out of medical coverage 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 per month. 14 Newport Beach Employees League 2019-21 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. 5. Healthcare Reform The parties recognize that certain State and Federal laws, programs and regulations, including the Affordable Care Act, may impact future medical plan offerings. Either party may request to reopen Section 4,A,(2) regarding medical insurance for the purpose of discussing alternative approaches and proposals to providing healthcare coverage. In addition, should State or Federal laws concerning taxation of healthcare benefits change, the parties agree to meet and discuss the impact of such change. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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. An NBEL member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month Minimum Benefit $15 (STD) and $100 (LTD) Waiting Period 30 Calendar Days (STD) 180 Calendar Days (LTD) 15 Newport Beach Employees League 2019-21 Employees shall pay one percent (1%) 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. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. NBEL members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. Retirement Formula The City contracts with 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: Tier 1: For employees hired by the City on or before November 23, 2012, the retirement formula shall be the 2.5%@55 calculated on the basis of the single highest year. Tier 2: For employees first hired by the City between November 24 and December 31, 2012, or hired on or after January 1, 2013 and are current Classic members of the retirement system, as defined in the Public Employees' Pension Reform Act ("PEPRA"), the retirement formula shall be 2%@60 calculated on the average 36 highest month's salary. Tier 3: For employees first hired by the City on or after January 1, 2013, and who do not meet the Tier 2 criteria because they are new members as defined by the PEPRA, the retirement formula shall be 2.0%@62 calculated on the average 36 highest month's salary. 16 Newport Beach Employees League 2019-21 2. Employee Contributions The NBEL has agreed to share in the rising cost of pension obligations. Under the terms of this MOU, unit members will contribute additional amounts toward the PERS retirement benefit, to the extent permissible by law. Should any provision be deemed invalid, the City and NBEL agree to meet for the purpose of renegotiating employee retirement contributions. Employees in each Tier contribute 13% of pensionable pay toward the retirement benefit. Employee retirement contributions that are in addition to the normal PERS Member Contribution (of 7% or 8%) shall be calculated on base pay, special pays, and other pays normally reported as "PERSable" compensation, and will be made on a pre-tax basis through payroll deduction, to the extent allowable by law. It is recognized that these payments will not be reported to PERS as contributions toward either the Member or Employer rate, as provided under GC Section 20516(f). Tier 1: Tier I Employees shall pay their eight percent (8%) (compensation earnable) member contribution, 2.42% compensation earnable (as cost sharing) per Government Code section 20516(a) and 2.58% compensation earnable (as cost sharing) per Government Code section 20516(f). Tiers 2: Tier 2 employees shall pay their seven percent (7%) (compensation earnable) member contribution and six percent (6%) of compensation earnable as cost sharing per Government Code section 20516(f). Tier 3 The minimum statutory employee contribution for employees in Tier 3 is subject to the provisions of the (PEPRA) and equals 50% of the "total normal cost". Tier 3 employees shall make an additional contribution of pensionable compensation toward retirement pursuant to Government Code Section 20516(f), for a total employee contribution of 13% of pensionable compensation. The City contracts with PERS for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the pre -retirement option settlement 2 death benefit (Section 21548). 17 Newport Beach Employees League 2019-21 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 three 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, 2006. b. Category 2 - Active employees hired prior to January 1, 2006, whose age plus years of service as of January 1, 2006 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2006, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2006. 2. Program Structure This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Program (formerly the Medical Expense Reimbursement Program "MERP"). a. For employees in Category 1, the program is structured as follows: 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 expense 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): 1 % of Salary. 18 Newport Beach Employees League 2019-21 Part B contributions (employer contributions): $2.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31 st of the prior year). Part C contributions (leave settlement as determined by NBEL): The NBEL will determine the level of contribution for all employees it represents, subject to the following constraints. All employees within the NBEL must participate at the same level, except that Safety members and Non -safety members within an NBEL may have different levels. 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 NBEL wishes to specify 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 50% of the amount that is cashed out added to the RHS, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The NBEL has decided to participate in Part C contributions at the level of zero percent (0%) Flex/Vacation and zero percent (0%) Sick Leave. This amount may be changed, on a go forward basis, as part of a future meet and confer process. However, the participation level must be the same for all employees within the NBEL. Additionally, the purpose and focus of these changes should be toward Tong -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 is not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the RHS Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule, which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from Vacation/Flex leave participation, and thresholds must be separately identified by the NBEL. 19 Newport Beach Employees League 2019-21 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 years of vested City employment. At that time, the City will credit the first five 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. This right is triggered upon separation. If an employee leaves the City prior to five 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 years of employment. In such cases, the employee will receive exactly five 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 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 CaIPERS participating employer's contribution (i.e., the Ca1PERS statutory minimum amount) towards medical insurance after retirement. The parties also agree that, for retirees selecting 20 Newport Beach Employees League 2019-21 a CaIPERS 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 $100 per month for every month they contributed to the previous "defined benefit" plan, to a maximum of 15 years (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 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 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 $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 $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 $4,800 per year, accruing at the rate of $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 $75 per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of 15 years (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. 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. 21 Newport Beach Employees League 2019-21 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. 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. Tuition Reimbursement NBEL members attending accredited community colleges, colleges, trade schools or universities, or recognized professional organizations or agencies, 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, seminars, or professional development programs. Maximum tuition reimbursement for employees shall be $1,500 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Human Resources Director or designee. G. Deferred Compensation Each employee shall have the right to enroll in the deferred compensation program set up by the City and subject to the rules of IRS Code section 457. For each employee who enrolls in the deferred compensation program, the City shall contribute to each employee's deferred compensation account as follows: Effective the first day of the pay period which includes January 1, 2020, the City shall contribute twenty five dollars ($25) per month to each enrolled employee's deferred compensation account if the employee contributes at least twenty five dollars ($25) per month towards his/her deferred compensation account. The City is only obligated to make the contribution to an employee's deferred compensation account if the employee has enrolled in the deferred compensation program. 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 year and will not owe the employee any additional compensation related to this section. SECTION 5. Miscellaneous/Working Conditions A. Reductions in Force/Layoffs 22 Newport Beach Employees League 2019-21 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 1. "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "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 regular status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to regular status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for Tess supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. 23 Newport Beach Employees League 2019-21 No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Division within the Municipal Operations Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired - first fired" basis. The layoff system for the Utilities Division shall operate the same department -wide seniority as does the General Services Division, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Employees who are laid off shall be placed on a Department re-employment list in reverse order of layoff. The re-employment list shall expire in 18 months. 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 within seven (7) days of written notice of appointment. Notice shall be deemed given when 24 Newport Beach Employees League 2019-21 personally delivered to the employee or deposited in the U.S. Mail, first class postage prepaid, 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of any protected classification identified in the law. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and 2. The Department Director approves of the transfer. 25 Newport Beach Employees League 2019-21 D. Work Schedules Employees in the unit work either a 9/80 or 5/40 work schedule. Employees assigned to the 9/80 work schedule will have alternating Fridays off with the City determining which employees will work on each alternating Friday to ensure effective coverage of the work. The City agrees to maintain flex -scheduling where it is currently in place in this unit in the Municipal Operations Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the NBEL and the employees affected work group of the problem in writing, supported with cause. The NBEL and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the NBEL and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. 26 Newport Beach Employees League 2019-21 F. Discipline - Notice of Intent 1. Employees who are to be the subject of discipline equal to an unpaid suspension of three (3) days or greater shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity for a Skelly meeting before their Department Director prior to the imposition of the penalty. All other discipline resulting in less than a three (3) day suspension will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to a suspension of one or two days who wish to appeal the suspension shall have the right to appeal the decision to the City Manager or designee. Employees who have received a written reprimand, shall have the right to place comments on the document prior to placement in his/her personnel file as well as file a grievance as addressed in the grievance procedure. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by the NBEL. The Grievance Procedure is the sole and exclusive method by which an employee or the NBEL may challenge a provision of this MOU. A grievance shall be brought to the attention of the immediate supervisor for discussion within ten (10) business days after an employee or NBEL Board member knew, or in the exercise of reasonable diligence should have known, the act or events upon which the grievance is based. If the Employee or the NBEL (if filed by the NBEL) is not satisfied with the decision reached through the informal discussion or if extenuating circumstances exist, the Employee or NBEL shall have the right to file a formal grievance in accordance with Step 2 of this section. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) business days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the employee or the NBEL (if filed by the NBEL) is not in agreement with the decision rendered in Step 1, the grievant shall have the right to present a formal 27 Newport Beach Employees League 2019-21 grievance to the Department Director within ten (10) business days after the discussion in Step 1. The right to file a grievance petition shall be waived in the event the Employee or NBEL fails to file a formal grievance within ten (10) business days after the occurrence of the incident that forms the basis of the grievance. All formal grievances shall be submitted on the form prescribed by the Human Resources Director and no formal grievance shall be accepted until the form is complete. The formal grievance shall contain a clear, concise statement of the grievance, the facts upon which the grievance is based, the rule, regulation or policy the interpretation of which is involved in the grievance, and the specific remedy or remedies sought by the grievant. The Department Director should render a written decision within ten (10) business days after receipt of the formal grievance. Step 3: If the formal grievance has not been satisfactorily adjusted in Step 2, it may be appealed to the City Manager or designee within ten (10) business days after the Employee receives the decision. The City Manager or designee may accept or reject the decision of the Department Director and shall render a written decision within ten (10) business days after conducting a grievance hearing. The decision of the City Manager or designee shall be final and conclusive. If mutually agreeable, a meeting may be conducted involving all affected parties at any step in the grievance procedure prior to a decision. The City Manager or designee may delegate uninvolved Department Directors to act on behalf of the City Manager to provide findings and recommendations. The findings and recommendations of the uninvolved Department Directors are advisory only and the City Manager's or designee's decision shall be final. Time Limits: Grievances shall be processed from one step to the next within the time limit indicated for each step. Time limits shall be strictly enforced. Any time limits established can be waived or extended only by mutual agreement confirmed in writing. Any grievance not carried to the next step by the Employee or NBEL within the prescribed time limit shall be deemed resolved upon the basis of the previous decision. A grievance may also be filed and appealed to the 3rd step of the grievance procedure for performance evaluations and written reprimands. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. 28 Newport Beach Employees League 2019-21 Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the 29 Newport Beach Employees League 2019-21 vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Safety Shoes If the City determines that an employee in the bargaining unit is required to wear safety shoes, the employee shall be provided with a voucher (annually) which enables the employee to purchase safety shoes from the City's vendor for safety shoes. The City has identified certain safety shoe styles for which it will pay (as of 1/1/19 the maximum the City will pay is $172.80). If the cost of the particular safety shoe styles (for which the City will pay) increases, the amount the City will pay will increase (by the increased cost of those styles of shoes). If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he/she will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. L. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. PERS Reporting of Uniform Allowance - To the extent permitted by law, the City shall report to the California Public Employees' Retirement System (Ca1PERS) the uniform allowance of $95 per year for classifications who receive a uniform as special compensation in accordance with Title 2, 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. 30 Newport Beach Employees League 2019-21 M. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. N. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs and any additional training required by law. O. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. P. Rest Periods Employees shall be allowed a rest period of fifteen (15) minutes during the first half of their shift and another rest period of fifteen (15) minutes during the second half of their shift. Rest periods should be taken as close to mid shift as is possible. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hour of the beginning or the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. Q. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. An employee is required to individually notify the awards committee of all of the service time. R. Direct Deposit All employees shall participate in the payroll direct deposit system. 31 Newport Beach Employees League 2019-21 S. Salary on Reclassification An employee who is reclassified will be provided with a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). T. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect. Signatures are on the next page. 32 Newport Beach Employees League 2019-21 Executed this 2 Z r`D day of VA121 , 2019: NEWPORT BEACH EMPLOYEES LEAGUE By: Craig(Auge , Pr- ident CITY OF NEWPORT BEACH Bv: Di. ne Dixon, Mayor APPROVED AS TO FORM: Bv. ANTES Leilani Brown, City CIeYk eter Br» n, Special Counsel 33 Newport Beach Employees League 2019-21 EXHIBIT A.1 NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2019 - December 31, 2021 Effective: December 22, 2018 1.9% Adjustment REPRESENTED POSITION Auto Parts Buyer Beach Maint. Supervisor Concrete Finisher Concrete Maint. Crew Chief Concrete Supervisor Equipment Maint. Supervisor Equipment Mechanic I Equipment Mechanic 11 Equipment Mechanic, Sr. Equipment Operator I Equipment Operator II Facilities Maint. Crew Chief Facilities Maint. Supervisor Facilities Maint. Technician Facilities Maint. Worker II Groundsworker I Groundsworker II Maint. & Ops. Specialist Maint. Worker I Maint. Worker II Park Maint. Chief Park Maint. Supervisor Shuttle Driver Storm Drain/St. Sweep Chief Storm Drain/St. Sweep Supervisor Street Maint. Crew Chief Street Maint. Supervisor Utilities Coordinator, SCADA Utilities Crew Chief Utilities Specialist Utilities Specialist, Sr. Utilities Supervisor Water Production Operator Water Production Supervisor Water Quality Coordinator HOURLY PAY RATE 1 MONTHLY PAY RATE 2 MIN MAX MIN MAX $26.26 $36.99 $4,553 $6,411 $34.37 $48.40 $5,957 $8,389 $26.64 $37.45 $4,618 $6,492 $29.70 $41.83 $5,149 $7,250 $34.37 $48.40 $5,957 $8,389 $34.40 $48.40 $5,963 $8,389 $23.30 $32.75 $4,039 $5,676 $26.94 $37.93 $4,669 $6,574 $29.70 $41.83 $5,149 $7,250 $24.14 $34.01 $4,184 $5,896 $25.39 $35.72 $4,402 $6,192 $29.70 $41.83 $5,149 $7,250 $34.37 $48.40 $5,957 $8,389 $26.64 $37.45 $4,618 $6,492 $21.92 $30.83 $3,800 $5,343 $21.27 $29.94 $3,687 $5,189 $23.43 $33.01 $4,062 $5,722 $29.70 $41.83 $5,149 $7,250 $21.92 $30.83 $3,800 $5,343 $23.01 $32.38 $3,989 $5,613 $29.70 $41.83 $5,149 $7,250 $34.37 $48.40 $5,957 $8,389 $21.12 $29.73 $3,660 $5,152 $29.70 $41.83 $5,149 $7,250 $34.37 $48.40 $5,957 $8,389 $29.70 $41.83 $5,149 $7,250 $34.37 $48.40 $5,957 $8,389 $31.85 $44.84 $5,521 $7,772 $29.70 $41.83 $5,149 $7,250 $24.62 $34.65 $4,268 $6,006 $26.46 $37.24 $4,587 $6,455 $34.37 $48.40 $5,957 $8,389 $31.20 $43.90 $5,408 $7,609 $36.12 $50.82 $6,261 $8,809 $34.37 $48.40 $5,957 $8,389 ' Hourly pay rates are rounded to the nearest hundredth. 2 Monthly pay rates are rounded to nearest whole dollar. 34 EXHIBIT A.2 REPRESENTED POSITION NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2019 - December 31, 2021 Effective: December 21, 2019 1.9% Adjustment HOURLY PAY RATE 1 MONTHLY PAY RATE 2 MIN MAX MIN MAX Auto Parts Buyer $26.76 $37.69 $4,639 $6,533 Beach Maint. Supervisor $35.02 $49.32 $6,070 $8,548 Concrete Finisher $27.15 $38.16 $4,705 $6,615 Concrete Maint. Crew Chief $30.27 $42.62 $5,246 $7,388 Concrete Supervisor $35.02 $49.32 $6,070 $8,548 Equipment Maint. Supervisor $35.06 $49.32 $6,077 $8,548 Equipment Mechanic I $23.74 $33.37 $4,115 $5,784 Equipment Mechanic II $27.45 $38.65 $4,758 $6,699 Equipment Mechanic, Sr. $30.27 $42.62 $5,246 $7,388 Equipment Operator I $24.60 $34.66 $4,263 $6,008 Equipment Operator II $25.88 $36.40 $4,485 $6,309 Facilities Maint. Crew Chief $30.27 $42.62 $5,246 $7,388 Facilities Maint. Supervisor $35.02 $49.32 $6,070 $8,548 Facilities Maint. Technician $27.15 $38.16 $4,705 $6,615 Facilities Maint. Worker II $22.34 $31.41 $3,872 $5,445 Groundsworker I $21.68 $30.50 $3,757 $5,287 Groundsworker II $23.88 $33.64 $4,139 $5,830 Maint. & Ops. Specialist $30.27 $42.62 $5,246 $7,388 Maint. Worker I $22.34 $31.41 $3,872 $5,445 Maint. Worker II $23.45 $33.00 $4,065 $5,720 Park Maint. Chief $30.27 $42.62 $5,246 $7,388 Park Maint. Supervisor $35.02 $49.32 $6,070 $8,548 Shuttle Driver $21.52 $30.29 $3,730 $5,250 Storm Drain/St. Sweep Chief $30.27 $42.62 $5,246 $7,388 Storm Drain/St. Sweep Supervisor $35.02 $49.32 $6,070 $8,548 Street Maint. Crew Chief $30.27 $42.62 $5,246 $7,388 Street Maint. Supervisor $35.02 $49.32 $6,070 $8,548 Utilities Coordinator, SCADA $32.46 $45.69 $5,626 $7,919 Utilities Crew Chief $30.27 $42.62 $5,246 $7,388 Utilities Specialist $25.09 $35.31 $4,349 $6,121 Utilities Specialist, Sr. $26.97 $37.95 $4,674 $6,578 Utilities Supervisor $35.02 $49.32 $6,070 $8,548 Water Production Operator $31.80 $44.73 $5,511 $7,754 Water Production Supervisor $36.80 $51.79 $6,379 $8,976 Water Quality Coordinator $35.02 $49.32 $6,070 $8,548 1 Hourly pay rates are rounded to the nearest hundredth. 2 Monthly pay rates are rounded to nearest whole dollar. 35 EXHIBIT A.3 REPRESENTED POSITION NEWPORT BEACH EMPLOYEES LEAGUE MOU Term: January 1, 2019 - December 31, 2021 Effective: December 19, 2020 1.92% Adjustment HOURLY PAY RATE 1 MONTHLY PAY RATE 2 MIN MAX MIN MAX Auto Parts Buyer $27.28 $38.42 $4,728 $6,659 Beach Maint. Supervisor $35.69 $50.26 $6,186 $8,712 Concrete Finisher $27.67 $38.90 $4,796 $6,742 Concrete Maint. Crew Chief $30.85 $43.44 $5,347 $7,530 Concrete Supervisor $35.69 $50.26 $6,186 $8,712 Equipment Maint. Supervisor $35.73 $50.27 $6,193 $8,713 Equipment Mechanic I $24.20 $34.01 $4,194 $5,895 Equipment Mechanic II $27.98 $39.39 $4,849 $6,827 Equipment Mechanic, Sr. $30.85 $43.44 $5,347 $7,530 Equipment Operator I $25.07 $35.33 $4,345 $6,123 Equipment Operator II $26.37 $37.10 $4,571 $6,431 Facilities Maint. Crew Chief $30.85 $43.44 $5,347 $7,530 Facilities Maint. Supervisor $35.69 $50.26 $6,186 $8,712 Facilities Maint. Technician $27.67 $38.90 $4,796 $6,742 Facilities Maint. Worker II $22.77 $32.02 $3,946 $5,550 Groundsworker I $22.09 $31.09 $3,829 $5,389 Groundsworker II $24.34 $34.28 $4,218 $5,942 Maint. & Ops. Specialist $30.85 $43.44 $5,347 $7,530 Maint. Worker I $22.77 $32.02 $3,946 $5,550 Maint. Worker II $23.90 $33.63 $4,143 $5,829 Park Maint. Chief $30.85 $43.44 $5,347 $7,530 Park Maint. Supervisor $35.69 $50.26 $6,186 $8,712 Shuttle Driver $21.93 $30.87 $3,802 $5,351 Storm Drain/St. Sweep Chief $30.85 $43.44 $5,347 $7,530 Storm Drain/St. Sweep Supervisor $35.69 $50.26 $6,186 $8,712 Street Maint. Crew Chief $30.85 $43.44 $5,347 $7,530 Street Maint. Supervisor $35.69 $50.26 $6,186 $8,712 Utilities Coordinator, SCADA $33.08 $46.57 $5,734 $8,071 Utilities Crew Chief $30.85 $43.44 $5,347 $7,530 Utilities Specialist $25.57 $35.99 $4,432 $6,238 Utilities Specialist, Sr. $27.48 $38.68 $4,764 $6,704 Utilities Supervisor $35.69 $50.26 $6,186 $8,712 Water Production Operator $32.41 $45.59 $5,617 $7,903 Water Production Supervisor $37.51 $52.78 $6,502 $9,149 Water Quality Coordinator $35.69 $50.26 $6,186 $8,712 1 Hourly pay rates are rounded to the nearest hundredth. 2 Monthly pay rates are rounded to nearest whole dollar. 36 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), a recognized employee organization, affiliated with the Orange County Employees Association ("OCEA'), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2015 through December 31, 2018 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. 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, City hereby confirms its prior certification of NBEL as the recognized employee organization for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in those classifications specified in Exhibit "A", or as appropriately modified in accordance with the Employer/Employee Resolution. All other classifications and positions not specifically included within Exhibit "A" are excluded from representation by the NBEL. B. Duration of Memorandum 1. 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 July 1, 2015. This MOU shall remain in full force and effect until December 31, 2018, 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. 2. 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. C. Release Time 1. Four NBEL officers designated by the NBEL shall collectively be granted an annual maximum of 150 hours paid release time, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. 4. Each January, the City will examine the number of Release Time hours the Association used the preceding year. If the Association used in excess of 75% of the hours normally granted (150), the Association will be granted an additional 30 hours for that year. D. Employee Data and Access In January and July of each year, the City shall provide NBEL with a list of all unit members, including name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. 2 Newport Beach Employees League 2015-18 E. Scope 1. 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. 2. 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. 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 the Employer -Employee Relations Resolution No. 2001-50. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (j) 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. 3 Newport Beach Employees League 2015-18 F. Conclusiveness With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. As provided in the Employer -Employee Relations Resolution No. 2001-50, the City shall determine the manner in which City services are to be provided, including whether the City should provide services directly or contract out work, including work that is currently being performed by Association members. In the event the City introduces a plan to outsource services currently being performed by Association members to achieve greater efficiency and/or cost savings, and upon request by the Association, the City shall meet and confer with Association representatives to discuss the impacts of the City's decision to contract out work. The City shall retain sole authority to decide whether or not to contract out work, including work that is currently being performed by Association members. This provision shall not limit the City's authority to enter into such an agreement for any City services. G. Modifications Any agreement, understanding, 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. The parties have determined certain contract provisions may be outdated or inconsistent with policy, charter, or Federal, State or local law. Effective during the term of the MOU City and Association representatives will review the contract document with the intent of proposing simplified and appropriate language, content and formatting. No changes to the MOU shall be effective unless approved by the City Council. H. Agency Shop 1. Unit employees, by majority vote, have elected for an Agency Shop provision. 4 Newport Beach Employees League 2015-18 2. The Association shall comply with all statutory and legal requirements regarding agency shop, should it be approved through the election process. This will include all requisite procedures for appeals, record - keeping, establishment of the service fee amount; designating acceptable charities pursuant to Section 3502.5 of the Government Code, etc. 3. Complying with agency shop provisions shall not be a condition of employment. Enforcement shall be the responsibility of the Association; utilizing appropriate civil procedures. The City will cooperate with Association efforts to achieve enforcement. 4. The collection of Association dues and/or service fees shall continue to be handled through the payroll deduction process. 5. NBEL agrees to defend, indemnify and hold harmless the City for its action pursuant to this section. SECTION 2. — Compensation A. Salary Base salary increases for all NBEL represented follows and as specified in Exhibit A: Effective the pay period that includes January be increased by 2.65%. Effective the pay period that includes January be increased by 2.65%. Effective the pay period that includes January be increased by 2.65%. B. Overtime 1. Definitions classifications 1, 2016, base 1, 2017, base 1, 2018, base shall be as salaries will salaries will salaries will (a) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). 5 Newport Beach Employees League 2015-18 (b) Incidental Overtime - Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (c) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Overtime for all non-exempt employees shall be paid at one -and -one-half (1-1/2) times the employee's regular rate of pay. Reporting of overtime on payroll forms will be as prescribed by the Finance Director. Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including_Holiday(s) For the purpose of calculating overtime, holidays and pre -scheduled vacation or Flex leave occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation Standby duty compensation for all unit employees shall be capped at eight dollars ($8.00) per hour. Standby pay will not be piggybacked with any other paid time, such as call-back, scheduled or unscheduled overtime, or if working a scheduled shift. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and - 6 Newport Beach Employees League 2015-18 the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call-back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5p.m. and 5a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. G. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41 st hour worked in the higher classification. 7 Newport Beach Employees League 2015-18 H. Certification Pay Payment for State or governing body certifications will be made on a bi- weekly basis for League represented employees holding a valid and current certification in areas indicated below. Employees may submit proof of valid certificates, including renewals, upon completion. The bi-weekly payment for such eligible certificates will begin the first pay period following department approval. All amounts listed below reflect the annual benefit for the specified certificate: 1. Water or Wastewater Operator Grade I $110 Grade II $350 Grade III $450 Grade IV $650 Grade V $800 2. Backflow Certification - $220 3. Qualified Applicator Certificate - $110 for each category, up to a maximum of $330. 4. Fire Mechanic State Level I - $110 5. Fire Mechanic State Level II - $220 6. Fire Mechanic III - $400 7. Certified Arborist - $110 8. ASE Certification - $55 each and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Driver License, Class A - $220 10. Commercial Driver License, Class B - $165 11. Public Works Certificates* I and II - $300 (*18-20 Jr. College units each) 12. Water Utility Science Certificate - $300 13. Cross Connection Specialist - $110 14. Crane Certification - $110 15. Forklift Trainer - $300 (2 employees, max) 8 Newport Beach Employees League 2015-18 The maximum certificate pay benefit for unit members shall be $5,000 annually. The City will continue its practice of reimbursing employees for the following: 1) application, testing, and certification fees for successfully completing certification examinations for the above listed certificates, and 2) required physicals when employees obtain/renew required Class A or B Drivers Licenses. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. J. One -Time Payment Effective following City Council adoption of this 2015-2018 MOU, or as soon thereafter as reasonably practicable, current unit members employed with the City as of January 1, 2016 will receive a one-time payment of $2,300. The parties agree that this one-time payment does not meet the criteria under California Code of Regulations 571(b) as reportable compensation for retirement purposes. SECTION 3. - Leaves A. Flex Leave 1. Effective the pay period including January 1, 2013, all unit members shall accrue Flex leave at the following rates: Years of Continuous Hrs Accrued per Annual Max Balance Service Pay Period hours (hours) 1 but Tess than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 6.00 6.61 7.23 8.15 8.77 9.38 10.00 156.00 171.86 187.98 211.90 228.02 243.88 260.00 468.00 515.58 563.94 635.70 684.06 731.64 780.00 Members shall accrue three (3) months of Flex leave upon completion of three (3) months of continuous employment with the City of Newport 9 Newport Beach Employees League 2015-18 Beach, provided however, this amount shall be reduced by any Flex leave time advanced during the first three (3) months of employment. 2. Limit on Accumulation Employees may accrue Flex leave up to an accumulated total equal to seventy eight (78) times the member's bi-weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned Flex leave in excess of the maximum permitted accrual at the member's hourly rate of pay provided that they have utilized at least eighty (80) hours of Flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 3. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for Flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to Vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: 10 Newport Beach Employees League 2015-18 Years of Continuous Accrual per pay period Service (Hours) 0 but less than 5 3.38 5 but less than 9 3.99 9 but Tess than 12 4.61 12 but less than 16 5.22 16 but less than 20 5.84 20 but Tess than 25 6.46 25 and over 7.07 2. Limit on Accumulation Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31 st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week - 40 hours 11 Newport Beach Employees League 2015-18 Service Time 0-1 year 1-2 years 2-3 years 3-4 years 4+ Monthly Accrual 4 hours 5 hours 6 hours 7 hours 8 hours 2. Method of Use (a) General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and as defined in the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of Sick Leave equal to or greater than the full value of 50 months of accrued Sick Leave, and who have used six or less days of Sick Leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of Sick Leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible Sick Leave days converted to cash shall be at the employee's option. Eligible Sick Leave days converted to paid vacation shall require the approval of the Department Director. D. Holiday Leave 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all unit members. For each designated holiday, except the Floating Holiday, members shall receive an equivalent number of hours of paid Flex Leave or equivalent pay. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve 12 July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day Newport Beach Employees League 2015-18 Christmas Day New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st - 1 day Effective the pay period including January 1, 2013 holidays will be paid based on the employee's regular work day schedule. For example, if an employee is on a 9/80 schedule and the Holiday is observed on a day that the employee is regularly scheduled to work 9 hours, the employee is entitled to receive 9 hours of Holiday pay. However, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 8 hours, the employee is entitled to receive 8 hours of holiday pay. Employees will receive 8 hours of Holiday Pay annually for the Floating Holiday. Holidays listed above (except the Floating Holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility Following are the limitations on eligibility for Holiday pay: (a) Holiday pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation or sick leave that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave Bereavement leave shall be defined as "the necessary absence from duty by an employee having a regular or probationary appointment because of the death or terminal illness in his/her immediate family." Unit members shall be entitled to forty (40) hours of bereavement leave per calendar year per incident (terminal illness followed by death is considered one incident). Bereavement leave shall be administered in accordance with the provisions of the Employee Policy Manual. Leave hours need not be used consecutively, but should occur in proximate time to the occurrence. For the purposes of this section, immediate family shall mean an employee's father, mother, stepfather, stepmother, brother, sister, 13 Newport Beach Employees League 2015-18 spouse/domestic partner, child, stepchild, grandparents and the employee's spouse's/domestic partner's father, mother, brother, sister, child and grandparents. The provisions of this Section shall not diminish or reduce any rights a member may have pursuant to applicable provisions of State or Federal law. An employee requesting bereavement leave shall notify his/her supervisor as soon as possible of the need to take leave. F. Leave Sellback Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued Flex or Vacation leave. In no event shall the Flex or Vacation leave balance be reduced below one hundred and sixty (160) hours. Hours sold back will be subject to the Retiree Health Savings Plan Part C contributions, per Section 4 (E), Retiree Medical. For the term of this MOU the Association has elected Part C contributions for Flex/Vacation at 0%. 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 Benefits Information Committee 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 group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. In addition to the contribution amounts listed below, the City shall contribute the minimum CaIPERS participating employer's contribution towards medical insurance for employees enrolled in a CaIPERS medical plan, per Government Code Section 22892. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. 14 Newport Beach Employees League 2015-18 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. The parties recognize that from July 1, 2015 through December 31, 2015 the City has contributed the PERS minimum contribution amount and $1,549 per month towards the Cafeteria Plan. Effective the first pay issue in January 2016, the City will contribute the PERS minimum contribution amount and $1,600 per month towards the Cafeteria Plan. Effective the first pay issue in January 2017, the City will contribute the PERS minimum contribution amount and $1,650 per month towards the Cafeteria Plan. Effective the first pay issue in January 2018, the City will contribute the PERS minimum contribution amount and $1,725 per month towards the Cafeteria Plan. NBEL members who do not 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. The parties recognize that from July 1, 2015 through December 31, 2015, the opt -out benefit for employees hired prior to January 23, 2013 was $1,249 per month, and employees hired into the unit on or after January 23, 2013 received a $600 per month benefit. Effective January 1, 2016, or as soon thereafter is practicable following MOU adoption, the maximum cafeteria allowance provided to all NBEL employees who execute an opt - out agreement is $1,200. Effective the pay period that includes January 1, 2017, the maximum cafeteria allowance provided to employees who execute an opt -out agreement is $1,100. Effective the first pay period that includes January 1, 2018, the maximum cafeteria allowance provided to employees who execute an opt -out agreement is $1,000. 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 Benefits Information Committee. 15 Newport Beach Employees League 2015-18 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. 5. Healthcare Reform The parties recognize that certain State and Federal laws, programs and regulations, including the Affordable Care Act, may impact future medical plan offerings. Effective July 2017, either party may request to reopen Section 4,A, (2) regarding medical insurance for the purpose of discussing alternative approaches and proposals to providing healthcare coverage. In addition, should State or Federal laws concerning taxation of healthcare benefits change, the parties agree to meet and discuss the impact of such change. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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. An Association member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month Minimum Benefit $15 (STD) and $100 (LTD) Waiting Period 30 Calendar Days (STD) 180 Calendar Days (LTD) Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may 16 Newport Beach Employees League 2015-18 not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1%) percent of base salary. Simultaneously, the City increased base wages by one (1%) percent. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. Retirement Formula The City contracts with 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: Tier 1: For employees hired by the City on or before November 23, 2012, the retirement formula shall be the 2.5%@55 calculated on the basis of the best/single highest year. Tier 2: For employees first hired by the City between November 24 and December 31, 2012, or hired on or after January 1, 2013 and are current members of the retirement system, as defined in Public Employees Pension Reform Act, the retirement formula shall be 2%@60 calculated on the average 36 highest month's salary. Tier 3: For employees first hired by the City on or after January 1, 2013, and who do not meet the Tier 2 criteria, the retirement formula shall be 2.0%@62 calculated on the average 36 highest month's salary. 17 Newport Beach Employees League 2015-18 2. Employee Contributions The Association has agreed to share in the rising cost of pension obligations. Under the terms of this MOU, unit members will contribute additional amounts toward the PERS retirement benefit, to the extent permissible by law. Should any provision be deemed invalid, the City and Association agree to meet for the purpose of renegotiating employee retirement contributions. At the conclusion of this contract employees in each Tier will contribute 13% of pensionable pay toward the retirement benefit. 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 "PERSable" compensation, and will be made on a pre-tax basis through payroll deduction, to the extent allowable by the government tax code. It is recognized that these payments will not be reported to PERS as contributions toward either the Member or Employer rate, as provided under GC Section 20516(f). The parties recognize that from July 1, 2015 through December 31, 2015, NBEL members have been paying, in addition to the member contribution, a portion of the Employer rate under a Government Code Section 20516(a) cost sharing agreement for employees in Tier 1, and a Government Code Section 20516(f) cost sharing agreement for employees in all Tiers. The normal member rate and the cost sharing rate vary by Tier. However, the combined contribution rate for each Tier equals 12.35% of pensionable compensation, as provided in a prior agreement. Tier 1: Effective the pay period including January 1, 2016, employees shall contribute an additional .65% of pensionable compensation, for a total employee contribution of 13.0% of pensionable compensation, broken down as follows: 8.0% of pensionable compensation of the required member contribution and 2.42% and 2.58% of pensionable compensation of cost sharing under Government Code Sections 20516(a) and 20516M respectively. Tiers 2 and 3: Effective the pay period including January 1, 2016, employees in Tiers 2 and 3 shall contribute an additional .65% of pensionable compensation, above the 12.35% in prior agreement, for a total employee contribution of 13.0% of pensionable compensation. 18 Newport Beach Employees League 2015-18 Payment by any individual member's normal employee PERS contributions or amounts contributed pursuant to 20516 (a) or (t) shall not be reported to PERS as special compensation. In the event pension reform is modified by State or Federal legislation, resulting in changes to previously negotiated terms, the parties agree to meet and confer to discuss subsequent changes to the contract. The City contracts with PERS for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the pre -retirement option settlement 2 death benefit (Section 21548). 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, 2006. b. Category 2 - Active employees hired prior to January 1, 2006, whose age plus years of service as of January 1, 2006 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2006, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2006. d. Category 4 - Employees who retired from the City prior to January 1, 2006, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Program (formerly the Medical Expense Reimbursement Program "MERP"). a. For employees in Category 1, the program is structured as follows: 19 Newport Beach Employees League 2015-18 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 expense 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): 1 % of Salary. Part B contributions (employer contributions): $1.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31st of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. Part C contributions (leave settlement as determined by Association): 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, except that Safety members and Non -safety members within an Association may have different levels. 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 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 50% of the amount that is cashed out added to the RHS, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The Association has decided to participate in Part C contributions at the level of zero percent (0%) Flex/Vacation and zero percent (0%) Sick Leave. This amount may be changed, on a go 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. 20 Newport Beach Employees League 2015-18 Spillover pay is not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the RHS Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule, which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/Flex leave participation, and thresholds must be separately identified by the Association. 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 years of vested City employment. At that time, the City will credit the first five 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. This right is triggered upon separation. If an employee leaves the City prior to five 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 years of employment. In such cases, the employee will receive exactly five 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 21 Newport Beach Employees League 2015-18 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 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 CaIPERS participating employer's contribution towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS 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 $100 per month for every month they contributed to the previous "defined benefit" plan, to a maximum of 15 years (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 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 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 $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 $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 $4,800 22 Newport Beach Employees League 2015-18 per year, accruing at the rate of $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 $75 per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of 15 years (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 no cost share requirement, and the $400 City contribution after retirement can be used for any IRS authorized purpose, not just City insurance premiums. Effective July 1, 2006, a RHS account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. 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. 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1 % of salary on which PERS retirement is based (Part A); plus .25% of other compensation (Part B). F Tuition Reimbursement NBEL members attending accredited community colleges, colleges, trade schools or universities, or recognized professional organizations or agencies, 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, seminars, or professional development programs. Maximum tuition reimbursement for employees shall be $1,500 per fiscal year Reimbursement is contingent upon the successful completion of the course. Successful completion 23 Newport Beach Employees League 2015-18 means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Human Resources Director or designee. SECTION 5. Miscellaneous/Working Conditions 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 1. "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities 24 Newport Beach Employees League 2015-18 for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Division within the Municipal Operations Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Division shall operate the same department - wide seniority as does the General Services Division, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off 25 Newport Beach Employees League 2015-18 following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation, gender identity or age. C. Promotional Preference Where no Tess than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members 26 Newport Beach Employees League 2015-18 access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. D. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Municipal Operations Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. In January 2011 the 9/80 flex -schedule was modified as follows: employees were provided the option of alternating Fridays off only. Employees on a 9/80 schedule with alternating Mondays or any other day off converted to Fridays off beginning in January 2011. To ensure effective coverage, employees on the 9/80 schedule were divided into groups A or B, with equal numbers of staff as much as possible, including management and supervisory staff, off on alternating Fridays. To ensure ongoing compliance with Fair Labor Standards Act, and to maintain organizational efficiency, deviations from established flex days, if legally permitted, will be considered on a case -by -case basis. 27 Newport Beach Employees League 2015-18 E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no Tess than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. F. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee -Employer Resolution2001-50. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. 28 Newport Beach Employees League 2015-18 A grievance shall be brought to the attention of the immediate supervisor for discussion within ten (10) business days of when the grievance arose. If the Employee is not satisfied with the decision reached through the informal discussion or if extenuating circumstances exist, the Employee shall have the right to file a formal grievance in accordance with Step 2 of this section. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) business days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the employee is not in agreement with the decision rendered in Step 1, an employee shall have the right to present a formal grievance to the Department Director within ten (10) business days after the discussion in Step 1. The right to file a grievance petition shall be waived in the event the Employee fails to file a formal grievance within ten (10) business days after the occurrence of the incident that forms the basis of the grievance. All formal grievances shall be submitted on the form prescribed by the Human Resources Director and no formal grievance shall be accepted until the form is complete. The formal grievance shall contain a clear, concise statement of the grievance, the facts upon which the grievance is based, the rule, regulation or policy the interpretation of which is involved in the grievance, and the specific remedy or remedies sought by the grievant. The Department Director should render a written decision within ten (10) business days after receipt of the formal grievance. Step 3: If the formal grievance has not been satisfactorily adjusted in Step 2, it may be appealed to the City Manager within ten (10) business days after the Employee receives the decision. The City Manager may accept or reject the decision of the Department Director and shall render a written decision within ten (10) business days after conducting a grievance hearing. The decision of the City Manager shall be final and conclusive. If mutually agreeable, a meeting may be conducted involving all affected parties at any step in the grievance procedure prior to a decision. The City Manager may delegate uninvolved Department Directors to act on behalf of the City Manager to provide findings and recommendations. The findings and recommendations of the uninvolved Department Directors are advisory only and the City Manager's decision shall be final. Time Limits: Grievances shall be processed from one step to the next within the time limit indicated for each step. Time limits shall be strictly enforced. Any time limits established can be waived or extended only by mutual agreement confirmed in writing. Any grievance not carried to the next step by the Employee within the prescribed time limit shall be deemed resolved upon the basis of the previous decision. 29 Newport Beach Employees League 2015-18 Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 3rd step of the grievance procedure. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. I Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 30 Newport Beach Employees League 2015-18 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. L. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. 31 Newport Beach Employees League 2015-18 If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. M. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. As permissible by law, the City shall report as pensionable compensation the value of provided uniforms at $95 annually in accordance with PERS requirements. N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. O. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non -supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. 32 Newport Beach Employees League 2015-18 P. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. Q. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. S. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T Direct Deposit All employees shall participate in the payroll direct deposit system. U. Salary on Reclassification The City will amend its Employee Policy Manual to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). 33 Newport Beach Employees League 2015-18 V. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2015-16 through the pay period that includes December 31, 2018. Proposals for the succeeding MOU must be submitted ninety days prior to the expiration of the MOU (October 2, 2018), in accordance with Section 18, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. W. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Signatures are on the next page. 34 Newport Beach Employees League 2015-18 Executed this 101 day of k riA. , 2016: NEWPORT BEACH EMPLOYEES LEAGUE By: Chris Auger, President CITY OF NEWPORT BEACH By: e B. Dixon, Mayor APPROVED AS TO FORM: Aaron Harp, City Attorney ?' j arpie Newton , OCEA Representative 35 Newport Beach Employees League 2015-18 EXHIBIT A Newport Beach Employees League Represented Classifications and Pay Rates Effective January 1, 2016 - 2.65% adjustment Hourly Pay Rate Monthly Pay Rate Position Title Minimum Maximum Minimum Maximum2 Automotive Parts Buyer $24.46 $34.45 $4,239.99 $5,971.22 Beach Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76 Concrete Finisher $24.81 $34.88 $4,300.49 $6,045.95 Concrete Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Concrete Supervisor $32.01 $45.07 $5,547.75 $7,812.76 Equipment Maint Supervisor $33.64 $47.33 $5,830.66 $8,204.20 Equipment Mechanic I $21.70 $30.50 $3,761.37 $5,286.20 Equipment Mechanic II $25.09 $35.32 $4,348.53 $6,122.46 Equipment Mechanic, Sr $27.66 $38.96 $4,795.12 $6,752.32 Equipment Operator I $22.48 $31.68 $3,896.59 $5,490.82 Equipment Operator II $23.65 $33.27 $4,099.43 $5,766.60 Facilities Maint Spvsr $32.01 $45.07 $5,547.75 $7,812.76 Facilities Maint Tech $24.81 $34.88 $4,300.49 $6,045.95 Facilities Maint Wrkr II $20.42 $28.71 $3,538.96 $4,976.61 Facilities Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Groundsworker I $19.81 $27.88 $3,433.98 $4,832.49 Groundsworker II $21.82 $30.74 $3,782.72 $5,328.90 M & 0 Specialist $27.66 $38.96 $4,795.12 $6,752.32 Maintenance Worker I $20.42 $28.71 $3,538.96 $4,976.61 Maintenance Worker II $21.43 $30.16 $3,715.11 $5,227.49 Park Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Park Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76 Senior Services Van Driver $19.67 $27.68 $3,409.07 $4,798.68 Storm Drain/St Swp Supr $32.01 $45.07 $5,547.75 $7,812.76 Street Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Street Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76 Strm Drn/St. Swp Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Utilities Crew Chief $27.66 $38.96 $4,795.12 $6,752.32 Utilities SCADA Coordinator $29.67 $41.76 $5,142.08 $7,238.06 Utilities Specialist $22.93 $32.27 $3,974.88 $5,594.01 Utilities Specialist, Sr. $24.65 $34.69 $4,272.02 $6,012.14 Utilities Supervisor $32.01 $45.07 $5,547.75 $7,812.76 Water Production Operator $29.06 $40.89 $5,037.10 $7,086.82 Water Production Supervisor $33.64 $47.33 $5,830.66 $8,204.20 Water Quality Coordinator $32.01 $45.07 $5,547.75 $7,812.76 36 EXHIBIT A Newport Beach Employees League Represented Classifications and Pay Rates Effective January 1, 2017 - 2.65% Adjustment Hourly Pay Rate Monthly Pay Rate Position Title Minimum Maximum Minimum Maximum2 Automotive Parts Buyer $25.11 $35.36 $4,352.09 $6,129.57 Beach Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15 Concrete Finisher $25.47 $35.80 $4,414.36 $6,206.08 Concrete Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02 Concrete Supervisor $32.86 $46.26 $5,695.43 $8,019.15 Equipment Maint Supervisor $34.53 $48.58 $5,985.45 $8,421.27 Equipment Mechanic I $22.28 $31.31 $3,861.01 $5,426.76 Equipment Mechanic II $25.75 $36.26 $4,464.18 $6,284.37 Equipment Mechanic, Sr $28.39 $39.99 $4,921.45 $6,932.02 Equipment Operator I $23.08 $32.52 $3,999.79 $5,636.72 Equipment Operator 11 $24.28 $34.15 $4,207.97 $5,919.62 Facilities Maint Spvsr $32.86 $46.26 $5,695.43 $8,019.15 Facilities Maint Tech $25.47 $35.80 $4,414.36 $6,206,08 Facilities Maint Wrkr II $20.96 $29.47 $3,633.26 $5,108.27 Facilities Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932,02 Groundsworker I $20.33 $28.62 $3,524.73 $4,960.60 Groundsworker II $22.40 $31.55 $3,882.36 $5,469.47 M & 0 Specialist $28.39 $39.99 $4,921.45 $6,932.02 Maintenance Worker I $20.96 $29.47 $3,633.26 $5,108.27 Maintenance Worker II $22.00 $30.96 $3,812.97 $5,366,27 Park Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02 Park Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15 Senior Services Van Driver $20.19 $28.41 $3,499.82 $4,925.01 Storm Drain/St Swp Supr $32.86 $46.26 $5,695.43 $8,019.15 Street Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02 Street Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15 Strm Drn/St. Swp Crew Chief $28.39 $39.99 $4,921.45 $6,932.02 Utilities Crew Chief $28.39 $39.99 $4,921.45 $6,932.02 Utilities SCADA Coordinator $30.46 $42.87 $5,279.08 $7,430.22 Utilities Specialist $23.54 $33.13 $4,079.86 $5,741.69 Utilities Specialist, Sr. $25.30 $35.61 $4,385.89 $6,172.28 Utilities Supervisor $32.86 $46.26 $5,695.43 $8,019.15 Water Production Operator $29.83 $41.97 $5,170.55 $7,275.42 Water Production Supervisor $34.53 $48.58 $5,985.45 $8,421.27 Water Quality Coordinator $32.86 $46.26 $5,695.43 $8,019.15 37 EXHIBIT A Newport Beach Employees League Represented Classifications and Pay Rates Effective January 1, 2018 - 2.65% Adjustment Hourly Pay Rate Monthly Pay Rate Position Title Minimum Maximum Minimum Maximum2 Automotive Parts Buyer $25.78 $36.30 $4,467.74 $6,291.49 Beach Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89 Concrete Finisher $26.14 $36.75 $4,531.79 $6,369.77 Concrete Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Concrete Supervisor $33.73 $47.49 $5,846.67 $8,230.89 Equipment Maint Supervisor $35.45 $49.87 $6,143.81 $8,643.68 Equipment Mechanic I $22.87 $32.14 $3,964.21 $5,570.88 Equipment Mechanic II $26.43 $37.22 $4,581.61 $6,451.62 Equipment Mechanic, Sr $29.14 $41.05 $5,051.34 $7,115.29 Equipment Operator I $23.69 $33.38 $4,106.55 $5,786.18 Equipment Operator II $24.92 $35.05 $4,320.06 $6,076.20 Facilities Maint Spvsr $33.73 $47.49 $5,846.67 $8,230.89 Facilities Maint Tech $26.14 $36.75 $4,531.79 $6,369.77 Facilities Maint Wrkr II $21.52 $30.25 $3,729.34 $5,243.50 Facilities Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Groundsworker I $20.87 $29.38 $3,617.25 $5,092.26 Groundsworker II $22.99 $32.39 $3,985.56 $5,613.59 M & 0 Specialist $29.14 $41.05 $5,051.34 $7,115.29 Maintenance Worker I $21.52 $30.25 $3,729.34 $5,243.50 Maintenance Worker II $22.58 $31.78 $3,914.39 $5,508.61 Park Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Park Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89 Senior Services Van Driver $20.73 $29.16 $3,592.34 $5,054.90 Storm Drain/St Swp Supr $33.73 $47.49 $5,846.67 $8,230.89 Street Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Street Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89 Strm Drn/St. Swp Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Utilities Crew Chief $29.14 $41.05 $5,051.34 $7,115.29 Utilities SCADA Coordinator $31.27 $44.01 $5,419.65 $7,627.72 Utilities Specialist $24.16 $34.01 $4,188.39 $5,894.71 Utilities Specialist, Sr. $25.97 $36.55 $4,501.54 $6,335.97 Utilities Supervisor $33.73 $47.49 $5,846.67 $8,230.89 Water Production Operator $30.62 $43.08 $5,307.55 $7,467.58 Water Production Supervisor $35.45 $49.87 $6,143.81 $8,643.68 Water Quality Coordinator $33.73 $47.49 $5,846.67 $8,230.89 38 Side Letter Agreement to the Memoranda of Understanding between the City of Newport Beach and the Newport Beach City Employees Association, the Newport Beach Employees League, the Newport Beach Firefighters Association (for non -safety employees), the Newport Beach Professional and Technical Employees Association, the Part Time Employees Association of Newport Beach, the Newport Beach Fire Management Association (for Administrative staff) as well as Unrepresented Employees In past years, the City and its employee associations have agreed to close City Hall during the winter holidays, between Christmas Eve and New Year's Day. The undersigned Associations and City have jointly agreed to close City Hall and other non -essential facilities and functions for Fiscal Year 2013/14. Beginning at noon on December 24, 2013 through January 1, 2014, City Hall and other off -site facilities will be closed to the public. City Hall and other off -site facilities will reopen on January 2, 2014. Facility closures shall be cost neutral to the City and will not result in additional paid days/hours off for employees. The City and the undersigned also agree that staff located at City Hall and other non -essential employees will only have the option to work during this period if specifically authorized or required to do so by the Department Director. Emergency Conditions requiring the activation of the Emergency Operations Center shall render this agreement invalid. The following guidelines will be applied to the closure: 1. For Regular full-time employees, the City Hall closure will result in a maximum of 3'/2 days that are required for employees to use flexible leave, vacation leave, administrative leave or compensatory time during the holiday closure (Thursday 12/26, Friday 12/27, Monday 12/30 and half day Tuesday 12/31). Employees on a 9/80 work schedule whose regular day off occurs during the closure will be required to use 21/4 days of flexible leave, vacation leave, administrative leave or compensatory time. 2. According to the City's Employee Policy Manual, an employee must be in paid status to receive holiday pay. Therefore, employees must either work or use flexible leave, vacation leave, administrative leave or compensatory time the day before and the day after the holiday to meet this requirement. 3. Employees who have completed their initial probationary period but do not have any accrued flexible leave, vacation leave, administrative leave or compensatory time will be required to take leave without pay. 4. All other provisions of the Employee Policy Manual or applicable Memoranda of Understanding will remain in full force and effect. This agreement will assist in lowering the City's paid leave liability and provide savings of utilities and other maintenance costs. This agreement shall not apply to public safety or essential functions that operate on a 24/7 basis regardless of scheduled holidays designated by existing MOU's and authorized for unrepresented employee groups. Associations unaffected by the closure are not required to sign the agreement. Executed this 1 day of ((11) , 2013. Side Letter Agreement — Holiday Closure FY2013-14 Page 2 NEWPORT BEACH EMPLOYEE ASSOCIATIONS: Newport each City Employees Association Newport Beach By: By: Teresa Craig, PresiAnt Newport Beach Firefighter's Association (for Non -safety employees) Employees League Chris Auger, President) The Newport Beach Professional & Technical Employees Association By:By:13 22 7, o7 ?,rni�,, / B Brian Mcdonougl ' resident ueno, President Key & Management Group (Unrepresented) Part Time Employees Association of 1 Sa(n , evin ( New • rt Beach Fire Management Association (for Administrative staff) By: Todd Knipp, President FOR THE CITY OF NEWPORT BEACH: By: Keith Curry[Mayor Appro,Ued as to Fo Aynron Harp, City Atto by Newport Beach By: Amy M'ajrfield, President Leilani Brown, City Clerk Letter of Understanding Between the City of Newport Beach and the Newport Beach Employees League Pertaining to the Potential Outsourcing of Refuse Services/Function September 9, 2013 The existing Memorandum of Understanding between the City of Newport Beach and the Newport Beach Employees League is in effect from July 1, 2012 through June 30, 2015. Within the MOU is contained a reference to the City retaining the sole authority to decide whether or not to contract out work, including work that is currently being performed by Association members. However, in conformance with current law, the City agreed to Meet and Confer with Association to discuss the impacts of such a decision, if for reasons of efficiency/cost savings, it decides to move forward with outsourcing. Further, this obligation is one that affords Association the opportunity to discuss how City will transition employment for those employees currently occupying City positions and providing high quality service to the community in the event that the City elects to contract out refuse services. This letter is the mutual agreement regarding the topic of outsourcing Refuse Services between the City and the NBEL as of September 9, 2013. Whereas the City of Newport Beach ("City") and the Newport Beach Employees League ("The League") have met and conferred in good faith recently regarding the impacts of the City's desire to outsource the City's Refuse Division, In the event the City decides to move forward and contract out said work, the parties agree to following terms and conditions: 1. The League will commit to the City a willingness to continue to provide their top -rated level of customer service until final implementation of the proposed new refuse contract. 2. The League will engage positively in the process with the selected contractor and City staff to ensure that the community continues to be satisfied with the service provided with the least amount of disruption to all parties and the public. 3. The League will commit to the City a willingness to encourage, assist and ensure that employees who may be impacted by outsourcing will apply for every career opportunity/recruitment opened, if qualified, that is provided by the City. 4. The League will work cooperatively with the City to ensure that employees seek all training opportunities that may arise and possibly suggest, through a Labor - Management subcommittee, some training that would assist employees prepare for additional employment opportunities within the City. 5. The League will identify and encourage members to utilize City resources that will allow them to continue to remain a part of the Newport Beach family/workforce. 6. The League will jointly establish with the City several future targeted meeting dates to evaluate progress toward a successful transition for affected Refuse Division employees. During the City's tentative transition plan from approximately September 2013 through November 2014: 1. The City will open recruitments for five (5) future positions that current refuse workers will be encouraged to apply for. If a current refuse worker is promoted/assigned into one of the positions, that individual will be given the appropriate position rate of pay, even though their work assignment will remain in refuse during the transition period. Placement in these positions will not be unreasonably withheld from current refuse workers competing for these positions. 2. The City agrees to also open three (3) Parks Division positions for which current refuse workers are encouraged to apply. This is based upon that fact that with the Sunset Ridge and Marina Park and other future projects, workload will necessitate additional qualified staff. Each current refuse worker who is promoted/assigned into one of the positions will be given the appropriate position rate of pay, even though their work assignment will remain in refuse during the transition. Placement in these positions will not be unreasonably withheld from current refuse workers competing for these positions. These positions may be considered limited term of two (2) years from July 1, 2014 through June 30, 2016. This is subject to review of the needs of the City/budget at the end of the period. Any employee who is displaced should these positions be eliminated with have the right to three (3) years of re-employment rights to the City. This is an additional 18 months beyond what is granted in the event of a layoff per the current MOU. 3. The City will continue to provide every current refuse worker employment within the Refuse Division through approximately July 1, 2014. The City will maintain 5- 8 current refuse workers to assist in the transition to the refuse contractor until approximately December 31, 2014. The City and The League agree to meet and discuss the particulars of this transition as details of the contract become finalized. 4. At the time in which the City determines the entire crew is no longer needed to perform their refuse duties (approximately July 1, 2014) and at the time in which the City determines that the transition phase is complete (approximately December 31, 2014), all current employees will be offered the following three (3) options for their individual consideration if they have not previously moved to other employment within the City: 2 a. Voluntary separation from the City, with no incentive provided from the City. Any refuse employee selecting this option will be provided with three (3) years of re employment rights to the City. This is an additional 18 months beyond what is granted in the event of a layoff per the current MOU in effect. b. Voluntary separation from the City with a flat dollar monetary compensation package similar to that offered employees through the Voluntary Separation Incentive Program (VSIP) in the spring of 2013. This included a 6 month cash incentive of $7500 to be utilized for payment of medical insurance premiums, regardless of the base pay of the employee that determined the monetary compensation amount. c. Any impacted employee who has not separated from City employment or been placed in a City position pursuant to the process described above by November 2014, shall be placed in a Y-rated City position for a period of not to exceed 18 months. V •.fsuririg the 18 month period, employee shall remain continuously employed by the City and not involuntarily removed from that position except for reasonable cause. City policies and practices with regard to discipline, workers' compensation, leaves and any ,other provision outlined in the current MOU or other documents will remain in full force and effect. Should it become necessary to address individual issues, the City and League agree to discuss these in a collaborative and respectful mariner as has been done in the past. Any employee who is displaced at the 18 month mark, should these positions be eliminated, will be granted three (3) years of re-employment rights. This is an additional 18 months beyond what is granted in the event of a layoff per the current MOU. This agreement shall not be precedent setting for any purpose and shall not be enforceable if and when the City encounters a catastrophic fiscal emergency, A "catastrophic fiscal emergency" shall be defined as a decline in the City's fiscal year general fund revenue of greater than five percent (5%), using fiscal year 2012-13 as a baseline. . This agreement is entered into in by the parties in order to outline a fair and predictable process for the dedicated employees who have served in their positions in the Refuse Division. If there are aspects of the above that require refinement; the City and The League agree to re -open discussions to reach an agreement. The parties acknowledge and agree that the City is currently in the process of reviewing proposals and has not 3 reached an agreement with any refuse service provider. If the City Council decides not to enter into an agreement with a refuse services provider, this Letter of Understanding shall be null and void. For the Newport Beach Employees League: For the City of Newport Beach: Chris Auger, Preside Art Mitb ell, ' efuse Worker II Janrire Newton Orange County Employees Association (OCEA) Charles Barfield Orange County Employees Association (OCEA) Date: 9• 9. a7/,j APPROVED AS TO FORM: City Attorney Keith Cur ayor Dave 1 iff, City Manager' MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOW) is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2012 through June 30, 2015 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. — General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum 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 July 1, 2012. This MOU shall remain in full force and effect until June 30, 2015, 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. 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. C. Release Time Four NBEL officers designated by the NBEL shall collectively be granted 150 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. 4. In January 2014 and 2015, the City will examine the number of Release Time hours the Association used the preceding year. If the Association used in excess of 75% of the hours normally granted (150), the Association will be granted an additional 30 hours for that year. D. Employee Data and Access The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. E. Scope 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, 2 2. 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. 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 the Employer -Employee Relations Resolution No. 2001-50. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (j) 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. Conclusiveness With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the 3 parties. Therefore, for the life 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 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. As provided in the Employer -Employee Relations Resolution No. 2001-50, the City shall determine the manner in which City services are to be provided, including whether the City should provide services directly or contract out work, including work that is currently being performed by Association members. In the event the City introduces a plan to outsource services currently being performed by Association members to achieve greater efficiency and/or cost savings, and upon request by the Association, the City shall meet and confer with Association representatives to discuss the impacts of the City's decision to contract out work. The City shall retain sole authority to decide whether or not to contract out work, including work that is currently being performed by Association members. This provision shall not limit the City's authority to enter into such an agreement for any City services. G. 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. The parties have determined certain contract provisions may be outdated or inconsistent with policy, charter, or Federal, State or local law. Effective during the term of the MOU City and Association representatives will review the contract document with the intent of proposing simplified and appropriate language, content and formatting. H. Agency Shop Unit employees, by majority vote, have elected for an Agency Shop provision. The Association shall comply with all statutory and legal requirements regarding agency shop, should it be approved through the election process. This will include all requisite procedures for appeals, record -keeping, establishment of the service fee amount; designating acceptable charities pursuant to Section 3502.5 of the Government Code, etc. 4 3. Complying with agency shop provisions shall not be a condition of employment. Enforcement shall be the responsibility of the Association; utilizing appropriate civil procedures. The City will cooperate with Association efforts to achieve enforcement. The collection of Association dues and/or service fees shall continue to be handled through the payroll deduction process. NBEL agree to defend, indemnify and hold harmless the City for its action pursuant to this section. SECTION 2. — Compensation A. Salary Effective the pay period including January 1, 2013 salaries will be increased by an amount equal to the increase in the Consumer Price Index (CPI) Los Angeles/Orange County Urban Wage Earners Index for the 12 month period ending on October 31, 2012 with a minimum 1.5% increase and a maximum 2.5% increase. Effective the pay period including January 1, 2014 salaries will be increased by an amount equal to the increase in the Consumer Price Index (CPI) Los Angeles/Orange County Urban Wage Earners Index for the 12 month period ending on October 31, 2013 with a minimum 1.5% increase and a maximum 2.25% increase. Effective the pay period including January 1, 2015 salaries will be increased by an amount equal to the increase in the Consumer Price Index (CPI) Los Angeles/Orange County Urban Wage Earners Index for the 12 month period ending on October 31, 2014 with a minimum 1.5% increase and a maximum 2.0% increase. B. Overtime Definitions (a) Miscellaneous Employee - An employee designated as a Miscellaneous member of the Public Employees Retirement System (PERS). (b) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the 5 Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). (c) Incidental Overtime - Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (d) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Overtime for all non-exempt employees shall be paid at one -and -one-half (1-1/2) times the employee's regular rate of pay. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays and pre -scheduled vacation or flex leave occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. C. Standby Dutv 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties, 2. Compensation (a) Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated 6 at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. (b) Standby duty compensation for Utility employees shall be capped at the minimum wage rate ($8.00 per hour) in effect December 31, 2012. Review of Standby/Call-Back Programs Effective January 2014 the parties agree to reexamine the Standby and Call -Back pay programs for the purpose of considering equity and parity. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in 7 excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5p.m. and 5a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m, G. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 18%, H. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41 st hour worked in the higher classification. Certification Pay Payment for State or governing body certifications will be made on a bi-weekly basis for League represented employees holding a valid and current certification in areas indicated below. Employees may submit proof of valid certificates, including renewals, upon completion. The bi-weekly payment for such eligible certificates will begin the first pay period following department approval. 1. Water or Wastewater Operator - Grade l - $110 Grade II - $220 Grade III - $330 Grade IV - $540 Grade V - $600 8 2, Backflow Certification - $220 3. Qualified Applicator Certificate - $110. for each category up to a maximum of $330. 4. Fire Mechanic State Level I - $110 5. Fire Mechanic State Level II - $220 6 Certified Arborist - $110 7. ASE Certification - $55 each and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 8. Commercial Drivers License, Class A - $220 9. Commercial Drivers License, Class B - $165 10. Public Works Certificates* I and II $200 (each). (*18-20 Jr. College units each) 11. Water Utility Science Certification - $200 12. Cross Connection Specialist - $110 Effective the pay period including January 1, 2013 Certificate Pay shall be modified as follows: Water or Wastewater Operator Grade V shall be increased to $700 annually. • Employees possessing a valid Fire Mechanic 111 certification shall be eligible for annual certificate pay of $400 • Employees possessing a valid Crane Certification shall be eligible for annual certificate pay of $110 ® The maximum certificate pay benefit for unit members shall be $2,500 annually. The City will continue its practice of reimbursing employees for the following: 1) application, testing, and certification fees for successfully completing certification examinations for the above listed certificates, and 2)required physicals when employees obtain/renew required Class A or B Drivers Licenses. 9 Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. SECTION 3. - Leaves A. Flex Leave 1. NBEL members shall accrue Flex leave at the following rates: Maximum Years of Continuous Hrs Accrued per Allowable Service Pay Period Annual Days Balance (hours) 1 but less than 5 5.54 18 432.12 5 but less than 9 6.15 20 479.7 9 but less than 12 6.77 22 528.06 12 but less than 16 7.69 25 599.82 16 but less than 20 8.31 27 648.18 20 but less than 25 8.92 29 695.76 25 and over 9.54 31 744.12 Effective the pay period including January 1, 2013, all unit members shall accrue Flex leave at the following rates (superseding the rates listed above): Maximum Years of Continuous Hrs Accrued per Annual Allowable Service Pay Period hours Balance (hours) 1 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 6.00 6.61 7.23 8.15 8.77 9.38 10.00 156.00 171,86 189.98 211.90 228.02 243.88 260,00 468.00 515.58 563.94 635.70 684.06 731.64 780.00 During the first six months of full-time employment, new employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employee's account. 10 Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the employee will repay the City equivalent to the number of paid leave days advanced from the employee's final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. Effective January 2014 the parties agree to review, via a survey process, the comparability of Flex leave accrual in relation to parity with other units, 2. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times (78) the member's bi-weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees first hired, or rehired by the City subsequent to July 1, 1996 shall not be eligible for flex leave spill over pay and shall not be entitled to accrue flex leave in excess of the flex leave accrual threshold. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 11 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Service Accrual per pay period hrs 0 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 12 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week :40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use (a) General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and only for the purposes defined in Section 11.2 of the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. D. Holiday Leave Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except 13 those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas Day New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st- 1 day For 2012 only, the Y. day Christmas Eve and % day New Year's Eve holidays will be considered full 8-hour holidays. Effective the pay period including January 1, 2013 holidays will be paid based on the employee's regular work day schedule. For example, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 9 hours, the employee is entitled to receive 9 hours of holiday pay. However, if an employee is on a 9/80 schedule and the holiday is observed on a day that the employee is regularly scheduled to work 8 hours, the employee is entitled to receive 8 hours of holiday pay. Employees will receive 8 hours of holiday pay annually for the Floating Holiday. Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility Following are the limitations on eligibility for Holiday Pay: (a) Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on 14 authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her Immediate Family. For the purposes of this section, Immediate Family shall mean father and mother (including step), brother, sister, spouse/domestic partner, child, grandparents and the Employee's spouse's/domestic partner's father, mother, brother, sister, child and grandparents. 2. Maximum Allowed Such leave shall be limited to five (5) working days per incident. F. Leave Sellback Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. Hours sold back will be subject to the Retiree Health Savings Plan Part C contributions, per Section 4 (F), Retiree Medical. For the term of this MOU the Association has elected Part C contributions for FlexNacation at 0%. 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 Benefits Information Committee has been established to allow the City to present data regarding carrier and 15 coverage options, the cost of those options, appropriate coverage levels and other health programs. The purpose of the BIC is to provide each employee group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. In addition to the contribution amounts listed below, the City shall contribute the minimum CaIPERS participating employers contribution towards medical insurance for employees enrolled in a CaIPERS medical plan, per Government Code Section 22892. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. Employees shall be allowed to change coverage in accordance with plan rules and during regular open enrollment periods. Effective the first pay issue in January 2013, the City's contribution towards the Cafeteria Plan will increase to $1,349 (plus the minimum CaIPERS participating employer's contribution). Effective the first pay issue in January 2014, the City's contribution towards the Cafeteria Plan will increase to $1,449 (plus the minimum CaIPERS participating employer's contribution). Effective the first pay issue in January 2015, the City's contribution towards the Cafeteria Plan will increase to $1,549 (plus the minimum CaIPERS participating employer's contribution). NBEL 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. The maximum cafeteria allowance provided to employees who execute an opt - out agreement is $1,249 per month effective January 2013. Employees hired after adoption of this 2012-2015 MOU, and who execute an opt -out agreement, will receive a maximum cafeteria allowance of $600 per month. 16 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 Benefits Information Committee. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. Healthcare Reform The parties recognize that certain State and Federal laws, programs and regulations, including the Affordable Care Act, may impact future medical plan offerings. In the event reform measures alter healthcare coverage options, cost, or other elements of healthcare services that materially alter the provisions of this MOU, either party may request to reopen Section 4(a)(2) regarding medical insurance for the purpose of discussing altemative approaches and proposals to providing healthcare coverage. In addition, should State or Federal laws concerning taxation of healthcare benefits change, the parties agree to meet and discuss the impact of such change. Additional Health Insurance/Programs IRS Section 125 Flexible Spending 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. An Association member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month 17 Minimum Benefit $15 (STD) and $100 (LTD) Waiting Period 30 Calendar Days (STD) 180 Calendar Days (LTD) Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1%) percent of base salary. Simultaneously, the City increased base wages by one (1%) percent. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit Retirement Formula The City contracts with 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: Tier 1: For employees hired by the City on or before November 23, 2012, the retirement formula shall be the 2.5% @ 55 calculated on the basis of the best/single highest year. Tier 2: For employees first hired by the City between November 24 and December 31, 2012, or hired on or after January 1, 2013 and are current members of the retirement system, as defined in Public Employees 18 Pension Reform Act, the retirement formula shall be 2% @ 60 calculated on the average 36 highest month's salary. Tier 3: For employees first hired by the City on or after January 1, 2013, and who do not meet the Tier 2 criteria, the retirement formula shall be 2.0%@62 calculated on the average 36 highest month's salary. 2. Employee Contributions The Association has agreed to share in the rising cost of pension obligations. Under the terms of this 2012-15 MOU, unit members will contribute additional amounts toward the PERS retirement benefit, to the extent permissible by law. Should any provision be deemed invalid, the City and Association agree to meet for the purpose of renegotiating employee retirement contributions. At the conclusion of this contract employees in each Tier will contribute 12.35% of pensionable pay toward the retirement benefit, representing a nearly 50% share in the total cost. 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 `PERSable" compensation, and will be made on a pre-tax basis through payroll deduction, to the extent allowable by the government tax code. It is recognized that these payments will not be reported to PERS as contributions toward either the member or employer rate and fall outside the scope of "cost -sharing", as provided under GC Section 20516(f). Tier 1 Employees: Effective upon MOU adoption, 1) Employees will continue to contribute 5.58% toward the Member Contribution and 2.42% toward the Employer Contribution for a total of 8%, as provided in prior agreement, and 2) the City will eliminate reporting the value of the 2.42% Employer Paid Member Contribution (EPMC) as special compensation. Effective the pay period including June 30, 2013, Tier 1 employees shall contribute an additional 1.45% of pensionable pay toward retirement costs pursuant to Government Code Section 20516 (f), for a total of 9.45%. Effective the pay period including June 30, 2014, Tier 1 employees shall contribute an additional 1.45% of pensionable pay toward retirement costs for a total of 10.90%; effective the pay period including June 30, 2015, Tier 1 employees shall contribute an additional 1.45% of pensionable pay toward retirement costs, for a total employee contribution of 12.35%. Tier 2 Employees: Effective upon MOU adoption, employees will continue to contribute the full 7.0% statutory PERS Member Contribution. Effective the pay period including June 30, 2013 Tier 2 employees shall contribute 19 an additional 2.45% of pensionable pay toward retirement costs pursuant to Government Code Section 20516(0, for a total of 9.45%. Effective the pay period including June 30, 2014, Tier 2 employees shall contribute an additional 1.45% of pensionable pay toward retirement costs; effective the pay period including June 30, 2015, Tier 2 employees shall contribute an additional 1.45% of pensionable pay toward retirement costs, for a total employee contribution of 12.35%. Tier 3 Employees: The minimum statutory employee contribution for employees in Tier 3 is subject to the provisions of the Public Employees Pension Reform Act of 2012 (PEPRA) and equals 50% of the "total normal cost". For FY12-13, the employee rate is 6.25% and is subject to change based on annual PERS actuarial valuations. Effective the pay period including June 30, 2013, in addition to the statutorily required 50% contribution of total normal costs, Tier 3 employees shall contribute an additional 3.20% of base pay toward retirement pursuant to Government Code Section 20516(0, for a total of 9.45%. If the FY13-14 member contribution rate for employees in Tier 3 is greater or less than 6.25%, as determined by PERS valuation, the additional contribution made by the employee under 20516(0 will be increased or decreased accordingly, such that the total contribution equals 9.45%. Effective the pay period including June 30, 2014, in addition to the statutorily required 50% contribution of total normal costs, Tier 3 employees shall contribute an additional 4.65% of pensionable pay toward retirement. If the FY14-15 member contribution rate for employees in Tier 3 is greater or less than 6.25%, as determined by PERS valuation, the additional contribution made by the employee under 20516(0 will be increased or decreased accordingly, such that the total contribution equals 10.9%. Effective the pay period including June 30, 2015, in addition to the statutorily required 50% contribution of total normal costs, Tier 3 employees shall contribute an additional 6.10% of pensionable pay toward retirement. If the FY15-16 member contribution rate for employees in Tier 3 is greater or less than 6.25%, as determined by PERS valuation, the additional contribution made by the employee under 20516(0 will be increased or decreased accordingly, such that the total contribution equals 12.35%. In the event pension reform is modified by State or Federal legislation, resulting in changes to previously negotiated terms, the parties agree to meet and confer to discuss subsequent changes to the contract. 20 The City contracts with PERS for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the pre -retirement option settlement 2 death benefit (Section 21546). 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, 2006. b. Category 2 - Active employees hired prior to January 1, 2006, whose age plus years of service as of January 1, 2006 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2006, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2006. d. Category 4 - Employees who had already retired from the City prior to January 1, 2006, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Program (formerly the Medical Expense Reimbursement Program "MERP"). a. For employees in Category 1, the program is structured as follows: 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 expense 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 21 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): 1 % of Salary. Part B contributions (employer contributions): $1.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31s` of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. Part C contributions (leave settlement as determined by Association): 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, except that Safety members and Non -safety members within an Association may have different levels. 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 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 50% of the amount that is cashed out added to the RHS, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The Association has decided to participate in Part C contributions at the level of zero percent (0%) Flex/Vacation and 0% Sick Leave. This amount may be changed, on a go 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 is not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the RHS Part C contributions, but only to the extent and within all the numeric parameters specified in the 22 Employee Policy Manual. Section 11.21 of the Manual contains a schedule, which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/flex leave participation, and thresholds must be separately identified by the Association. 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 years of vested City employment. At that time, the City will credit the first five 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. This right is triggered upon separation. If an employee leaves the City prior to five 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 years of employment. In such cases, the employee will receive exactly five 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 23 Revenue Ruling 2005-24, any balance remaining in the Employee Account after the 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 CaIPERS participating employer's contribution towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS 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 $100 per month for every month they contributed to the previous "defined benefit" plan, to a maximum of 15 years (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 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 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 $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 $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 $4,800 per year, accruing at the rate of $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 $75 per month for every month they contributed to the 24 previous plan prior to January 1, 2006, up to a maximum of 15 years (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 no cost share requirement, and the $400 City contribution after retirement can be used for any IRS authorized purpose, not iust City insurance premiums. Effective July 1, 2006, a RHS account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. 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. 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1% of salary on which PERS retirement is based (Part A); plus .25% of other compensation (Part B). Tuition Reimbursement NBEL members attending accredited community colleges, colleges, trade schools or universities, or recognized professional organizations or agencies, 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, seminars, or professional development programs. Maximum tuition reimbursement for employees shall be $1, 400 per fiscal year.. Effective January 1, 2013, reimbursement will increase by $100, for a maximum annual benefit of $1,500 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses, 25 All claims for tuition reimbursement require the approval of the Human Resources Director or designee. SECTION 5. Miscellaneous/Workinq Conditions 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 "Layoffs" or "Laid Off" shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions, Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 26 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department - wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees, Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. 27 REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation or age. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. 28 Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. D. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Municipal Operations Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. Effective the pay period beginning January 15, 2011, the 9/80 flex -schedule will be modified as follows: employees will have the option of alternating Fridays off only. Employees currently on a 9/80 schedule with alternating Mondays or any other day off, will convert to Fridays off beginning in January 2011. To ensure effective coverage, employees on the 9/80 schedule will be divided into groups A or B, with equal numbers of staff as much as possible, including management and supervisory staff, off on alternating Fridays. To ensure ongoing compliance with Fair Labor Standards Act, and to maintain organizational efficiency, deviations from established flex days, if legally permitted, will be considered on a case -by -case basis. 29 E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee -Employer Resolution2001-50. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. 30 Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resources Director within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Board's decision. The City Manager's decision shall be considered exhaustive of administrative remedies. 31 Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. Failure of Probation New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior 32 to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. 33 Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non -supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working 34 relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. P. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time, S. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T. Direct Deposit All newly hired employees shall participate in the payroll direct deposit system. U. Salary on Reclassification 35 The City will amend its Employee Policy Manual to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2012-13 through the last pay period of fiscal year 2014-15, Proposals for the succeeding MOU must be submitted on or before March 1, 2015 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2012-13. W. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. X Citywide Classification and Compensation Study Concurrent with the adoption of this MOU, the City is undergoing a comprehensive study of its classification and compensation structure. The City agrees to meet with the Association during this study to discuss preliminary findings or recommendations. The parties agree that during the term of this MOU the City may implement the findings and recommendations of this study regarding the compensation and classification of employees. Prior to adopting or implementing final recommendations, the City will meet and confer with the Association to discuss the possible impact on its members. Signatures are on the next page. 36 Executed this 4:1ay of , 2013: NEWPI T BF)CH EMPLOYEES LEAGUE i t By: Chris Auger, Pres dent By: John Partridge, Vice President Bv. By: CITY OF NEWPORT BEACH By: Keith Curry, Mayor ATTEST: Leilani Brown, City Clerk OVED AS TO FORM: \MA -- Aaron Harp, City Attorney 71(i C .Landii'Miller, Treasurer Jamie Newton, OCEA Representative Charles Barfield, OCEA epresentative 38 EXHIBIT A CLASSIFICATIONS COVERED UNDER THE NEWPORT BEACH EMPLOYEES LEAGUE BARGAINING UNIT Auto Paint & Body Mechanic Automotive Parts Buyer Automotive Stock Clerk Beach Maintenance Supervisor Concrete Finisher Concrete Maintenance Crew Chief Concrete Supervisor Electrician Electrical Services Crew Chief Electrical Services Supervisor Equipment Mechanic I Equipment Mechanic II Equipment Mechanic, Senior Equipment Maintenance Supervisor Equipment Operator I Equipment Operator II Facilities Maintenance Technician Facilities Maintenance Worker I Facilities Maintenance Worker II Facilities Maintenance Crew Chief Facilities Maintenance Supervisor Groundsworker I Groundsworker II Irrigation Specialist Maintenance Worker I Maintenance Worker II Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II Senior Services Van Driver Storm Drain/Street Sweeping Crew Chief Storm Drain/Street Sweeping Supervisor 38 Street Maintenance Crew Chief Street Maintenance Supervisor Traffic Painter Transfer Station Crew Chief Transfer Station Operator Utilities Crew Chief Utilities Equipment Specialist Utilities SCADA Coordinator Utilities SCADA Technician Utilities Specialist Utilities Specialist, Sr. Utilities Supervisor Utilities Video Technician Water Production Operator Water Production Supervisor Water Quality Coordinator 39 Side Letter to the Memoranda of Understanding between the City of Newport Beach and Several Newport Beach Employee Associations as well as Unrepresented Employees Since 2009 the City and its employee associations agreed upon the closure of the City Hall complex during the Christmas and New Year's Holiday period. The Newport Beach employee associations and the unrepresented group listed below acknowledge the need for the City to reduce expenditures and the City's leave accrual liability. The undersigned Associations and City jointly agree to close the City Hall complex and other non- essential facilities and functions between the Christmas and New Year's Holiday period (December 24, 2011 through January 2, 2012). Facility closures shall be cost neutral to the City and will not result in additional paid days/hours off. The City and the undersigned also agree that staff located at the City Hall complex and other non -essential employees will not have the option to work during this period, unless specifically requested by Department Directors and exclusively authorized by the City Manager or designee. Emergency Conditions requiring the activation of the Emergency Operations Center shall render this agreement invalid. The following guidelines will be applied to the closure: 1. Both Christmas Eve and New Year's Eve fall on a Saturday in 2011. Per applicable Memoranda of Understanding, the City provides half -day holidays (4 hours each) for Christmas Eve and New Year's Eve, which would otherwise be observed on December 23 and December 30 respectively. Under this agreement only, the two half -day holidays will be combined into one paid 8-hour holiday and observed on Friday, December 30. In conjunction, the City Hall complex will be open a full day on Friday, December 23, 2011. 2. Christmas Day and New Year's Day fall on a Sunday in 2011. As provided for in the current Memoranda of Understanding, the holiday will be observed the following Monday. Christmas Day will be observed on December 26, 2011 and New Year's Day will be observed on January 2, 2012. This results in only 3 full days (12/27, 12/28, and 12/29) that are required for employees to use Flex Leave during holiday closure. This is a one-time exception of the existing designated holiday schedule outlined in the current Memoranda of Understanding for each Association. 3. According to the City's Employee Policy Manual, an employee must be in paid status in order to receive holiday pay. Therefore, employees must either work or use flexible leave, vacation leave, administrative leave or compensatory time the day before and the day after the holiday in order to meet this requirement. The only day employees would be eligible to take leave w/out pay and still receive holiday pay would be Wednesday, December 28. 4. Employees who have completed their initial probationary period but do not have any accrued flexible leave, vacation leave, administrative leave or compensatory time will be required to take leave without pay. 5. Employees on a flexible schedule whose regularly scheduled day off is Friday, December 30, will take their regularly scheduled day off and bank the 8 hours of holiday pay to their Comp or Flex Leave Bank. Side Letter Agreement — Holiday Closure FY2011-12 Page 2 This agreement will help lower the liability on the City's books for leave balances and provide savings of utilities and other maintenance costs for fiscal year 2011-2012. This agreement shall not apply to Public Safety or essential functions that operate on a 24/7 basis regardless of scheduled holidays designated by existing MOU's and authorized for unrepresented employee groups. Any questions or requests for information shall be addressed to the Human Resources Department. /1 Executed this ,.i day of Aut_ I/(.St 2011. NEWPORT BEACH EMPLOYEE ASSOCIATIONS: City Employees' Association By: c Teresa Craig, President CI Firefighter's Association By: -6 0 7civ Brian McDonou 1 President Fire Management Association By: (3— Charles Duncan, President Key & Management Employees By: Mike Pisani Police Management Association By: Steve Rasmussen, President Approved Davis ¶TW City Attorney Newport Beach Employees' League By: Chris Auger, Preside Lifeguard Mana ement Association By: cWinfi Brent Jacob n, President Profess onal § Technical Employees' Assoc. By: i, President mAY6t rSbo tS Police Association By: A`Lca ,,;( David Syvoc , Pr ident FOR THE CITY OF NEWPORT BEACH: By: Ct.� Da iff, City Manager Leilani Brown, City Clerk 90CoS MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE July 1, 2010 through June 30, 2012 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2010 through June 30, 2012 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. — General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum 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 July 1, 2010. This MOU shall remain in full force and effect until June 30, 2012, 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. 1 2. 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. C. Release Time 1. Three NBEL officers designated by the NBEL shall collectively be granted 120 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. D. Employee Data and Access The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. E. Scope 1. 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. 2. 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. 2 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. 7173. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (j) 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. F. Conclusiveness With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. G. 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. H. Agency Shop 1. Unit employees, by majority vote, have elected for an Agency Shop provision. 2. The Association shall comply with all statutory and legal requirements regarding agency shop, should it be approved through the election process. This will include all requisite procedures for appeals, record -keeping, establishment of the service fee amount; designating acceptable charities pursuant to Section 3502.5 of the Government Code, etc. 3. Complying with agency shop provisions shall not be a condition of employment. Enforcement shall be the responsibility of the Association; utilizing appropriate civil procedures. The City will cooperate with Association efforts to achieve enforcement. The collection of Association dues and/or service fees shall continue to be handled through the payroll deduction process. 5. NBEL agree to defend, indemnify and hold harmless the City for its action pursuant to this section. SECTION 2. — Compensation A. Salary Effective January 1, 2012 salaries will be increased by an amount equal to the increase in the Consumer Price Index (CPI) Los Angeles/Orange County Urban Wage Earners Index for the 12 month commencing period of November 2010 with a minimum 1.5% increase and a maximum 3% increase. B. Overtime 1. Definitions 4 (a) Miscellaneous Employee - An employee designated as a Miscellaneous member of the Public Employees Retirement System (PERS). (b) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). (c) Incidental Overtime - Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (d) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Normal overtime for all non-exempt employees shall be paid at one -and - one -half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. Incidental overtime is not compensable. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays and pre -scheduled vacation or flex leave occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation (a) Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. (b) Standby duty compensation for Utility employees shall continue unchanged. Call -Back Duty Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5p.m. and 5a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. G. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 18%. H. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. Certification Pay Payment for State or governing body certifications will be made on a bi-weekly basis for League represented employees holding a valid and current certification in areas indicated below. Employees may submit proof of valid certificates, including renewals, by November 1e of each year. The bi-weekly payment for such eligible certificates will begin the first pay period in January of the following year. 1. Water or Wastewater Operator - Grade I - $110 Grade 11 - $220 Grade III - $330 Grade IV - $440 7 Backflow Certification - $220 3. Qualified Applicator Certificate - $110for each category up to a maximum of $330. 4. Smog License - $275 5. Fire Mechanic State Level I - $110 6. Fire Mechanic State Level 11 - $220 7. Certified Arborist - $110 8. ASE Certification - $55 each and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Drivers License, Class A - $220 10. Commercial Drivers License, Class B - $165 11. Public Works Certificates* I and II $200 (each). *18-20 Jr. College units each. Effective January 2011 Certificate Pay shall be modified as follows: 1. Employees holding valid certifications for any of the certificates listed below will be eligible for the bi-weekly payment effective the pay period beginning January 15, 2011. 2. The Water or Wastewater Operator Grade IV shall be increased to $540 annually. 3. Water or Wastewater Operator Grade V shall be added at $600 annually. 4. Cross Connection Specialist shall be added at $110 annually. 5. Water Utility Science certificates will be added at $200 annually (one certificate eligible - $200 max). The City will continue its practice of reimbursing employees for application, testing, and certification fees, who successfully complete certification examinations for the above listed certificates. 8 The City will continue its practice of reimbursing employees for required physicals when employees obtain/renew required Class A or 8 Drivers Licenses. J. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. SECTION 3. - Leaves A. Flex Leave 1. NBEL members shall accrue Flex leave at the following rates: Years of Continuous Service 1 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over Maximum Hrs Accrued per Allowable Pay Period Annual Days Balance (hours) 5.54 18 432.12 6.15 20 479.7 6.77 22 528.06 7.69 25 599.82 8.31 27 648.18 8.92 29 695.76 9.54 31 744.12 During the first six months of employment, new full-time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employee's account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employee's final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times (78) the member's bi-weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees first hired, or rehired by the City subsequent to July 1, 1996 shall not be eligible for flex leave spill over pay and shall not be entitled to accrue flex leave in excess of the flex leave accrual threshold. 3. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Service Accrual per pay period hrs 0 but less than 5 3.38 10 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week :40 hours Service Time 0-1 year 1-2 years 2-3 years 3-4 years Monthly Accrual 4 hours 5 hours 6 hours 7 hours 11 4+ 8 hours 2. Method of Use (a) General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and only for the purposes defined in Section 11.2 of the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. D. Holiday Leave Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas 12 July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st- 1 day Pursuant to a separate agreement, for 2010 only, the % day Christmas Eve and % day New Year's Eve holidays will be combined to make one full holiday to be observed on December 30, 2010. Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: (a) Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her Immediate Family. For the purposes of this section, Immediate Family shall mean father and mother (including step), brother, sister, wife, husband, child, grandparents and the Employee's spouse's father, mother, brother, sister, child and grandparents. 13 Maximum Allowed Such leave shall be limited to five (5) working days per incident. Leave Sellback Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. 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 Benefits Information Committee 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 group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $1049. In addition, the City shall contribute the minimum CaIPERS participating employers contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Any unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. Employees shall be allowed to change coverage in accordance with plan rules and during regular open enrollment periods. Effective the pay period beginning January 1, 2011, the City's contribution towards the Cafeteria Plan will increase to $1149 (plus the minimum CaIPERS participating employers contributions). 14 Effective the pay period including January 1, 2012, the City's contribution towards the Cafeteria Plan will increase to $1249 (plus the minimum CaIPERS participating employers contribution). NBEL 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. 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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. An Association member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month Minimum Benefit $50 15 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1%) percent of base salary. Simultaneously, the City increased base wages by one (1 %) percent. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. Existing Benefits The City contracts with PERS to provide retirement benefits for its employees. For employees in the current retirement tier, the retirement formula is the 2.5% @ 55, calculated on the basis of the best/highest year with the City reporting the value of the Employer Paid Member Contribution (EPMC). In addition, the City contracts for the 4th Level 1959 Survivor Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the Pre - Retirement Option 2 Death Benefit (Section 21548). Current retirement tier employees will pay an increased contribution toward the Member Contribution as follows: 1.5% January 1, 2011, 1.5% July 2. 2011, 1.58% the pay period that includes January 1, 2012. 2. The City will implement the 2% @ 60 retirement program with the average of the 36 highest paid consecutive months for newly hired employees 16 upon the conclusion of negotiations with all affected employee organizations. In addition these employees will pay the full 7% Member Contribution for the entire term of their employment. 3. Separate Agreement In addition to the amounts set forth in D.1 above, pursuant to a separate agreement unit members in the current retirement tier will continue to pay 3.42% toward the employee contribution (representing the entire 8% employee statutory contribution), 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, 2006. b. Category 2 - Active employees hired prior to January 1, 2006, whose age plus years of service as of January 1, 2006 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2006, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2006. d. Category 4 - Employees who had already retired from the City prior to January 1, 2006, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Medical Expense Reimbursement Program Plan (MERP). a. For employees in Category 1, the program is structured as follows: Each employee will have an individual MERP account for bookkeeping purposes, called his or her "Employee Account." This account will 17 accumulate contributions to be used for health care expense 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): 1 % of Salary. Part B contributions (employer contributions): $1.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31St of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. Part C contributions (leave settlement as determined by Association): 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, except that Safety members and Non -safety members within an Association may have different levels. 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 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 50% of the amount that is cashed out added to the MERP, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The Association has decided to participate in Part C contributions at the level of zero percent (0%) FlexNacation/Comp and 0% Sick Leave. This amount may be changed, on a go 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 is not eligible for Part C contributions. 18 Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the MERP Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule, which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/flex leave participation, and thresholds must be separately identified by the Association. 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 MERP Employee Account each pay period. Eligibility for Part B contributions is set at five years of vested City employment. At that time, the City will credit the first five 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. This right is triggered upon separation. If an employee leaves the City prior to five years employment, only the Part A contributions and Part C leave settlement contributions, if any, will be in the MERP 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 years of employment. In such cases, the employee will receive exactly five 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 MERP account at the time of separation. Distributions from MERP 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 19 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 MERP 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 death of the employee and his or her spouse and/or other authorized dependents (if any) must be forfeited. That particular MERP 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 CaIPERS participating employer's contribution towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS medical plan, or any other plan with a similar employer contribution requirement, the required City contribution will be withdrawn from the retiree's MERP 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 MERP accounts that equates to $100 per month for every month they contributed to the previous "defined benefit" plan, to a maximum of 15 years (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 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 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 $400 per month into each of their MERP 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 $100 per month to the plan for the duration of their employment to partially offset part of this expense to the 20 City. The maximum benefit provided by the City after retirement is $4,800 per year, accruing at the rate of $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 $75 per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of 15 years (180 months). This contribution will be made to the MERP 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 no cost share requirement, and the $400 City contribution after retirement can be used for any IRS authorized purpose, not just City insurance premiums. Effective July 1, 2006, a MERP account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. 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. 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1% of salary on which PERS retirement is based (Part A); plus .25% of other compensation (Part B). F. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement for employees shall be $1,400 per fiscal year. Reimbursement is contingent upon the 21 successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. SECTION 5. Miscellaneous/Working Conditions 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 1. "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by 22 superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 5. "Bumping Rights", "Bumping" or 'Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 23 In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation or age. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the 24 unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. D. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Municipal Operations Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. Effective the pay period beginning January 15, 2011, the 9/80 flex -schedule will be modified as follows: employees will have the option of alternating Fridays off only. Employees currently on a 9/80 schedule with alternating Mondays or any other day off, will convert to Fridays off beginning in January 2011. To ensure effective coverage, employees on the 9/80 schedule will be divided into groups A or B, with equal numbers of staff as much as possible, including management 25 and supervisory staff, off on alternating Fridays. To ensure ongoing compliance with Fair Labor Standards Act, and to maintain organizational efficiency, deviations from established flex days, if legally permitted, will be considered on a case -by -case basis. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. F. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution2001-50. 26 G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resources Director within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. 27 Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Manager's decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. 28 (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 29 The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. M. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. O. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be 30 expanded to include non -supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean- up time shall be limited to the actual needs of the employee. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. S. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T. Direct Deposit All newly hired employees shall participate in the payroll direct deposit system. 31 U. Salary on Reclassification The City will amend its Employee Policy Manual to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). V. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2010-2011 through the last pay period of fiscal year 2011- 2012. Proposals for the succeeding MOU must be submitted on or before March 1, 2012 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2010-2011. W. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Signatures are on the next page. 32 Executed this (y th'day of ti ' 2010: NEWPORT BEACH EMPLOYEES LEAGUE By: By: By: B B CITY OF NEWPORT BEACH ATTE T: eactiv1/4x, City Clerk APR OVER AS TO FORM. David Hunt, City Attorney rlt;"President CIL} Chris Aug - er Vice Presid�rt 411- andin Miller, Se reta Darren Foster, Treasurer John F5 ridge, Member -At -Large Larry Lykins, Representative 33 EXHIBIT A CLASSIFICATIONS COVERED UNDER THE NEWPORT BEACH EMPLOYEES LEAGUE BARGAINING UNIT Auto Paint & Body Mechanic Automotive Parts Buyer Automotive Stock Clerk Beach Maintenance Supervisor Concrete Finisher Concrete Maintenance Crew Chief Concrete Supervisor Electrician Electrical Services Crew Chief Electrical Services Supervisor Equipment Mechanic I Equipment Mechanic II Equipment Mechanic, Senior Equipment Maintenance Supervisor Equipment Operator I Equipment Operator II Facilities Maintenance Technician Facilities Maintenance Worker I Facilities Maintenance Worker II Facilities Maintenance Crew Chief Facilities Maintenance Supervisor Groundsworker I Groundsworker II Irrigation Specialist Maintenance Worker 1 Maintenance Worker II Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II Senior Services Van Driver Storm Drain/Street Sweeping Crew Chief Storm Drain/Street Sweeping Supervisor 34 Street Maintenance Crew Chief Street Maintenance Supervisor Traffic Painter Transfer Station Crew Chief Transfer Station Operator Utilities Crew Chief Utilities Equipment Specialist Utilities SCADA Coordinator Utilities SCADA Technician Utilities Specialist Utilities Specialist, Sr. Utilities Supervisor Utilities Video Technician Water Production Operator Water Production Supervisor Water Quality Coordinator 35 Side Letter to the Memoranda of Understanding between the City of Newport Beach and the Several Newport Beach Employee Associations and Unrepresented Employee Group In 2009, the City and its Employee Associations agreed upon the closure of the Civic Center complex during the Christmas and New Year's Holiday period. To support the City's ongoing efforts to meet its fiscal, managerial and operational goals, the Newport Beach Employee Associations and Unrepresented Group representatives listed below acknowledge the need for the City to reduce expenditures and the City's liability during Fiscal Year 2010-2011. The undersigned Associations and the City jointly agree to the closure of the Civic Center complex and other non -essential facilities and functions between the Christmas and New Year's Holiday period (December 24, 2010 through December 31, 2010). Facility shutdowns, including the Civic Center complex, shall be cost neutral to the City and will not result in additional paid days/hours off. The City and the undersigned also agree that the Civic Center complex and other non -essential employees will not have the option to work during this period, unless specifically requested by Department Directors and exclusively authorized by the City Manager, or designee. Emergency conditions requiring the activation of the Emergency Operations Center shall render this agreement invalid. The following guidelines will be applied to the closure: 1. Due to the holidays of Christmas and New Year's Day falling on Saturday, employees will work a full day on Thursday, December 23 and roll the designated 1/2 paid holiday from December 23 to Thursday, December 30, in order to make one complete paid holiday (8 hours). This results in only 3 full days (12/27, 12/28, and 12/29) that are required for employees to take off during the holiday closure. This is a one-time exception of the existing designated holiday schedule outlined in the current Memoranda of Understanding for each Association. 2. According to the City's Employee Policy Manual, an employee must be in paid status in order to receive holiday pay. Therefore, employees must use flexible leave, vacation leave, administrative leave or compensatory time the day before and the day after the holiday in order to meet this requirement. The only day employees will be eligible to take leave without pay and still receive holiday pay will be Tuesday, December 28. 3. Employees who have completed their initial probationary period, but do not have any accrued flexible leave, vacation leave, administrative leave or compensatory time will be required to take leave without pay. 4. Employees on a flexible schedule whose regularly scheduled day off falls between December 24, 2010 and December 31, 2010 will take their regularly scheduled day off. Employees in this category will only be required to take flexible leave, vacation leave, administrative leave or compensatory time for the alternate day they are scheduled to work. This agreement will help lower the liability on the City's books for leave balances and will provide for some savings in utilities and other maintenance costs for Fiscal Year 2010-2011. This agreement shall not apply to Public Safety personnel or essential functions that operate on a 24/7 basis, regardless of scheduled holidays designated by existing MOU's and authorized for unrepresented employee groups. Any questions or requests for information shall be addressed to the Human Resources Department. Signatures are on the next page. Executed this day of 2010 NEWPORT BEACH EMPLOYEE ASSOCIATIONS: CITY EMPLOYEES By: LkCA Teresa Craig, President FIREFIGHTERS ASSOCIATION By: %» 02/00� 5 tg, ,,_... Brian McD6nough, President FIRE MANAGEMENT By: C Charles Duncan, Vice - President KEY & V, ANAGEMENT EMPLOYEES By, Mike Pisani POLICE MANAGEMENT By: Mark Narnliltbn, President CITY OF NEWPORT BEACH By: !.� 4 Dav Kiff, City Manager LEAGUE EMPLOYEES By: LIFEGUARD MANAGEMENT By: Brent Jacobsen, 'resident PROFESSIONAL AND TECHNICAL By: Russell Bunim, President POLICE ((, By: N'��J�f David Syvoc , Pr ident APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY By: David R. Hunt, City Attoo EXHIBIT A Side Letter to the Memoranda of Understanding between the City of Newport Beach and the Several Newport Beach Employees Associations as well as Unrepresented Employee Groups In the spirit of unity and to support the City's ongoing efforts to meet its fiscal, managerial, and operational goals, the Newport Beach Employees Associations and Unrepresented Group representatives listed below acknowledge the need for the City to reduce expenditures and the City's liability during the Fiscal Year 2009-2010. The City has shared its budget challenges in an open manner and is hopeful that the resolution to the problem will be a collaborative effort. To that end, the undersigned Associations and the City jointly agree to the closure of City Hall and other non -essential facilities and functions between the Christmas and New Year's Holiday period (December 24, 2009 at 12:00 noon through and including January 1, 2010). Facility shutdowns, including City Hall, shall be cost neutral to the City and will not result in additional paid days/hours off. The City and the undersigned also agree that City Hall and other non -essential employees will not be given the option to work during this period, unless specifically requested by Department Directors and authorized by the City Manager. Emergency conditions requiring the activation of the Emergency Operations Center shall render this agreement invalid. The following guidelines will be applied to the closure: 1. Employees will be required to take flexible leave, vacation leave, administrative leave or compensatory time for the hours that they are scheduled to work from December 26, 2 009 through December 31, 2009. Scheduled paid holidays designated in existing Memoranda of Understanding (MOU) and authorized for unrepresented employee groups will not be affected. 2. Employees in their initial probationary period may choose to be advanced the leave time from their flexible leave bank for each day they are scheduled to work. 3. Employees who have completed their initial probationary period but do not have any accrued flexible leave, vacation leave, administrative leave or compensatory time will be required to take leave without pay. 4. Employees on a flexible schedule whose regularly scheduled day off falls between December 25, 2009 and January 1, 2010 would take their regularly scheduled day off. Employees in this category would only be required to take flexible leave, vacation leave, administrative leave or compensatory time for the alternate day they are scheduled to work. The goal of this current furlough is to lower the liability on the books for leaves taken, result in savings of utilities and other maintenance costs for fiscal year 2009/2010. This agreement shall not apply to Public Safety or essential functions that operate on a 24/7 basis regardless of scheduled holidays designated by existing MOU's and authorized for unrepresented employee groups. Signatures are on the next page. Executed this day of , 2009 NEWPORT BEACH EMPLOYEE ASSOCIATIONS: CITY EMPLOYEES 1 By:4 £ & Teresa Craig, Presi FIREFIGHTERS ASSOCIATION %&o By: C Chad Ponegalek, President FIRE NAGEMENNTT oZ C By: Ckist Dave Mais, President KEY & MANAGEMENT EMPLOYEE& By: Susan Giangrande or Mike Pisani CITY OF NEWPORT BEACH: 0 LEAGUE P� OYEES By: I Dusti Burnside, LIFEGUARD MANAGEMENT7$ By: 7 rent Jatibsen, President PROFESSIONAL AND TECHNICAL 24 fl By: w i Michael Wojciechowski, President POLICE EMPLOYEES By: David Syvock,Snt POLICE MANAGEMENT 24a,2 By: om Gazsi, President c-ao(os SUPPLEMENTAL MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE EMPLOYEES LEAGUE 1. This Supplemental Memorandum of Understanding (MOU) sets forth the agreement between the City of Newport Beach (City) and Employees League (League) for the implementation of the California Public Employees Retirement System 2.5% @ 55 retirement formula. The City and League agree as follows: 2. The 2.5% © 55 retirement program will be implemented on January 1, 2008. Plan options will remain unchanged. 3. Concurrently, the entire 3.42% cost of the plan change (2.42% employer and 1% employee) will be added to the employee's rate pursuant to Califomia Retirement Code Section 20516. This will bring the total employee contribution to 10.42%. The City will continue to pay 7% towards the employee share. Employees will pay the balance on a pre-tax basis pursuant to IRS Code Section 414(hX2). 4. Implementation of this agreement requires the affirmative vote of a majority of the City's Miscellaneous Retirement Plan Members. If this does not occur, the City and League will reopen negotiations on retirement issues only. 5. All other matters within the scope of representation are covered in the Memorandum of Understanding between the City and League dated July 1, 2007 through June 30, 2010 and successor Memoranda. 6. Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect. The City and League will meet and confer on those portions of the MOU found invalid. 7. The term of this Supplemental MOU will be for 10 years, from July 1, 2007 through June 30, 2017. Neither party shall attempt to amend the provisions contained herein during this 10-year term. Signatures are on the next page. Executed this day of .Ccrf 6Mit°r , 2007: NEWPORT BEACH EMPLOYEES LEAGUE By: Tim B e President B ecret By: / Darren Foster, Treasurer B Larry Lyk' s, Staff City Clerk APP,; o ED AS TO FORM: City Attorney MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2007 to June 30, 2010 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. — General Provisions A. Recoanition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum 1. 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 July 1, 2007. This MOU shall remain in full force and effect until June 30, 2010, 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. 1 2. 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. C. Release Time 1. Three NBEL officers designated by the NBEL shall collectively be granted 120 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. D. Employee Data and Access The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. E. Scope 1. 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. 2. 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. 2 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. 7173. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; and (j) 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. F. Conclusiveness With the exception of a separate MOU covering retirement issues, this MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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, 3 any statement, representation or agreement reached prior to the execution of this MOU and not set forth herein. G. 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. H. Agency Shop 1. Unit employees, by majority vote, have elected for an Agency Shop provision. 2. The Association shall comply with all statutory and legal requirements regarding agency shop, should it be approved through the election process. This will include all requisite procedures for appeals, record -keeping, establishment of the service fee amount; designating acceptable charities pursuant to Section 3502.5 of the Government Code, etc. 3. Complying with agency shop provisions shall not be a condition of employment. Enforcement shall be the responsibility of the Association; utilizing appropriate civil procedures. The City will cooperate with Association efforts to achieve enforcement. 4. The collection of Association dues and/or service fees shall continue to be handled through the payroll deduction process. 5. NBEL agree to defend, indemnify and hold harmless the City for its action pursuant to this section. SECTION 2. — Compensation A. Salary Effective the pay period beginning June 23, 2007, salaries shall be increased by 2%. Effective the pay period beginning December 22, 2007, salaries shall be increased by 2.5%. 4 Effective the pay period beginning June 21, 2008, salaries shall be increased by 2.5%. Effective the pay period beginning June 20, 2009, salaries shall be increased by 4%. In addition to the increases set forth above, the Equipment Operator I salary shall be increased by 5%, effective June 23, 2007. B. Overtime 1. Definitions (a) Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). (b) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). (c) Incidental Overtime - Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (d) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Normal overtime for all non-exempt employees shall be paid at one -and - one -half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays and pre -scheduled vacation or flex leave occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. 5 C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. 6 E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5p.m. and 5a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. G. Differential Pav for One Man Packer The differential pay for the operation of a one man packer shall be 18%. H. Acting Pav NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. 7 I. Certification Pay Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade I - $110 Grade II - $220 Grade III - $330 Grade IV - $440 2. Backflow Certification - $220 3. Qualified Applicator Certificate - $110. for each category up to a maximum of $330. 4. Smog License - $275 5. Fire Mechanic State Level I - $110 6. Fire Mechanic State Level II - $220 7. Certified Arborist - $110 8. ASE Certification - $55 and $220 for possessing a current ASE Master Truck Technician and $220 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Drivers License, Class A - $220 10. Commercial Drivers License, Class B - $165 11. Public Works Certificates* I and II $200 (each). *18-20 Jr. College units each. J. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. 8 SECTION 3. - Leaves A. Flex Leave 1. NBEL members shall accrue Flex leave at the following rates: Years of continuous Accrual per Annual Service pav period/hrs Days 1 but Tess than 5 5.54 18 5 but less than 9 6.15 20 9 but less than 12 6.77 22 12 but less than 16 7.69 25 16 but less than 20 8.31 27 20 but less than 25 8.92 29 25 and over 9.54 31 During the first six months of employment, new full-time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employee's account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employee's final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 2. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times (78) the member's bi-weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash (spill over pay) at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees first hired, or rehired by the City subsequent to July 1, 1996 shall not be eligible for flex leave spill over pay and shall not be entitled to 9 accrue flex leave in excess of the flex leave accrual threshold. 3. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Service Accrual per pay period hrs 0 but Tess than 5 5 but Tess than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those eamed for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 10 3. Method of Use Vacation may not be taken in excess of that actually accrued. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular Full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use (a) General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. 11 (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and only for the purposes defined in Section 11.2 of the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. D. Holiday Leave 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January July 1st- 1 day In 2007 only, Christmas Eve and New Year's Eve will be observed as full day holidays. 12 Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pav Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: (a) Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her Immediate Family. For the purposes of this section, Immediate Family shall mean father and mother (including step), brother, sister, wife, husband, child, grandparents and the Employee's spouse's father, mother, brother, sister, child and grandparents. 2. Maximum Allowed Such leave shall be limited to five (5) working days per incident. F. Leave Sellback Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. 13 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 Benefits Information Committee 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 group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $774. In addition, the City shall contribute the minimum CaIPERS participating employers contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Any unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. Employees shall be allowed to change coverage in accordance with plan rules and during regular open enrollment periods. Effective the pay period beginning December 22, 2007, the City's contribution towards the Cafeteria Plan will increase to $874 (plus the minimum CaIPERS participating employers contributions). Effective the pay period beginning December 20, 2008, the City's contribution towards the Cafeteria Plan will increase to $974 (plus the minimum CaIPERS participating employers contribution). Effective the pay period beginning December 19, 2009, the City's contribution towards the Cafeteria Plan will increase to $1,049 (plus the minimum CaIPERS participating employers contribution). NBEL members who do not want to enroll in any medical plan offered by the City must provide evidence of group medical insurance coverage, and 14 execute an opt -out agreement releasing the City from any responsibility or liability to provide medical insurance coverage on an annual basis. 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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. An Association member may request that medical, child care and other eligible expenses be paid or reimbursed by the Section 125 Plan out of the employee's account. The taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month Minimum Benefit $50 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. 15 Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1%) percent of base salary. Simultaneously, the City increased base wages by one (1 %) percent. 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 terminates from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. Existing Benefits The City contracts with PERS to provide retirement benefits for its employees. The retirement formula is the 2% @ 55, calculated on the basis of the best/highest year. The City pays both the employee and the employer contribution, but the City reports the value of the Employer Paid Member Contribution (EPMC), so the employees will have the benefit of the EPMC in their retirement formula calculations. In addition, the City contracts for the 4th Level 1959 Survivor Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustment and the Pre -Retirement Option 2 Death Benefit (Section 21548). 2. Separate MOU Pursuant to a separate MOU between the City and Association the City will implement the 2.5%@55 retirement formula, effective January 1, 2008. 16 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, 2006. b. Category 2 - Active employees hired prior to January 1, 2006, whose age plus years of service as of January 1, 2006 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2006, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2006. d. Category 4 - Employees who had already retired from the City prior to January 1, 2006, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Medical Expense Reimbursement Program Plan (MERP). a. For employees in Category 1, the program is structured as follows: Each employee will have an individual MERP account for bookkeeping purposes, called his or her "Employee Account." This account will accumulate contributions to be used for health care expense 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): 1 % of Salary. 17 Part B contributions (employer contributions): $1.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31st of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. Part C contributions (leave settlement as determined by Association): 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, except that Safety members and Non -safety members within an Association may have different levels. 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 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 50% of the amount that is cashed out added to the MERP, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The Association has decided to participate in Part C contributions at the level of zero percent (0%) flex and sick leave. This amount may be changed, on a go 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 except that Safety members and Non - safety members within an Association may have different levels. 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 is not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the MERP Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule, which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours 18 are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/flex leave participation, and thresholds must be separately identified by the Association. 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 MERP Employee Account each pay period. Eligibility for Part B contributions is set at five years of vested City employment. At that time, the City will credit the first five 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. This right is triggered upon separation. If an employee leaves the City prior to five years employment, only the Part A contributions and Part C leave settlement contributions, if any, will be in the MERP 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 years of employment. In such cases, the employee will receive exactly five 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 MERP account at the time of separation. Distributions from MERP 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 MERP 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 death of the employee and his or her spouse and/or other authorized dependents (if any) must be forfeited. That particular MERP 19 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 towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS medical plan, or any other plan with a similar employer contribution requirement, the required City contribution will be withdrawn from the retiree's MERP 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 MERP accounts that equates to $100 per month for every month they contributed to the previous "defined benefit" plan, to a maximum of 15 years (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 eamed in the interim. Employees in Category 2 who had less than five 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 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 $400 per month into each of their MERP 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 $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 $4,800 per year, accruing at the rate of $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 $75 per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of 15 years (180 months). This contribution will be made to the MERP account at the time of 20 retirement, and only if the employee retires from the City. No interest will be eamed 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 no cost share requirement and the $400 City contribution after retirement can be used for any IRS authorized purpose. not lust City insurance premiums. Effective July 1, 2006, a MERP account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. 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. 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1% of salary on which PERS retirement is based (Part A); plus .25% of other compensation (Part B). F. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement for employees shall be $1,400 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. 21 SECTION 5. Miscellaneous/Working Conditions A. Reductions in Force/Lavoffs 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 1. "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; and (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 22 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority. 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. 23 REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation or age. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. 24 Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. D. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Department and General Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff 25 person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. F. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution #7173. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, 26 forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resources Director within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Manager's decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. 27 Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. I. Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to retum to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. 28 J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. L. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are wom out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. 29 M. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be wom in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial driver's license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. O. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non -supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. P. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean- up time shall be limited to the actual needs of the employee. 30 Q. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. S. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T. Direct Deposit All newly hired employees shall participate in the payroll direct deposit system. U. Salary on Reclassification The City will amend its Employee Policy Manual to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). V. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2007-2008 through the last pay period of fiscal year 2009- 2010. Proposals for the succeeding MOU must be submitted on or before March 1, 2010 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of 31 Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2007-2008. W. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Signatures are on the next page. 32 Executed this Mil day of ATTES 4714,,t City Clerk �'p+cmbe NEWPORT BEACH EMPLOYEES LEAGUE By: B By: F James Randal, _, 2007: e President PaTrick Newett, Secretary, By: . arren Foster, Treasurer /77, Ai(ti-Lat.,2 APPRQWED AS TO FORM: City Attorney 33 34 EXHIBIT A CLASSIFICATIONS COVERED UNDER THE NEWPORT BEACH EMPLOYEES LEAGUE BARGAINING UNIT Auto Paint & Body Mechanic Automotive Parts Buyer Automotive Stock Clerk Beach Maintenance Supervisor Carpenter Concrete Finisher Concrete Maintenance Crew Chief Concrete Supervisor Electrician Electrical Services Crew Chief Electrical Services Supervisor Equipment Maintenance Supervisor Equipment Mechanic Equipment Mechanic II Equipment Mechanic, Senior Equipment Operator I Equipment Operator II Facilities Maintenance Worker Facilities Maintenance Worker 11 Facilities Maintenance Crew Chief Facilities Maintenance Supervisor Groundsworker I Groundsworker II Irrigation Specialist Maintenance Worker I Maintenance Worker II Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Crew Chief Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II Senior Services Van Driver Sign & Paint Shop Technician 35 Storm Drain/Street Sweeping Crew Chief Storm Drain/Street Sweeping Supervisor Street Maintenance Crew Chief Street Maintenance Supervisor Traffic Painter Transfer Station Operator Transfer Station Crew Chief Tree Maintenance Services Technician Utilities Crew Chief Utilities Equipment Specialist Utilities SCADA Coordinator Utilities SCADA Technician Utilities Specialist Utilities Supervisor Utilities Video Technician Water Production Operator Water Production Coordinator Water Production Supervisor 36 AGREEMENT BETWEEN THE NEWPORT BEACH EMPLOYEES LEAGUE (THE NBEL) AND THE CITY OF NEWPORT BEACH (THE CITY) DEALING WITH "AGENCY SHOP" This Agreement is made and entered into by and between the Newport Beach Employees League (hereinafter referred to as "NBEL") and the CITY OF NEWPORT BEACH (hereinafter referred to as "City') to implement SB 739 (amending Govemment Code Section 3500 et seq.) with respect to the following facts: (a) The NBEL has requested that City conduct an election to determine if the members of the bargaining unit desire to implement the provisions of an agency shop. (b) The NBEL and City have agreed on the process for determining if an agency shop will be implemented. NOW, THEREFORE, the parties hereto agree as follows: 1. Election The NBEL and the City shall jointly conduct a secret ballot election to be held on Tuesday, May 22, 2007 to which the City and NBEL will invite, in writing, each eligible bargaining unit member, whether or not he/she is a current NBEL dues paying member. NBEL and City shall allow absentee ballots to be used provided that both agree on the process utilized. All eligible unit members shall be allowed to participate during discussion and voting, irrespective of current membership in the NBEL. All ballots, including absentee ballots, shall be counted jointly by a representative of the NBEL and a representative of the City at the conclusion of the meeting and a simple majority of votes cast shall prevail. The parties agree that the joint monitoring of the election by the City and the NBEL satisfies the requirement of the law that the election be conducted by a "neutral party" by agreement. 2. Eligible Persons Persons eligible to vote shall include all persons that are part of the Construction and Maintenance bargaining unit. 3. Information in Election Notice The parties shall jointly review and agree to all election materials prior to distribution to the employees. • • 4. Procedures if the Election Determines that an Agency Shop will be implemented (a) The City shall provide all current full-time employees and any full-time employees hired thereafter, with an authorization notice advising them that Agency Shop for the NBEL has been enacted pursuant to state law and an agreement exists with the NBEL, and all employees subject to the Agreement must either join the NBEL, pay a service fee to the NBEL or execute a written declaration claiming a religious exemption from this requirement. Such notice shall include a form for the employee's signature authorizing a payroll deduction of NBEL dues, a service fee or a charitable contribution equal to the service fee. Said employees shall have 14 calendar days from the date they receive the form to fully execute it and return it to the City Human Resources Department. (b) If the form is not completed properly or retumed within 14 calendar days, the City shall commence and continue a payroll deduction of service fees from the regular biweekly paychecks of such employee. The effective date of NBEL dues, service fee, or charitable contribution shall begin no later than the beginning of the first pay period commencing 14 calendar days after receipt of the authorization form by the employee. (c) The employee's earnings must be sufficient after the other legal and required deductions are made to cover the amount of the dues or fees authorized. When an employee is in a non -payroll status for an entire pay period, no withholding will be made to cover the pay period from future eamings. In the case of an employee who is in a non -pay status only during part of the pay period, a proportionate deduction shall be made. 5. Religious Exemption (a) Any employee who is a member of a bona fide religion, body or sect that has historically held conscientious objections to joining or financially supporting public employee organizations shall not be required to join or financially support any public employee organization as a condition of employment. The employee may be required, in lieu of periodic dues, initiation fees or agency shop fees, to pay sums equal to the dues, initiation fees or agency shop fees to a nonreligious, nonlabor charitable fund exempt from taxation under Section 501(c)(3) of the Internal Revenue Code, chosen by the employee from a list of at least three of these funds, designated as Exhibit A in this Agreement between the City and the NBEL, or if this Agreement fails to designate the funds, then to any such fund chosen by the employee. Proof of the payments shall be made on a monthly basis to the City as a condition of continued exemption from the requirement of financial support to the NBEL. (b) Declaration of or applications for religious exemption and any other supporting documentation shall be forwarded to the NBEL within 14 calendar days of receipt by the City. The NBEL shall have 14 calendar days after receipt of a request for religious exemption to challenge any exemption granted by the City. If challenged, the deduction to the charity of the employee's choice shall commence but shall be held in escrow pending resolution of the challenge. Charitable contributions shall be made by regular payroll deductions only. 6. Records The NBEL shall keep an adequate itemized record of its financial transactions and shall make available annually, to the City, and to the employees who are members of the organization, within 60 days after the end of its fiscal year, a detailed written financial report thereof in the form of a balance sheet and an operating statement, certified as to accuracy by its president and treasurer or corresponding principal officer, or by a certified public accountant. An employee organization required to file financial reports under the Labor -Management Disclosure Act of 1959 covering employees governed by this chapter, or required to file financial reports under Section 3546.5, may satisfy the financial reporting requirement of this section by providing the City with a copy of the financial reports. 7. Indemnification The NBEL shall indemnify, defend and hold the City harmless against any liability arising from any claims, demands, or other action relating to the City's compliance with the agency fee obligation including claims relating to the NBEL's use of monies collected under these provisions. 8. Rescission The agency shop provision in this Agreement may be rescinded by a majority vote of all the employees in the unit covered by the memorandum of understanding provided that: (a) A request for such a vote is supported by a petition containing the signatures of at least 30 percent of the employees in the unit; (b) The vote is by secret ballot; (c) The vote may be taken at any time during the term of the memorandum of understanding, but in no event shall there be more than one rescission vote taken during that term. Notwithstanding the above, the City and the NBEL may negotiate, and by mutual agreement provide for, an altemative procedure or procedures regarding a vote on an agency shop agreement. (d) If a "rescission vote" is approved by unit members during the term of a current memorandum of understanding, the NBEL agrees not to petition for or seek Agency Shop status for the duration of the current memorandum of understanding. The parties hereto have caused this Agreement to be executed the 9th day of May 2007. City of Newport Beach Approved as to form: City Attorney Dated: Newport Beach Employees League Dated: 519 )07 By: Dave i� ff Assistant Cit Manager Y g • SUPPLEMENTAL MEMORANDUM OF UNDERSTANDING This Supplemental Memorandum of Understanding (SMOU) modifies the Memorandum of Understanding (MOU) between the City of Newport Beach and the Newport Beach Employees League for the term commencing July 1, 2005 and concluding June 30, 2007, and the SMOU between the parties executed December 13, 2005. SECTION 2 — Retiree Health Benefits is amended to read as follows Effective December 24, 2005 iii. Part C contributions (leave settlement as determined by Association): The Association has determined that the level of contribution for all employees it represents will be 0% of sick and flex leave. Any future changes are 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. The computation of the cash equivalent for leave hours to be included in the MERP will be the same as the computation used when leave is "cashed out" for other reasons. However, individual employees must not have the option of receiving compensation for the value of the same leave hours in the form of cash. For example, if the Association wishes to specify 50% of the leave balance as the participation level, then each member leaving the City would have the cash equivalent of 50% of whatever balance is in his or her leave account added to the MERP, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Again, individual employees would not have the option to deviate from this breakout. If the Association decides to participate in Part C contributions, at any level, this same level of participation is mandatory for any conversion of leave to cash by its members, with the exception of "spillover" amounts above the maximum accumulation balance. No such spillover payments will be included in Part C contributions. Use of leave for time off purposes is not constrained by this prohibition. Sick leave balances may also be included in the MERP, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/flex leave participation, and thresholds must be separately identified by the Association. All other provisions of the MOU and SMOU executed December 13, 2005 remain in effect. Executed this o?3'dday of 2007. NEWPORT BEACH EMPLOYEES LEAGUE By: CITY OF NEWPORZBEACH By: Mayor ATTEST: APPROVED AS TO FORM: i SUPPLEMENTAL MEMORANDUM OF UNDERSTANDING This Supplemental Memorandum of Understanding (SMOU) mddifies the Memorandum of Understanding (MOU) between the City of Newport Beach (City) and the Newport Beach Employees League (League) for the term commencing July 1, 2005 and concluding June 30, 2007. The City and League have agreed on a revised Retiree Health Benefit Program, and Section 4.E. of the MOU is revised as follows: Prior to December 24, 2005 The retiree medical program shall be as set forth in the MOU between the City and League. 2. Effective December 24, 2005 The retiree health benefits program shall be as follows. a. Overview A new Defined Contribution Plan will be established to set aside funds for employee medical expenses during retirement. This plan will replace the existing Defined Benefit Plan ("old plan"), which will be phased out. The plan will be a Medical Expense Reimbursement Plan ("MERP") funded through an Integral Part Trust (IPT). b. Structure Each employee will have an individual MERP account for bookkeeping purposes, called his or her "Employee Account." This account will accumulate contributions to be used for health care expense after retirement. 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. i. Part A contributions (mandatory employee): 1% of Salary. 1 ii. Part B contributions (employer for employees fully converting to new plan): $1.50 per month for each year of service plus year of age (updated every January 15t based on status as of December 31st of the prior year). iii. Part C contributions (leave settlement as determined by League): The League has determined that the level of contribution for all employees it represents will be 0% of sick and flex leave. Any future changes are subject to the following constraints. All employees within the League 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. The computation of the cash equivalent for leave hours to be included in the MERP will be the same as the computation used when leave is "cashed out" for other reasons. However, individual employees must not have the option of receiving compensation for the value of the same leave hours in the form of cash. For example, if the League wishes to specify 50% of the leave balance as the participation level, then each member leaving the City would have the cash equivalent of 50% of whatever balance is in his or her leave account added to the MERP, on a pre-tax basis. The remaining 50% would be paid in cash as taxable income. Again, individual employees would not have the option to deviate from this breakout. If the League decides to participate in Part C contributions, at any level, its members will not have the right to voluntarily convert leave to cash for one full year prior to retirement, other than "spillover" of amounts above the maximum accumulation balance. However, taking leave for time off purposes would not be constrained. Sick leave balances may also be included in the MERP, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation/flex leave participation, and thresholds must be separately identified by the League. 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 MERP Employee Account each pay period. Eligibility for Part B contributions is set at five years of City employment. At that time, the City will credit the first five years worth of Part B contributions into the Employee Account (interest does not accrue during that period). Thereafter, contributions are made monthly. Part C deposits, if any, will be made at the time of employment termination. Each Employee has a right to reimbursement of medical expenses (as defined below) from the Plan until the Employee Account balance is zero. This right is triggered upon retirement. If an employee leaves the City prior to five years employment, only the Part A contributions and Part C leave settlement contributions, if any, will be in the MERP Employee Account. An employee who leaves City employment within the first five years will not be entitled to any Part B contributions. Distributions from MERP Employee Accounts are restricted to use for health insurance and medical care expenses after retirement, 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 MERP 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 death of the employee and his or her spouse and/or other authorized dependents (if any) must be forfeited. That particular MERP 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 CaIPERS participating employer's contribution towards medical insurance after retirement. The parties also agree that, for retirees selecting a CaIPERS medical plan, or any other plan with a similar employer contribution requirement, the required City contribution will be withdrawn from the retiree's MERP account. c. Employee Participation i. New Employees Participation in the new plan is mandatory from the onset of employment. New employees will make no contributions to the old plan. ii. Conversion Threshold for Current Employees Members whose age plus years of service equal 49 or less at the time of implementation must convert to the new plan. Those with age plus years of service of 50 or more have the option of fully converting or remaining in the old plan with modified participation in the new plan. iii. Current Employees Fully Converting to New Plan 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 IPT accounts that equates to $100 per month for every month they contributed to the current plan, to a maximum of 15 years (180 months). This contribution will be made at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. Employees in this category will make no further contributions to the existing plan, and will no longer participate in it. The parties agree that this one time payment by the City satisfies the requirement in paragraph E.4.b. of Section 4 (Fringe Benefits) of the previous MOUs regarding an accounting and potential distribution of contributions upon discontinuation of the previous version of the Retiree Medical Program. ., • • iv. Current Employees Continuing to Participate in Some Elements of Old Plan Employees in this category will contribute a flat $100 per month to the old plan for the duration of their employment. The maximum benefit provided by the old plan at retirement is $4800.00 per year, accruing at the current rate of $400.00 per month. City share of each retiree's cost may be used for anything authorized for the IPT program, rather than just for Insurance Premiums for one of the City plans. There is no cash out option for these funds. Employees remaining on the old plan will also participate in the IPT program, with Part A contributions being mandatory; no Part B contributions; and Part C contributions if applicable. Employees in this category will also receive an additional one- time City contribution of $75 per month for every month they contributed to the old plan prior to the date of implementation of the new program, up to a maximum of 15 years (180 months). This contribution will be made to the IPT account at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. d. Retroactivity Limited retroactivity is provided for employees who retired from the City during the period covered by the contract in which this new program is implemented, but before the program is implemented. For those employees who retired under the old program during this period, the provision for increased flexibility in the use of the $4800.00 maximum (accruing at $400 per month) benefit will apply. In addition, a MERP account will be opened for each employee in this category, and a contribution of $75 per month for each month of prior contribution to the old plan will be deposited by the City. . No other provisions of the new program are applicable to employees in this category, and no provisions of the program are applicable to any other existing retirees. e. Administration A vendor will be selected by the City to administer the MERP. 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 5 w investment actions taken by each employee, such as fees or commissions for trades, will be paid by each employee. The City's Deferred Compensation Committee will have the authority to determine investment options that will be available through the plan. f. Value of Benefit For all purposes, the MERP shall be valued at 1 % of salary on which PERS retirement is based (Part A); plus .25% of other compensation (Part B). The following language shall be added to Section 2.A — Salary: Effective the pay period beginning December 24, 2005 (concurrent with the implementation of the revised retiree medical benefit), salaries shall be increased by 1%. Except as modified by this SMOU, the MOU between the City and League remains in full force and effect. Executed this ' _lhday of Deoeml?r, gco5 NEWPORT ` ACH EMPLOYEES LEAGUE James Randal, P esident CITY OF NEWPORT BEA By: Mayor ATTEST: La Vonne Harkless, City Clerk Robin Clauson, City Attorney MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2005 to June 30, 2007 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. — General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. Duration of Memorandum 1. 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 July 1, 2005. This MOU shall remain in full force and effect until June 30, 2007, 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. 2. 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. C. Release Time 1. Three NBEL officers designated by the NBEL shall collectively be granted 120 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3.. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. D. Employee Data and Access The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. Scope 1. 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. 2. 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. • 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. 7173. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; (j) 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. F. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore. for the life 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 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. G. 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. H. Organizational Security Employees who are members of the NBEL or become members shall be required to maintain membership, or maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the City from any and all claims arising from this article. SECTION 2. — Compensation A. Salary Effective the pay period beginning June 25, 2005, salaries shall be increased by 5%. Effective the pay period beginning June 24, 2006, salaries shall be increased by 3%. Overtime 1. Definitions (a) Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). (b) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday • • and ending at midnight the following Friday (or as otherwise designated by the City Manager). (c) Incidental Ovprtime - Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (d) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Normal overtime for all non-exempt employees shall be paid at one -and - one -half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 2. Compensation Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. D. Call -Back Dutv $ 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. 6 a • In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. G. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 18.0%. H. Acting Pav NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41 st hour worked in the higher classification. Certification Pay Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade I - $110.00 Grade 11 - $220.00 Grade III - $330.00 Grade IV - $440.00 Backflow Certification - $220.00 Qualified Applicator Certificate - $110.00 for each category up to a maximum of $330.00. 4. Smog License - $275.00 5. Fire Mechanic State Level I - $110.00 Fire Mechanic State Level II - $220.00 7. Certified Arborist - $110.00 8. ASE Certification - $55.00 per certification up to a maximum of eight and $220.00 for possessing a current ASE Master Truck Technician and $220.00 for possessing a current ASE Master Automobile Technician certification. $ 9. Commercial Drivers License, Class A - $220.00 10. Commercial Drivers License, Class B - $165.00 J. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. SECTION 3. - Leaves A. Flex Leave Effective the pay period beginning June 25, 2005, NBEL members hired on or after September 1, 1997 shall accrue flex leave at the same rate as members hired prior to September 1, 1997. NBEL members shall accrue Flex leave at the following rates: Years of continuous Service Accrual per Annual pay period/hrs Days 1 but less than 5 5.54 18 5 but less than 9 6.15 20 9 but less than 12 6.77 22 12 but less than 16 7.69 25 16 but less than 20 8.31 27 20 but less than 25 8.92 29 25 and over 9.54 31 During the first six months of employment, new full-time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employee's account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days s advanced from the employee's final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 2. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times the member's bi-weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 3. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: 9 • • Years of Continuous Service 0 but less than 5 5 but Tess than 9 9 but Tess than 12 12 but Tess than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation Accrual per pay period hrs 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31 st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued and in no case, except for entry-level employees, may it be taken prior to the completion of an employee's initial probationary period. Entry level employees may use vacation after the completion of the initial twelve (12) months of probation. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: 10 Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use (a) General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and only for the purposes defined in Section 11.2 of the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. D. Holiday Leave Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day , Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 lst Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January (1) Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: (a) Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. (c) "Floating Holiday" eligibility allows for newly hired employees to earn their first floating holiday credit, eight (8) hours, at the same time as they receive their regular appointment status, which allows the successful completion of their probationary period. 12 • • E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as folioyvs: 1. Defined The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her Immediate Family. For the purposes of this section, Immediate Family shall mean father, mother, brother, sister, wife, husband, child, father-in-law, mother-in-law, brother-in-law, sister-in-law, spouse's child and grandparents. 2. Maximum Allowed Such leave shall be limited to five (5) working days per incident. F. Leave Sel!back Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. 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 Benefits Information Committee 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 group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $674.In addition, the City 13 shall contribute the minimum CaIPERS participating employers contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Employees shall be allowed to change coverages in accordance with plan rules and during regular open enrollment periods. Any unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. NBEL 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. Effective the pay period beginning December 24, 2005, the City's contribution towards the Cafeteria Plan.. will increase to $724 (plus the minimum CaIPERS participating employers contributions). Effective the pay period beginning December 23, 2006, the City's contribution towards the Cafeteria Plan will increase to $774 (plus the minimum CaIPERS participating employers contribution). 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. B. Additional Health Insurance/Programs IRS Section 125 Flexible Spending 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 14 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 taxable salary of the employee vlill be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month Minimum Benefit $50 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1.0%) percent of base salary. Simultaneously, the City increased base wages by one (1.0%) percent. 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. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. 15 D. The Retirement Benefit 1. Existing Benefits The City contracts with PERS to provide retirement benefits for its employees. The retirement formula is the 2% @ 55, calculated on the basis of the best/highest year. The City pays both the employee and the employer contribution, but the City reports the value of the Employer Paid Member Contribution (EPMC), so the employees will have the benefit of the EPMC in their retirement formula calculations. In addition, the City contracts for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit, 2% Cost of Living Adjustmentand the pre -retirement optional settlement 2 death benefit (Section 21548). 2. Reopener The parties agree to reopen negotiations on a possible retirement plan enhancement after receipt of retirement rates for the period beginning July 2006. Any negotiated change must be cost neutral to the City. Retiree Health Benefits Program 1. Eligibility The City provides retiree health benefits for employees who retire from the City with seven or more continuous years of service and become PERS annuitants. Retirees must be enrolled in a City -sponsored medical plan at the time of retirement to be eligible for the City's contribution. Retirees are eligible for the City's contribution towards coverage for themselves and one dependent (2-party coverage). Enrollment of additional dependents is allowed and the cost to cover more than one dependent is the sole responsibility of the retiree. In the event of the death of the retiree, only a dependent spouse will be allowed to continue coverage. Cancellation of coverage by the retiree at any time, including cancellation due to failure to pay the required monthly premiums, will render the retiree and dependents ineligible for any and all portions of the City's Retiree Health Benefits Program from the date of cancellation forward. This eligibility requirement does not preclude future enrollment in the CalPERS Health Benefits Program, but discontinues the City's contribution. 16 2. Enrollment If the retiree and tl}eir dependent(s) meet all of the City's program and insurance plan eligibility requirements, they may continue, upon retirement, their medical, dental and vision coverage or any combination thereof. Re -enrollment or new enrollment of a retiree or dependent(s) is not allowed under the City's Retiree Health Benefits Program once cancellation of coverage by a retiree has occurred, including cancellation due to failure to pay the required monthly premiums or prior declined enrollment in coverage. This provision does not apply to future enrollment in the CaIPERS Health Benefits Program, but does discontinue the City's contribution. 3. Administration It is the responsibility of the retiree to notify the City of Newport Beach Human Resources Department at (949) 644-3300 or in writing to P.O. Box 1768, Newport Beach, CA 92658-8915, of any change of address or other contact information, any change in a PERS medical plan, any change in Medicare eligibility or status for the retiree or their dependent, and/or any change consistent with a qualified status change (e.g., marriage, divorce, birth or adoption, death of a dependent, change in spouse's employment status that affects the spouse's benefits eligibility under another employer's plan, etc.). Notification of a qualified status change must be done within 30 days of the status change. 4. Funding of the Retiree Health Benefits Program (a) The City has implemented the $400 per month cap for retiree medical insurance premium contributions as agreed to by the City and the Newport Beach Employees League. The City and active employees shall be responsible for seventy-five percent (50% City and 25% actives) of retiree medical insurance premium under this program to a maximum of $400. Retirees shall be responsible for any remaining medical insurance premiums. For NBEL unit employees, the employee deduction for retiree medical insurance shall be $44.07 per month, Subsequent contribution levels shall be set as needed in the month of July per the formula described above. Prior to increasing the deductions for the employee's contribution share, the City shall 17 provide NBEL with documentation supporting the need for said increase at least 90 days in advance of the effective date of the increase. Upon request, City representatives will meet and consult with NBEL prior to any increases in employee deduction levels. All monthly premiums must be paid in full upon receipt of the invoice. Failure to pay monthly premiums within 60 days of invoice date will result in the cancellation of the retiree and his/her dependent(s). (b) In order to accumulate funds to meet the potential unfunded liability in retiree medical insurance premium payments as projected by the City's actuary and in addition to the contribution in (a) above; each NBEL unit employee will contribute $10 per month and the City shall contribute $20 per employee per month into an interest bearing trust account. These contributions will be continued until the projected liability is satisfactorily funded (approximately 30 years), or until such time as the City and NBEL mutually agree to end the funding on behalf of NBEL members. Accumulated funds from the employee and employer contributions described above shall be held separate from the City's general fund. These funds shall be kept in an interest bearing account and may only be used to pay for unfunded retiree medical insurance premiums not covered by the funds collected under (a) above. In the event the retiree medical insurance program described herein is discontinued, NBEL members will receive an accounting on any remaining funds and the City will immediately meet and confer with NBEL on the distribution of said funds back to active (not retired/full-time) City employees in the NBEL unit. The City will provide NBEL with an annual report certified by the City Administrative Services Director describing the balance, interest earnings, and any expenditures of the trust account described herein. The City and NBEL agree to continue negotiations on revisions to the retiree medical insurance program. The parties agree to conclude negotations on the revision to the retiree medical program later than September 30, 2005, 18 F. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement for employees shall be $1,400.00 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. SECTION 5. MiscellaneouslWorkinq Conditions 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 "Layoffs" or "Laid Off' shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 19 3. "Classification" shall mean one or more full time positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications withip a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to -bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 20 • • Employees within a classification shall be laid off in inverse order of seniority; 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 within seven (7) days of written notice of appointment. Notice shall be deemed given when personally delivered to the erpployee or deposited in the U.S. Mail, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. 21 B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non- membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation or age. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Department and General Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the 22 Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sidgs of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. F. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have 23 • • access to the grievance process as established in the Employee - Employer Resolution #7173. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resource Manager within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. 24 At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties qt interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other. City rules regarding step increases shall remain unchanged. Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable, (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class 25 provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, in violation of Personnel Policy Section 303 Non -Discrimination may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 26 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. 27 N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial drivers license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. O. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non -supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. P. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean- up time shall be limited to the actual needs of the employee. Q. Rest Periods • Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. 28 5. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T. Direct Deposit All newly hired employees shall participate in the payroll direct deposit system. U. Salary on Reclassification The City will amend its personnel to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). V. Transfer Station Operator The City will conduct a classification study on Transfer Station Operator position. Study results will be available no later than March 1, 2006. W. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2005-2006 through the last pay period of fiscal year 2006- 2007. Proposals for the succeeding MOU must be submitted on or before March 1, 2007 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2005-2006. X. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause 29 such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Executed this I- day of �+, tem - . 005: B ATT NEWPORT BE Bye James Randal, Pr-sident 7 By: _ H EMPLOYEES LEAGUE By: By: ohn Hef ernan, Mayor LaVonne Harkless, City Jerk APP pV D AS TO FORM: Robin C auson, City Attorney Ronald Hahn, Vice President Tim .Mor fl7_Secret Darren Foster, Treasurer arry Lyki ., Staff 30 • • EXHIBIT A CLASSIFICATIONS COVERED UNDER THE NEWPORT BEACH EMPLOYEES LEAGUE BARGAINING UNIT Auto Paint & Body Mechanic Automotive Parts Buyer Automotive Stock Clerk Beach Maintenance Supervisor Carpenter Concrete Finisher Concrete Maintenance Crew Chief Concrete Supervisor Cross Connection Control Specialist Electrician Electrical Services Crew Chief Electrical Services Supervisor Equipment Mechanic 1 Equipment Mechanic II Equipment Mechanic, Senior Equipment Maintenance Supervisor Equipment Operator 1 Equipment Operator II Facilities Maintenance Worker I Facilities Maintenance Worker II Facilities Maintenance Crew Chief Facilities Maintenance Supervisor Groundsworker 1 Groundsworker 11 Irrigation Specialist Maintenance Worker I Maintenance Worker 11 Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Crew Chief Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II 31 Senior Services Van Driver Sign & Paint Shop Technician Storm Drain/Street Sweeping Crew Chief Storm Drain/Street Sweeping Supervisor Street Maintenance Crew Chief ' Street Maintenance Supervisor Traffic Painter Transfer Station Operator Tree Maintenance Services Technician Utilities Crew Chief Utilities Equipment Specialist Utilities Specialist Utilities Supervisor Utilities Video Technician Water Production Operator Water Production Supervisor 32 • • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2004 to June 30, 2005 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. - General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum 1. 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 July 1, 2004. This MOU shall remain in full force and effect until June 30, 2005, and the 1 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. 2. 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. C. Release Time 1. Three NBEL officers designated by the NBEL shall collectively be granted 120 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. D. Employee Data and Access The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. 2 E. Scope 1. 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. 2. 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. 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. 7173. Management Rights include, but are not limited to, the following: (a) (b) (c) (d) (e) (f) (g) (h) (i) the determination of the purposes and functions of City Departments; the establishment to assign work to the the direction and discipline of of standards of service; employees as deemed appropriate; supervision of its employees;. employees; the power to relieve employees from duty for lack of work or other legitimate reasons; to maintain the efficiency of operations; to determine the methods, means and personnel by which operations are to be conducted; the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; (j) the exercise of complete control and discretion over the manner of organization, and the appropriate technology, best suited to the performance of departmental functions. 3 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. F. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. G. 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. H. Organizational Security Employees who are members of the NBEL or becomemembers shall be required to maintain membership, or maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the City from any and all claims arising from this article. SECTION 2. - Compensation A. Salary 1. Except as provided in A.2 below, salaries shall remain unchanged for the term of this agreement. 2. Effective the first pay period in July 2004 the Storm Drain/Street Sweeping Crew Chief, Street Maintenance Crew Chief, Concrete Maintenance Crew Chief, Park Crew 4 • • Chief and Facilities Maintenance Crew Chief classifications will be compensated at the same salary range as Utilities Crew Chief. B. Overtime 1. Definitions (a) Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). (b) Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). (c) Incidental Overtime -__Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. (d) Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. 2. Compensation Normal overtime for all non-exempt employees shall be paid at one -and -one-half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. Incidental overtime is not compensatle. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. 5 C. Standby Duty 1. Defined (a) To be ready to respond immediately to calls for service; (b) To be reachable by telephone; (c) To remain within a specified distance from his/her work station; and (d) To refrain from activities which might impair the employee's ability to perform his/her assigned duties. Compensation Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. D. Call -Back Duty 1. Defined Call-back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 2. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours 6 worked, whichever is greater. E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call-back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of the Department Director. F. Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. G. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 18.0%. H. Acting Pay NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. 7 Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. I. Certification Pay Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade Grade Grade Grade $100.00 $200.00 - $300.00 $400.00 2. Backflow Certification - $200.00 3. Qualified Applicator Certificate - $100.00 category up to a maximum of $300.00. 4. Smog License - $250.00 5. Fire Mechanic State Level I - $200.00 6. Fire Mechanic State Level II - $200.00 7. Certified Arborist - $100.00 for each 8. ASE Certification - $50.00 per certification up to a maximum of eight and $200.00 for possessing a current ASE Master Truck Technician and $200.00 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Drivers License, Class A - $200.00 10. Commercial Drivers License, Class B J. Court Time - $150.00 Employees who are required to appear in Court during their off -duty hours in connection with City business shall receive overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such 8 compensation. SECTION 3. - Leaves A. Flex Leave 1. Regular full-time employees enrolled in the paid leave program will earn leave to the following schedule: Years of continuous service Accrual per Annual pay period/hrs Days 1 but less than 5 5.54 18 5 but less than 9 6.15 20 9 but less than 12 6.77 22 12 but less than 16 7.69 25 16 but less than 20 8.31 27 20 but less than 25 8.92 29 25 and over 9.54 31 2. Employees hired or rehired by the City of Newport Beach on or after July 1, 1996, shall accrue flex leave at the following rates: Years of continuous Accrual per Annual service pay period/hrs Days 1 but less than 5 4.92 16 5 but less than 10 5.53 18 10 but less than 15 6.46 21 15 but less than 20 7.08 23 20 and over 8.00 26 During the first six months of employment, new full- time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employee's account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employee's final check. Any flex leave time advanced during the first six months of employment will be 9 subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 3. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times the member's bi- weekly accrual rate. Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employee's hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 4. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave This section applies only to those Regular full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall 10 accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Accrual per pay Continuous period hrs Service 0 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two- year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued and in no case, except for entry-level employees, may it be taken prior to the completion of an employee's initial probationary period. Entry level employees may use vacation after the completion of the initial twelve (12) months of probation. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave This section applies only to those Regular full-time Employees hired on or before January 1, 1990 and who have elected not to enroll in the Flex Leave program. 11 • • 1. Basis for accrual Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 1-2 years 2-3 years 3-4 years 4+ 2. Method of Use (a) General 4 hours 5 hours 6 hours 7 hours 8 hours Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. (b) Approval Sick leave may be granted only at the discretion of or with the approval of the Department Director and only for the purposes defined in Section 11.2 of the Employee Policy Manual. 3. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than. the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department 12 Director. D. Dependent Care Regular Employees may use up to one-half (1/2) of the Sick Leave or Flex Leave accrued per year to provide care (including transportation to and from any health care provider) for any member of his/her Immediate Family in need of care due to illness or injury. E. Holiday Leave 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Martin Luther King Day Floating Holiday July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May 3rd Monday in January (1) Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 0 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: (a) Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). (b) Newly hired employees will be eligible to receive full pay for scheduled holidays, without a waiting period. (c) "Floating Holiday" eligibility allows for newly hired employees to earn their first floating holiday credit, eight (8) hours, at the same time as they receive their regular appointment status, which allows the successful completion of their probationary period. F. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her Immediate Family. For the purposes of this section, Immediate Family shall mean father, mother, brother, sister, wife, husband, child, father-in-law, mother-in-law and grandparents. 2. Maximum Allowed Such leave shall be limited to five (5) working days per incident. G. Leave Sellback Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation 14 • • leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. H. Transfer to Flex Leave During the term of this agreement, Unit employees will be provided a final opportunity to transfer from vacation/sick leave program to the flex leave program. 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 Benefits Information Committee 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 group with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. Effective July 1, 2004 the City contribution toward the Cafeteria Plan shall be $584. In addition, the City shall contribute the minimum Ca1PERS participating employers contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. 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. Effective January 1, 2005, the City's contribution 15 • • towards the Cafeteria Plan will increase to $674 (plus the minimum Ca1PERS participating employers contributions). NBEL 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. 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 Benefits Information Committee. 4. Vision Insurance The existing or comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the Benefits Information Committee. B. Additional Health Insurance/Programs 1. IRS Section 125 Flexible Spending 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 taxable salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. 2. Disability Insurance The City shall provide disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000/month 16 • • Minimum Benefit $50 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one(1.0%) percent of base salary. Simultaneously, the City increased base wages by one (1.0%) percent. 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. C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit The City contracts with PERS to provide retirement benefits for its employees. The retirement formula is the 2% @ 55, calculated on the basis of the best/highest year. The City pays both the employee and the employer contribution, but the City reports the value of the Employer Paid Member Contribution (EPMC), so the employees will have the benefit of the EPMC in their retirement formula calculations. In addition, the City contracts for the 4th Level 1959 Survivors Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military Service Credit and 2% Cost of Living Adjustment. As soon as possible the City will amend its PERS contract to provide the pre -retirement option settlement 2 death benefit (Section 21548). 17 E. Retiree Health Benefits Program 1. Eligibility The City provides retiree health benefits for employees who retire from the City with seven or more continuous years of service and become PERS annuitants. Retirees must be enrolled in a City -sponsored medical plan at the time of retirement to be eligible for the City's contribution. Retirees are eligible for the City's contribution towards coverage for themselves and one dependent (2- party coverage). Enrollment of additional dependents is allowed and the cost to cover more than one dependent is the sole responsibility of the retiree. In the event of the death of the retiree, only a dependent spouse will be allowed to continue coverage. Cancellation of coverage by the retiree at any time, including cancellation due to failure to pay the required monthly premiums, will render the retiree and dependents ineligible for any and all portions of the City's Retiree Health Benefits Program from the date of cancellation forward. This eligibility requirement does not preclude future enrollment in the Ca1PERS Health Benefits Program, but discontinues the City's contribution. 2. Enrollment If the retiree and their dependent(s) meet all of the City's program and insurance plan eligibility requirements, they may continue, upon retirement, their medical, dental and vision coverage or any combination thereof. Re -enrollment or new enrollment of a retiree or dependent(s) is not allowed under the City's Retiree Health Benefits Program once cancellation of coverage by a retiree has occurred, including cancellation due to failure to pay the required monthly premiums or prior declined enrollment in coverage. This provision does not apply to future enrollment in the Ca1PERS Health Benefits Program, but does discontinue the City's contribution. 18 3. Administration It is the responsibility of the retiree to notify the City of Newport Beach Human Resources Department at (949) 644-3300 or in writing to P.O. Box 1768, Newport Beach, CA 92658-8915, of any change of address or other contact information, any change in a PERS medical plan, any change in Medicare eligibility or status for the retiree or their dependent, and/or any change consistent with a qualified status change (e.g., marriage, divorce, birth or adoption, death of a dependent, change in spouse's employment status that affects the spouse's benefits eligibility under another employer's plan, etc.). Notification of a qualified status change must be done within 30 days of the status change. 4. Funding of the Retiree Health Benefits Program a. The City has implemented the $400 per month cap for retiree medical insurance premium contributions as agreed to by the City and the Newport Beach Employees League. The City and active employees shall be responsible for seventy- five percent (50% City and 25% actives) of retiree medical insurance premium under this program to a maximum of $400. Retirees shall be responsible for any remaining medical insurance premiums. For NBEL unit employees, the per month employee deduction for retiree medical insurance shall be $40.34 per month. Subsequent contribution levels shall be set as needed in the month of July per the formula described above. Prior to increasing the deductions for the employee's contribution share, the City shall provide NBEL with documentation supporting the need for said increase at least 90 days in advance of the effective date of the increase. Upon request, City representatives will meet and consult with NBEL prior to any increases in employee deduction levels. All monthly premiums must be paid in full upon receipt of the invoice. Failure to pay monthly premiums within 60 days of invoice date will 19 result in the cancellation of the retiree and his/her dependent(s). b. In order to accumulate funds to meet the potential unfunded liability in retiree medical insurance premium payments as projected by the City's actuary and in addition to the contribution in (a) above; each NBEL unit employee will contribute $10 per month and the City shall contribute $20 per employee per month into an interest bearing trust account. These contributions will be continued until the projected liability is satisfactorily funded (approximately 30 years), or until such time as the City and NBEL mutually agree to end the funding on behalf of NBEL members. Accumulated funds from the employee and employer contributions described above shall be held separate from the City's general fund. These funds shall be kept in an interest bearing account and may only be used to pay for unfunded retiree medical insurance premiums not covered by the funds collected under (a) above. In the event the retiree medical insurance program described herein is discontinued, NBEL members will receive an accounting on any remaining funds and the City will immediately meet and confer with NBEL on the distribution of said funds back to active (not retired/full-time) City employees in the NBEL unit. The City will provide NBEL with an annual report certified by the City Administrative Services Director describing the balance, interest earnings, and any expenditures of the trust account described herein. F. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement foremployees shall be $1,250.00 per fiscal year. Reimbursement is contingent upon the successful completion 20 of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. SECTION 5. Miscellaneous/Working Conditions A. Reductions in Force/Layoffs There will be no layoff of unit members for the period of July 2004 through June 2005. 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 1. "Layoffs" or "Laid Off" shall mean the non -disciplinary termination or employment. 2. "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 permanent status in the current Classification or any Classification within the Series, subject to the following: (a) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; (b) Seniority shall include time spent on industrial leave, military leave, and leave of absence without pay, but shall not include time spent on any other authorized or unauthorized leave of absence. 3. "Classification" shall mean one or more full time 21 positions identical or similar in duties not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). 4. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. 5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the 22 number of employees within a classification, the following procedures are applicable: 1. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. 2. Employees within a classification shall be laid off in inverse order of seniority; 3. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. 4. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of 23 continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. B. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex, sexual orientation or age. C. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. D. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Department and General 24 Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. E. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. 25 F. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non - substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution #7173. G. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. 26 Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resource Manager within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. 27 Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. H. Probationary Period Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. 2. Failure of Probation 1. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in Subsection 3, below. 2. Promotional Probation (a) An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in Subsection 3, below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. (b) An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. (c) When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. (d) If the employee's former class has been deleted or 28 abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 3. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, in violation of Personnel Policy Section 303 Non - Discrimination may submit a grievance within ten (10) days after receipt of the Notice of Failure of Probation. J. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. K. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 29 • • 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. L. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. M. Uniforms It shall be understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. 30 N. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial drivers license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. 0. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non - supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. P. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. Q. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Service Awards 31 For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. S. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of the Employee Policy Manual, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of this Memorandum of Understanding. More information may be included. T. Direct Deposit All newly hired employees shall participate in the payroll direct deposit system. U. Salary on Reclassification The City will amend its personnel to provide for a minimum salary increase of five (5%) percent upon reclassification (not to exceed the maximum of the new salary range). V. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2004- 2005 through the last pay period of fiscal year 2004-2005. Proposals for the succeeding MOU must be submitted on or before March 1, 2005 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2004-2005. W. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the 32 remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Executed this A*day of NEWPORT BEA > EMPLOY ES LEAGUE By: , 2004: rues Randal, President B y : 4i [.: Y i ' -' ++¢¢ i Gar *Rnsfield/Vice President 1� By: By: By: LaVonne Harkless, City Clerk APPRD\ AS TO FORM: Robin CTauson, Acting City Attorney 33 EXHIBIT A CLASSIFICATIONS COVERED UNDER THE NEWPORT BEACH EMPLOYEES LEAGUE BARGAINING UNIT Auto Paint & Body Mechanic Automotive Parts Buyer Automotive Stock Clerk Beach Maintenance Supervisor Carpenter Concrete Finisher Concrete Maintenance Crew Chief Concrete Supervisor Cross Connection Control Specialist Electrician Electrical Services Crew Chief Electrical Services Supervisor Equipment Mechanic I Equipment Mechanic II Equipment Mechanic, Senior Equipment Maintenance Supervisor Equipment Operator I Equipment Operator II Facilities Maintenance Worker I Facilities Maintenance Worker II Facilities Maintenance Crew Chief Facilities Maintenance Supervisor Groundsworker I Groundsworker II Irrigation Specialist Maintenance Worker I Maintenance Worker II Park & Tree Laborer Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Crew Chief Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II Senior Services Van Driver Sign & Paint Shop Technician Storm Drain/Street Sweeping Crew Chief 34 Storm Drain/Street Sweeping Supervisor Street Maintenance Crew Chief Street Maintenance Supervisor Traffic Painter Transfer Station Operator Utilities Crew Chief Utilities Equipment Specialist Utilities Specialist Utilities Supervisor Utilities Video Technician Water Production Operator 35 C-2ob5 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 2001 to June 30, 2004 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. - General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum. 1. 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 July 1, 2001. This MOU shall remain in full force and effect until June 30, 2004, 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. 2. 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. C. Release Time. 1. Three NBEL officers designated by the NBEL shall collectively be granted 44 120 hours paid release time maximum, annually, for the conduct of NBEL business. Such time shall be exclusive of actual time spent in collective bargaining and shall be scheduled at the discretion of the NBEL officer. Every effort will be made to schedule this time to avoid interference with City operations. 2. Release time designees shall be identified annually and notice shall be provided to the City. Release time incurred shall be reported regularly in the form and manner prescribed by the City. 3. Activities performed on release time shall include representation of members in rights disputes; preparation for collective bargaining activities, and distribution of NBEL written communication in the work place. 2 D. Scope. 1. 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. 2. 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. 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. 7173. Management Rights include, but are not limited to, the following: (a) the determination of the purposes and functions of City Departments; (b) the establishment of standards of service; (c) to assign work to employees as deemed appropriate; (d) the direction and supervision of its employees; (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 operations are to be conducted; (i) the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; 3 (j) 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. F. Conclusiveness. This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. G. 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. H. Organizational Security. Employees who are members of the NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the City from any and all claims arising from this article. I. Employee Data and Access. The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, 4 • • department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. J. Savings. Should any part of this MOU be rendered or declared illegal or invalid by legislation, a decree of court of competent jurisdiction or other established governmental administrative tribunal, such invalidation shall not affect the remaining portions of this MOU. SECTION 2. - Compensation A. Salary Adjustments. Effective the first pay period of July, 2001, salaries shall be increased by 2.5%. Effective the first pay period in January, 2002, salaries shall be increased by 2%. Effective the first pay period in July, 2002, salaries shall be increased by 2%. Effective the first pay period in January, 2003, salaries shall be increased by 2%. Effective the first pay period in July, 2003, salaries shall be increased by 2%. Effective the first pay period in January, 2004, salaries shall be increased by 2.5%. B. Compensation for Overtime. 1. Definitions a. Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). 5 b. Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). c. Definition of Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. d. Compensation - Normal overtime for all non-exempt employees shall be paid at one -and -one-half (1- 1/2) times the hourly rate of the employee's bi- weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. 2. Incidental Overtime a. Defined Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. b. Compensation Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holidays) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. 6 C. Accumulation of Compensatory Time Off. City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hour worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of Department Director. i. Compensatory time off for non-exempt employees shall accrue at the rate of time -and -a -half for every overtime hour worked. ii. All compensatory time earned must be reported to the payroll section on the departmental time sheets in the "A.O." column. D. Standby Duty. A. Defined i. To be ready to respond immediately to calls for service; ii. To be reachable by telephone; iii. To remain within a specified distance from his/her work station; and iv. To refrain from activities which might impair the employee's ability to perform his/her assigned duties. 7 B. Compensation. Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. E. Call -Back Duty. a. Defined Call back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. b. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. F. Court Time. Employees who are required to appear in Court during their off -duty hours in connection with City business shall received overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. G. Night Shift Differential. The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an 8 extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. H. Differential Pay for One Man Packer. The differential pay for the operation of a one man packer shall be 18.0%. I. Acting Pay. NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. J. Optional Uniform. Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be 9 sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will be subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. K. Certification Pay. Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade I - $100.00 Grade II - $200.00 Grade III - $300.00 Grade IV - $400.00 2. Backflow Certification - $200.00 3. Qualified Applicator Certificate - $100.00 for each category up to a maximum of $300.00. 4. Smog License - $250.00 5. Fire Mechanic State Level I - $100.00 6. Fire Mechanic State Level II - $200.00 7. Certified Arborist - $100.00 8. ASE Certification - $50.00 per certification up to a maximum of eight and $200.00 for possessing a current ASE Master Truck Technician and $200.00 for possessing a current ASE Master Automobile Technician certification. 9. Commercial Drivers License, Class A- $200.00 10. Commercial Drivers License, Class B- $150.00 10 • SECTION 3. - Leaves A. Flex Leave. 1. Regular full-time employees enrolled in the paid leave program will earn leave to the following schedule: Years of continuous Accrual per Annual service pay period/hrs Days 1 but less than 5 5.54 18 5 but less than 9 6.15 20 9 but less than 12 6.77 22 12 but less than 16 7.69 25 16 but less than 20 8.31 27 20 but less than 25 8.92 29 25 and over 9.54 31 2. Employees hired by the City of NEWPORT BEACH on or after July 1, 1996, shall accrue flex leave at the following rates: Years of continuous Accrual per Annual service pay period/hrs Days 1 but less than 5 4.92 16 5 but less than 10 5.53 18 10 but less than 15 6.46 21 15 but less than 20 7.08 23 20 and over 8.00 26 During the first six months of employment, new full- time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employees account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employees final check. Any flex leave time advanced during the first six months of employment will be 11 subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 3. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times the members bi- weekly accrual rate Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employees hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 4. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave. 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service 12 and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Continuous Service 0 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation Accrual per pay period/hrs 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two- year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Meth d of Use Vacation may not be taken in excess of that actually accrued and in no case, except for entry-level employees, may it be taken prior to the completion of an employee's initial probationary period. Entry level employees may use vacation after the completion of the initial twelve (12) months of probation. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. 13 C. Sick Leave. 1. Basis for accrual/Full-time Employees Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use A. General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. 3. Approval Sick leave may be granted only at the direction of or with the approval of the Department Director and only for the purposes defined in Section 703.1. of the Personnel Rules. 4. Family Sick Leave Policy Employees are authorized to use five (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a dependent which requires the presence of employee. 14 5. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall required the approval of the Department Director. D. Holiday Leave. 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Floating Holidays (1) Martin Luther King Day 15 July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day Full day off 12/24/01 December 25 Last 1/2 of working day Full day off 12/31/01 January 1 3rd Monday in February Last Monday in May 3rd Monday in January Effective 2002 Holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceeding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: a. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). b. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. E. Bereavement Leave. The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined. "The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family. For the purposes of this section, immediate family shall mean father, mother, brother, sister, wife, husband, child, father-in-law, mother-in- law and grandparents." 2. Maximum Allowed. Such leave shall be limited to five (5) working days per incident 3. Probationary Employees. An employee serving his/her 16 initial probationary period who takes leave under this section who for any reason terminates his/her employment prior to the completion of such probationary period shall have his/her final paycheck reduced by the value of the leave taken. F. Leave Sellback. Twice annually, employees shall have the option of selling back on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. G. Transfer to Flex Leave. During the term of this agreement, Unit employees will be provided a final opportunity to transfer from vacation/sick leave program to the flex leave program. SECTION 4. - Fringe Benefits A. Insurance. 1. Health and Dental Insurance. The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $434. In addition, the City shall contribute a total of $16 towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurances/programs. The City and the Newport Beach Employee League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. 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 during regular open enrollment periods. Effective January, 2002, the City's contribution towards the Cafeteria Plan will increase to $464, (plus the $16 medical contribution). 17 Effective January, 2003, the towards the Cafeteria Plan will the $16 medical contribution). Effective January, 2004, the towards the Cafeteria Plan will the $16 medical contribution). City's increase City's increase contribution to $499 (plus contribution to $534 (plus NBEL members who do not want to enroll in any health care plan offered by the City must provide evidence of group health care insurance coverage, and execute an opt -out agreement releasing the City from any responsibility or liability to provide health care insurance coverage on an annual basis. 2. Vision Insurance The existing vision care plan shall be maintained as part of the City's indemnity insurance policy for the term of this agreement. 3. Information Committee City has established a Medical/Dental Information Committee which will commence June, 2001 composed of one representative from each employee group and up to three City representatives. The Medical/Dental Information Committee 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 care issues. The purpose of this Committee is to provide each employee group with information about health care issues and to receive timely input from associations regarding preferred coverage options and levels of coverage. 5. Disability Insurance The City shall provide disability insurance with the following provisions: Weekly Benefit 66 2/3% gross weekly wages 18 Maximum Benefit (mo.) $8,000 Minimum Benefit $50 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. The employees are responsible for the payment of the disability insurance cost in the amount of one (1.0%) percent of base salary. There will be no increase in the cost of the disability insurance program for the term of this agreement. The industrial accident leave policy of the City (Section 8.03.2.1 Personnel Rules) shall be eliminated. 6. Retiree Medical Insurance An employee is eligible for retiree medical benefits under this program after seven years of service to the City of Newport Beach if the employee retires from the City and is a PERS annuitant. This program is inclusive of an employee's right to medical insurance coverage under the Ca1PERS medical insurance plan and the mandatory minimum of $16 per month employer contribution to said plan on behalf of the annuitant. (a) The City has implemented the $400 per month cap for retiree medical insurance premium contributions as agreed to by the City and the Newport Beach Employee League. The City and active employees shall be responsible for 3/4ths (1/2 City and 1/4 actives) of retiree medical insurance premium under this program to a maximum of $400. Retirees shall be responsible for any remaining medical insurance premiums. For NBEL unit employees, the per month employee deduction for retiree medical insurance shall be $27.47 per month. 19 Subsequent contribution levels shall be set as needed in the month of July per the formula described above. Prior to increasing the deductions for the employee's contribution share, the City shall provide NBEL with documentation supporting the need for said increase at least 90 days in advance of the effective date of the increase. Upon request, City representatives will meet and consult with NBEL prior to any increases in employee deduction levels. (b) In order to accumulate funds to meet the potential unfunded liability in retiree medical insurance premium payments as projected by the City's actuary and in addition to the contribution in (a) above; each NBEL unit employee will contribute $10 per month and the City shall contribute $20 per employee per month into an interest bearing trust account. These contributions will be continued until the projected liability is satisfactorily funded (approximately 30 years), or until such time as the City and NBEL mutually agree to end the funding on behalf of NBEL members. Accumulated funds from the employee and employer contributions described above shall be held separate from the City's general fund. These funds shall be kept in an interest bearing account and may only be used to pay for unfunded retiree medical insurance premiums not covered by the funds collected under 6(a) above. In the event the retiree medical insurance program described herein is discontinued, NBEL members will receive an accounting on any remaining funds and the City will immediately meet and confer with NBEL on the distribution of said funds back to active (not retired/full-time) City employees in the NBEL unit. The City will provide NBEL with an annual report certified by the City Finance Director describing 20 • • the balance, interest earnings, and any expenditures of the trust account described herein. 7. The Retirement Benefit The City contracts with PERS to provide retirement benefits for its employees. The retirement formula is the 2% @ 55, calculated on the basis of the best/highest year. The City pays both the employee and the employer contribution, but the City reports the value of the Employer Paid Member Contribution (EPMC), so the employees will have the benefit of the EPMC in their retirement formula calculations. As soon as possible; the City will implement the 1959 Survivors Insurance Level 4 Benefit. 8. Life Insurance The City shall provide life insurance for all regular full-time employees in $2,500 increments based on annual salary up to $50,000 per year. B. Tuition Reimbursement. NBEL 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. Maximum tuition reimbursement for employees shall be $1,000.00 per fiscal year. Effective July 2003; the maximum reimbursement will increase to $1,250.00 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. 21 SECTION 5. Miscellaneous/Working Conditions 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 or 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 permanent status in the current Classification or any Classification within the Series, subject to the following: i) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; ii) Seniority shall include time spent on industrial leave, military leave, and leave of absence without 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 not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). d. "Series" shall mean two or more classifications within a Department which require the performance of similar 22 duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. e. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Division of the Public Works Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: 23 a. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. b. Employees within a classification shall be laid off in inverse order of seniority; c. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. d. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an 24 amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. C. Expansion of the IRS Section 125 Plan. The NBEL and the City agree to expand the IRS section 125 plan to the fullest extent allowed by law. This will be accomplished through the selection of a qualified section 125 plan administrator. D. In -Service Supervisory and Safety Training. The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non - supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. E. Voluntary Training Program. The Department shall, when the need for additional or replacement individuals possessing a commercial drivers license is anticipated, establish a voluntary training program that will allow employees to qualify for the license. F. Safety Shoes. The present policy and practices regarding the supply and 25 maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. G. Service Awards. For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. H. Labor Management Committee. Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. I. Accident Reporting. The City will require that all traffic collisions involving 26 City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. J. Discipline - Notice of Intent. 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non - substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution #7173. 2. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the 27 grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resource Manager within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. 28 Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. L. Employee Handbook. There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of Personnel Policies, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of Memorandum of Understanding. More information may be included. M. 9/80 Scheduling Plan. The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Division of Public Works Department and General Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other 29 operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. N. Iniury Prevention Program (IPP). Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply; 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process 30 which will be employed for the incorporation of changes in the IPP. 0. Promotional Preference. Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. P. Non -Discrimination. City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. Q. Rest Periods. Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods 31 may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Clean -Up Time. When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. S. Failure of Probation. a. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in C., below. b. Promotional Probation 1. An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in C., below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. 2. An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. 3. When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. 4. If the employee's former class has been deleted or 32 abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. c. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, in violation of Personnel Policy Section 303 Non - Discrimination may submit a grievance within ten (10) days after receipt of the Notice of Failure of New Probation. T. Direct Deposit. All newly hired employees shall participate in the payroll direct deposit system. U. Reopeners - Miscellaneous Retirement. If during the term of this agreement, the Governor signs legislation that enhances the PERS Miscellaneous Retirement, the City and Union agree to reopen negotiations on Retirement only. Any change in retirement during the term of this agreement shall be on a cost neutral basis to the City. V. Probationary Period. Newly hired employees shall serve a twelve (12) month probationary period. The probationary period for promoted employees shall be six (6) months. Newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. 33 W. Duration. The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 2001- 2002 through the last pay period of fiscal year 2003-2004. Proposals for the succeeding MOU must be submitted on or before March 1, 2004 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2003-2004. X. Separability. Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increased by declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. 34 NBEL 01-04 Final Executed this it4 day of ATTEST: By: NEWPORT BEACH EMPLOYEES LEAGUE By: By: Tim resent ris Malvin, Vice President By:(1,4� Dennis Thompson, Secretary Garold B. Adams, Mayor LaVonne Harkless, City Clerk APP;': •VED AS TO FORM: bert H. Burnham, City Attorney 31 2001: PI$ • • c2' SUPPLEMENTAL MEMORANDUM OF UNDERSTANDING This supplemental Memorandum of Understanding amends the Memorandum of Understanding between the City of Newport Beach and the Newport Beach Employees League dated July I, 1998 through June 30, 2001. Except as modified by this supplemental MOU, all the provisions of the Memorandum of Understanding between the City and the Newport Beach Employees League remain unchanged. The City and the Newport Beach Employees League agree as follows: A. RETIREMENT The City will immediately commence the process of amending its contract with the Public Employees' Retirement System to implement the 2% at 55 Retirement Program. The ongoing cost of this retirement change shall be borne by the City. B. CAFETERIA PLAN Effective July, 2000, or as soon as possible thereafter, the City shall implement an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $434. In addition, the City shall contribute a total of $16 towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing mcdical,dental and vision insurances/programs. The City and the Newport Beach Employees League will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Any unused funds shall be payable to the employee as taxable cashback. Employees shall be allowed to change coverages in accordance with plan rules during regular open enrollment periods. C. RETIREE MEDICAL PROGRAM An employee is eligible for retiree medical benefits after seven years of service if the employee retires from the City and is a PERS annuitant. 1. Effective immediately, the City shall implement the $400 cap for retiree medical insurance contributions as currently provided for in the Memorandum of Understanding between the City and the Newport Beach Employees League. In accordance with existing agreements, the City and active employees shall be responsible for 3/4ths (1/2 City and 1/4 actives) of retiree medical insurance cost. Retirees shall he responsible for the remaining 1/4. Concurrent with implementation of 2% at 55 and Cafeteria Plan, the employee's share of the retirement contribution in accordance with the formulas set forth above shall he $27.47 per month. Subsequent contribution levels shall be set in July, annually, in accordance with the formula described above. League Page 2 2, In addition to the contributions in CI above, concurrent with implementation of 2% at 55 and the Cafeteria Plan, current employees shall contribute $10 per month and the City shall contribute $20 per employee per month to accumulate funds to meet unfunded retiree medical liabilities. This contribution shall continue until the liability is fully funded. The City shall maintain separate, interest hearing accounts for current and reserve retiree medical funding. Statements of these accounts shall be available to all affected employee organizations. I). CONTINUING DISCUSSIONS The City and the Newport Beach Employees League agree to continue discussions, in conjunction with other affected employee organizations, on possible implementation of other supplemental and/or individual retiree medical insurance accounts. Except as provided herein, the Memorandum of Understanding between the City and the Newport Beach Employees League remains in full force and effect. This supplemental Memorandum of Understanding shall he incorporated into the Memorandum of Understanding between the City and Association for the contract period beginning July 1, 1998 through June 30, 2001. FOR THE CITY OF NEWPORT BEACH City Clerk APP .OVED AS TO FORM: 'Gity Attorney FOR THE NEWPORT BEACH EMPLOYEES LEAGUE (hrvE-1 JAecr/e)r'tG LQ PL , 1 inn N�tXVL cL v.((• . Memorandum of Understanding between The City of Newport Beach and the Newport Beach Employees League July 1,1998 through June 30, 2001 • • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE TABLE OF CONTENTS Preamble Section 1. - General Provisions Recognition 1 Duration of Memorandum 1 Scope 2 Conclusiveness 2 Modifications 2 Organizational Security 2 Employee Data and Access 3 Savings 3 Section 2. - Compensation Salary Adjustments 3 Compensation for Overtime 3 Accumulation of Compensatory Time Off 4 Standby Duty 5 Call -Back Duty 5 Court Time 6 Night Shift Differential 6 Differential Pay for One Man Packer 6 Acting Pay 6 Optional Uniform 6 Certification Pay 7 Section 3. - Leaves Flex Leave 8 Vacation Leave 9 Sick Leave 10 Holiday Leave 11 Bereavement Leave 12 Section 4. - Fringe Benefits Insurance 13 Health & Dental Insurance 13 • Table of Contents Page 2 Cafeteria Plan Retiree Medical Insurance 13 Medical Opt Out 14 Information Committee 14 Vision Insurance 14 Disability Insurance 14 Disability Insurance - New 15 Tuition Reimbursement 16 Retirement Contribution 16 Section 5. - Miscellaneous/Working Conditions Administration and Maintenance of Classification Plan 17 Reductions in Force/Layoffs 18 Expansion of the IRS Section 125 Plan 20 In -Service Supervisory and Safety Training 20 Safety Shoes 21 Service Awards 21 Labor Management Committee 21 Accident Reporting 22 Discipline - Notice of Intent 22 Performance Evaluation 24 Employee Handbook 25 9/80 Scheduling Plan 25 Injury Prevention Program (IPP) 26 Promotional Preference 27 Accident Reporting 27 Non -Discrimination 27 Rest Periods 27 Clean -Up Time 28 Failure of Probation 28 Direct Deposit 29 Reopeners 29 Vacation/Flex Leave Sellback 29 Probationary Period 29 Duration 30 Separability 30 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 1998 to June 30, 2001 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. - General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum. 1. 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 July 1, 1998. This MOU shall remain in full force and effect until June 30, 2001, 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. 2. The terms and conditions of this MOU shall prevail over 1 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. C. Scope. 1. 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. 2. 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. D. Conclusiveness. This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. E. 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. F. Organizational Security Employees who are members of the NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold 2 harmless the City from any and all claims arising from this article. G. Employee Data and Access. The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. H. Savings Should any part of this MOU be rendered or declared illegal or invalid by legislation, a decree of court of competent jurisdiction or other established governmental administrative tribunal, such invalidation shall not affect the remaining portions of this MOU. SECTION 2.- Compensation A. Salary Adiustments Effective the first pay period of July, be increased by 3%. Effective the first pay period in July, be increased by 2.5%. Effective the first pay period in July, be increased by 2.5%. B. Compensation for Overtime 1. Definitions 1998, salaries 1999, salaries 2000, salaries shall shall shall a. Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). b. Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as 3 otherwise designated by the City Manager). c. Definition of Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. d. Compensation - Normal overtime for all non-exempt employees shall be paid at one -and -one-half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. 2. Incidental Overtime a. Defined Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. b. Compensation Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. The floating holiday is excluded from this provision. C. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hour worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of Department Director. 4 • • i. Compensatory time off for non-exempt employees shall accrue at the rate of time -and -a -half for every overtime hour worked. ii. All compensatory time earned must be reported to the payroll section on the departmental time sheets in the "A.O." column. D. Standby Duty A. Defined i. To be ready to respond immediately to calls for service; ii. To be reachable by telephone; iii. To remain within a specified distance from his/her work station; and iv. To refrain from activities which might impair the employee's ability to perform his/her assigned duties. B. Compensation Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the actual period of time the employee is in a work status. E. Call -Back Duty A. Defined Call back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. 5 • • B. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. F. Court Time G. Employees who are required to appear in Court during their off -duty hours in connection with City business shall received overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. Night hift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. H. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 17.5%. I. Acting Pav NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. J. Optional Uniform Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the 6 • • inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will be subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. K. Certification Pay Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade I - $50.00 Grade II - $100.00 Grade III - $150.00 Grade IV - $200.00 2. Backflow Certification - $100.00 3. Qualified Applicator Certificate - $100.00 for each category up to a maximum of $300.00. 4. Smog License - $250.00 5. Fire Mechanic State Level I - $100.00 6. Fire Mechanic State Level II - $200.00 7. Certified Arborist - $100.00 8. ASE Certification - $25.00 per certification up to a maximum of eight and $100.00 for possessing a current ASE Master Truck Technician and $100.00 for possessing a current ASE Master Automobile Technician certification. 7 9. Commercial Drivers License, Class A - $100.00 10. Commercial Drivers License, Class B - $75.00 SECTION 3. - Leaves A. Flex Leave 1. Regular full-time employees enrolled in the paid leave program will earn leave to the following schedule: Years of continuous service 1 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over Accrual per pay period/hrs Annual Days 5.54 18 6.15 20 6.77 22 7.69 25 8.31 27 8.92 29 9.54 31 2. Employees hired by the City of NEWPORT BEACH on or after July 1, 1996, shall accrue flex leave at the following rates: Years of continuous service Accrual per pay period/hrs Annual Days 1 but less than 5 4.92 16 5 but less than 10 5.53 18 10 but less than 15 6.46 21 15 but less than 20 7.08 23 20 and over 8.00 26 During the first six months of employment, new full-time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employees account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employees final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 8 • • 3. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times the members bi-weekly accrual rate Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employees hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay provided that they have utilized at least eighty (80) hours of flex leave the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 4. Method of Use Flex leave may not be taken in excess of that actually accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Hours in Continuous Normal Work Week Service 40 0 but less than 5 5 but less than 9 9 but less than 12 9 3.38 3.99 4.61 0 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 2. Limit on Accumulation 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31st of each year with the following exception: with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 3. Method of Use Vacation may not be taken in excess of that actually accrued and in no case, except for entry-level employees, may it be taken prior to the completion of an employee's initial probationary period. Entry level employees may use vacation after the completion of the initial twelve (12) months of probation. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave 1. Basis for accrual/Full-time Employees Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 10 2. Method of Use A. General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. 3. Approval Sick leave may be granted only at the direction of or with the approval of the Department Director and only for the purposes defined in Section 703.1. of the Personnel Rules. 4. Family Sick Leave Policy Employees are authorized to use five (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a dependent which requires the presence of employee. 5. Sick Leave Conversion Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year) . Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall required the approval of the Department Director. D. Holiday Leave 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. 11 Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Floating Holidays (1) July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May Effective January, 1999, holidays listed above (except the floating holiday) occurring on a Saturday shall be observed the preceeding Friday. Holidays occurring on a Sunday shall be observed the following Monday. (Half day holidays shall be observed prior to the observed holiday). 2. Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: a. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). b. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined. "The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family. For the purposes of this section, immediate family shall mean father, mother, brother, sister, wife, husband, child, father-in-law, mother-in-law and grandparents." 12 2. Maximum Allowed. Such leave shall be limited to five (5) working days per incident. 3. Probationary Employees. An employee serving his/her initial probationary period who takes leave under this section who for any reason terminates his/her employment prior to the completion of such probationary period shall have his/her final paycheck reduced by the value of the leave taken. SECTION 4. -Fringe Benefits. A. Insurance. 1. Health and Dental Insurance. The City shall make available to all NBEL members represented members the PERS health insurance programs and a second health care plan. City shall pay the health, dental and vision premium for each NBEL employee, up to a maximum of four hundred ($400) dollars per month. Effective July 1, 1999, the City shall pay the health, dental and vision premium for each NBEL member, up to a maximum of $425 per month. Effective July 1, 2000, the City shall pay the health, dental and vision premium for each NBEL member, up to a maximum of $450 per month. 2. Cafeteria Plan Commencing approximately September 15, 1998, the City, Association and other employee groups shall jointly meet to explore the implementation of a qualified cafeteria plan. The intent of the parties is to have a plan available for implementation in January, 1999. Should the parties not agree on implementation of a cafeteria plan which equally distributes medical increases set forth in Section 4.A.1. above, the Association and City shall agree on another mutually acceptable way of distributing this compensation. 3. Retiree Medical Insurance For the term of this agreement, the parties agree that the maximum contribution by the City and active employees for retiree medical insurance shall not exceed $400 per month. The active employees contribution shall be 25% of the cost of the retiree medical insurance program for the life of this agreement. The City will allow the previously enrolled spouse of a 13 retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. The City and Association agree to work, through a City wide committee, on a variety of issues involving retiree medical insurance in an attempt to achieve cost containment and equity amongst the City's retiree medical programs. 4. Medical Ont Out Employees will be allowed to opt out of any of the City's health plans, and if they choose to do so they may receive $200 per month. To qualify the employee would be required to supply evidence of alternative coverage, and to sign a hold harmless agreement, releasing the City from any responsibility as a health care provider. 5. Information Committee. City has established a Medical/Dental Information Committee composed of one representative from each employee group and up to three City representatives. The Medical/Dental Information Committee 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 care issues. The purpose of this Committee is to provide each employee group with information about health care issues and to receive timely input from associations regarding preferred coverage options and levels of coverage. City shall provide information to the Committee in December, February and April of each year during the term of this MOU. The Committee shall solicit bids on an alternative dental HMO carrier during the term of this agreement. 6. Vision Insurance The existing vision care plan shall be maintained as part of the City's indemnity insurance policy for the term of this agreement. 7. Disability Insurance Under the new paid leave program, the following rules will govern access to the disability insurance program: 1. Employee must be enrolled in the disability program. 14 2. All existing sick leave accumulated in an employee's sick leave bank must be used. 3. If 240 or more hours have been used by an employee for the illness that exhausts the sick leave bank, the employee may opt to go immediately into the disability plan. 4. All others must use at least five days or one-third of available paid leave whichever is greater before opting to use the disability plan. 5. In all cases there is a five working day waiting period for use of the disability plan. Employees without accumulated sick leave banks or accumulated paid leave must be away from work for five days before opting into the disability plan. 6. City will pay the cost of disability insurance according to the following schedule: Accrued leave (sick, paid or combination) of 160 hours but less than 280 hours - 50% paid. Accrued leave (sick, paid or combination) of 280 hours or more - 100% paid. When an employee having five years of service with the City is on an approved disability leave of absence (up to a maximum of one year) , the City will pay one-third of the cost of the employee's insurance (health, life and disability); for an employee with ten years of service, the City will pay two-thirds of the cost; the City will pay the entire cost of an employee with fifteen years or more of service. Refer to Personnel Resolution 703.6 Extended Sick Leave for employees enrolled in new paid leave program. 8. Disability Insurance - New Effective January, 1999, the disability insurance program set forth above shall end. In lieu, the City shall provide disability insurance with the following provisions: Weekly Benefit 66 2/3% gross weekly wages 15 • • Maximum Benefit (mo.) Minimum Benefit Waiting Period $5,000 $50 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, the employees shall assume responsibility for the payment of the disability insurance cost in the amount of one (1.0%) percent of base salary. Simultaneously, the City shall increase base wages by one (1.0%) percent. There will be no increase in the cost of the disability insurance program for the term of this agreement. Concurrent with implementation of the new disability insurance program, the industrial accident leave policy of the City (Section 8.03.2.1 Personnel Rules) shall be eliminated. B. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement for employees shall be $1,000.00 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. C. Retirement Contribution The City contracts with PERS to provide retirement benefits for its employees. The retirement formula is the 2% @ 60, calculated on the basis of the best/highest year. The City pays both the employee and the employer contribution, but the City reports the value of the Employer Paid Member Contribution (EPMC), so the employees will have the benefit of the EPMC in their retirement formula calculations. 16 SECTION 5. Miscellaneous/Working Conditions A. Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodically, the City Manager shall direct a review of the existing classification plan to ensure that is is effectively maintained and that its reflects any significant changes in the duties and responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their Department Director in writing of their concern. This communication should clearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the Department Director. The Department Director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the Department Director does not respond to the subject employee within 60 days, the employee may refer the request directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of employee(s) in the position. When a position is reclassified upward, the incumbent of the position being reclassified shall be reclassified with the position. If the position being reclassified has not been occupied by one individual for a period of one year, continuously prior to the reclassification, the reclassified position may be filled by recruitment. Unless, in the judgment of the Department Director, there are exceptional circumstances such recruitment shall be closed promotional. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. 17 • • B. Reductions in Force/Lavoffs 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 or 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 permanent status in the current Classification or any Classification within the Series, subject to the following: i) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; ii) Seniority shall include time spent on industrial leave, military leave, and leave of absence without 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 not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). d. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. e. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an 18 employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Division of the Public Works Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: a. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. b. Employees within a classification shall be laid off in inverse order of seniority; c. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. d. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. 19 REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. C. Expansion of the IRS Section 125 Plan The NBEL and the City agree to expand the IRS section 125 plan to the fullest extent allowed by law. This will be accomplished through the selection of a qualified section 125 plan administrator. D. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non - supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, 20 • • performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. Voluntary Training Program The Department shall, when the need for additional or replacement individuals possessing a commercial drivers license is anticipated, establish a voluntary training program that will allow employees to gtialifyfor the license. E. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. F. Service Awards For the purposes of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. G. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not 21 be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. H. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. I. Discipline - Notice of Intent 1. Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non - substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution #7173. 2. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise 22 to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resource Manager within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil 23 Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board. shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. J. Performance Evaluation 1. PREPARATION: .The Supervisor will review the employee's previous evaluation and identify changes in performance. Note changes and the reasons why. The Supervisor will review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. The Supervisor will review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. The Supervisor will list specific incidents or products that illustrate and support the formal ratings in each performance category. The Supervisor will prepare established job duties and performance standards for presentation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: The Supervisor will review any documentation and discuss its relationship to the performance ratings assigned for the current rating period. Assign ratings to each item on the form, basing, them on factual information or upon observable behavior. The Supervisor will write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department Head prior to presentation to the employee. 24 The Supervisor will present the evaluation to the employee in an environment conducive to clear communication. Attempt to resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the rater's Department Head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department Head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed at the discretion of the employee at step two of the Grievance Procedure. The employee may attach a rebuttal to any evaluation prior to its placement in his/her permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. 6. TRANSFERS AND REASSIGNMENTS: The City and the NBEL agree to modify the "transfers and assignments" article in the MOU to read as follows; "The City acknowledges that before arriving at a final decision involving the transfer or reassignment of work schedules of those employees represented by the NBEL, the seniority and preference of the employee will be taken into consideration. K. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of Personnel Policies, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of Memorandum of Understanding. More information may be included. L. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Division of Public Works Department and General Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between 25 • • these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. M. Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. 26 N. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. The Human Resources Department shall be responsible for insuring that a position vacancy announcement for all available City positions be distributed in a manner that reasonably assures unit members access to the announcements. The Human Resources Department shall oversee all testing procedures. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. 0. Accident Reporting The City requires that all traffic collisions involving City vehicles shall be reviewed by the Traffic Division Supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. P. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. Q. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may 27 be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. S. Failure of Probation a. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in C., below. b. Promotional Probation 1. An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in C., below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. 2. An employee who fails promotional probation shall receive a performance evaluation stating the reason for failure of promotional probation. 3. When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. 4. If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. 28 • • c. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, in violation of Personnel Policy Section 303 Non -Discrimination may submit a grievance within ten (10) days after receipt of the Notice of Failure of New Probation. T. Direct Deposit Effective October 1, 1997, all newly hired employees shall participate in the payroll direct deposit system. U. Reopeners 1. The City and- NBEL agree to, upon request of either party, reopen negotiations during the term of this agreement on the personnel rules. 2. The City and NBCEA agree to, upon request of the City, reopen negotiations during the term of this agreement on a City-wide reasonable suspicion drug testing policy. 3. Should the City lose, during the term of this agreement, Motor Vehicle in Lieu revenues; or the replacement revenue provided by the State for lost Motor Vehicle in Lieu revenues, the City reserves the right to reopen negotiations on the economic provisions of this Memorandum of Understanding. 4. Within sixty (60) days of the ratification of this agreement, the City and Association agree to reopen negotiations on the issue of deferred compensation programs and supplemental retirement programs. Any new programs implemented through this reopener shall be on a cost neutral basis to the City. V. Vacation/Flex Leave Sellback Effective July, 2000, the City's informal practice of allowing employees to cash -in accrued vacation/flex leave shall end. W. Probationary Period Effective immediately, newly hired employees shall serve a twelve (12) month probationary period. There shall be no change in the probationary period for promoted employees. 29 Concurrently, newly hired employees shall become eligible for their first step increase after twelve (12) months. All other City rules regarding step increases shall remain unchanged. X. Duration, The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 1998-1999 through the last pay period of fiscal year 2000-2001. Proposals for the succeeding MOU must be submitted on or before March 1, 2001 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 2000-2001. Y. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increased by declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. 30 Executed this .1)11/1 day of %i ea f'n' bcf-- 1998: By: NEWPORT BEACH EMPLOYEES LEAGUE B Gary, ans field, sident Mike Thayer, Treasurer LaVonne Harkless, City Clerk APPRO- I ED AS TO FORM: obert 1`I. Burnham, City Attorney 31 • EXHIBIT A Auto Paint & Body Mechanic Auto Parts Buyer Beach Maintenance Supervisor Building Maintenance Supervisor Building Maintenance Worker I Building Maintenance Worker II Carpenter Concrete Finisher Concrete & Storm Drain Supervisor Cross Connection Control Specialist Electrical Services Crew Chief Electrical Services Supervisor Electrician I Electrician II Equipment Mechanic I Equipment Mechanic II Equipment Mechanic, Senior Equipment Serviceworker Equipment Supervisor Equipment Operator I Equipment Operator II Equipment Operator, Senior Groundsworker I Groundsworker II Maintenance Worker I Maintenance Worker II Operations Support Supervisor Park & Tree Laborer Park Maintenance Crew Chief Park Maintenance Supervisor Parking Lot Supervisor Parking Meter Serviceworker Parking Meter Supervisor Pest Control Technician Refuse Supervisor Refuse Worker I Refuse Worker II Sign & Paint Technician Sprinkler System Technician Street Maintenance Supervisor Traffic Painter Utilities Crew Chief Utilities Equipment Specialist Utilities Specialist Utilities Supervisor Water Production Operator • • ORIGINAL MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE JULY 1, 1995 THROUGH JUNE 30, 1997 • . NEWPORT BEACH EMPLOYEES LEAGUE TABLE OF CONTENTS Page 1 Preamble 1 Section 1 - General Provisions Recognition 1 Duration of Memorandum 1 Scope 2 Conclusiveness 2 Modifications 2 Organizational Security 2 Employee Data and Access 3 Savings 3 Section 2 - Compensation Salary Adjustments 3 Salary Steps 3 Retirement Contribution 3 Compensation for Overtime 4 Accumulation of Compensatory Time Off 5 Standby Duty 5 Call -Back Duty 6 Court Time 6 Night Shift Differential 6 Differential Pay for One Man Packer 6 Acting Pay 6 Optional Uniform 7 Certification Pay 7 Section 3 - Leaves Flex Leave 8 Vacation Leave 10 Sick Leave 11 Holiday Leave 12 Bereavement Leave 13 Section 4 - Fringe Benefits Insurance 14 Tuition Reimbursement 16 Section 5 - Miscellaneous/Working Conditions Administration and Maintenance of Classification Plan 16 Reductions in Force/Layoffs 17 Expansion of the IRS Section 125 Plan 20 In -Service Supervisory and Safety Training 20 Safety Shoes 20 Service Awards 20 Labor Management Committee 21 Accident Reporting 21 Discipline - Notice of Intent 21 Performance Evaluation 23 TABLE OF CONTENTS Page 2 Employee Handbook 25 9/80 Scheduling Plan 25 Injury Prevention Program (IPP) 25 Promotional Preference 26 Accident Reporting 26 Non -Discrimination 27 Rest Periods 27 Clean -Up Time 27 Failure of Probation 27 Duration 28 Separability 28 Signature Page 29 • ORIGINAL • e-,06,s-- MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE 1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. 2. NBEL representatives and City representatives have reached agreement as to wages, hours and other terms and conditions of employment for the period from July 1, 1995 to June 30, 1997 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBEL and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. SECTION 1. - General Provisions A. Recognition City hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance Unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. B. Duration of Memorandum. 1. 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 July 1, 1995. This MOU shall remain in full force and effect until June 30, 1997, 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. 2. The terms and conditions of this MOU shall prevail over 1 • • 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. C. Scope. 1. 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. 2. 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. D. Conclusiveness. This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life 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 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. E. 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. F. Organizational Security Employees who are members of the NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold 2 harmless the City from any and all claims arising from this article. G. Employee Data and Access. The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. H. Savings Should any part of this MOU be rendered or declared illegal or invalid by legislation, a decree of court of competent jurisdiction or other established governmental administrative tribunal, such invalidation shall not affect the remaining portions of this MOU. SECTION 2, - Compensation A. Salary Adiustments Effective the first pay period of July, 1996, salaries shall be increased by 3%. B. Salary Steps Effective July 1, 1996, two additional steps (designated A and B with existing salary steps redesignated C through H) shall be added to the compensation schedule for each classification represented by NBEL. The first salary step (A) shall specify a salary for the classification that is ten percent (10%) lower than the current first step in the salary range. The second additional step shall be 5% lower than the first step in the current salary range. All merit step advancements shall occur at 12 month intervals. All other existing salary step advancement rules shall apply. C. Retirement Contribution For the term of this agreement, the City will pay each member's contribution to the Public Employee's Retirement System (PERS) not to exceed 7%. Said The retirement pick-up shall be credited to the employee's individual account with PERS. 3 D. Compensation for Overtime 1. Definitions a. Miscellaneous Employee - An employee designated as a miscellaneous member of the Public Employees Retirement System (PERS). b. Overtime - Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods - beginning at 0001 on Saturday and ending at midnight the following Friday (or as otherwise designated by the City Manager). c. Definition of Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. d. Compensation - Normal overtime for all non-exempt employees shall be paid at one -and -one-half (1-1/2) times the hourly rate of the employee's bi-weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. 2. Incidental Overtime a. Defined Incidental overtime is any extension of the basic work shift of less than 1/10 of an hour that is non -recurrent. b. Compensation Incidental overtime is not compensable. 3. Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. 4 E. Accumulation of Compensatory Time Off City employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hour worked. Compensatory time shall be calculated at the rate of one and one half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the employer and the employee agree that the application of "Comp Time" is a desirable substitute for the payment of cash for overtime. Call back time may be converted to comp time with supervisor approval. Employees may accumulate up to eighty (80) hours of Compensatory Time. Any hours in excess of eighty (80) will be paid off. Accumulation in excess of the eighty (80) hours may be approved at the discretion of Department Director. i. Compensatory time off for non-exempt employees shall accrue at the rate of time -and -a -half for every overtime hour worked. ii. All compensatory time earned must be reported to the payroll section on the departmental time sheets in the "A.O." column. F. Standby Duty A. Defined i. To be ready to respond immediately to calls f o r service; ii. To be reachable by telephone; iii. To remain within a specified distance from his/her work station; and iv. To refrain from activities which might impair the employee's ability to perform his/her assigned duties. B. Compensation Standby duty shall be compensated at the rate of one (1) hour of overtime compensation for each eight (8) hours of such duty. Standby duty on holidays shall be compensated at the rate of two (2) hours of overtime compensation for each (8) hours of standby duty. Should the employee be required to return to work while on standby status, the provisions pertaining to compensation for call-back pay shall apply for the 5 actual period of time the employee is in a work status. G. Call -Back Duty A. Defined Call back duty requires the employee to respond to a request to return to his/her work station after the normal work shift has been completed and the employee has left his/her normal work station. Those periods of overtime which had been scheduled by the Department Director prior to the end of the normal work shift are not considered call-back duty. B. Compensation All personnel on call back duty eligible for overtime pay shall be guaranteed two (2) hours pay, or pay for one -and -one-half (1-1/2) times the number of hours worked, whichever is greater. H. Court Time Employees who are required to appear in Court during their off -duty hours in connection with City business shall received overtime compensation for the number of hours they spend in court, with a minimum of two (2) hours of such compensation. I. Night Shift Differential The City agrees to pay $1.00 per hour night shift differential for Employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. The differential pay is paid only for hours actually worked. In accordance with this provision, City agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours worked after 5:00 p.m. J. Differential Pay for One Man Packer The differential pay for the operation of a one man packer shall be 17.5%. K. Acting Pav NBEL employees will be eligible to receive "acting pay" only after completing 80 consecutive hours in the higher 6 classification. Acting pay is 107.5% of the employee's base pay rate. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. L. Optional Uniform Employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members that employees who report for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will be subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. M. Certification Pay Annual payment for State or governing body certification to be as follows for those League represented employees holding valid and current certification in areas indicated below on November 15th of each year: 1. Water or Wastewater Operator - Grade I - $50.00 Grade II - $100.00 Grade III - $150.00 Grade IV - $200.00 2. Backflow Certification - $100.00 3. Qualified Applicator Certificate - $100.00 for each category up to a maximum of $300.00. 7 4. Smog - $100.00 5. Brakes - $75.00 6. Lamps - $100.00 7. Fire Mechanic State Level I - $75.00 8. Fire Mechanic State Level II - $100.00 9. Certified Treeworker - $100.00 10. Certified Arborist - $100.00 11. State Work Zone Safety Certificate - $50.00 SECTION 3. - Leaves A. Flex Leave 1. Regular full-time employees enrolled in the paid leave program will earn leave to the following schedule: Years of continuous Accrual per Annual service pav period/hrs Days 1 but less than 5 5.85 19 5 but less than 9 6.46 21 9 but less than 12 7.08 23 12 but less than 16 8.00 26 16 but less than 20 8.62 28 20 but less than 25 9.23 30 25 and over 9.85 32 2. Effective the first payroll period in July, 1997, these accrual rates shall be adjusted as follows: Years of continuous Accrual per Annual service pav Deriod/hrs Days 1 but less than 5 5.54 18 5 but less than 9 6.15 20 9 but less than 12 6.77 22 12 but less than 16 7.69 25 16 but less than 20 8.31 27 20 but less than 25 8.92 29 25 and over 9.54 31 3. Employees hired by the City of NEWPORT BEACH on or after July 1, 1996, shall accrue flex leave at the following rates: 8 Years of continuous Accrual per Annual service pay period/hrs Days 1 but less than 5 4.92 16 5 but less than 10 5.53 18 10 but less than 15 6.46 21 15 but less than 20 7.08 23 20 and over 8.00 26 During the first six months of employment, new full-time employees shall not accrue flex leave. At the completion of six months of employment six (6) months of flex leave will be placed in the employees account. Note: If an employee becomes sick in the first six months of employment, the City will advance up to six (6) months of flex leave time to be used for illnesses only. If employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employees final check. Any flex leave time advanced during the first six months of employment will be subtracted from the six (6) months of accrual placed in the employees account upon completion of six months employment. 4. Limit on Accumulation Employees may accrue flex leave up to an accumulated total equal to seventy eight times the members bi-weekly accrual rate Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employees hourly rate of pay. Members hired prior to July 1, 1996 shall be paid for earned flex leave in excess of the maximum permitted accrual at the members hourly rate of pay. Effective January 1, 1997, members shall be eligible for flex leave spillover pay only if they have utilized at least eighty (80) hours of flex leave (forty (40) hours for calendar year 1996 only) the previous calendar year. Employees who have not utilized the required amount of leave the prior calendar year shall not be eligible to accrue time above the maximum accrual limit. Employees 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. 5. Method of Use Flex leave may not be taken in excess of that actually 9 accrued and in no case, except for illness, may it be taken prior to the completion of an employee's initial probationary period. The Department Director shall approve all requests for flex leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Flex leave may be granted on an hourly basis. B. Vacation Leave 1. Basis for Accrual/Full-Time Employees Employees entitled to vacation leave -with -pay shall accrue such leave based on years of continuous service and the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedule: Years of Accrual Continuous Per Pay Period Service 40 0 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 3.69 4.30 4.92 5.53 6.15 6.77 7.38 2 Effective the first payroll period in July, 1997, the vacation accrual schedule will be modified as follows: Years of Hours in Continuous Normal Work Week Service 40 0 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over 3. Limit on Accumulation 3.38 3.99 4.61 5.22 5.84 6.46 7.07 Accrual of vacation days in excess of those earned for two years of continuous service is not permitted past December 31st of each year with the following exception: 10 • • with approval of the Department Director, an employee may accrue vacation days in excess of the two-year limit provided all such excess accumulation is taken by March 31st of the following year. 4. Method of Use Vacation may not be taken in excess of that actually accrued and in no case, except for entry-level employees, may it be taken prior to the completion of an employee's initial probationary period. Entry level employees may use vacation after the completion of the initial twelve (12) months of probation. The Department Director shall schedule and approve all vacation leaves for employees taking into consideration the needs of the Department, and whenever possible, the seniority and wishes of the employee. Vacation leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. C. Sick Leave 1. Basis for accrual/Full-time Employees Full-time, regular employees shall accrue sick leave based on the number of hours in a normal work week for the position to which they are assigned in accordance with the following schedules: Normal Work Week 40 hours Service Time Monthly Accrual 0-1 year 4 hours 1-2 years 5 hours 2-3 years 6 hours 3-4 years 7 hours 4+ 8 hours 2. Method of Use A. General Sick leave may not be taken in excess of that actually accrued. Sick leave may be granted on an hourly basis. 3. Approval Sick leave may be granted only at the direction of or 11 with the approval of the Department Director and only for the purposes defined in Section 703.1. of the Personnel Rules. 4. Family Sick Leave Policy Employees are authorized to use five (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a dependent which requires the presence of employee. 5. Sick Leave Conversion} Employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 50 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six (6) days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall required the approval of the Department Director. D. Holiday Leave 1. Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions and other except those personnel whose work assignments, in the judgment of the Department Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid flex leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day Labor Day Veteran's Day Thanksgiving Day Friday following Thanksgiving Christmas Eve Christmas New Year's Eve New Year's Day Washington's Birthday Memorial Day Floating Holidays (2) 12 July 4 1st Monday in Sept. November 11 4th Thurs. in November Last 1/2 of working day December 25 Last 1/2 of working day January 1 3rd Monday in February Last Monday in May For employees birthday or other holiday. • • Eligibility and use according to Memoranda of Understanding. Effective July (1st payroll period), 1996, the Birthday floating holiday shall be eliminated. 2. Holiday Pav Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week schedule will, when a holiday occurs during a work schedule, receive eight (8) hours pay for said holiday. Following are the limitations on eligibility for Holiday Pay: a. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). b. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. E. Bereavement Leave The provisions of the Bereavement Leave Policy applicable to affected employees shall be as follows: 1. Defined. "The necessary absence from duty by an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family. For the purposes of this section, immediate family shall mean father, mother, brother, sister, wife, husband, child, father-in-law, mother-in-law and grandparents." 2. Maximum Allowed. Such leave shall be limited to five (5) working days per incident. 3. Probationary Employees. An employee serving his/her initial probationary period who takes leave under this section who for any reason terminates his/her employment prior to the completion of such probationary period shall have his/her final paycheck reduced by the value of the leave taken. 13 • • SECTION 4. - Fringe Benefits. A. Insurance. 1. Health and Dental Insurance. The City shall make available to all NBEL members represented members the PERS health insurance programs and a second health care plan. City shall pay the health and dental premium for each NBEL employee, up to a maximum of four hundred ($400) per month. 2. Retiree Medical Insurance Effective immediately, and for the term of this agreement, the parties agree that the maximum contribution by the City and active employees for retiree medical insurance shall not exceed $400 per month. The active employees contribution shall be 25% of the cost of the retiree medical insurance program for the life of this agreement. The City will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. The City and Association agree to work, through a City wide committee, on a variety of issues involving retiree medical insurance in an attempt to achieve cost containment and equity amongst the City's retiree medical programs. 3. Medical Opt Out Employees will be allowed to opt out of any of the City's health plans, and if they choose to do so they may receive $200 per month. To qualify the employee would be required to supply evidence of alternative coverage, and to sign a hold harmless agreement, releasing the City from any responsibility as a health care provider. 4. Information Committee. City has established a Medical/Dental Information Committee composed of one representative from each employee group and up to three City representatives. The Medical/Dental Information Committee 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 care issues. The purpose of this Committee is to provide 14 each employee group with information about health care issues and to receive timely input from associations regarding preferred coverage options and levels of coverage. City shall provide information to the Committee in December, February and April of each year during the term of this MOU. 5. Vision Insurance The existing vision care plan shall be maintained as part of the City's indemnity insurance policy for the term of this agreement. 6. Disability Insurance Under the new paid leave program, the following rules will govern access to the disability insurance program: 1. Employee must be enrolled in the disability program. 2. All existing sick leave accumulated in an employee's sick leave bank must be used. 3. If 240 or more hours have been used by an employee for the illness that exhausts the sick leave bank, the employee may opt to go immediately into the disability plan. 4. All others must use at least five days or one-third of available paid leave whichever is greater before opting to use the disability plan. 5. In all cases there is a five working day waiting period for use of the disability plan. Employees without accumulated sick leave banks or accumulated paid leave must be away from work for five days before opting into the disability plan. 6. City will pay the cost of disability insurance according to the following schedule: Accrued leave (sick, paid or combination) of 160 hours but less than 280 hours - 50% paid. Accrued leave (sick, paid or combination) of 280 hours or more - 100% paid. When an employee having five years of service with the City is on an approved disability leave of absence (up to a maximum of one year) , the City will pay one-third of the cost of the employee's 15 insurance (health, life and disability); for an employee with ten years of service, the City will pay two-thirds of the cost; the City will pay the entire cost of an employee with fifteen years or more of service. Refer to Personnel Resolution 703.6 Extended Sick Leave for employees enrolled in new paid leave program. 7. The City and Association agree to participate in a City-wide committee to restructure the existing disability insurance -leave program. B. Tuition Reimbursement NBEL 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. Maximum tuition reimbursement for employees shall be $2,213.00 per fiscal year. Effective July 1, 1996 the maximum amount of reimbursement shall be $1,000.00 per fiscal year. Reimbursement is contingent upon the successful completion of the course. Successful completion means a grade of "C" or better for undergraduate courses and a grade of "B" or better for graduate courses. All claims for tuition reimbursement require the approval of the Administrative Services Director. SECTION 5. Miscellaneous/Working Conditions A. Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodically, the City Manager shall direct a review of the existing classification plan to ensure that is is effectively maintained and that its reflects any significant changes in the duties and responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their Department Director in writing of their concern. This communication should clearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the Department Director. The Department Director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the Department Director does not respond to the subject employee within 60 days, the employee may refer the request 16 directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of employee(s) in the position. When a position is reclassified upward, the incumbent of the position being reclassified shall be reclassified with the position. If the position being reclassified has not been occupied by one individual for a period of one year, continuously prior to the reclassification, the reclassified position may be filled by recruitment. Unless, in the judgment of the Department Director, there are exceptional circumstances such recruitment shall be closed promotional. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. B. Reductions in Force/Lavoffs 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 or 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 permanent status in the current Classification or any Classification within the Series, subject to the following: 17 i) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; ii) Seniority shall include time spent on industrial leave, military leave, and leave of absence without 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 not including part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). d. "Series" shall mean two or more classifications within a Department which require the performance of similar duties with the higher ranking classification(s) characterized by the need for less supervision by superiors, more difficult assignments and more supervisory responsibilities for subordinates. The City Manager shall determine those classifications following a meet and consult process which constitute a Series. e. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking classification within the same series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURE The General Services Department will select employees for layoff by straight seniority department wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Division of the Public Works Department shall operate the same department -wide seniority as does the General Services Department, with the 18 exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. In the event the City Manager determines to reduce the number of employees within a classification, the following procedures are applicable: a. Temporary and probationary employees within any classification shall, in that order, be laid off before permanent employees. b. Employees within a classification shall be laid off in inverse order of seniority; c. An employee subject to layoff in one classification shall have the right to bump a less senior employee in a lower ranking classification within a series. 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. d. In the event two or more employees in the same classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. REEMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an 19 • • amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach up to ten (10) weeks of pay. 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, holiday leave, (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. C. Expansion of the IRS Section 125 Plan The NBEL and the City agree to expand the IRS section 125 plan to the fullest extent allowed by law. This will be accomplished through the selection of a qualified section 125 plan administrator. D. In -Service Supervisory and Safety Training The City will continue its program of providing supervisory and motivational training for Supervisors and Crew Chiefs. The program, will if possible, be expanded to include non - supervisory personnel wherever practical. The equipment operator training program will continue on an as needed basis. Course subject matter may include, but not limited to: interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. E. Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out, he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition, he will authorize the employee to have the shoes resoled at City expense. F. Service Awards For the purposes of determining service awards, if an 20 employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. G. Labor Management Committee Committees shall meet on an as needed basis; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the canceling party no less than 48 hours prior to the scheduled meeting; canceled meetings shall be rescheduled to take place within 5 working days of the canceled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. H. Accident Reporting The City will require that all traffic collisions involving City vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. I. Discipline - Notice of Intent 1. Employees who are to be the subject of ,substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of a discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of 21 • • substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non - substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject to discipline and who believe that the penalty is not justified shall have access to the grievance process as established in the Employee - Employer Resolution #7173. 2. Grievance Procedure Step 1: A grievance may be filed by any employee on his/her own behalf, or jointly by a group of employees, or by a Recognized Employee Organization. Within ten (10) calendar days of the event giving rise to a grievance, the grievant shall present the grievance in writing to the immediate supervisor. Grievances not presented within the time period shall be considered resolved. The supervisor shall meet with the grievant to settle grievance and give a written answer to the grievant within seven (7) calendar days from receipt of the grievance by the supervisor. When the immediate supervisor is also the department head the grievance shall be presented in Step 2. Step 2: If the grievance is not resolved in Step 1, the grievant may, within fourteen (14) calendar days from his/her receipt of the supervisor's answer, forward the grievance to the department head for consideration. Answer to the grievance shall be made in writing by the department head, after conferring with the grievant, within fourteen (14) calendar days from receipt of the grievance. Step 3: If the grievance is not resolved in Step 2, appeal to Step 3 may be made by the grievant within ten (10) calendar days from the receipt of the department heads answer, through the representative of his/her Recognized Employee Organization who may request a meeting with the City Representative to resolve the grievance. Following the meeting, answer shall be made by the City Representative, in writing, to the representative within twenty-one (21) calendar days. 22 Step 4: Mediation - If the grievance is not resolved after Step 3, as an alternative to proceeding directly to Step 5, the grievance may be submitted to mediation. A request for mediation may be presented in writing to the Human Resource Manager within seven (7) calendar days from the date a decision was rendered at Step 3. As soon as practicable thereafter, or as otherwise agreed to by the parties, a mediator shall hear the grievance. A request for mediation will automatically suspend the normal processing of a grievance until the mediation process is completed. The mediation process shall be optional, and any opinion expressed by the mediator shall be informal and shall be considered advisory. Step 5: Within 20 calendar days of receipt of a grievance denial at step three, the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board, the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing, the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions, the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Additionally, the City and NBEL agree to expand the grievance procedure as it relates to performance evaluations and written reprimands, permitting them to be appealed to the 5th step of the grievance procedure. J. Performance Evaluation 1. PREPARATION: The Supervisor will review the employee's previous evaluation and identify changes in performance. Note changes and the reasons why. The Supervisor will review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. The Supervisor will review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. 23 The Supervisor will list specific incidents or products that illustrate and support the formal ratings in each performance category. The Supervisor will prepare established job duties and performance standards for presentation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: The Supervisor will review any documentation and discuss its relationship to the performance ratings assigned for the current rating period. Assign ratings to each item on the form, basing them on factual information or upon observable behavior. The Supervisor will write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department Head prior to presentation to the employee. The Supervisor will present the evaluation to the employee in an environment conducive to clear communication. Attempt to resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the rater's Department Head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department Head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed at the discretion of the employee at step two of the Grievance Procedure. The employee may attach a rebuttal to any evaluation prior to its placement in his/her permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. 6. TRANSFERS AND REASSIGNMENTS: The City and the NBEL agree to modify the "transfers and assignments" article in the MOU to read as follows: "The City acknowledges that before arriving at a final decision involving the 24 transfer or reassignment of work schedules of those employees represented by the NBEL, the seniority and preference of the employee will be taken into consideration. K. Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of Personnel Policies, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of Memorandum of Understanding. More information may be included. L. 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities Division of Public Works Department and General Services Department. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the Department Director will notify the Association and the employees affected work group of the problem in writing, supported with cause. The Association and/or the employees of the affected work group, will in turn have up to ten (10) working days to respond and schedule a meeting with the Department Director. The purpose of the meeting is to propose a solution to the problem. The Department Director will consider the proposed solution and respond, in writing, within five (5) working days. If the Department Director and the work group disagree on the solution, the Association and/or employees of the affected work group will have up to five (5) working days to appeal the Department Director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. M. Injury Prevention Program (IPP1 Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability 25 • • which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. N. Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. Position vacancy announcements for all available City positions shall be distributed in a manner that reasonably assures unit members access to the announcements. Any employee who has achieved "regular status" may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification; and, 2. The Department Director approves of the transfer. O. Accident Reporting The City requires that all traffic collisions involving City vehicles shall be reviewed by the Traffic Division Supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its 26 preventable/non-preventable determination. P. Non -Discrimination City and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. Q. Rest Periods Employees shall be allowed rest period of fifteen (15) minutes during each four (4) consecutive hours of work. Such rest periods shall be scheduled in accordance with the requirements of the Department, but in no case shall rest periods be scheduled within one (1) hours of the beginning of the ending of a work shift or lunch period. The City may designate the location or locations at which rest periods may be taken. Rest periods shall be considered hours worked and employees may be required to perform duties, if necessary. R. Clean -Up Time When necessary, each employee shall be permitted up to fifteen (15) minutes of paid City time at the end of each work shift to perform work related job site and personal clean-up and to put away tools and equipment. The amount of clean-up time shall be limited to the actual needs of the employee. S. Failure of Probation a. New Probation An employee on new probation may be released at the sole discretion of the City at any time without right of appeal or hearing, except as provided in C., below. b. promotional Probation 1. An employee on promotional probation may be failed at any time without right of appeal or hearing, except as provided in C., below, and except that failing an employee on promotional probation must not be arbitrary, capricious or unreasonable. 2. An employee who fails promotional probation shall receive a performance evaluation stating the reason 27 for failure of promotional probation. 3. When an employee fails his or her promotional probation, the employee shall have the right to return to his or her former class provided the employee was not in the previous class for the purpose of training for a promotion to a higher class. When an employee is returned to his or her former class, the employee shall serve the remainder of any uncompleted probationary period in the former class. 4. If the employee's former class has been deleted or abolished, the employee shall have the right to return to a class in his or her former occupational series closest to, but no higher than, the salary range of the class which the employee occupied immediately prior to promotion and shall serve the remainder of any probationary period not completed in the former class. c. Probationary Release An employee who alleges that his or her probationary release was based on discrimination by the City, in violation of Personnel Policy Section 303 Non -Discrimination may submit a grievance within ten (10) days after receipt of the Notice of Failure of New Probation. T. Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 1995-1996 through the last pay period of fiscal year 1996-1997. Proposals for the succeeding MOU must be submitted on or before March 1, 1997 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 1995-1996. U. Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU 28 relating to any schedule adjustment increased by declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. Executed this c)day of /4.4i_ , 1996: NEWPORT BEACH EMPLOYEES LEAGUE By: By: By: By: ATTEST: By: Greg Lewis President Fry, Me er Jef e r, Member c - Hicks, r ,John E. O'Malley, Staff Richard A. Brown, Staff John Hedges, Mayor By: Gf (i)f, -' % /'`lc' -CL;� Vonne Harkless, City Clerk APP'SVED AS TO FORM: obert H. Burnham, City Attorney 29 evzNo .-' • 94/95 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE C-2€9 5 NBEL This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL), a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1994-95 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the fiscal year 1994-95. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. 1 • • 94/95 NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective with the first day of the first pay period of fiscal year 1994-95, subject to approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 2 Organizational Security Employees who are members of the NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the CITY from any and all claims arising from this article. ARTICLE 3 Employee Access/Employee Data The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new CITY employees assigned to a field departments. 2 94/95 ARTICLE 4 Salaries and Wages The City and the NBEL agree to no adjustment in compensation for fiscal year 94/95. NBEL waves any legal claims associated with past application of the J-1 Policy, and agrees that the J-1 Policy is no longer operative. ARTICLE 5 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently in place in the Utilities and General Services Departments. The Building Maintenance, Parks Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule including the Memorial Day and Labor Day weekends, or any portion of time between these Holidays at the discretion of the General Services Director. The City reserves the right to amend the program as needed to mitigate any operational problems which may arise due to budgetary cutbacks, personnel cuts or shortages, service level complaints, or any other operational reason. Should an operational problem involving service reductions or increases in cost materialize, the department director will notify the association and the employees affected work group of the problem in writing, supported with cause. The association and/or the employees of the affected work group, will in turn will have up to ten (10) working days to respond and schedule a meeting with the department director. The purpose of the meeting is to propose a solution to the problem. The department director will consider the proposed solution and respond, in writing, within five (5) working days. If the department director and the work group disagree on the solution, the association and/or the employees of the affected work group will have up to five (5) working days to appeal the department director's decision to the City Manager, who will consider both sides of the issue and resolve the dispute, in a written decision within ten (10) days after the aforementioned meeting. 3 94/95 ARTICLE 6 Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. ARTICLE 7 Retirement Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution, currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as higher taxable income during their last year of employment. 4 94/95 ARTICLE 8 Night Shift and Call Back Differential The CITY agrees to pay $1.00 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. Call back is paid at time and one-half (T+1/2) with a two (2) hour minimum. However, the differential pay is paid only for hours actually worked. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 5:00 p.m. ARTICLE 9 Holidays Effective with the beginning of the 1986-87 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. Full-time, regular employees hired on or after July 5, 1986, must have worked for the CITY for a minimum of one year to be eligible for this holiday. All full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit, with supervisory approval, at any time during the fiscal year. The CITY encourages eligible employees to use their floating holidays annually prior to their use of any vacation time. 5 • • 94/95 17.5%. ARTICLE 10 Differential Pay For One Mart Packer The differential pay for the operation of a one man packer shall be ARTICLE 11 Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive eight (8) hours' pay for said holiday. Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibility for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. ARTICLE 12 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 6 94/95 employee. Reductions in force are to be accomplished on the basis of seniority within a particular department or section, when applicable. DEFINITIONS. (A) "Layoffs" or "Laid Off" shall mean the non -disciplinary termination of employment. (B) "Seniority" is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. subject to the following. (i) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; (ii) 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. PROCEDURES The General Services Department will select employees for layoff by straight seniority department -wide. This means department management has total control of position elimination and personnel reassignment within ranks, but the layoffs shall be on a straight forward "last hired -first fired" basis. The layoff system for the Utilities Department shall operate the same department -wide seniority as does the General Services Department, with the exception of the Electrical and Telecommunications sections. Because of the highly specialized skills and training of the personnel in these sections, these sections shall be treated as unique and individual unto themselves. 7 94/95 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, holiday leave (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. RE-EMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach. 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, 8 94/95 holiday leave (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. RE-EMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach. ARTICLE 13 Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. 9 • • 94/95 Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to 'dependent'. ARTICLE 14 Expansion of the IRC Section 125 Plan The NBEL and the City agree to expand the IRC section 125 plan to the fullest extent allowed by law. This will be accomplished through the selection of a qualified section 125 plan administrator. ARTICLE 15 Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLE 16 Tuition Reimbursement Effective July 1, 1993, the Tuition Reimbursement limits will be increased to the same level as charged to $2,213.00 which will modify the City reimbursement limits to be as follows. Note, all tuition reimbursement calculations are based on a calendar year. ARTICLE 17 Vacation Accrual The CITY maintains its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 years, and 21 10 94/95 years to 20 years. Employees hired after June 30, 1990 are to be enrolled in the Flex -Leave program. ARTICLE 18 Retiree Medical Insurance Employee contribution applied to this benefit shall be 25%. The CITY may at its discretion absorb a portion of the increased dollar amount paid be retirees at no additional cost unit members. The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. ARTICLE 19 Sick Leave The CITY will maintain the traditional sick leave accrual schedule for those employees who were hired prior to June 30, 1990. All employees hired after June 30, 1990, as well as those employees hired prior to June 30, 1990 who select, shall be enrolled in the CITY's Flex -Leave program. ARTICLE 20 Health Plans and Medical Advisory Committee The CITY shall meet with a Medical Advisory Committee (MAC) during the months of July, December, February, and April. Additional committee meetings may be called by the Personnel Director or a majority of employee representatives. The committee shall be composed of one representative from each bargaining unit and to 3 management representative. Committee advisory functions shall include preparation and solicitation of bids and coverages consultation with the CITY's broker, determination of plan coverages, selection of carrier and coverage options. 1I • • 94/95 Meetings and determinations shall be coordinated to facilitate inclusion in the collective bargaining process. ARTICLE 21 Dependant Medical Insurance Premiums Effective June 30, 1990, the C i Y agrees to cap its contribution to employee health care plans at $400.00 per month. This maximum contribution shall apply to all unit -members regardless of their length of service. ARTICLE 22 In- Service Supervisory and Safety Training The CITY will continue its program of providing supervisory and motivational training for Crew Chiefs and Supervisors. The program, will if possible, be expanded to include non -supervisory personnel where ever practical. The equipment operator training program will continue. Course subject matter may include, but not be limited to: Interpersonal working relationships, public service, performance evaluation techniques, employee counseling and discipline, harassment avoidance, defensive driving, substance abuse, skills and safety methods and procedures, and wellness. ARTICLE 23 Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes ware out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out he will authorize the employee to purchase a new pair of shoes at CITY expense. If the supervisor judges that the uppers are in good condition he will authorize the employee to have the shoes resoled at CITY expense. Once the employee has a second pair of safety shoes, the CITY will pay for resoling of both pairs of shoes until the uppers are worn out. 12 94/95 The City and the NBEL have agreed to establish a committee of labor and management to tighten the controls on the safety shoes program. The product of this committee will be to develop language designed to reduce the likelihood of abuse without compromising worker safety. ARTICLE 24 Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 50% (Maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. ARTICLE 24 Disability Insurance Under the Flex -Leave program the following rules will govern access to the disability insurance program: 1. Employee must be enrolled in the disability program. 2. All existing sick leave accumulated in an employee's sick leave bank must be used. 3. If 240 or more hours have been used by an employee for the illness that exhausts the sick leave bank the employee may opt to go immediately into the disability plan. 4. All others must use at least five days or one-third of available paid leave whichever is greater before opting to use the disability plan. 5. In all cases there is a five working day waiting period for use of the disability plan. Employees without 13 94/95 accumulated sick leave banks or accumulated paid leave must be away from work for five days before opting into the disability plan. 6. City will pay the cost of disability insurance according to the following schedule: Accrued leave (sick or paid or combination) of 160 hours but less than 280 hours - 50% paid. Accrued leave (sick or paid or combination) of 280 hours or more - 100% paid. When an employee having five years of service with the City is on an approved disability leave of absence (up to a maximum of one year), the City will pay one-third of the cost of the employees' insurance (health, life and disability); for an employee with ten years of service the City will pay two- thirds of the cost the City will pay the entire cost for an employee with fifteen or more years of service. Refer to Personnel Resolution 703.6 Extended Sick Leave for employees not enrolled in new paid leave program. ARTICLE 25 Compensatory Time Off CITY employees represented by the NBEL may receive compensatory time off, in lieu of cash, as compensation for overtime hours worked. Compensatory time shall be calculated at the rate of one and one/half hours for each hour of overtime worked beyond the 40 hour limit of the work week. Compensatory time is to be granted only when the EMPLOYER and the EMPLOYEE agree that the application of "Comp. Time" is a desirable substitute for the payment of cash for the overtime. Call back time may be converted to comp. time with supervisor approval. ARTICLE 26 Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodically, the City Manager shall 14 94/95 direct a review of the existing classification plan to ensure that it is effectively maintained and that it reflects any significant changes in the duties and responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their department director in writing of their concern. This communication should dearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the department director. The department director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the department director does not respond to the subject employee within 60 days, the employee may refer the request directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of the employee(s) in the position. Incumbents shall not be required to compete or otherwise qualify for positions reclassified on the basis of the duties those employees perform. When a position is reclassified upward, the incumbent of the position being reclassified shall be reclassified with the position. If the position being reclassified has not been occupied by one individual for a period of one year, continuously prior to the reclassification, the reclassified position may be filled by recruitment. Unless, in the judgement of the department director, there are exceptional circumstances such recruitment shall be closed promotional. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. 15 94/95 ARTICLE 27 Service Awards For the purpose of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. ARTICLE 28 P.E.R.S. Health Care Option The City will offer the PERS health care system, as an option, to the employees represent by NBEL on January 1, 1995. It is the intent of the City to maintain its direct relationship with Health Net of California as the City's standard health care plan. ARTICLE 29 Labor -Management Committee Committees shall meet quarterly on an annual schedule; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the cancelling party no less than 48 hours prior to the scheduled meeting; cancelled meetings shall be rescheduled to take place within 5 working days of the cancelled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. 16 94/95 ARTICLE 30 Accident Reporting The CITY will require that all traffic collisions involving CITY vehicles shall be reviewed by the traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. ARTICLE 31 Grievance Procedure - Step Four Step Four. Within 20 calendar days of receipt of a grievance denial at step three the grievant may file the grievance, in writing, with the City's Personnel Director. Fourth step grievances will be reviewed by an independent hearing officer, who would make an advisory recommendation to the City Manager for final resolution. The hearing officer shall be selected from a recognized professional organization which routinely supplies hearing officers to assist in dispute resolution. The selection of the hearing officer shall be selected by alternate pick, with the City choosing the hearing officer for the first hearing. The City and the NBEL recognize and accept that this is an experimental procedure for the participants, and that this agreements is specifically not intended to be a precursor to arbitration. The cost of this procedure would be paid by the loser. Performance evaluation ratings and written reprimands are excluded from this Step Four grievance process, and shall be dealt with as currently provided in the Discipline Code. ARTICLE 32 Dependent Medical Insurance Premiums Effective June 30, 1990, the City agrees to cap its contribution to employee health care plans at $400.00 per month. This maximum 17 94/95 contribution shall apply to all unit members regardless of their length of service. ARTICLE 33 Performance Evaluation 1. PREPARATION: Review the employees previous evaluation and identify changes in performance. Note changes and the reasons why. Review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. Review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. List specific incidents or products that illustrate and support the formal ratings in each performance category. Prepare established job duties and performance standards for presentation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: Review all documentation and its relationship to job duties and performance standards. Assign ratings to each item on the form, basing them on factual information and upon objective of observable behavior. Write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department head prior to presentation to the employee. Present the evaluation to the employee in an environment conducive to clear communication. Resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the raters Department head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed 18 94/95 at the discretion of the employee at step two of the Grievance Procedures. The employee may attach a rebuttal to any evaluation prior to its placement in his permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. ARTICLE 34 Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1,000.00. ARTICLE 35 Highest Year Retirement Benefit The City will modify its contract with PERS to allow best/highest year calculation. The City and "Miscellaneous Member" will contribute according to the following amortization schedule: Phase In Association C 1990-91 .121% .486% 1991-92 .243% .364% 1992-93 .364% .243% 1993-94 .486% .121% 1994-95 .607% ARTICLE 36 Compensatory Time NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the 19 94/95 EMPLOYEE agree on the application of "Comp Time' as a desirable substitute for the cash payment of overtime. ARTICLE 37 Injury Prevention Program (IPP) Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings will apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution NBEL members for any liability which might arise out of the City's IPP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the 1PP. ARTICLE 38 Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Acting pay is 107.5% of the employees's of the employee's base pay rate. 20 • 94/95 Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. ARTICLE 39 Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. ARTICLE 40 Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of Personnel Policies, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of Memorandum of Understanding. More information may be included. 21 • • 94/95 ARTICLE 41 Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. ARTICLE 42 Discipline - Notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty is not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. 22 • • 94/95 ARTICLE 43 Personnel Selection Rules The City and the NBEL have adopted language establishing rules for personnel selection and these rules will be incorporated into the MOU. (see attachment "A") ARTICLE 46 Certification Pay Annual payment for State Certification to be as follows for those League represented employees holding valid and current State certification in areas indicated below on November 15th of each year: Water or Wastewater Operator Grade I: $50, Grade II: $100, Grade III: $150, and Grade IV: $200 Backflow Certification $100 Qualified Applicator Certificate $100 for each category up to a maximum of $300. Smog $100 23 • • 94/95 Brakes $50 Lamps $100 ARTICLE 45 Flex -Leave The CITY will maintain its current vacation accrual schedule for those employees who wish to remain in the present system, and who were hired prior to June 30, 1989. Refer tom Personnel Policies 702.3 for schedule incorporated herein by reference. All new hires and those who opt for the new "Flex -Leave" program, will be enrolled permanently in that program. Effective July 1, 1993, the NBEL and the City agree to add one day to the accrual schedule of the "Flex -Leave" program for employees who have completed 12 or more years of consecutive service for the City. The City and the NBEL agree to allow for a one time reverse enrollment from the Flex -leave system back to the traditional vacation/sick leave system. Any employee, hired prior to July 1, 1989, wishing to return to the traditional system of vacation/sick leave may elect to do so during a one month period to be determined by agreement between the NBEL and the City. During the term of this MOU the City will continue to work with representatives of NBEL to seek modification of the the Flex -leave system so as to meet the reporting of compensation requirements of PERS. ARTICLE 46 Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. Position vacancy announcements for 24 • • 94/95 all available CITY positions shall be distributed in a manner that reasonably assures unit members access to the announcements. Any employee who has achieved 'regular status' may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification. — and -- 2. The department director approves of the transfer. ARTICLE 47 Accident Reporting The CITY requires that all traffic collisions involving CITY vehicles shall be reviewed by the Traffic Division Supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. ARTICLE 48 Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. 25 94/95 ARTICLE 49 Duration The terms of this MOU are to remain in full force and effect from the first pay period of fiscal year 1994/95 through the last day of the last pay period of fiscal year 1994/95. Proposals for the succeeding MOU must be submitted on or before March 1, 1995 in accordance with Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the first day of the first pay period of fiscal year 1994/95. ARTICLE 50 Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. ARTICLE 51 Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. 26 94/95 Executed this 4th day of August ,19 94 by APPI VED AS TO FORM; city Attorney NEWPORT BEACH EMPLOYEES LEAGUE 1 - dir NEWPORT BEA 1 �� Duane l . Munson Travis Askey Mayor City Clerk 27 • • 93/94 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE LEAGUE NBEL This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL), a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1993-94 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the fiscal year 1993-94. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. 88-89 1 93/94 NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective July 1, 1993, subject to approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 2 Organizational Security Employees who are members of the NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the CITY from any and all claims arising from this article. ARTICLE 3 Employee Access/Employee Data The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. 88-89 2 93/94 Information concerning the NBEL prepared by the NBEL will be provided to new field employees at the time of orientation. NBEL officials shall be entitled to solicit membership from field employees who are not members or who are new CITY employees assigned to a field departments. ARTICLE 4 Salaries and Wages 1. A COLA adjustment of no less than 3% to be effective on January 1, 1994. Based on the local {all urban consumers Los Angeles - Anaheim -Riverside} CPI, for the time period between July 1, 1992 and June 30,1993. 2. The City will add an extra step (5%) to the merit system salary range, (An "F" step) effective April 1, 1994. Employees in classifications within the scope of representation of NBP&TEA, who have been at the "E" step for twelve (12) months prior to April 1, 1994 shall advance to the "F' step on that date. All other employees effected by this agreement, shall be eilgible for an increase to the "F' step after twelve (12) months at the "E" step. The "F" step will be incorporated into the merit pay system, and all the other provisions and requirement of the merit pay system shall remain unchanged. Effective with the final approval of this agreement, by the City Council, merit increases will be effective the day they are due, instead of on the beginning of the following pay period. NBEL shall execute written waver of any legal claims associated with past application of the J-1 Policy, and agree that the J-1 Policy is no longer operative. 88-89 93/94 ARTICLE 5 9/80 Scheduling Plan The City agrees to maintain flex -scheduling where it is currently operating successfully (Parks Division and Utilities Department) and additionally to put in place in the General Services Department a 9/80 schedule on or before September 1, 1993, on a test basis from implementation through the end of this contract. This test will be conducted at the discretion of the department director. The program will have proven itself to be successful if it costs the same or less than the present 5/40 program, and if the service levels for the 9/80 are the same or better as they are on the present 5/40 program. The program will be evaluated individually by work group, and should a problem involving service reductions or increases in cost materialize, the department director will meet with the work group to resolve the problem. If the department director and the work group disagree on the solution, the City Manager will consider both sides of the issue and resolve the dispute. The City Manager's determination shall be final. ARTICLE 6 Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with 88-89 4 93/94 respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. ARTICLE 7 Retirement Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution, currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as higher taxable income during their last year of employment. ARTICLE 8 Night Shift and Call Back Differential The CITY agrees to pay $1.00 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 5:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. Call back is paid at time and one-half (T+1/2) with a two (2) hour minimum. However, the differential pay is paid only for hours actually worked. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 5:00 p.m. 88-89 • • 93/94 ARTICLE 9 Holidays Effective with the beginning of the 1986-87 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. Full-time, regular employees hired on or after July 5, 1986, must have worked for the CITY for a minimum of one year to be eligible for this holiday. All full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit, with supervisory approval, at any time during the fiscal year. The CITY encourages eligible employees to use their floating holidays annually prior to their use of any vacation time. ARTICLE 10 Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive eight (8) hours' pay for said holiday. Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibility for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. 88-89 6 93/94 ARTICLE 11 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 permanent status in their current Classification or any Classification within the Series, subject to the following: (i) Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; (ii) 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. Classification within a Series shall be ranked according to pay (lowest ranking, lowest pay). (D) "Series" shall mean two or more Classifications within a Department which require the performance of similar duties with the higher ranking Classifications(s) characterized by the need for less supervision by superiors, more difficult assignments, more supervisory responsibilities for subordinates. The City Manager shall determine those Classifications following a meet and consult process which constitute a Series. (E) "Bumping Rights", 'Bumping" or "bump" shall mean (1) the right of an employee, based upon seniority within a series to bump into a lower ranking Classification within the same Series, (2) to be followed by, an employee being permitted to bump into a classification within a different series. The latter bumping shall be based upon unit wide seniority and shall be limited to a classification in which the employee previously held regular status. 88-89 7 • • 93/94 No employee shall have the right to bump into a classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. PROCEDURES In the event the City Manager determines to reduce the number of employees within a Classification, the following procedures are applicable: (A) Temporary and probationary employees within any Classification shall, in that order, be laid off before permanent employees. (B) Employees within a Classification shall be laid off in inverse order of seniority; (C) An employee subject to layoff in one Classification shall have the right to Bump a less senior employee in a lower ranking Classification within a Series. 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. (D) In the event two or more employees in the same Classification are subject to layoff and have the same seniority, the employees shall be laid off following the Department Director's consideration of established performance evaluations. 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, holiday leave (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. RE-EMPLOYMENT Permanent 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 expire in 18 months. 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 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, first class postage prepaid, 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 Personnel Director. 88-89 8 • • 93/94 EXPIRATION This policy shall expire twelve (12) months after approval by the City Council, subject to earlier termination pursuant to a written agreement between the City and any recognized employee association. SEVERANCE If an employee is laid off from their job with the City, for economic reasons, the City will grant severance pay in an amount equal to one week of pay for every full year of continuous employment service to the City of Newport Beach. ARTICLE 12 Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to 'dependent'. ARTICLE 13 Expansion of the IRC Section 125 Plan The NBEL and the City agree to expand the IRC section 125 plan to the fullest extent allowed by law. This will be accomplished through the selection of a qualified sect -ion 125 plan administrator. 88-89 9 93/94 ARTICLE 14 Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLE 15 Tuition Reimbursement Effective July 1, 1993, the Tuition Reimbursement limits will be increased to the same level as charged to $2,213.00 which will modify the City reimbursement limits to be as follows. Note, all tuition reimbursement calculations are based on a calendar year. ARTICLE 16 Vacation Accrual The CITY maintains its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 years, and 21 years to 20 years. Employees hired after June 30, 1990 are to be enrolled in the Flex -Leave program. ARTICLE 17 Retiree Medical Insurance Employee contribution applied to this benefit shall be 25%. The CITY may at its discretion absorb a portion of the increased dollar amount paid be retirees at no additional cost unit members. The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by city. 10 93/94 ARTICLE 18 Sick Leave The CITY will maintain the traditional sick leave accrual schedule for those employees who were hired prior to June 30, 1990. All employees hired after June 30, 1990, as well as those employees hired prior to June 30, 1990 who select, shall be enrolled in the CITY's Flex -Leave program. ARTICLE 19 Health Plans and Medical Advisory Committee The CITY shall meet with a Medical Advisory Committee (MAC) during the months of July, December, February, and April. Additional committee meetings may be called by the Personnel Director or a majority of employee representatives. The committee shall be composed of one representative from each bargaining unit and to 3 management representative. Committee advisory functions shall include preparation and solicitation of bids and coverages consultation with the CITY's broker, determination of plan coverages, selection of carrier and coverage options. Meetings and determinations shall be coordinated to facilitate inclusion in the collective bargaining process. ARTICLE 20 Dependant Medical Insurance Premiums Effective June 30, 1990, the CITY agrees to cap its contribution to employee health care plans at $400.00 per month. This maximum contribution shall apply to all unit members regardless of their length of service. 88-89 11 93/94 ARTICLE 21 Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes ware out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out he will authorize the employee to purchase a new pair of shoes at CITY expense. If the supervisor judges that the uppers are in good condition he will authorize the employee to have the shoes resoled at CITY expense. Once the employee has a second pair of safety shoes, the CITY will pay for resoling of both pairs of shoes until the uppers are worn out. ARTICLE 22 Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 50% (Maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. ARTICLE 23 Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodically, the City Manager shall direct a review of the existing classification plan to ensure that it is effectively maintained and that it reflects any significant changes in the duties and 88-89 12 93/94 responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their department director in writing of their concern. This communication should clearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the department director. The department director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the department director does not respond to the subject employee within 60 days, the employee may refer the request directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of the employee(s) in the position. Incumbents shall not be required to compete or otherwise qualify for positions reclassified on the basis of the duties those employees perform. When a position is reclassified upward, the incumbent of the position being reclassified shall be reclassified with the position. If the position being reclassified has not been occupied by one individual for a period of one year, continuously prior to the reclassification, the reclassified position may be filled by recruitment. Unless, in the judgement of the department director, there are exceptional circumstances such recruitment shall be closed promotional. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. 88-89 13 1 • • 93/94 ARTICLE 24 Service Awards For the purpose of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. ARTICLE 25 Administration of Health Maintenance Organization Contracts The NBEL authorizes the CITY'S Personnel Director to test the Health Maintenance Organization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 88-89 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 2.) the new provider must have as many, or more, facilities as the incumbent provider. 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. 14 • • 93/94 ARTICLE 26 Grievance Procedure - Step Four Step Four: Within 20 calendar days of receipt of a grievance denial at step three the grievant may file the grievance, in writing, with the Civil Service Board. At the next regularly scheduled meeting of the Civil Service Board the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Performance evaluation ratings and written reprimands are excluded from this Step Four grievance process, and shall be dealt with as currently provided in the Discipline Code. ARTICLE 27 Performance Evaluation 1. PREPARATION: Review the employees previous evaluation and identify changes in performance. Note changes and the reasons why. Review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. Review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. List specific incidents or products that illustrate and support the formal ratings in each performance category. Prepare established job duties and performance standards for presentation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: Review all documentation and its relationship to job duties and performance standards. Assign ratings to 88-89 15 93/94 each item on the form, basing them on factual information and upon objective of observable behavior. Write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department head prior to presentation to the employee. Present the evaluation to the employee in an environment conducive to clear communication. Resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the raters Department head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed at the discretion of the employee at step two of the Grievance Procedures. The employee may attach a rebuttal to any evaluation prior to its placement in his permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. ARTICLE 28 Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1,000.00. ARTICLE 29 Highest Year Retirement Benefit The City will modify its contract with PERS to allow best/highest year calculation. The City and "Miscellaneous Member" will contribute according to the following amortization schedule: 88-89 16 93/94 Phase In Association ciM 1990-91 .121% .486% 1991-92 .243% .364% 1992-93 .364% .243% 1993-94 .486% .121% 1994-95 .607% .0% ARTICLE 30 Compensatory Time LABEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of "Comp Time' as a desirable substitute for the cash payment of overtime. ARTICLE 31 In -Service Supervisory Training The CITY will continue its program of providing supervisory technique and motivational training for Supervisors and Crew Chiefs. The Equipment Operator training (certification) program will continue. Until such time as the Injury Prevention Program (IPP) is fully developed the following understandings will apply: 1. The City will indemnify and hold harmless from civil and criminal prosecution LABEL members for any liability which might arise out of the City's 1PP (mandated by SB198). Once the program has been fully developed and implemented, the IPP will come into full force and effect. 2. The City will take into consideration the adequacy of training prior to issuing discipline or depreciated performance evaluations 88-89 17 93/94 to employees who have been determined to be in non-compliance to the City's IPP. 3. The City agrees to identify, at the beginning of each department's IPP the individuals who are ultimately responsible for the administration of the plan. 4. The City agrees to incorporate representatives of the NBEL on the IPP safety committees in all departments where the NBEL has representation obligations. 5. The City agrees to include representatives from the NBEL in a meet and consult role, as part of the process which will be employed for the incorporation of changes in the IPP. ARTICLE 32 Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. ARTICLE 33 Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. 88-89 18 93/94 Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. ARTICLE 34 Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. ARTICLE 35 Discipline - Notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other 88-89 19 93/94 discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty is not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. ARTICLE 36 Personnel Selection Rules The City and the NBEL have adopted language establishing rules for personnel selection and these rules will be incorporated into the MOLL. (see attachment "A") ARTICLE 37 Certification pay Annual payment for State Certification to be as follows for those League represented employees holding valid and current State certification in areas indicated below on November 15th of each year: 88-89 Water or Wastewater Operator Grade I: $50, Grade II: $100, Grade III: $150, and Grade IV: $200 Backflow Certification $100 Qualified Applicator Certificate $100 for each category up to a maximum of $300. Smog 20 • 93/94 $100 Brakes $50 Lamps $100 ARTICLE 38 Flex -Leave The CITY will maintain its current vacation accrual schedule for those employees who wish to remain in the present system, and who were hired prior to June 30, 1989. Refer tom Personnel Policies 702.3 for schedule incorporated herein by reference. All new hires and those who opt for the new "Flex -Leave" program, will be enrolled permanently in that program. Effective July 1, 1993, the NBEL and the City agree to add one day to the accrual schedule of the "Flex -Leave" program for employees who have completed 12 or more years of consecutive service for the City. The City and the NBEL agree to allow for a one time reverse enrollment from the Flex -leave system back to the traditional vacation/sick leave system. Any employee, hired prior to July 1, 1989, wishing to return to the traditional system of vacation/sick leave may elect to do so during a one month period to be determined by agreement between the NBEL and the City. During the term of this MOU the City will continue to work with representatives of NBEL to seek modification of the the Flex -leave system so as to meet the reporting of compensation requirements of PERS. 88-89 21 93/94 ARTICLE 39 Promotional Preference Where no less than two (2) unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. Position vacancy announcements for all available CITY positions shall be distributed in a manner that reasonably assures unit members access to the announcements. Any employee who has achieved 'regular status' may request assignment to any lateral or lower classification, and that employee may be transferred into that classification without competitive testing if both of the following conditions have been satisfied: 1. The employee meets the minimum qualifications of the classification. --- and — 2. The department director approves of the transfer. ARTICLE 40 Accident Reporting The CITY requires that all traffic collisions involving CITY vehicles shall be reviewed by the Traffic Division Supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. ARTICLE 41 Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about 88-89 22 93/94 prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE 42 Duration The terms of this MOU are to remain in full force and effect from the 1st day of July, 1993, until the 30th day of June, 1994; and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 1st day of July, 1993. ARTICLE 43 Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. 88-89 23 93/94 ARTICLE 36 Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. 88-89 24 93/94 Executed this 3-2-‘56- day of "Ad,19 NEWPORT BEACH EMPLOYEES LEAGUE James McAfee G:. ge Mi11ike B7' i x ee Buzzard APPE• ED AS TO FORM: i ity Attorney 88-89 CITY OF NEWPORT BEACH Duane Munson ATTEST: City Clerk ?, LEAGUE NBEL MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL), a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1990-92 fiscal years. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the fiscal years 1990-92. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective June 30, 1990, subject to approval by the City Council of the City of Newport Beach, as follows: 90-92 1 ARTICLE 1 NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Main- tenance unit, and agrees to meet and confer and otherwise deal exdusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 2 Organizational Security Employees who are members of NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the CITY from any and all claims arising from this article. ARTICLE 3 Employee Access/Employee Data The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the League prepared by the League will be provided to new field employees at the time of orientation. League officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. ARTICLE 4 Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. 90-92 2 ARTICLE 5 Salaries and Wages Effective June 30, 1990, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as Appendix "A" incorporated herein by reference. These salaries reflect the 1990-91 J-1 Policy total compensation increase of 6.0%, salary increase of 6.72%. Within the compensation increase there is a special adjustment each year of 3.7% for supervisory classes other than Utilities and Parking Lot Supervisors as well as levelling adjustments to balance pay levels for Parks and Beaches , General Service Crewchiefs and Parking Meter Supervisor. ARTICLE 6 Differential Pay For One Man Packer The differential pay for operation of a one man packer shall be 17.5%. ARTICLE 7 Re -opening This will be a two-year agreement allowing for re -openers on bench- mark review and a J-1 comparison review to ascertain that benefits are properly compared to total compensation, these benefits to include wages, insurance cost and coverage, and hours. There will be a wage adjustment next year, July 1991 depending on these comparisons. In addition, up to two M.O.U. articles selected by League or the City may be re -opened and/or any item(s) mutually agreed upon. If one party does not re -open on one or more of their choices, the other may use those choices. ARTICLE 8 Modification in Survey Benchmark The CITY and League have jointly prepared a list of benchmarks and benchmark comparisons in Fullerton, Santa Ana, Huntington Beach and Anaheim for incorporation into the M.O.U. document. Refer to Appendix "B" incorporated herein by reference. 90-92 3 ARTICLE 9 Night Shift and Call Back Differential There will be a $1.00/hr differential for shift and call back work that occurs after 5:00 P.M. and before 5:00 A.M. Call Back is paid at time and half with 2 hours minimum. However, the differential pay is paid only for hours actually worked. ARTICLE 10 Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays are excluded from this provision as they are included in the leave accrual of eligible employees. ARTICLE 11 Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher dassification. ARTICLE 12 Certification pay Annual payment for State Certification to be as follows for those League represented employees holding valid and current State certification in areas indicated below on November 15th of each year: 90-92 Water or Wastewater Operator Grade I: $50, Grade H: $100, Grade III: $150, and Grade IV: $200 Backflow Certification $100 Qualified Applicator Certificate $100 for each license up to a maximum of $300. 4 • • Smog $100 Brakes $50 Lamps $50 Class A License $100 ARTICLE 13 Holidays Effective with the beginning of the 1986-87 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' is converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. The 8 hour floating holiday credit will be added to the eligible employee leave accumulation of the 1st pay period in fiscal year. All full-time, regular employees are eligible for the 'birthday holiday' 1 year from their date of hire. This holiday is a floating holiday. With the exception of the first year, the 8 hour floating holiday credit will be added to the eligible employee leave accumulation of the 1st pay period in fiscal year. The first year holiday will be added on the employee's anniversary date. For the year 1990-91 only, in consideration for a trade on one floating holiday, the City agrees to 8 hour day holidays on Christmas Eve and New Year's Eve days. ARTICLE 14 Holiday Pay Eligibility NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. 90-92 5 Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibility for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. ARTICLE 15 Tuition Reimbursement Effective June 30, 1990, the tuition reimbursement limits will be increased to the same level as charged by the University of California at Irvine for part-time student enrollees (including parking fees) as of Spring 1990. The annual combination of UCI tuition and parking fees, as of Spring 1990, is $1550.00, which will modify the City Reimbursement. Note, tuition reimbursement is calculated on a fiscal year and this may be accessed in a lump sum. Reference Personnel Policies Section IV and prior Memorandums of Understanding incorporated herein by reference. ARTICLE 16 In -Service Training In -Service Supervisory and Safety Training The CITY will continue its program of providing supervisory and motivational training for Crew Chiefs and Supervisors. The program will, if possible, be expanded to include non -supervisory personnel where ever practicable. The Equipment operator training program will continue. A course on interpersonal working relationships with emphasis on public employees and public contact will be included in the program. Individual field departments will provide training for departmental employees on specific topics. Training for supervisory personnel on the implementation of the new Performance Evaluation will be included in a timely manner. The CITY will work with NBEL to include a wellness awareness program in this program. 90-92 6 Employee work site training shall occur at least every other month. LEAGUE and CTTY will work with field departments to introduce and refine a program in safe lifting and defensive driving at the start of employment and with an annual program for all employees. ARTICLE 17 Family Sick Leave Policy Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to dependent'. ARTICLE 18 Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." NBEL employees may use current bereavement bank to attend the funeral of a unit member. Department heads may retain minimal staffing to assure continued operations. ARTICLE 19 Sick Leave The CITY will maintain its current sick accrual schedule for those employees who wish to remain in present system and who were hired prior to June 30, 1990. Refer to Personnel Policies 703.3 for schedule incorporated herein by reference. All new hires and those who opt for the new Paid Leave Program, refer to attached Appendix "C", incorporated herein by reference. Sick leave as provided in various rules is defined as an employee right not an employee privilege. 90-92 7 ARTICLE 20 Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 50% (Maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. This is true for only those employees who are under the old Sick Leave Policy. Refer to appendix "C" for those hired after June 30, 1990 and/or or those employees who have signed up for new program. ARTICLE 21 Vacation Accrual The CITY will maintain its current vacation accrual schedule for those employees who wish to remain in present system and who were hired prior to June 30, 1990. Refer to Personnel Policies 702.3 for schedule incorporated herein by reference. All new hires and those who opt for the New Paid Leave Program, refer to attached Appendix "C" incorporated herein by reference. Floating Holidays are accessed in the same manner as Vacation and may be carried over from year to year. ARTICLE 22 Compensatory Time Off NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of "Comp Time' as a desirable substitute for the cash payment of overtime. Call back may be used as compensatory time with Department Head approval. 90-92 8 ARTICLE 23 Health Plans and Medical Advisory Committee The NBEL authorizes the CITY'S Personnel Director to test the Health Maintenance Organization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 2.) the new provider must have as many, or more, facilities as the incumbent provider. 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. The CITY shall meet with a medical advisory committee during the months of July, December, February and April. Additional committee meetings may be called by the Personnel Director or a majority of employee representatives. The committee shall be composed of one representative from each bargaining unit and up to 3 management representatives. Committee advisory functions shall include preparation and solicitation of bids and coverages consultation with the City's broker, determination of plan coverages, selection of carrier and coverage options. Meetings and determinations shall be coordinated to facilitate inclusion in the collective bargaining process. ARTICLE 24 Dependent Medical Insurance Premiums Effective June 30, 1990 the CITY agrees to cap its contribution to employee health care plans at $400.00 per month. This maximum contribution shall apply to all unit members regardless of their length of service. 90-92 9 ARTICLE 25 Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1,000.00. ARTICLE 26 Retiree Medical Insurance EMPLOYEE contribution applied to this benefit shall be 25%/$12.21 per month for the life of this agreement. The CITY may at its discretion absorb a portion of the increased dollar amount paid by retirees at no additional cost to unit members. The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. ARTICLE 27 PERS Pickup Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. Said retirement pickup shall be credited to the employee's individual account with PERS. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 90-92 10 ARTICLE 28 Highest Year Retirement Benefit The CITY will modify its contract with PERS to allow best/highest year calculation. The CITY and "Miscellaneous Member" will contribute according to the following amortization schedule: Phase In League City 1990-91 .121% .486% 1991-92 .243% .364% 1992-93 .364% .243% 1993-94 .486% .121% 1994-95 .607% .0 ARTICLE 29 Retirement Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution, currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as higher taxable income during their last year of employment. ARTICLE 30 Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. Employees may keep worn out polo -type uniform shirts with the understanding that such shirts may not be used to misrepresent and/or discredit the City. 90-92 11 • • The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. ARTICLE 31 Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition he will also authorize the employee to have the shoes resoled at City expense. Once the employee has a second pair of safety shoes, the CITY will pay for resoling of both pairs of shoes until the uppers are worn out. ARTICLE 32 Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodicaly, the City Manager shall direct a review of the existing classification plan to ensure that it is effectively maintained and that it reflects any significant changes in the duties and responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their department director in writing of their concern. This communication 90-92 12 should clearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the department director. The department director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the department director does not respond to the subject employee within 60 days, the employee may refer the request directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of the employee(s) in the position. When a position is reclassified upward, the incumbent of the position being reclassified shall be reclassified with the position. If the position being reclassified has not been occupied by one individual for a period of one year, continuously prior to the reclassification, the reclassified position may be filled by recruitment. Unless, in the judgement of the department director, there are exceptional circumstances such recruitment shall be closed promotional. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. ARTICLE 33 Labor -Management Committee Committees shall meet quarterly on an annual schedule; 2 unit members shall participate in each meeting; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the cancelling party no less than 48 hours prior to the scheduled meeting; cancelled meetings shall be rescheduled to take place within 5 working days of the cancelled meeting; committees shall be departmental; they may be 90-92 13 combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. The City and NBEL agree that initial committee establishment will require good faith effort to effect the spirit of this agreement. ARTICLE 34 Promotional Preference Where no less than 2 unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference given to the unit members so qualified. Position vacancy announcements for all available City positions shall be distributed in a manner that reasonably assures unit member access to the announcements. ARTICLE 35 Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 90-92 1. Ability to perform work required and the manner in which employee has previously performed the work; and, 2. Length of seniority. 14 In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within the classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to re -hire, for a period of two years from date of layoff, with re -hire to occur in reverse order of layoff. ARTICLE 36 Service Awards For the purpose of determining service awards, if an employee has been employed by the City on more than one occasion, non-consecutive time will be considered as part of total service. Prior to system implementation, an employee is required to individually notify the awards committee of all of the service time. ARTICLE 37 Performance Evaluation The CITY will institute an annual employee performance evaluation effective January 1, 1990. 1. PREPARATION: Review the employees previous evaluation and identify changes in performance. Note changes and the reasons why. Review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. Review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. List specific incidents or products that illustrate and support the formal ratings in each performance category. Prepare established job duties and performance standards for representation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: Review all documentation and its relationship to job duties and performance standards. Assign ratings to each item on the form, basing them on factual information and upon objective of observable behavior. Write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 90-92 15 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department head prior to presentation to the employee. Present the evaluation to the employee in an environment conducive to clear communication. Resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the raters Department head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed at the discretion of the employee at step two of the Grievance Procedure. The employee may attach a rebuttal to any evaluation prior to its placement in his permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. ARTICLE 38 Grievance Procedure - Step Four Step Four: Within 20 calendar days of receipt of a grievance denial at step three the grievant may file the grievance, in writing, with the Civil Service board. At the next regularly scheduled meeting of the Civil Service Board the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar .days of the issuance of Civil Service Board findings and conclusions the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Performance evaluation ratings and written reprimands are excluded from this Step Four grievance process, and shall be dealt with as currently provided in the Discipline Code. 90-92 16 ARTICLE 39 Accident Reporting The CITY will require that all traffic collisions involving City vehicles shall be reviewed by a traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehide accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. Accident reporting system as agreed to in past will be instituted for NBEL represented departments. At the time of start-up, there will be a joint Labor/Management Committee of management from the three field departments and League Officers to discuss implementation and this same group will review the program after six months. ARTICLE 40 Discipline - Notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty is not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. 90-92 17 ARTICLE 41 Disability Insurance Under the new paid leave program the following rules will govern access to the disability insurance program: 1. Employee must be enrolled in the disability program. 2. All existing sick leave accumulated in an employee's sick leave bank must be used. 3. If 240 or more hours have been used by an employee for the illness that exhausts the sick leave bank the employee may opt to go immediately into the disability plan. 4. All others must use at least five days or one-third of available paid leave whichever is greater before opting to use the disability plan. 5. In all cases there is a five working day waiting period for use of the disability plan. Employees without accumulated sick leave banks or accumulated paid leave must be away from work for five days before opting into the disability plan. 6. City will pay the cost of disability insurance according to the following schedule: Accrued leave (sick or paid or combination) of 160 hours but less than 280 hours - 50% paid. Accrued leave (sick or paid or combination) of 280 hours or more - 100% paid. When an employee having five years of service with the City is on an approved disability leave of absence (up to a maximum of one year), the City will pay one-third of the cost of the employees' insurance (health, life and disability); for an employee with ten years of service the City will pay two- thirds of the cost; the City will pay the entire cost for an employee with fifteen or more years of service. Refer to Personnel Resolution 703.6 Extended Sick Leave for employees not enrolled in new paid leave program, incorporated herein by reference. ARTICLE 42 Paid Leave The CITY will maintain its current vacation and sick accrual schedule for those employees who wish to remain in present system and who were 90-92 18 hired prior to June 30, 1990. Refer to Personnel Policies 702 and 703 for schedule incorporated herein by reference. All new hires and those who opt for the new Paid Leave Program, refer to attached Appendix "C" incorporated herein by reference. ARTICLE 43 Employee Handbook There will be a consolidation of documents to be given to each employee. This consolidation will be comprised of Personnel Policies, related Departmental Rules and Regulations; Employee/Employer Resolutions and a copy of Memorandum of Understanding. More information may be included. ARTICLE 44 Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, except for Artide 7 of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE 45 Duration The terms of this MOU are to remain in full force and effect from the 30th day of June, 1990 until the 28th of June,1992 and thereafter, from year- to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 30th day of June, 1990.. 90-92 19 • • ARTICLE 46 Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. 90-92 20 Executed this -';14‘71 day of ;c %' / ,19 NEWPORT BEACH EMPLOYEES LEAGUE by ..,/ b Gec,`ge Milliken James McAfee 3 -- l.r.e Buzzard CITY?F NEWPORT BEACH T obert I. Dixon J by APB' ' • ED AS TO FORM: City Attorney K. Munson ATTEST: City Clerk 21 • 1990-91 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE AUTO PAINT AND BODY MECHANIC 5-008 2354- 2862 BEACH/STORM DRAIN SUPERVISOR 5-010 2902- 3527 BEACH MAINTENANCE CREW CHIEF 5-013 2441- 2967 BUILDING MAINTENANCE SUPRVSR 5-015 2902- 3527 BUILDING MAINT CREW CHIEF 5-020 2443- 2970 BUILDING MAINT WORKER I 5-025 1736- 2110 BUILDING MAINT WORKER II 5-030 1914- 2327 CARPENTER 5-035 2327- 2828 CARPENTER SHOP SUPERVISOR 5-040 2902- 3527 CONCRETE FINISHER 5-045 2327- 2828 CONCRETE MAINT. CREW CHIEF 5-047 2443- 2970 CONCRETE MAINT SUPERVISOR 5-050 2902- 3527 ELECTRICAL SERVICES SUPERVISOR 5-055 3155- 3835 ELECTRICIAN CREW CHIEF 5-060 2862- 3479 ELECTRICIAN I 5-065 2354- 2862 ELECTRICIAN II 5-070 2596- 3155 EQUIPMENT MECHANIC I 5-075 2034- 2472 EQUIPMENT MECHANIC II 5-080 2354- 2862 EQUIPMENT MECHANIC, SENIOR 5-085 2596- 3155 EQUIPMENT MAINT SUPERVISOR 5-090 2959- 3596 EQUIPMENT OPERATOR I 5-095 2010- 2443 EQUIPMENT OPERATOR II 5-100 2216- 2693 EQUIPMENT OPERATOR, SENIOR 5-103 2422- 2944 EQUIPMENT SERVICEWORKER 5-105 1887- 2294 GROUNDSWORKER I 5-115 1857- 2258 1990-91 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE GROUNDSWORKER II 5-120 2048- 2489 HARBOR INSPECTOR 5-122 2501- 3040 EQUIP MAINT. CREW CHIEF 5-128 2725- 3313 MAINTENANCE WORKER I 5-130 1914- 2327 MAINTENANCE WORKER II 5-135 2010- 2443 PARK EQUIPMENT MECHANIC 5-145 2150- 2613 PARK MAINTENANCE CREW CHIEF 5-150 2443- 2969 PARK MAINTENANCE SUPERVISOR 5-155 2902- 3527 PARKING LOT LEADPERSON 5-157 1823- 2216 PARKING LOT SUPERVISOR 5-158 2213- 2690 PARKING METER SUPERVISOR 5-160 2901- 3526 PARKING METER SERVICEWORKER 5-165 2034- 2472 PARKING METER SERVICEWORKER,SR 5-170 2242- 2725 PESTICIDE APPLICATOR 5-175 2150- 2613 REFUSE INSP/RECYLNG COORD. 5-178 2509- 3050 REFUSE SUPERVISOR 5-179 2902- 3527 REFUSE WORKER I 5-180 1845- 2242 REFUSE. WORKER II 5-195 2034- 2472 SIGN & PAINT SHOP SUPERVISOR 5-200 2902- 3527 SIGN & PAINT SHOP TECHNICIAN 5-205 2216- 2693 SPRINKLER SYSTEM CREW CHIEF 5-208 2443- 2969 SPRINKLER SYSTEMS TECHNICIAN 5-210 2150- 2613 STREET MAINTENANCE CREW CHIEF 5-213 2443- 2970 STREET MAINTENANCE SUPERVISOR 5-215 2902- 3527 TELECOMMUNICATIONS SUPERVISOR 5-218 3155- 3835 1990-91 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE TELECOMMUNICATIONS TECHNICIAN 5-220 3064- 3724 TRAFFIC PAINTER 5-330 2010- 2443 TRAFFIC PAINTER SUPERVISOR 5-335 2902- 3527 TRAFFIC PAINTER CREW CHIEF 5-337 2443- 2970 TRANSFER STATION OPERATOR 5-339 2413- 2935 TREE MAINTENANCE SUPERVISOR 5-340 2902- 3527 TREE MAINTENANCE CREW CHIEF 5-343 2443- 2969 TREE TRIMMER I 5-345 1950- 2370 TREE TRIMMER II 5-350 2150- 2613 UTILITIES EQUIPMENT SPECIALIST 5-368 2472- 3005 UTILITIES SUPERVISOR 5-370 3005- 3652 UTILITIES CREW CHIEF 5-375 2596- 3155 UTILITIES SPECIALIST I 5-380 1937- 2354 UTILITIES SPECIALIST II 5-385 2150- 2613 WATER PLANT OPERATOR 5-410 2596- 3155 EMPLOYEES ASSIGNED TO REGULAR FULL-TIME SHIFTS AT NIGHT SHALL RECEIVE $ 1.00 PER HOUR NIGHT DIFFERENTIAL PAY. • ! Appendix "C" PAID LEAVE MISCELLANEOUS EMPLOYEES as Agreed Upon in 1990 Meet and Confer 702.3. Basis for Paid Leave accrual/Full-time Employees Effective January 1, 1990, permanent full-time employees enrolled in the Paid Leave Program, other than those represented by the Firefighters Association, will earn paid leave according to the following schedule: Years of continuous service Accrual per Accrual per month/hours pay period/hours 1 but less than 5 12.67 5.85 5 but less than 9 14 6.46 9 but less than 12 15.33 7.08 12 but less than 16 16.67 7.70 16 but less than 20 18 8.31 20 but less than 25 19.33 8.92 25 and over 20.67 9.54 During the first six months of employment, new permanent full-time employees will not accrue paid leave. At the completion of six months of employment 72 hours of paid leave will be placed in the employees account. From months six through 12 of employment, the accrual rate will be 12 hours per month. Employees who are assigned to a 88 hour schedule per pay period will accrue time in proportionate amounts. Note: If an employee becomes sick in the first six months of employment, the City will advance up to 72 hours of paid leave time to be used for illnesses only. If the employee terminates employment prior to six months, the City will subtract the pay equivalent of the number of paid leave days advanced from the employee's final check. Any paid leave time advanced during the first six months of employment will be subtracted from the 72 hours of accrual placed in the employee's account upon completion of six months employment. 702.3a Transisition Period. On January 1, 1990 existing accrued vacation time will become paid leave on an hour for hour basis. Existing sick leave will be "banked". "Banked" sick leave may only be accessed for necessary absences as defined in Section 703.1 of the Personnel Resolution (Sick Leave). Before accessing this bank, the first • • work shift must be taken from paid leave. It is the employee's responsibility to notify his/her department that the sick leave bank should be used. For employees entering the Paid Leave program as a result of 1990 Memoranda of Understanding the conversion date will be September 1, 1990 at which time existing vacation will become paid leave. Employees hired before July 1, 1990 will have until August 17, 1990 to elect the Paid Leave Program. 702.4 Limit on Accumulation Employees may accrue paid leave up to an accumulated total equal to three years accrual Example: an employee with 10 years of service may accrue a total of 552 hours (15.33 hours x 36 months). Any paid leave earned in excess of this level will be paid on an hour for hour basis in cash at the employees hourly rate of pay. 702.5 Method of Use Paid leave may not be taken in excess of that actually accrued and in no case except for entry level Police Officers, may it be taken prior to the completion of an employee's initial probationary period. Entry level Police Officers may use scheduled paid leave only after the completion of the initial twelve (12) months of employment. The Department Director shall approve all requests for scheduled paid leave taking into consideration the needs of the Department, and whenever possible the seniority and wishes of the employee. Paid leave may be granted on an hourly basis. Any fraction over an hour shall be charged to the next full hour. 702.6 Payment upon Termination Any employee who accrued paid leave and whose employment terminates shall be compensated for such accrued paid leave at the hourly equivalent of the salary he/she was receiving at the time of termination. 704. Holiday Leave Subject to the provisions herein, the following days shall be observed as paid holidays by all employees in permanent positions except sworn Police Personnel, Fire personnel represented by the Firefighters Association, Marine Safety employees represented by the Ocean Lifeguard Association, and other personnel whose work assignments, in the judgment of the Department • . Director require their presence on the job. For each designated holiday, except the Floating Holiday, such excepted personnel shall receive an equivalent number of hours of paid leave or equivalent pay whichever in the judgment of the Department Director best serves the interest of the Department. Independence Day July 4 Labor Day 1st Monday in September Veterans'Day November 11 Thanksgiving Day 4th Thursday in November Friday following Thanksgiving Christmas Eve Last Half of Working Day Christmas December 25 New Year's Eve Last Half of Working Day New Year's Day January 1 Martin Luther King Day* 3rd Monday in January Washington's Birthday 3rd Monday in February Memorial Day Last Monday in May Floating Holiday For employee's birthday. Eligibility and use according to Memoranda of Understanding *until such time as all employees are enrolled in the Paid Leave program, Martin Luther King Day will be considered to be a floating holiday. With the exception of Christmas Eve and New Year's Eve, when a designated holiday occurs on a Sunday, the following Monday will be observed instead. If Christmas Eve and New Year's Eve occurs on a Saturday or Sunday, the employee shall receive four hours of paid leave added to his/her accumulated total. When any other designated holiday occurs on a Saturday, the employee shall receive an additional eight (8) hours of paid leave added to his/her accumulated total. Disability Insurance Under the paid leave program the following rules will govern access to the disability insurance program: 1. Employee must be enrolled in the disability program. 2. All existing sick leave accumulated in an employee's sick leave bank must be used. 3. If 240 or more hours have been used by an employee for the illness that exhausts the sick leave bank the employee may opt to go immediately into the disability plan. 4. All others must use at least five days or one-third of available paid leave whichever is greater before opting to use the disability plan. 5. In all cases there is a five working day waiting period for use of the disability plan. Employees without accumulated sick leave banks or accumulated paid leave must be away from work for five days before opting into the disability plan. 6. City will pay the cost of disability insurance according to the following schedule: Acccrued leave (sick or paid or combination) of 160 hours but less than 280 hours - 50% paid. Accrued leave (sick or paid or combination) of 280 hours or more - 100% paid. MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL), a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) 1989-90 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the fiscal year 1989-90. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective July 1, 1989 subject to approval by the City Council of the City of Newport Beach, as follows: 89-90 1 ARTICLE 1 NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 2 Organizational Security Employees who are members of NBEL or become members shall be required to maintain membership, or, maintain payment of an equivalent service fee checked off by the City for the life of this agreement. NBEL shall indemnify and hold harmless the CITY from any and all claims arising from this agreement. ARTICLE 3 Employee Access/Employee Data The NBEL will be provided on a regular basis with a listing of all unit members. The listing will include name, department, and job title. Information concerning the League prepared by the League will be provided to new field employees at the time of orientation. League officials shall be entitled to solicit membership from field employees who are not members or who are new City employees assigned to a field department. 89-90 2 • • ARTICLE 4 Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. ARTICLE 5 Salaries and Wages Effective July 1, 1989 CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as "APPENDIX". These salaries reflect a total compensation increase of 4.5% and result in a general wage increase as applied of 4.69%. NBEL represented Supervisors in the General Services Department, other than the Refuse Supervisor, shall receive an additional salary adjustment of 3% above the general increase. Salaries of the Refuse Supervisor and NBEL Supervisors in the Parks Department shall be adjusted to parity with General Services Supervisors. The CITY will commission a special salary survey for supervisory classes in the unit. The survey will determine average % differential among supervisory classes as well as % differential between supervisory and subordinate classes in field departments. NBEL shall participate in selection of consultant; survey jurisdictions; in -process study review and evaluation of consultant performance; concurrence with study findings and conclusions. The Traffic Sign Crew Chief shall be brought to parity with the Building Maintenance Crew Chief. 89-90 ARTICLE 6 Differential Pay For One Man Packer The differential pay for operation of a one man packer shall be 17.5%. 3 ARTICLE 7 Night Shift and Call Back Differential The night shift differential for Automotive Division shall be $.75 per hour for all hours after 5:00 P.M. For all other night shift work, the differential shall be $1.00 per hour for all hours between 9:00 P.M. and 5:00 A.M. Ca11 Back is paid at time and half with 2 hours minimum. Call back time between 9:00 P.M. and 5:00 A.M. will receive an additional $1.00 per hour. ARTICLE 8 Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. ARTICLE 9 Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. 89-90 ARTICLE 10 Certification pay Annual payment for State Certification to be as follows for those League represented employees holding valid and current State certification in areas indicated below on November 15th of each year: Water or Wastewater Operator 4 Grade I: $50, Grade II: $100, Grade III: $150, and Grade IV: $200 Backflow Certification $100 Qualified Applicator Certificate $50 for each category up to a maximum of $200. Smog $50 Brakes $50 Lamps $50 ARTICLE 11 Holidays The Veterans' Day Holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. Effective with the beginning of the 1986-87 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time. Full-time, regular employees hired on 89-90 5 or after July 5, 1986, must have worked for the CITY for a minimum of one year to be eligible for this holiday. All full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit as a floating holiday. Floating Holidays may be used and/or carried over to the subsequent year in the same manner as Vacation Leave. Floating holidays will be posted to vacation leave. ARTICLE 12 Holiday Pay Eligibility Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibility for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been on active paid status for 30 consecutive days. ARTICLE 13 Tuition Reimbursement Effective July 4, 1987, the Tuition Reimbursement limits will be increased to the same level as charged by the University of California at Irvine (UCI) for part-time student enrollees (including parking fees and Textbooks) as of Spring 1987. The annual combination of UCI tuition, parking fees and textbooks, as of Spring 1987, is $1275.00 which will modify the City reimbursement limits to be as follows: $1275.00 maximum per year $637.50 maximum per semester $427.33 maximum per quarter *Note: All tuition reimbursement calculations are based on a calendar year. 89-90 6 Effective July 2, 1988 the tuition reimbursement eligibility requirements shall be changed in the City's personnel resolution in Section 402 in the following manner: A.) 402.1 remove "immediately and" section will read as follows: "must be related to the duties performed by City employees. B.) 402.2.2a: remove "directly" and "the", add "City" section will read as follows: "must be related to the duties performed by City employees." C.) 402.2.2b: remove "... for resulting savings or more efficient service to the City." and add "... of resulting in cost saving, more efficient service, and/or increasing the pool of employees who have received training in City disciplines other than their immediate assignment. Section will read as follows: "Courses must have the reasonable potential of resulting in cost saving, more efficient service, and/or increasing the pool of employees who have received training in City disciplines other than their immediate assignment." ARTICLE 14 In -Service Supervisory Training The CITY will continue its program of providing supervisory and motivational training for Crew Chiefs and Supervisors. The program will, if possible, be expanded to include non -supervisory personnel where ever practicable. The Equipment operator training program will continue. A course on interpersonal working relationships with emphasis on public employees and public contact will be included in the program. Individual field departments will provide training for departmental employees on specific topics. Training for supervisory personnel on the implementation of the new Performance Evaluation will be included in a timely manner. The CITY will work with NBEL to include a wellness awareness program in this program. 89-90 7 • • ARTICLE 15 Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to 'dependent'. ARTICLE 16 Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLE 17 Sick Leave Full-time, regular employees hired on or after July 5, 1986, will accrue sick leave in the following manner: 0 -1 year 4 hours per month 1- 2 years 5 hours per month 2 - 3 years 6 hours per month 3 - 4 years 7 hours per month 4 + years 8 hours per month Employees accruing sick leave hours under the above formula and enrolled in the City's Disability Program will be eligible for City paid Disability Insurance premiums as follows: 50% at 88 hours 100% at 100 hours After 3 years, and 5 years, employees will be required to maintain the same number of hours as required of other permanent employees. 89-90 8 ARTICLE 18 Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 50% (Maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. ARTICLE 19 Vacation Accrual The CITY maintains its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 years, and 21 years to 20 years. ARTICLE 20 Compensatory Time Off NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of "Comp Time as a desirable substitute for the cash payment of overtime. ARTICLE 21 Health Plans and Medical Advisory Committee The NBEL authorizes the CITY'S Personnel Director to test the Health Maintenance Organization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 89-90 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 9 2.) the new provider must have as many, or more, facilities as the incumbent provider. 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. The CITY shall meet with a medical advisory committee during the months of December, February, and April. The committee shall be composed of one representative from each bargaining unit and up to 3 management representatives. Committee advisory functions shall include preparation and solicitation of bids and coverages consultation with the City's broker, determination of plan coverages, selection of carrier and coverage options. Meetings and determinations shall be coordinated to facilitate inclusion in the collective bargaining process. ARTICLE 22 Dependent Medical Insurance Premiums Effective July 1, 1989 the CITY agrees to cap its contribution to employee health care plans at $400.00 per month. This maximum contribution shall apply to all unit members regardless of length of service. ARTICLE 23 Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1,000.00. 89-90 10 ARTICLE 24 Retiree Medical Insurance EMPLOYEE contribution applied to this benefit shall be 25%/$12.21 per month for the life of this agreement. The CITY may at its discretion absorb a portion of the increased dollar amount paid by retirees at no additional cost to unit members. The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. ARTICLE 25 Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. The CITY will modify its contract with PERS to allow best/highest year calculation. The CITY will pay the total cost of the highest year benefit for the life of this agreement. Employees who elect to do so will still be allowed to pay their own PERS contributions in their last year of employment. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 89-90 11 ARTICLE 26 Retirement Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution, currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as higher taxable income during their last year of employment. ARTICLE 27 Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt of the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. 89-90 12 ARTICLE 28 Safety Shoes The present policy and practices regarding the supply and maintenance of safety shoes shall remain in place except for the following changes as they apply to the accelerated wear provisions. If the soles of the safety shoes wear out within a year, the employee should present the shoes to his/her supervisor. If the supervisor agrees that the soles are worn out he will authorize the employee to purchase a new pair of shoes at City expense. If the supervisor judges that the uppers are in good condition he will also authorize the employee to have the shoes resoled at City expense. Once the employee has a second pair of safety shoes, the CITY will pay for resoling of both pairs of shoes until the uppers are worn out. ARTICLE 29 Administration and Maintenance of Classification Plan The City Manager shall be responsible for the administration and maintenance of the classification plan. Periodically, the City Manger shall direct a review of the existing classification plan to ensure that it is effectively maintained and that it reflects any significant changes in the duties and responsibilities of positions. Should an employee have cause to believe that significant changes have occurred in his/her duties and responsibilities without being reflected in their classification description, they may advise their department director in writing of their concern. This communication should clearly describe the specific changes in duties and responsibilities, and should be referred through the chain of command to the department director. The department director will consider the request and within 60 days either reject it at his/her level or refer it to the Personnel Department for further evaluation. If the department director does not respond in writing to the subject employee within 60 days, the employee may refer the request directly to the Personnel Department. The Personnel Department will either reject the request or refer it to the City Manager with a recommendation to modify the classification description. The City Manager has the final authority to approve or reject the recommendations of the Personnel Department as they effect any modifications to the classification plan. 89-90 13 The classification and reclassification of positions shall be the responsibility of the City Manager, subject to budgetary authorization and to Civil Service Board approval when positions in the classification service are involved. No reclassification of a position shall be made without the prior knowledge of the employee(s) in the position. Any reclassification request denied by the Personnel Director shall be returned to the employee with a written statement of the reasons for the denial. ARTICLE 30 Labor -Management Committee Committees shall meet quarterly on an annual schedule; the program will be reviewed in July of 1990 for a mutual determination of continuation; 2 unit members shall participate in each meeting; names of participating unit members shall be announced to management no less than 5 work days before the scheduled meeting; cancellation for cause shall be rendered by the cancelling party no less than 48 hours prior to the scheduled meeting; cancelled meetings shall be rescheduled to take place within 5 working days of the cancelled meeting; committees shall be departmental; they may be combined in the interests of efficiency with other such committees; City participants shall include appropriate department or division heads outside the unit; the purpose of the committees shall be to resolve conflict and exchange information; a unit staff person may attend meetings; meetings shall be scheduled to last no less than one hour; grievances in process shall not be subject to resolution in meetings; matters properly dealt with in negotiations may be dealt with in negotiations may be discussed but no agreements shall be effected on same in committee. Meetings shall be on work time. The City and NBEL agree that initial committee establishment will require good faith effort to effect the spirit of this agreement. ARTICLE 31 Promotional Preference Where no less than 2 unit members achieve top three ranking on a certified eligible list, selection to the position shall be made with preference 89-90 14 • given to the unit members so qualified. Position vacancy announcements for all available City positions shall be distributed in a manner that reasonably assures unit member access to the announcements. ARTICLE 32 Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 1. Ability to perform work required and the manner in which employee has previously performed the work; and, 2. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within the classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to re -hire, for a period of two years from date of layoff, with re -hire to occur in reverse order of layoff. ARTICLE 33 Performance Evaluation The CITY will institute an annual employee performance evaluation effective January 1, 1990. 1. PREPARATION: Review the employees previous evaluation and identify changes in performance. Note changes and the reasons why. Review established job duties that were discussed with the employee and provided to him in writing at the beginning of the rating period. Review established performance standards for each job duty described above, which were also discussed with the employee and provided to him in writing at the outset of the rating period. List specific incidents or products that illustrate and support the formal ratings in each performance category. 89-90 15 • Prepare established job duties and performance standards for representation to the employee at the beginning of the next rating period. 2. COMPLETION OF THE RATING: Review all documentation and its relationship to job duties and performance standards. Assign ratings to each item on the form, basing them on factual information and upon objective of observable behavior. Write narrative information and examples to support the ratings, especially those that are weak or strong or have changed from the previous evaluation. 3. REVIEW PROCESS: The evaluation must be approved by the rater's Department head prior to presentation to the employee. Present the evaluation to the employee in an environment conducive to clear communication. Resolve items in dispute in a factual manner. Conclude by presenting the rating criteria for the next rating period. Any changes resulting from the review must be approved by the raters Department head prior to completion. 4. POST REVIEW PROCESS: The employee is given a copy of the final rating when Department head review is completed. Evaluations with an overall rating of Improvement Needed or Unsatisfactory may be appealed at the discretion of the employee at step two of the Grievance Procedure. The employee may attach a rebuttal to any evaluation prior to its placement in his permanent personnel file. 5. RATING SCHEDULE: All employees will receive a performance evaluation annually in coordination with their anniversary date. Any evaluation not rendered within 30 calendar days of its due date will be considered a Competent overall rating for any subsequent use or purpose. ARTICLE 34 Grievance Procedure - Step Four Step Four: Within 20 calendar days of receipt of a grievance denial at step three the grievant may file the grievance, in writing, with the Civil Service board. 89-90 16 • • At the next regularly scheduled meeting of the Civil Service Board the grievance shall be heard, using Civil Service Board De Novo procedures. Within 20 calendar days of the hearing the Civil Service Board shall issue its findings and conclusions to the parties at interest. Within 7 calendar days of the issuance of Civil Service Board findings and conclusions the City Manager shall affirm, modify or revoke the Boards decision. The City Managers decision shall be considered exhaustive of administrative remedies. Performance evaluation ratings and written reprimands are excluded from this Step Four grievance process, and shall be dealt with as currently provided in the Discipline Code. ARTICLE 35 Accident Reporting The CITY will require that all traffic collisions involving City vehicles shall be reviewed by a traffic division supervisor of the Newport Beach Police Department to prevent any unnecessary reports from being forwarded to the DMV. Also, the vehicle accident review board will evaluate the supervisor's field report prior to making its preventable/non-preventable determination. ARTICLE 36 Discipline - Notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. 89-90 17 • • This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty is not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. ARTICLE 37 Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE 38 Duration The terms of this MOU are to remain in full force and effect from the 1st day of July, 1989 to June 29,1990 and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 1st day of July, 1989. ARTICLE 39 Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such 89-90 18 • • invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should provisions of this MOU relating to any schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. 89-90 19 • • Executed this 3,4o day of 89-90 ,1988 NEWPORT BEACH EMPLOYEES LEAGUE Gi6rge Milliken by by by CITY ; 1 ; NEWPORT B by by Robert Btfss C�IQ ^ Buzzard By Mayor ATTEST: 20 LEAGUE CLASSIFICATION AUTO PAINT AND BODY MECHANIC BEACH/STORM DRAIN SUPERVISOR BEACH MAINTENANCE CREW CHIEF BUILDING MAINTENANCE SUPRVSR BUILDING MAINT BUILDING MAINT BUILDING MAINT CARPENTER CARPENTER SHOP CREW CHIEF WORKER I WORKER II SUPERVISOR CONCRETE FINISHER CONCRETE MAINT. CREW CHIEF CONCRETE MAINT SUPERVISOR ELECTRICAL SERVICES SUPERVISOR ELECTRICIAN CREW CHIEF ELECTRICIAN I ELECTRICIAN II EQUIPMENT EQUIPMENT EQUIPMENT EQUIPMENT EQUIPMENT EQUIPMENT EQUIPMENT EQUIPMENT MECHANIC I MECHANIC II MECHANIC, SENIOR MAINT SUPERVISOR OPERATOR I OPERATOR II OPERATOR, SENIOR SERVICEWORKER GROUNDSWORKER I 1989-90 EXHIBIT "A" CLASS CODE 5-008 5-010 5-013 5-015 5-020 5-025 5-030 5-035 5-040 5-045 5-047 5-050 5-055 5-060 5-065 5-070 5-075 5-080 5-085 5-090 5-095 5-100 5-103 5-105 5-115 MONTHLY SALARY RANGE 2206- 2681 2621 3185 2209- 2685 2621- 2289- 1627- 1793- 2180- 2621- 2180- 2289- 2621- 2956- 2681- 2206- 2432- 1905- 2206- 2432- 2681- 1883- 2076- 2269- 1768- 1740- 3185 2782 1977 2180 2649 3185 2649 2782 3185 3593 3259 2661 2956 2316 2681 2956 3259 2289 2523 2758 2149 2115 • 1989-90 • • • • EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE GROUNDSWORKER II 5-120 1918- 2332 HARBOR MAINTENANCE WORKER 5-122 2014- 2448 MAINTENANCE WORKER I 5-130 1793- 2180 MAINTENANCE WORKER II 5-135 1883- 2289 PARK EQUIPMENT MECHANIC 5-145 2014- 2448 PARK MAINTENANCE CREW CHIEF 5-150 2221- 2699 PARK MAINTENANCE SUPERVISOR 5-155 2621- 3185 PARKING LOT LEADPERSON 5-157 1708- 2076 PARKING LOT SUPERVISOR 5-158 1793- 2180 PARKING METER SUPERVISOR 5-160 2681- 3259 PARKING METER SERVICEWORKER 5-165 1905- 2316 PARKING METER SERVICEWORKER,SR 5-170 2101- 2553 PESTICIDE APPLICATOR 5-175 2014- 2448 REFUSE INSPECTOR 5-178 2206- 2681 REFUSE SUPERVISOR 5-179 2621- 3185 REFUSE WORKER I 5-180 1728- 2101 REFUSE WORKER II 5-195 1905- 2316 SIGN & PAINT SHOP SUPERVISOR 5-200 2621- 3185 SIGN & PAINT SHOP TECHNICIAN 5-205 2076- 2523 SPRINKLER SYSTEMS TECHNICIAN 5-210 2014- 2448 STREET MAINTENANCE CREW CHIEF 5-213 2289- 2782 STREET MAINTENANCE SUPERVISOR 5-215 2621- 3185 TELECOMMUNICATIONS TECHNICIAN 5-220 2767- 3364 TRAFFIC PAINTER 5-330 1883- 2289 TRAFFIC PAINTER SUPERVISOR 5-335 2621- 3185 411 • 1989-90 EXHIBIT "A" LEAGUE CLASSIFICATION TRAFFIC PAINTER CREW CHIEF TREE MAINTENANCE SUPERVISOR TREE MAINTENANCE CREW CHIEF TREE TRIMMER I TREE TRIMMER II UTILITIES EQUIPMENT SPECIALIST UTILITIES SUPERVISOR UTILITIES CREW CHIEF UTILITIES SPECIALIST I UTILITIES SPECIALIST II WATER PLANT OPERATOR CLASS CODE 5-337 5-340 5-343 5-345 5-350 5-368 5-370 5-375 5-380 5-385 5-410 MONTHLY SALARY RANGE 2289- 2782 2621- 3185 2221- 2699 1827- 2221 2014- 2448 2316- 2815 2815- 3421 2432- 2956 1815- 2206 2000- 2432 2432- 2956 EMPLOYEES ASSIGNED TO REGULAR FULL-TIME SHIFTS FROM 9 PM UNTIL 5 AM SHALL RECEIVE $ 1.00 PER HOUR NIGHT DIFFERENTIAL PAY. EXCEPT AUTOMOTIVE SHOP WHICH SHALL RECEIVE $ 0.75 PER HOUR. • • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE LEAGUE NBEL Code 5 This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL) a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1987-1988 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the year 1988-1988 fiscal year. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. NOW, THEREFORE, this MOU 1s made and entered into by the parties hereto effective July 4, 1987, subject to approval by the City Council of the City of Newport Beach, as follows: • • ARTICLE 1 NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 11 Salaries and Wages Effective July 4, 1987, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as "Appendix". ARTICLE III Retirement Effective June 28, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBE1 to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 3 ARTICLE IV Retirement Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution , currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as as higher taxable income during their last year of employment. ARTICLE V Night Shift Differential CITY agrees to pay $.425 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 6:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift diferential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 6:00 p.m. 5:00 ARTICLE VI Call Back Pay EMPLOYEES working between the hours of 9:00 p.m. and a.m. shall receive an additional $.76 per hour. Said $.75 per hour shall be added to employees normal overtime rate. ARTICLE VII Holidays The Veterans' Day Holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. Effective with the beginning of the 1986-1987 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. Full-time, regular employees hired on or after July 6, 1986, must have worked for the CITY for a minimum of one year to be eligible for this holiday. All full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit, with supervisory approval, at any time during the fiscal year. The CITY encourages eligible employees to use their floating holidays annually prior to their use of any vacation time. ARTICLE VII Holiday Pay Eligibility Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibility for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been in active paid status for 30 consecutive days. ARTICLE VIII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 1. Ability to perform work required and the manner in which employee has previously performed the work; and, 2. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within the classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. 6 ARTICLE IX Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provision of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to 'dependant'. ARTICLE X Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLEXI Tuition Reimbursement Effective July 4, 1987, the Tuition Reimbursement limits will be increased to the same level as charged by the University of California at Irvine (UCI) for part-time student enrollees (including parking fees) as of Spring 1987. (continued) 7 The annual combination of UCI tuition and parking fees, as of Spring 1987, is $1275.00 which will modify the City reimbursement limits to be as follows: $1275.00 maximum per year $ 637.50 maximum per semester $ 427.33 maximum per quarter *Note: All tuition reimbursement calculations are based on a calendar year. ARTICLE XII Vision Care Effective July 1, 1985, a limited care vision plan shall be added to the City's Indemnity Insurance Policy. ARTICLE XIII Grievance Time Period Effective June 22, 1985, the time period for the initial filing of a grievance shall be extended from seven (7) to ten (10) calendar days. ARTICLE XIV Leave Policy Language Standardization The CITY has issued policy language standardizing the Leave Policy for all field departments having employees represented by NBEL (see Personnel Resolution). ARTICLE XV Vacation Accrual The CITY will maintain its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 years, and 21 years to 20 years. 8 ARTICLE XVI Retiree Medical Insurance The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. ARTICLE XVII Sick Leave Full-time, regular employees hired on or after July 5, 1986, will accrue sick leave in the following manner: 0 - 1 year 1 - 2 years 2 - 3 years 3 - 4 years 4 ++ years 4 hours per month 5 hours per month 6 hours per month 7 hours per month 8 hours per month Employees accruing sick leave hours under the above formula and enrolled in the City's Disability Program will be eligible for City paid Disability Insurance premiums as follows: 50% at 88 hours 100% at 100 hours After 3 years, and 5 years, employees will be required to maintain the same number of hours as required of other permanent employees. ARTICLE XVIII Dependent Medical Insurance Premiums Full-time, regular employees hired on or after July B, 1986, who choose to subscribe to dependent medical insurance will be required to pay portions of the premium cost associated with the dependent coverage in accordance with their time in service to the City. The schedule is as follows: 1st year 2nd year 3rd year 4th year,plus - employee pays 100% - employee pays 66% - employee pays 331. - employee will receive the same dependent health benefit percentage covered by the CITY as all full-time, regular hired before 7/5/86. ARTICLE XIX Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 501. (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. • • ARTICLE XXI Administration of Health Maintenance Organization Contracts The NBCEA authorizes the CITY'S Personnel Director to test the Health Maintenance Organization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 2.) the new provider must have as the incumbent provider. many, or more, facilities as 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. ARTICLE XXII Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from 8750.00 to 81000.00. ARTICLE XXIII Compensatory Time Off NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of 'Comp Time' as a desirable substitute for the cash payment of overtime. /t ARTICLE XXIV In -Service Supervisory Training The CITY will offer Supervisory Training Courses for Supervisors and Leadworkers during the Fiscal Year 1987- 1988. ARTICLE XXV Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. ARTICLE XXVI Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City -approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt or the optional (golf style) City uniform shirt, and they must be worn with either white or blue socks. The optional uniform shall be considered proper and acceptable year round. The acceptance of shorts during late Fall, Winter and early Spring shall be considered experimental and will be reevaluated after one year, at which time their year round acceptability will be either affirmed or rescinded. Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. (continued) /2 It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject the employee to progressive discipline up to and including dismissal for negligence and/or misconduct. ARTICLE XVII Overtime Pay Calculations During Week Including Holiday(s) For the purpose of calculating overtime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. ARTICLE XVIII Discipline - Notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shall be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. (continued) /3 This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty 1s not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. ARTICLE XVIII Equipment Operator Training Program An Equipment Operator Program will be developed and implemented under the guidance and direction of the General Services Director, during the 1986 - 1987 Fiscal Year. ARTICLE XXIX Special Pay Assignment The CITY will provide for an annual payment of $100 to NEEL members who hold a Grade III or higher certification in water treatment from the State of California. ARTICLE XXX Continuation of Existing Benefits ALL EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all other benefits not specifically covered by any other Article of this MOD that are provided to EMPLOYEES of CITY will not recommend any revision or modification to such benefits which apply to EMPLOYEES in the classifications represented by NBEL without the mutual agreement of NBEL. .y • • ARTICLE XXXI Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of repreesentation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE XXXII Duration The terms of this MOU are to remain in full force and effect from the 4th day of July, until the 1st day of July, 1988; and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 4th day of July, 1987. ARTICLE XXXIII Separability Should any part of this MOD or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisidiction, such invalidation of such part or portion of this MOD shall not invalidate the remaining portion hereto„ and same shall remain in full force and effect; provided, however, that should the provisions of this MOD relating to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. ARTICLE XXXIV Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. /6 • • Executed this day of , 197 NEWPORT BEACH EMPLOYEES '% 13! i� by N*4 Georg Pa by her CITY 0 NEWPORT BEACH by Duan by Jo by Robert Dixon AS T FORM; City Attorney LineCity Clerk EXHIBIT "A" • LEAGUE CLASSIFICATION CLASS CODE MONTHLY SALARY RANGE ASSISTANT REFUSE SUPERVISOR 5-000 2139-2600 ASSISTANT STREET MAINT SUPRVSR 5-005 2114-2570 BEACH/STORM DRAIN SUPERVISOR 5-010 2331-2833 BUILDING MAINTENANCE SUPRVSR 5-015 2220-2698 BUILDING MAINTENANCE LEADWRKR 5-020 1826-2220 BUILDING MAINTENANCE WORKER I 5-025 1503-1826 BUILDING MAINTENANCE WORKER II 5-030 1656-2013 CARPENTER 5-035 2013-2447 CARPENTER SUPERVISOR 5-040 2331-2833 CEMENT FINISHER 5-045 2013-2447 CONCRETE SUPERVISOR 5-050 2331-2833 ELECTRICAL SUPERVISOR 5-055 2730-3319 ELECTRICAL LEADWORKER 5-060 2476-3010 ELECTRICIAN I 5-065 2037-2476 ELECTRICIAN II 5-070 2246-2730 EQUIPMENT MECHANIC I 5-075 1760-2139 EQUIPMENT MECHANIC II 5-080 2037-2476 EQUIPMENT MECHANIC III 5-085 2246-2730 EQUIPMENT MECHANIC SUPERVISOR 5-090 2476-3010 EQUIPMENT OPERATOR I 5-095 1739-2114 EQUIPMENT OPERATOR II 5-100 1918-2331 EQUIPMENT SERVICEWORKER GROUNDSWORKER I GROUNDSWORKER II HARBOR DEBRIS WORKER 5-105 1618-1966 5-115 1607-1954 5-120 1772-2154 5-122 1861-2262 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE LABORER 5-125 1578-1918 MAINTENANCE WORKER I 5-130 1656-2013 MAINTENANCE WORKER II 5-135 1739-2114 MAINTENANCE PAINTER 5-140 1848-2246 PARK EQUIPMENT MECHANIC 5-145 1861-2262 PARK LEADWORKER 5-150 2051-2493 PARK SUPERVISOR 5-155 2375-2886 PARKING METER SUPERVISOR 5-160 2476-3010 PARKING METER SERVICEWRKR I 5-165 1760-2139 PARKING METER SERVICEWRKR II 5-170 1940-2359 PESTICIDE APPLICATOR 5-175 1861-2262 REFUSE CREWWORKER 5-180 1596-1940 REFUSE INSPECTOR 5-190 2037-2476 REFUSE LEADWORKER 5-195 1760-2139 SIGN E PAINT SHOP SUPERVISOR 5-200 2331-2833 SIGN E PAINT SHOP TECHNICIAN 5-205 1918-2331 SPRINKLER SYSTEMS TECHNICIAN 5-210 1861-2262 STREET MAINTENANCE SUPERVISOR 5-215 2331-2833 STREET TREE SUPERVISOR 5-220 2375-2886 STREET TREE LEADWORKER 5-225 2051-2493 TRAFFIC PAINTER 5-330 1739-2114 TRAFFIC PAINTER SUPERVISOR 5-335 2331-2833 TRAFFIC PAINTER LEAOWORKER 5-340 1943-2362 TREE TRIMMER I 5-345 1688-2051 TREE TRIMMER II 5-350 1861-2262 • EXHIBIT "A" LEAGUE CLASSIFICATION CLASS CODE MONTHLY SALARY RANGE UTILITIES EQUIPMENT SPECIALIST 5-368 2139-2600 UTILITIES SUPERVISOR 5-370 2600-3161 UTILITIES LEAOWORKER 5-375 2246-2730 UTILITIES SERVICEWORKER 5-380 1676-2037 UTILITIES SPECIALIST 5-385 1848-2246 WATER METER SUPERVISOR 5-390 2600-3161 WATER METER LEADWORKER 5-395 2246-2730 WATER METER WORKER 5-400 1848-2246 WATER METER REPAIRER 5-405 1848-2246 WATER PLANT OPERATOR 5-410 2246-2730 WATER PLANT SUPERVISOR 5-415 2600-3161 WATER QLTY CONTROL SUPERVISOR 5-420 2600-3161 YARD SERVICEWORKER 5-425 1848-2246 EMPLOYEES ASSIGNED TO REGULAR FULL-TIME SHIFTS AT NIGHT SHALL RECEIVE S 0.60 PER HOUR NIGHT DIFFERENTIAL PAY. LEAGUE NBEL Code 5 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL) a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1987-1988 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other temrs and conditions of employment to apply to all affected EMPLOYEES for the year 1988-1988 fiscal year. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for apporval. 88-89 -2- NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective July 4, 1987, subject to approval by the City Councl of the City of Newport Beach, as follows: ARTICLE I NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 11 Salaries and Wages Effective July 4, 1987, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as "APPENDIX". 88-89 -3- ARTICLE III Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classificatins and such changes are applicable only to new members, as specified, of such classifications. -4- ARTICLE IV Retirment Option Effective July 4, 1987, employees may, at their option, elect to declare their intent to retire 12 months prior to the effective date of retirement. Concurrent with this declaration, the employee may direct the City to move the employee portion of the PERS contribution, currently paid directly to PERS by the City, to the employee's gross pay and deduct that amount from the paycheck to be paid to PERS as is required by law. This action on the part of the employee would result in a higher basis from which retirement benefits would be calculated as well as higher taxable income during their last year of employment. ARTICLE V Night Shift Differential CITY agrees to pay $.425 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift diferential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 5:00 p.m. 88-89 -5- ARTICLE VI Call Back Pay EMPLOYEES working between the hours of 9:00 p.m. and 5:00 a.m. shall receive an additional $.75 per hour. Said $.75 per hour shall be added to employees normal overtime rate. ARTICLE VII Holidays The Veterans' Day Holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. Effective with the beginning of the 1986-1987 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday wich may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. Full-time, regular employees hired on or after July 5, 1986, must have worked for the CITY for a minumum of one year to be eligible for this holiday. 88-89 -6- All full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit, with supervisory approval, at any time during the fiscal year. The CITY encourages eligible employees to use their floating holidays annually prior to their use of any vacation time. ARTICLE VII Holiday Pay Eligibility Effective July 4, 1987, the Personnel Resolution shall be modified to reflect the following limitations on eligibilty for Holiday Pay: 1. Holiday Pay will be paid only to employees who work their scheduled day before and scheduled day after a holiday, or are on authorized leave (e.g. approved vacation, or sick leave, that has been approved by the Department Director). 2. Employees will be eligible to receive holiday pay only after they have been active paid status for 30 consecutive days. ARTICLE VIII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. 88-89 -7- Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 1. Ability to perform work required and the manner in whcih employee has previously performed the work; and, 2. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within the classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE IX Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. Effective July 4, 1987, the eligibility definition for 'family sick leave' will be changed from 'immediate family' to 'dependant'. 88-89 -8- ARTICLE X Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLE XI Tuition Reinbursement Effective July 4, 1987, the Tuition Reimbursement limits will be increased to the same level as charged by the University of California at Irvine (UCI) for part-time student enrollees (including parking fees) as of Spring 1987. The annual combination of UCI tuition and parking fees, as of Spring 1987, is $1275.00 which will modify the City reimbursement limits to be as follows: $ 1275.00 maximum per year $ 637.50 maximum per semester $ 427.33 maximum per quarter *Note: All tuition reimbursement calculations are based on a calendar year. (continued) I 88-89 -9- Effective July 2, 1988 the tuition reimbursement eligbility requirements shall be change in the City's personnel resolution in Section 402 in the following manner: A.) 402.1 remove "immediately and" section will read as follows: "must be related to the duties performed by City employees. B.) 402.2.2a: remove "directly" and "the", add "City" section will read as follows: "must be related to the duties performed by City employees." C.) 402.2.2b: remove "...for resulting savings or more efficient service to the City." and add "...of resulting in cost saving, more efficient service, and/or increasing the pool of employees who have received training in City disciplines other than their immediate assignment. section will read as follows:" "Courses must have the reasonable potential of resulting in cost saving, more efficient service, and/or increasing the pool of employees who have received training in City disciplines other than their immediate assignment." ARTICLE XV Vacation Accrual The CITY maintain its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 yerrs, and 21 years to 20 years. ARTICLE XVI Retiree Medical Insurance The CITY will alow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. 88-89 -10- ARTICLE XVII Sick Leave Full-time, regular employees hired on or after July 5, 1986, will accrue sick leave in the following manner: 0 - 1 year , 4 hours per month 1 - 2 years 5 hours per month 2 - 3 years 6 hours per month 3 - 4 years 7 hours per month 4 ++ years 8 hours per month Employees accruing sick leave hours under the above formula and enrolled in the City's Disability Program will be eligible for City paid Disability Insurance premiums as follows: 50% at 88 hours 100% at 100 hours After 3 years, and 5 years, employees will be required to maintain the same number of hours as required of other permanent employees. 88-89 -11- ARTICLE XVIII Dependent Medical Insurance Premiums Full-time, regular employees hired on or after July 5, 1986, who choose to subscribe to dependent medical insurance will be required to pay portions of the premium cost associated with the dependent coverage in accordance with their time in srvice to the City. The schedule is as follows: Employee plus two: 1st year $120; 2nd year $80, 3rd year $40. Employee plus one: 1st year $60; 2nd year $40, 3rd year $20. New employees enrolled in HMO's will be charged: Employee plus two: 1st year $60; 2nd year $40, 3rd year $20. Employee plus one: 1st year $30; 2nd year $20, 3rd year $10. ARTICLE XIX Sick Leave Conversion Effective July 4, 1987, employees who at the end of the calendar year have an accrued level of sick leave equal to or greater than the full value of 40 months of accrued sick leave, and who have used six or less days of sick leave during that calendar year will be permitted (only once per year) to convert up to six days of sick leave to either salary or paid vacation at the value of 50% (maximum value of 3 days per year). Eligible sick leave days converted to cash shall be at the employee's option. Eligible sick leave days converted to paid vacation shall require the approval of the Department Director. 88-89 -12- ARTICLE XXI Administration of Health maintenance Organization Contracts The NBCEA authorizes the CITY'S Personnel Director to test the Health Maintenance Orgainization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 2.) the new provider must have as many, or more, facilities as the incumbent provider. 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. ARTICLE XXII Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1000.00. ARTICLE XXIII Compensatory Time Off NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of 'Comp Time' as a desirable substitute for the cash payment of overtime. 88-89 0 • -13- ARTICLE XXIV In -Service Supervisory Training The CITY will offer Supervisory Training Courses for Supervisors and Leadworkers during the Fiscal Year 1987-1988. ARTICLE XXV Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minumum hours requirement has been satisfied, acting pay will be granted for all hours worked avove 40 hours beginning with the 41st hour worked in the higher classificaiton. ARTICLE XXVI Optional Uniform Effective July 4, 1987, employees represented by the NBEL will be permitted to wear specified and approved shorts as part of the City - approved optional uniform. The shorts must be dark blue in color, the inseam must be no less than 4 and 1/2 inches after shrinkage. They must be worn in combination with the standard City uniform shirt or the optional (golf style) City uniform shirt, and they must be worn with either whte or blue socks. The optional uniform shall be consirdered proper and acceptable year round. 88-89 (continued) -14- Department Directors may make individual exceptions to this optional uniform agreement through the establishment of Departmental Policy in the interest of reasonable safety considerations. It shall be further understood by the NBEL and its members, that employees who report for work either 'out of uniform' or in 'dirty' or 'otherwise substandard' uniforms will be sent home without additional prior notice and without pay. Such incidents shall further be documented and regularly repeated violations of the uniform standards will subject th eemployee to progressive discipline up to and including dismissal for negligence and/or misconduct. ARTICLE XVII Overtime Pay Calculatinos During Week Including Holiday(s) For the purpose of calculating ovetime, holidays occurring during the regular work week will count as time worked. Floating holidays (employee birthday and Columbus Day off) are excluded from this provision. 88-89 -15- ARTICLE XVIII Discipline - notice of Intent Employees who are to be the subject of substantial punitive discipline for any misconduct or negligence shall be entitled to prior written notice of intent to discipline at least seven (7) calendar days prior to the imposition of the actual penalty. This written notice shall contain a description of the event or conduct which justifies the imposition of discipline. The notice shall also include the specific form of discipline intended, and the employee shall be offered the opportunity to a hearing before their Department Director prior to the imposition of the penalty. This procedure will only be applied in cases of substantial punitive discipline. It shall be understood that a disciplinary penalty equal to an unpaid suspension of three (3) days or greater shalll be substantial. All other discipline resulting in less than a three (3) day suspension will be considered non -substantial and will not be subject to the aforementioned procedure. This understanding is not intended to in any way reduce the rights of employees to due process. Employees who have become the subject of discipline and who believe that the penalty is not justified shall have access to the grievance procedure as established in the 'Employee -Employer' Resolution 7173. 88-89 -16- ARTICLE XVIII Equipment Operator Training Program An equipment Operator Program will be developed and implemented under the guidance and direction of the General Services Director, during the 1986 - 1987 Fiscal Year. ARTICLE XXIX Certificatin Pay 8. Annual payment for State certification to be as follows for those League represented employees holding valid and current State certification in areas indicated below on November 15th of each year: Water or Wastewater 0 er�ator Grade I: $50, Gradi—TT %TOO, Grade III: $150, and Grade IV: $200 Backflow Certificaiton $100 ualified Applicator Certificate $50 for eac category up to a maximum of $200. Sm$50 Brakes $50 Lamps ARTICLE XXXI Supervisory Positins Survey The CITY will conduct a full market survey of supervisory positions as jointly determined by the league and the CITY. Said survey shall be completed prior to March 1, 1989. 88-89 -17- ARTICLE XXXII Paid Leave The CITY agrees to meet with representatives of the employee groups and a spokesperson for the non -represented employees to discuss and conceptually formulate a proposal for a consistant leave policy for the CITY. ARTICLE XXXIII Conclusiveness of Memorandum This MOU contains all covenants, stupulations and provisions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neigher party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has authority to make and none of the parties shall be bound by any statement, representation or agreement reached prior to the executionof this MOU and not set forth herein. 88-89 -18- ARTICLE XXXIV Duration The terms of this MOU are to remain in full force and effect from the 4th day of Ju1y,i5rti1 the 1st day of July, 19g; and thereafter, from year -to year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 4th day of July, 1987. ARTICLE XXXV Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Courth of competent jurisidiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relating to apy schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the ame amount of money as they would have received had such provision not been declared invalid. 88-89 -19- ARTICLE XXXYI Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, natinal origin, religious belief, political affiliation, sex or age. • -20- Executed this ;D day of 9 -% 19s NEWPORT BEACH EMPLOYEES LEAGUE APPROVED S TO FORM: City Attorney 88-89 CITY by a ru. e by PORT BEACH unson ar EXHIBIT "A" LEAGUE CLASSIFICATION AUTO PAINT AND BODY MECHANIC CLASS MONTHLY CODE -SALARY RANGE 5-008 210:7--2561 BEACH/STORM DRAIN SUPERVISOR 5-010 2433- 2958 BUILDING MAINTENANCE SUPRVSR 5-015 2433- 2958 BUILDING MAINT CREW CHIEF 5-020 2121- 2578 BUILDING MAINT WORKER I 5-025 1554- 1888 BUILDING MAINT WORKER II 5-030 1713- 2082 CARPENTER 5-035 2082- 2531 CARPENTER SHOP SUPERVISOR 5-040 2433- 2958 CONCRETE FINISHER 5-045 2082- 2531 CONCRETE MAINT. CREW CHIEF 5-047 2186- 2657 CONCRETE MAINT SUPERVISOR 5-050 2433- 2958 ELECTRICAL SERVICES SUPERVISOR 5-055 2823- 3432 ELECTRICIAN CREW CHIEF 5-060 2561- 3112 ELECTRICIAN I 5-065 2107- 2561 ELECTRICIAN II 5-070 2323- 2823 EQUIPMENT MECHANIC I 5-075 1820- 2212 EQUIPMENT MECHANIC II 5-080 2107- 2561 EQUIPMENT MECHANIC, SENIOR 5-085 2323- 2823 EQUIPMENT MAINT SUPERVISOR 5-090 2561- 3112 EQUIPMENT OPERATOR I 5-095 1798- 2186 EQUIPMENT OPERATOR II 5-100 1983- 2410 EQUIPMENT OPERATOR, SENIOR 5-103 2167- 2634 EQUIPMENT SERVICEWORKER 5-105 1689- 2053 GROUNDSWORKER I GROUNDSWORKER II 5-115 1662- 2020 5-120 1832- 2227 .2i 411 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE HARBOR MAINTENANCE WORKER 5-122 1924- 2338 MAINTENANCE WORKER I 5-130 1713- 2082 MAINTENANCE WORKER II 5-135 1798- 2186 PARK EQUIPMENT MECHANIC 5-145 1924- 2338 PARK MAINTENANCE CREW CHIEF 5-150 2121- 2578 PARK MAINTENANCE SUPERVISOR 5-155 2455- 2985 PARKING LOT LEADPERSON 5-157 1631- 1983 PARKING LOT SUPERVISOR 5-158 1713- 2082 PARKING METER SUPERVISOR 5-160 2561- 3112 PARKING METER SERVICEWORKER 5-165 1820- 2212 PARKING METER SERVICEWORKER,SR 5-170 2006- 2439 PESTICIDE APPLICATOR 5-175 1924- 2338 REFUSE INSPECTOR 5-178 2107- 2561 REFUSE SUPERVISOR 5-179 2323- 2823 REFUSE WORKER I 5-180 1651- 2006 REFUSE WORKER II 5-195 1820- 2212 SIGN & PAINT SHOP SUPERVISOR 5-200 2433- 2958 SIGN & PAINT SHOP TECHNICIAN 5-205 1983- 2410 SPRINKLER SYSTEMS TECHNICIAN 5-210 1924- 2338 STREET MAINTENANCE CREW CHIEF 5-213 2186- 2657 STREET MAINTENANCE SUPERVISOR 5-215 2433- 2958 TELECOMMUNICATIONS TECHNICIAN 5-220 2643- 3213 TRAFFIC PAINTER 5-330 1798- 2186 TRAFFIC PAINTER SUPERVISOR 5-335 2433- 2958 TRAFFIC PAINTER CREW CHIEF 5-337 2110- 2564 EXHIBIT "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE TREE MAINTENANCE SUPERVISOR 5-340 2455- 2985 TREE MAINTENANCE CREW CHIEF 5-343 2121- 2578 TREE TRIMMER I 5-345 1745- 2121 TREE TRIMMER II 5-350 1924- 2338 UTILITIES EQUIPMENT SPECIALIST 5-368 2212- 2689 UTILITIES SUPERVISOR 5-370 2689- 3268 UTILITIES CREW CHIEF 5-375 2323- 2823 UTILITIES SERVICEWORKER 5-380 1733- 2107 UTILITIES SPECIALIST II 5-385 1911- 2323 WATER PLANT OPERATOR 5-410 2323- 2823 EMPLOYEES ASSIGNED TO REGULAR FULL-TIME SHIFTS AT NIGHT SHALL RECEIVE $ 0.60 PER HOUR NIGHT DIFFERENTIAL PAY. 23 • • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as CITY) authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as NBEL) a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as EMPLOYEES) for the 1986-1987 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the year 1986-1987 fiscal year. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective July 5, 1986, subject to approval by the City Council of the City of Newport Beach, as follows: ARTICLE 1 NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representative pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE 11 Salaries and Wages Effective July 5, 1986, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as "Appendix". 2 ARTICLE 111 Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%). of each EMPLOYEE'S "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBE1 to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State Law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to the CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 3 ARTICLE IV Night Shift Differential CITY agrees to pay $.425 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift diferential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 5:00 p.m. ARTICLE V Call Back Pay EMPLOYEES working between the hours of 9:00 p.m. and 5:00 a.m. shall receive an additional $.75 per hour. Said $.75 per hour shall be added to employees normal overtime rate. ARTICLE VI Holidays The Veterans' Day Holiday shall be celebrated on November llth. LABEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two —week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. Y Effective with the beginning of the 1986-1987 Fiscal Year and for every year thereafter, the CITY will consider 'Columbus Day' a normal business day, and conduct normal operations on 'Columbus Day'. The Holiday formally observed city-wide on 'Columbus Day' will be converted to a floating holiday which may be used by any eligible employee, with supervisory approval, any time during the Fiscal Year. Full-time, regular employees hired on or after July 5, 1986, must have worked for the CITY for a minimum of one year to be eligible for this holiday. A11 full-time, regular employees will be eligible for the 'birthday holiday' from their date of hire. Although this holiday is granted to the employee in honor of their birthday, the employee may use this benefit, with supervisory approval, at any time during the fiscal year. The CITY encourages eligible employees to use their floating holidays annually prior to their use of any vacation time. ARTICLE VII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 5 1. Ability to perform work required and the manner in which employee has previously performed the work; and, 2. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within the classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE VIII Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. ARTICLE IX Bereavement Leave Effective June 25, 1983, CITY shall amend the provisions of the Bereavement Leave Program currently applicable to affected EMPLOYEES as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." 6 ARTICLE X Tuition Reimbursement Effective June 25, 1985, CITY shall amend the applicable provision of the Tuition Reimbursement Program as follows: Reimbursement is limited to $450.00 per semester or $300.00 per quarter. The maximum reimbursement is $900.00 per fiscal year. ARTICLE XI Vision Care Effective July 1, 1985, a limited care vision plan shall be added to the City's Indemnity Insurance Policy. ARTICLE XII Grievance Time Period Effective June 22, 1985, the time period for the initial filing of a grievance shall be extended from seven (7) to ten (10) calendar days. ARTICLE XIII Leave Policy Language Standardization The CITY will issue policy language standardizing the Leave Policy for all field departments having employees represented by NBEL. 7 ARTICLE XIV Vacation Accrual The CITY will maintain its current vacation accrual schedule, but will reduce the present eligibility levels from 13 years to 12 years, 17 years to 16 years, and 21 years to 20 years. ARTICLE XV Retiree Medical Insurance The CITY will allow the previously enrolled spouse of a retiree to continue to be covered under the Retiree Health Insurance Policy offered by the City. ARTICLE XVI Sick Leave Full-time, regular employees hired on or after July 5, 1986, will accrue sick leave in the following manner: 0 - 1 year 4 hours per month 1 - 2 years 5 hours per month 2 - 3 years 6 hours per month 3 - 4 years 7 hours per month 4 ++ years 8 hours per month Employees accruing sick leave hours under the above formula and enrolled in the City's Disability Program will be eligible for City paid Disability Insurance premiums as follows: 50% at 88 hours 100% at 100 hours After 3 years, and 5 years, employees will be required to maintain the same number of hours as required of other permanent employees. 0 ARTICLE XVII Dependent Medical Insurance Premiums Full-time, regular employees hired on or after July 5, 1986, who choose to subscribe to dependent medical insurance will be required to pay portions of the premium cost associated with the dependent coverage in accordance with their time in service to the City. The schedule is as same dependent follows: 1st 2nd 3rd 4th year - year - year - year employee pays 100% employee pays 66% employees pays 33% - plus - employee will receive the health benefit percentage covered by the CITY as all full-time, regular hired before 7/5/86. ARTICLE XVIII Administration of Health Maintenance Organization Contracts The NBCEA authorizes the CITY'S Personnel Director to test the Health Maintenance Organization (HMO) provider contracts against market bids, and change providers as long as the following conditions have been satisfied: 1.) the new provider must have a service reputation equal to, or better than the incumbent provider. 2.) the new provider must have as many, or more, facilities as the incumbent provider. 3.) the new provider's bid must be at least 10% lower than that of the incumbent provider. 4.) the incumbent provider will be advised of the bid status, and allowed to submit a competitive bid at the same time as the others. 9 ARTICLE XIX Dental Effective July 5, 1986, the annual dental maximum benefit under the Indemnity Dental Plan will be increased from $750.00 to $1000.00. ARTICLE XX Compensatory Time Off NBEL employees may receive in lieu of overtime compensation, compensatory time off at a rate of not less than one and one/half hours for each hour of employment in excess of 40 hours within a work week. Compensatory time is to be granted only when both the EMPLOYER and the EMPLOYEE agree on the application of 'Comp Time' as a desirable substitute for the cash payment of overtime. ARTICLE XXI In -Service Supervisory Training The CITY will offer two Supervisory Training Courses for Supervisors and Leadworkers during the Fiscal Year 1986 - 1987. ARTICLE XXII Acting Pay Effective July 5, 1986, and thereafter, NBEL employees will be eligible to receive 'acting pay' only after completing 80 consecutive hours in the higher classification. Once the minimum hours requirement has been satisfied, acting pay will be granted for all hours worked above 40 hours beginning with the 41st hour worked in the higher classification. /0 • ARTICLE XXIII Equipment Operator Training Program An Equipment Operator Program will be developed and implemented during the 1986 - 1987 Fiscal Year. ARTICLE XXIV Special Pay Adjustments and/or Assignments Effective July 5, 1986, the Parking Meter Supervisor will receive an additional 5% salary increase over and above the general increase provided in the MOU between the CITY and the NBEL. The CITY will provide an annual payment of $50.00 to NBEL members who hold a Grade II certification in Water Treatment from the State of California. The CITY will provide for an annual payment of $100 to NBE1 members who hold a Grade III or higher certification in water treatment from the State of California. ARTICLE XXV Continuation of Existing Benefits ALL EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all other benefits not specifically covered by any other Article of this MOU that are provided to EMPLOYEES of CITY will not recommend any revision or modification to such benefits which apply to EMPLOYEES in the classifications represented by NBEL without the mutual agreement of NBEL. // ARTICLE XXVI Conclusiveness of Memorandum This MOU contains all covenants, stipulations and provisions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of repreesentation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE XXVII Duration The terms of this MOU are to remain in full force and effect from the 5th day of July, until the 3rd day of July, 1987; and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 5th day of July, 1986. ARTICLE XXVIII Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisidiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto„ and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relating to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. ARTICLE XXIX Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in LABEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. i3 Executed this day of NEWPORT BEACH EMPLOYEES LEAGUE CITY OF WPORT BEACH APPRO D AS TO FORM: obert H. Burn am City Attorney , 1986 /y re ' • EXHIBIT "A" LEAGUE CLASSIFICATION CLASS CODE MONTHLY SALARY RANGE ASSISTANT REFUSE SUPERVISOR 5-000 2097-2549 ASSISTANT STREET MAINT SUPRVSR 5-005 2073-2519 BEACH/STORM DRAIN SUPERVISOR 5-010 2285-2778 BUILDING MAINTENANCE SUPRVSR 5-015 2176-2645 BUILDING MAINTENANCE LEADWRKR 5-020 1790-2176 BUILDING MAINTENANCE WORKER I 5-025 1473-1790 BUILDING MAINTENANCE WORKER II 5-030 1624-1974 CARPENTER 5-035 1974-2399 CARPENTER SUPERVISOR 5-040 2285-2778 CEMENT FINISHER 5-045 1974-2399 CONCRETE SUPERVISOR 5-050 2285-2778 ELECTRICAL SUPERVISCR 5-055 2677-3254 ELECTRICAL LEADWORKER 5-060 2428-2951 ELECTRICIAN I 5-065 1997-2427 ELECTRICIAN II 5-070 2202-2677 EQUIPMENT MECHANIC I 5-075 1725-2097 EQUIPMENT MECHANIC II 5-080 1997-2428 EQUIPMENT MECHANIC III 5-035 2202-2677 EQUIPMENT MECHANIC SUPERVISCR 5-090 2428-2951 EQUIPMENT OPERATOR I 5-095 1705-2073 EQUIPMENT OPERATOR II 5-100 1880-2285 EQUIPMENT SERVICEWCRKER 5-105 1565-1902 GROUNDSWORKER I 5-115 1576-1915 GROUNDSWORKER II 5-120 1737-2112 HARBOR DEBRIS WORKER 5-122 1824-2217 • EXHIBIT "A" • LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE LABORER 5-125 1547-188C MAINTENANCE WORKER I 5-130 1624-1974 MAINTENANCE WORKER II 5-135 1705-2073 MAINTENANCE PAINTER 5-140 1812-2202 PARK EQUIPMENT MECHANIC 5-145 1824-2217 PARK LEADWORKER 5-150 2011-2444 PARK SUPERVISOR 5-155 2328-283C PARKING METER SUPERVISOR 5-160 2428-2951 PARKING METER SERVICEWRKR I 5-165 1725-2097 PARKING METER SERVICEWRKR II 5-170 1902-2312 PESTICIDE ACPLICATOR 5-175 1824-2217 REFUSE CREWWORKER 5-180 1565-1902 REFUSE SUPERVISOR 5-185 2549-3099 REFUSE INSPECTOR 5-190 1997-2428 REFUSE LEADWORKER 5-195 1725-2097 SIGN E. PAINT SHOP SUPERVISOR 5-200 2285-2778 SIGN C PAINT SHOP TECHNICIAN 5-205 1880-2285 SPRINKLER SYSTEMS TECHNICIAN 5-210 1824-2217 STREET MAINTENANCE SU°ERVISCR 5-215 2285-2778 STREET TREE SUPERVISOR 5-22C 2328-283C STREET TREE LEADWORKER 5-225 2011-2444 TRAFFIC PAINTER 5-330 1705-2073 TRAFFIC PAINTER SUPERVISOR 5-335 2285-2778 TRAFFIC PAINTER LEACWORKER 5-340 1880-2285 TREE TRIMMER 1 5-345 1655-2011 /6 . LEAGUE CLASSIFICATION 110 EXHIBIT "A" 4/0 CLASS C00E MONTHLY SALARY RANGE TREE TRIMMER II 5-350 1824-2217 UTILITIES ECUIPMENT SPECIALIST 5-368 2097-2549 UTILITIES SUPERVISOR 5-370 2549-3099 UTILITIES LEADWORKER 5-375 2202-2677 UTILITIES SERVICEWORKER 5-380 1643-1997 UTILITIES SPECIALIST 5-385 1812-2202 WATER MET -ER SUPERVISOR 5-390 2549-3099 WATER METER LEAOWORKEP 5-395 2202-2677 WATER METER WORKER 5-4C0 1812-2202 WATER METER REPAIRER 5-405 1812-2202 WATER PLANT OPERATOR 5-410 2202-2677 WATER PLANT SUPERVISOR 5-415 2549-3099 WATER OLTY CONTROL SUPERVISCR 5-420 2549-3099 YARC SERVICEWORKER 5-425 1812-2202 EMPLOYEES ASSIGNED TO REGULAR FULL-TIME SHIFTS AT NIGHT SHALL RECEIVE S 0.6C PER HOUR NIGHT DIFFERENTIAL PAY /7 • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU" is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as "CITY") authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as "NBEL") a recognized employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (hereinafter referred to as "EMPLOYEES" for the 1985-86 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the year 1985-86 fiscal year. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of Newport Beach for approval NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective June 22, 1985, subject to approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL Recognition CITY hereby confirms its prior certificatin of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representation pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. ARTICLE II Salaries and Wages Effective June 22, 1985, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as "Appendix A". LI ARTICLE III Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEES' "Miscellaneous Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to do so, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 5 ARTICLE IV Night Shift Differential CITY agrees to pay $.375 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics for hours after 5:00 p.m. ARTICLE V. Call Back Pay EMPLOYEES working between the hours of 9:00 p.m. and 5:00 a.m., shall receive an additional $.75 per hour. Said $.75 per hour shall be added to EMPLOYEES normal overtime rate. ARTICLE VI Holidays The Veterans Day holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two —week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. & ARTICLE VII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: 1. Ability to perform work required and the manner in which employee has previously performed the work; and 2. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE VIII Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use five (5) eight (8) hour days of accrued sick leave per calendar year for an illness of a spouse, son, or daughter which requires the presence of EMPLOYEE. 7 • ARTICLE IX Bereavement Leave Effective June 25, 1983, CITY shall amend the provision of the Bereavement Leave Program currently applicable to affected "EMPLOYEES" as follows: "The necessary absence from duty of an employee having a regular or probationary appointment, because of the death or terminal illness in his/her immediate family." ARTICLE X Tuition Reimbursement Effective June 25, 1985, CITY shall amend the applicable provision of the Tuition Reimbursement Program as follows: Reimbursement is limited to $450.00 per semester or $300.00 per quarter. The maximum reimbursement is $900.00 per fiscal year. ARTICLE XI Vision Care Effective July 1, 1985, a limited vision care plan shall be added to the City's Indemnity Insurance Policy. ARTICLE XII Grievance Time Period Effective June 22, 1985, the time period for the initial filing of a grievance shall be extended from seven (7) to ten (10) calendar days. 8 ARTICLE XIII Leave Policy Language Standardization The City will issue policy language standarizing the Leave Policy for all field departments having employees represented by NBEL. ARTICLE XIV Continuation of Existing Benefits ALL EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this MOU that are provided to EMPLOYEES of CITY will not recommend any revision or modi— fication to such benefits which apply to EMPLOYEES in the Classifications represented by NBEL without the mutual agreement of NBEL. ARTICLE XV Conclusiveness of Memorandum This MOU contains all the covenants, stipulations and provisions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. 9 ARTICLE XV Duration The terms of this MOU are to remain in full force and effect from the 22nd day of June, 1985, until the 4th day of July, 1986. and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in force and effect as of the 22nd day of June, 1985. ARTICLE XVI Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relating to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such provision not been declared invalid. 10 ARTICLE XVII Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his/her membership or non -membership in NBEL, or because of his/her race, creed, color, national origin, religious belief, political affiliation, sex or age. Executed this /I.r/a-day of- - -, 1985 APPRO AS TO FORM: Robert H. Burnham City Attorney NEWPORT BEACH b by eorge i e PLQYEES LEAGUE by Zed. /ldl��i Kraus ik Kraus CITY OF NEWPORT BEACH by by by uane 'unson 11 APPENDIX "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE ASSISTANT REFUSE FOREMAN 5-000 1929-2345 ASSISTANT STREET MAINT FOREMAN 5-005 1907-2318 BEACH/STORM DRAIN FORMAN 5-010 2102-2555 BUILDING MAINTENANCE FOREMAN 5-015 2002-2434 BUILDING MAINTENANCE LEADMAN 5-020 1647-2002 BUILDING MAINTENANCE MAN I 5-025 1355-1647 BUILDING MAINTENANCE MAN II 5-030 1494-1816 CARPENTER 5-035 1816-2207 CARPENTER FOREMAN 5-040 2102-2555 CEMENT FINISHER 5-045 1816-2207 CONCRETE FOREMAN 5-050 2102-2555 ELECTRICAL FOREMAN 5-055 2462-2993 ELECTRICAL LEADMAN 5-060 2234-2715 ELECTRICIAN I * •5-065 1667-2026 ELECTRICIAN 1I 5-070 2026-2462 EQUIPMENT MECHANIC I 5-075 1587-1929 EQUIPMENT MACHANIC II 5-080 1838-2234 EQUIPMENT MECHANIC III 5-085 2026-2462 EQUIPMENT MECHANIC FOREMAN 5-090 2234-2715 EQUIPMENT OPERATOR I 5-095 1569-1907 EQUIPMENT OPERATOR II 5-100 1730-2102 EQUIPMENT SERVICEWORKER 5-105 1440-1750 GROUNDSWORKER I 5-115 1450-1762 GROUNDSWORKER II 5-120 1598-1943 LABORER 5-125 1423-1730 jZ • • APPENDIX "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE MAINTENANCE MAN I 5-130 1494-1816 MAINTENANCE MAN II 5-135 1569-1907 MAINTENANCE PAINTER 5-140 1667-2026 PARK EQUIPMENT MECHANIC 5-145 1678-2040 PARK LEADWORKER 5-150 1850-2249 PARK SUPERVISOR 5-155 2142-2603 PARKING METER FOREMAN 5-160 2127-2586 PARKING METER SERVICEMAN I 5-165 1587-1929 PARKING METER SERVICEMAN II 5-170 1750-2127 PESTICIDE APPLICATOR 5-175 1678-2040 REFUSE CREWMAN 5-180 1440-1750 REFUSE FOREMAN 5-185 2345-2851 REFUSE INSPECTOR 5-190 1838-2234 REFUSE LEADMAN 5-195 1587-1929 SIGN E PAINT SHOP FOREMAN 5-200 2102-2555 SIGN & PAINT SHOP TECHNICIAN 5-205 1730-2102 SPRINKLER SYSTEMS TECHNICIAN 5-210 1678-2040 STREET MAINTENANCE FOREMAN 5-215 2102-2555 STREET TREE SUPERVISOR 5-220 2142-2603 STREET TREE.LEADWORKER 5-225 1850-2249 TRAFFIC PAINTER 5-330 1569-1907 TRAFFIC PAINTER FOREMAN 5-335 2102-2555 TRAFFIC PAINTER LEADMAN 5-340 1730-2102 TREE TRIMMER I 5-345 1522-1850 TREE TRIMMER II 5-350 1678-2040 13 • • APPENDIX "A" LEAGUE CLASS MONTHLY CLASSIFICATION CODE SALARY RANGE UTILITIES CONSTRUCTION FOREMAN 5-355 2462-2993 UTILITIES CONSTRUCTION LEADMAN 5-360 2127-2586 UTILITIES CONSTRUCTION SPECLST 5-365 1785-2170 UTILITIES EQUIPMENT SPECIALIST 5-368 1929-2345 UTILITIES FOREMAN 5-370 2345-2851 UTILITIES LEADMAN 5-375 2026-2462 UTILITIES SERVICEWORKER 5-380 1512-1838 UTILITIES SPECIALIST 5-385 1667-2026 WATER METER FOREMAN 5-390 2345-2851 WATER METER LEAOMAN 5-395 2026-2462 WATER METER MAN 5-400 1667-2026 WATER METER REPAIRMAN 5-405 1667-2026 WATER PLANT OPERATOR 5-410 2026-2462 WATER PLANT SUPERVISOR 5-415 2345-2851 WATER QLTY CONTROL SUPERVISOR 5-420 2345-2851 YARD SERVICEWORKER 5-425 1667-2026 I`1 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as "CITY") and authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as "NBEL") a recognizdd employee organization, met and conferred, exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (Hereinafter referred to as "EMPLOYEES") for the 1984-85 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected EMPLOYEES for the 1984-85 fiscal year. Said EMPLOYEES desire to reduce their agreement to writing, and to present such agree- ment, in the form of this MOU, to the City Council of the City of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into by the parties hereto effective June 23, 1984, subject to approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL Recognition CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Con- struction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representation pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with the CITY. 2 ARTICLE II Salaries and Wages Effective June 23, 1984, CITY and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as Appendix "A". ARTICLE III Retirement Effective June 25, 1983, CITY shall pay seven percent (7.0%) of each EMPLOYEES' "Miscellaneious Member" contribution to the Public Employees Retirement System (PERS). Said retirement pickup shall be credited to EMPLOYEES individual account with PERS. NBEL acknowledges that CITY is paying this increased percentage of the PERS contribution rate pursuant to a specific request of NBEL to so do, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, 3 as specified, of such classifications. ARTICLE IV Night Shift Differential CITY agrees to pay $.375 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics. ARTICLE V Call Back Pay EMPLOYEES working between the hours of 9:00 p.m. and 5:00 a.m., shall receive an additional $.75 per hour. Said $.75 per hour shall be added to EMPLOYEES normal overtime rate. ARTICLE VI Holidays The Veterans Day holiday shallbe celebrated on November llth. 4 NBEL agrees that members scheduled to work four days per week, 10 hours per day will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. ARTICLE VII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: I. Ability to perform the work required and the manner in which the employee has previously performed the work: and II. Length of seniority. In the event EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within class- ification and within the department shall be controlling. 5 EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE VIII Representation During Disciplinary Proceedings CITY agrees that EMPLOYEES represented by NBEL shall have the right to be represented by an authorized representative of NBEL at any meeting between EMPLOYEE and a supervisor having the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to EMPLOYEE. ARTICLE IX Family Sick Leave Effective June 23, 1984, CITY agrees to amend the provisions of the sick leave program currently applicable to affected EMPLOYEES to provide authorization to use five (5) eight (8) hour days of accured sick leave per calendar year for an illness of a spouse, son or daughter which requires the presence of EMPLOYEE. 6 ARTICLE X Bereavement Leave Effective June 25, 1983, CITY shall amend the provision of the Bereavement Leave Program currently applicable to affected "EMPLOYEES" upon the death of any of the following relations of EMPLOYEES' spouse in addition to those benefits currently available: Mother, Father, Brother, Sister ARTICLE XI Tuition Reimbursement Effective June 25, 1982, CITY shall amend the applicable provision of the Tuition Reimbursement Program as follows: Reimbursement is limited to $450.00 per semester or $300.00.per quarter. The maximum reimbursement is $900.00 per fiscal year. ARTICLE XII Retiree Health Insurance Plan On or about October 1, 1984, the CITY and NBEL agree to reopen the contract for the purpose of meeting and conferring on the issue of providing a Retiree Health Plan. The parties agree to limit the reopener to this item and to those items which may be affected should agreement be reached. 7 ARTICLE XIII Continuation of Existing Benefits ALL EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this MOU that are pro- vided to EMPLOYEES of CITY as set forth in resolutions previously adopted by the City Council of the City of Newport Beach for such purposes. Re- presentative of CITY will not recommend any revision or modification to such conditions or benefits which apply to EMPLOYEES in the Classifcations represented by NBEL without the mutual agreement of NBEL. ARTICLE XIV Conclusiveness of Memorandum This MOU contains all the covenants, stipulations and .provi- sions agreed upon by the parties. Therefore, except for Article XII of this agreement, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has authority to make and none of the parties shall be bound by any statement, re- presentation oragreement reached prior to the execution of this MOU and not set forth herein. 8 ARTICLE XV Duration The terms of this MOU are to remain in full force and effect from the 23rd day of June, 1984, until the 22nd day of June, 1985, and thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Re- quests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in full force and effect as of the 23rd day of June, 1984. ARTICLE XVI Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subse- quently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relating to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to EMPLOYEES, which will cause such EMPLOYEES to receive the same amount of money as they would have received had such 9 Provision not been declared invalid. ARTICLE XVII Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his membership or non -membership in NBEL, or because of his race, creed, color, national origin, religious belief, political affiliation, sex or age. Executed this I"( x day of , 1984. NEWPOR BEACH EMPLOYEES LEAGUE Edward Burt EBEL Representative By George .Mfilliken NBEL Representative By Lloren Love NBEL Representative. 10 • CITY OF NEWPORT BEACH By Lorenzo Mota Personnel Director John Burkhart Assistant to Finance Director City Representative APPROVED AS TO FORM: LA4L4 8 Robert H. Burnham City Attorney City of Newport Beach 11 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE THIS MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") IS ENTERED INTO WITH REFERENCE TO THE FOLLOWING: A. Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter referred to as "CITY") and authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as "NBEL") a recognized employee organization, met and conferred exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (here- inafter referred to as "EMPLOYEES") for the 1982-83 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected employees for the 1982-83 fiscal year. Said employees desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of the City of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into, effective July 1, 1982, upon approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL RECOGNITION CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representation pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with CITY. I ARTICLE II Salaries and Wages Effective July 1, 1982, City and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as Appendix "A". ARTICLE III Retirement Effective July 1, 1981, City shall pay one-half (3.5%) of each employees' "miscellaneous member" contribution to the Public Employees' Retirement System (PERS). Said Retirement pickup shall be credited to the employee's individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate, pursuant to a specific request of NBEL to so do, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to I CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifica- tions. ARTICLE IV Health Insurance Premium The City and Newport Beach Employees League agree that in an effort to reach an agreement for Fiscal Year '82 - '83, a 75% Health and Dental premium increase will be utilized for the purpose of determining a proportionate salary increase. The City and NBEL further agree that effective January 1, 1983, the salaries of classifications listed in Appendix "A" will be adjusted upward or downward depending upon the final premium established for the Indemnity Health and Dental Plan for Fiscal Year '82 - '83. ARTICLE V Night Shift Differential CITY agrees to pay $.375 per hour night shift differen- tial for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assign- ed day shift shall not qualify an employee for night shift differential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics. ARTICLE VI Call Back Pay Employees working between the hours of 9:00 p.m. and 5:00 a.m. shall receive an additional $.75 per hour. Said $.75 per hour shall be added to the employee's normal overtime rate. 5 ARTICLE VII Holidays The Veterans' Day holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, ten hours per day, will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. ARTICLE VIII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: A. Ability to perform the work required and the manner in which the employee has previously performed the work; and 6 B. Length of seniority. In the event the EMPLOYEES involved are substantially equal when these factors are considered, then the length of ser- vice within classification and within the department shall be controlling. EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE IX Representation During Disciplinary Proceedings CITY agrees that EMPLOYEES represented by NBEL shall have the right to be represented by an authorized representative of NBEL at any meeting between EMPLOYEE and a supervisor having the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to EMPLOYEE. 7 • • ARTICLE X Family Sick Leave Effective July 1, 1982, the City agrees to amend the provisions of the sick leave program currently applicable to affected "EMPLOYEES" to provide authorization to use one (1) eight (8) hour day of accrued sick leave per calendar year for an illness of a spouse, son or daughter which requires the presence of the employee. ARTICLE XI BEREAVEMENT LEAVE Effective July 1, 1982, the City shall amend the provi- sion of the bereavement leave program currently applicable to affected "EMPLOYEES" upon the death of any of the following rela- tions of the employees' spouse in addition to those benefits currently available: Mother, Father, Brother, Sister 8 ARTICLE XII Tuition Reimbursement Effective July 1, 1982, the City shall amend the applic- able provision of the Tuition Reimbursement Program as follows: Reimbursement is limited to $450.00 per semester or.$300.00 per quarter. The maximum reimbursement is $900.00 per fiscal year. ARTICLE XIII Continuation of Existing Benefits All EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this MOU that are provided to EMPLOYEES of CITY as set forth in Resolutions previously adopted by the City Council of the City of Newport Beach for such purposes. Representative of CITY will not recommend any revision of modification to such conditions or benefits which apply to EMPLOYEES in the classifications represented by NBEL without the mutual agreement of NBEL. ARTICLE XIV Conclusiveness of Memorandum This MOU contains all the covenants, stipulations and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE XV Duration The terms of this MOU are to remain in full force and effect until the 24th day of June, 1983, and, thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Time Table for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make 10 changes in this MOU. Upon adoption of a Resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in full force and effect as of the 1st day of July, 1982. ARTICLE XVI Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relat- ing to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBEL, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. 11 ARTICLE XVII Non -Discrimination CITY and NBEL agree by either party or by any of because of his membership or that there will be no discrimination their agents against any EMPLOYEE non -membership in NBEL, or because of his race, creed, color, national origin, religious belief, political affiliation, sex or age. Executed CITY OF NEWPORT BEACH By LOi zo Mo Personnel Director City Representative this _Ja_day of C (TIC , 1982. NEWPORT BEACH EMPLOYEES LEAGUE r -41 (rii`, . s'r_ late orge f•pas'� �+ Finance rector City Repr-sentative APPROVED AS TO FORM: City Attorney By Uuirkk ward Burt NBEL Representative 2`eorgevMilliken NBEL Representative By Len Love NBEL Representative 12 LEAGUE 410 APPENDIX "A" APPROXIMATE CLASSIFICATION SALARY RANGE MON. SALARY Asst. Refuse Foreman 54.021-58.021 1648-2003 Asst. Street Maint. Foreman 53.046-57.046 1608-1954 Beach/Storm Drain Foreman 55.046-59.046 1773-2155 Bldg. Maintenance Foreman 55.021-59.021 1730-2103 Bldg. Maintenance Leadman 50.044-54.044 1386-1685 Bldg. Maintenance Man I 47.021-51.021 1171-1423 Bldg. Maintenance Man II 49.021-53.021 1291-1569 Carpenter 52.046-56.046 1531-1861 Carpenter Foreman 55.046-59.046 1773-2155 Cement Finisher 53.021-57.021 1569-1908 Concrete Foreman 55.046-59.046 1773-2155 Electrical Foreman 58.021-62.021 2003-2435 Electrical Leadman 57.021-61.021 1908-2319 Electrician I 51.046-55.046 1458-1773 Electrician II 56.021-60.021 1817-2208 Equipment Mechanic I 50.044-54.044 1386-1685 Equipment Mechanic II 54.021-58.021 1648-2003 Equipment Mechanic III 55.021-59.021 1730-2103 Equipment Mechanic Foreman 56.021-60.021 1817-2208 Equipment Operator I 49.044-53.044 1320-1605 Equipment Operator II 52.021-56.021 1495-1817 Equipment Serviceworker 48.044-52.044 1257-1528 Field Operations Foreman 58.021-62.021 2003-2435 Groundsman -Gardener I 49.021-53.021 1291-1569 Groundsman -Gardener II 51.021-55.021 1423-1730 Groundsman -Gardener III 53.021-57.021 1569-1908 7/1/82 -2- APPROXIMATE CLASSIFICATION SALARY RANGE MON. SALARY Laborer 48.044-52.044 1257-1528 Maintenance Man I 49.044-53.044 1320-1605 Maintenance Man II 50.044-54.044 1386-1685 Maintenance Painter 51.021-55.021 1423-1730 Park Equipment Mechanic 51.044-55.044 1456-1769 Parking Meter Foreman 56.021-60.021 1817-2208 Parking Meter Serviceman I 50.021-54.021 1356-1648 Parking Meter Serviceman II 51.021-55.021 1423-1730 Park Foreman 56.044-60.044 1858-2258 Pesticide Applicator 51.044-55.044 1456-1769 Refuse Crewman 49.021-53.021 1291-1569 Refuse Foreman 57.044-61.044 1951-2371 Refuse Inspector 53.044-57.044 1605-1951 Refuse Leadman 50.044-54.044 1386-1685 Sign & Paint Shop Foreman 54.021-58.021 1648-2003 Sign & Paint Shop Technician 51.021-55.021 1423-1730 Sprinkler Systems Technician 51.044-55.044 1456-1769 Street Maintenance Foreman 55.046-59.046 1773-2155 Traffic Painter 50.044-54.044 1386-1685 Traffic Painter Foreman 54.021-58.021 1648-2003 Traffic Painter Leadman 51.044-55.044 1456-1769 Tree Foreman 56.044-60.044 1858-2258 Tree Trimmer I 49.021-53.021 1291-1569 Tree Trimmer II 51.044-55.044 1456-1769 Tree Trimmer III 53.021-57.021 1569-1903 Utilities Construction Foreman 57.046-61.046 1954-2375 Utilities Construction Leadman 56.021-60.021 1817-2208 7/1/82 • -3- • CLASSIFICATION Utilities Constr. Specialist Utilities Foreman Utilities Leadman Utilities Serviceworker Utilities Specialist Water Meter Foreman Water Meter Leadman Water Meterman Water Meter Repairman Water Plant Operator Water Plant Supervisor Water Quality Control Supvr. Yard Serviceworker SALARY RANGE 53.021-57.021 57.021-61.021 55.021-59.021 49.044-53.044 51.046-55.046 56.044-60.044 54.044-58.044 51.021-55.021 51.021-55.021 54.044-58.044 56.044-60.044 57.021-61.021 50.044-54.044 APPROXIMATE MON. SALARY 1569-1908 1908-2319 1730-2103 1320-1605 1458-1773 1858-2258 1685-2048 1423-1730 1423-1730 1685-2048 1858-2258 1908-2319 1386-1685 7/1/82 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE This Memorandum of Understanding (hereinafter referred to as "MOU") is entered into with reference to the following: A. Authorized representatives of the City of Newport Beach (hereinafter referred to as "CITY") and authorized representatives of the NEWPORT BEACH EMPLOYEES LEAGUE (hereinafter referred to as "NBEL") a recognized employee organization, met and conferred exchanging various proposals concerning wages, hours, fringe benefits and other terms and conditions of employment of employees represented by NBEL (here- inafter referred to as "EMPLOYEES") for the 1981-82 fiscal year. B. NBEL representatives have reached an agreement as to wages, hours and other terms and conditions of employment to apply to all affected employees for the 1981-82 fiscal year. Said employees desire to reduce their agreement to writing, and to present such agreement, in the form of this MOU, to the City Council of the City of Newport Beach for approval. NOW, THEREFORE, this MOU is made and entered into, effective July 1, 1981, upon approval by the City Council of the City of Newport Beach, as follows: ARTICLE I NBEL RECOGNITION CITY hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representation pertaining to said employees as authorized by law. NBEL agrees that during the life of this MOU, it will not appear before the City Council or any other legislative body on any matters within the scope of the meet and confer process, unless required under a subpoena or by law or by agreement with CITY. ARTICLE II Salaries and Wages Effective July 1, 1981, City and NBEL agree that the salaries in each classification will be increased and that the salaries for each classification will be as set forth in the salary schedule attached hereto as Appendix "A". 2 ARTICLE III RETIREMENT Effective July 1, 1981, City shall pay one-half (3.5%) of each employees' "miscellaneous member" contribution to the Public Employees' Retirement System (PERS). Said Retirement pickup shall be credited to the employee's individual account with PERS. NBEL acknowledges that City is paying this increased percentage of the PERS contribution rate, pursuant to a specific request of NBEL to so do, and that payment of this increased percentage of the PERS contribution rate will result in greater benefits to members than a corresponding salary increase. To the extent permitted by Federal and State law and the City Charter, CITY shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to CITY, if said benefits apply uniformly with respect to all members within specified classifications and such changes are applicable only to new members, as specified, of such classifications. 3 • • ARTICLE IV Health Insurance City agrees to increase the Prudential Health Insurance Major Medical coverage from Two Hundred Fifty Thousand Dollars ($250,000.00) to an unlimited amount. ARTICLE V Night Shift Differential CITY agrees to pay $.375 per hour night shift differential for EMPLOYEES working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an extension of an assigned day shift shall not qualify an employee for night shift differential. In accordance with this provision, CITY agrees to pay $.50 per hour night shift differential to automotive shop mechanics. ARTICLE VI Call Back Pay Employees working between the hours of 9:00 p.m. and 5:00 a.m. shall receive an additional $.75 per hour. Said $.75 per hour shall be added to the employee's normal overtime rate. ARTICLE VII Holidays The Veterans' Day holiday shall be celebrated on November llth. NBEL agrees that members scheduled to work four days per week, ten hours per day, will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. ARTICLE VIII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event CITY determines to lay off employees, CITY shall consider the following factors: A. Ability to perform the work required and the manner in which the employee has previously performed the work; and B. Length of seniority. In the event the EMPLOYEES involved are substantially equal when these factors are considered, then the length of service within classification and within the department shall be controlling. 5 EMPLOYEES laid off shall be subject to rehire, for a period of two years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE IX Representation During Disciplinary Proceedings CITY agrees that EMPLOYEES represented by NBEL shall have the right to be represented by an authorized representative of NBEL at any meeting between EMPLOYEE and a supervisor having the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to EMPLOYEE. ARTICLE X Continuation of Existing Benefits All EMPLOYEES in the classifications represented by NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this MOU that are provided to EMPLOYEES of CITY as set forth in Resolutions previously adopted by the City Council of the City of Newport Beach for such purposes. Representative of CITY will not recommend any revision of modification to such conditions or benefits which apply to EMPLOYEES in the classifications represented by NBEL without the mutual agreement of NBEL. 6 ARTICLE XI Conclusiveness of Memorandum This MOU contains all the covenants, stipulations and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to meet and confer with the other, concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this MOU, except by mutual agreement of the parties. No representative of either party has 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. ARTICLE XII Duration The terms of this MOU are to remain in full force and effect until the 30th day of June, 1982, and, thereafter, from year-to-year, unless within the time frame and in the manner designated in Section 13, Time Table for Submission of Requests of the Employer -Employee Relations Resolution, either party serves written notice upon the other of its desire to make changes in this MOU. Upon adoption of a Resolution approving this MOU and the terms hereof by the City Council of the City of Newport Beach, this MOU shall be in full force and effect retroactively as of the 1st day of July, 1981. 7 • • Executed this gf]ay of A. ,, 1981. CITY OF NEWPORT BEACH By Lorenzo Meta Personnel Director City Representative Al,' eorge O:pas Finance 7s rector City Representative APPROVED AS TO FORM: Robert H. Burnham Assistant City Attorney NEWPORT BEACH EMPLOYEES LEAGUE ward Burt NBEL Representative By George illiken NBEL Representative 9 By \fir)1— Ll Love NBEL Representative ARTICLE XIII Separability Should any part of this MOU or any provision herein contained be rendered or declared invalid, by reason of any existing or subsequently enacted Legislation, or by decree of a Court of competent jurisdiction, such invalidation of such part or portion of this MOU shall not invalidate the remaining portion hereto, and same shall remain in full force and effect; provided, however, that should the provisions of this MOU relating to pay schedule adjustment increases be declared invalid, City agrees to provide alternative benefits agreeable to NBFFA, to employees, which will cause such employees to receive the same amount of money as they would have received had such provision not been declared invalid. ARTICLE XIV Non -Discrimination CITY and NBEL agree that there will be no discrimination by either party or by any of their agents against any EMPLOYEE because of his membership or non -membership in NBEL, or because of his race, creed, color, national origin, religious belief, political affiliation, sex or age. 8 10. • APPENDIX "A" Classification Approx. Mo. Salary Range Salary Asst. Refuse Foreman 52.007-56.007 1474 - 1792 Asst. Street Maintenance 51.032-55.032 1439 - 1749 Foreman Beach and Storm Drain 53.032-57.032 1586 - 1928 Foreman Bldg. Maintenance Foreman 53.007-57.007 1548 - 1881 Bldg. Maintenance Leadman 48.030-52.030 1241 - 1508 Bldg. Maintenance Man I 45.007-49.007 1048- 1273 Bldg. Maintenance Man II 47.007-51.007 1155 - 1404 Carpenter 50.032-54.032 1370 - 1666 Carpenter Foreman 53.032-57.032 1586 - 1928 Cement Finisher 51.007-55.007 1404 - 1706 Concrete Foreman 53.032-57.032 1586 - 1928 Electrical Foreman 55.032-59.032 1749 - 2126 Electrician I 49.032-53.032 1305 - 1586 Electrician II 54.007-58.007 1625 - 1975 Equipment Maintenance Superintendent 59.041-63.041 2144 - 2606 Equipment Mechanic I 48.030-52.030 1241 - 1508 Equipment Mechanic II 52.007-56.007 1474 - 1792 Equipment Mechanic III 53.007-57.007 1548 - 1881 Equipment Mechanic Foreman 54.007-58.007 1625 - 1975 Equipment Operator I 47.030-51.030 1180 - 1436 Equipment Operator II 50.007-54.007 1337 - 1625 Equipment Serviceworker 46.030-50.030 1125 - 1368 Field Operations Foreman 56.007-60.007 1792 - 2178 Groundsman -Gardener I 47.007-51.007 1155 - 1404 Groundsman -Gardener II 49.007-53.007 1273 - 1548 Groundsman -Gardener III 51.007-55.007 1404 - 1706 Laborer 46.030-50.030 1125 - 1368 Maintenance Man I 47.030-51.030 1181 - 1436 Maintenance Man II 48.030-52.030 1241 - 1508 Maintenance Painter 49.007-53.007 1273 - 1548 Park Equipment Mechanic 49.030-53.030 1303 - 1583 Parking Meter Foreman 54.007-58.007 1625 - 1975 Parking Meter Serviceman I 48.007-52.007 1213 - 1474 Parking Meter Serviceman II 49.007-53.007 1273 - 1548 Park Foreman 54.030-58.030 1662 - 2021 Pesticide Applicator 49.030-53.030 1303 - 1583 Refuse Crewman 47.007-51.007 1155 - 1404 Refuse Foreman 55.030-59.030 1745 - 2122 Refuse Inspector 51.030-55.030 1436 - 1745 Refuse Leadman 48.030-52.030 1241 - 1508 Sign & Paint Shop Foreman 52.007-56.007 1474 - 1792 Sign & Paint Shop Technician 49.007-53.007 1273 - 1548 Sprinkler Systems Technician 49.030-53.030 1303 - 1583 Street Maintenance Foreman 53.032-57.032 1586 - 1928 • -2• - Approx. Mo. Classification Salary Range Salary Traffic Painter 48.030-52.030 Traffic Painter Foreman 52.007-56.007 Traffic Painter Leadman 49.030-53.030 Tree Foreman 54.030-58.030 Tree Trimmer I 47.007-51.007 Tree Trimmer II 49.030-53.030 Tree Trimmer III 51.007-55.007 Utilities Construction Foreman 55.032-59.032 Utilities Construction Leadman 54.007-58.007 Utilities Const. Specialist 51.007-55.007 Utilities Foreman 55.007-59.007 Utilities Leadman 53.007-57.007 Utilities Serviceworker 47.030-51.030 Utilities Specialist 49.032-53.032 Water Meter Foreman 54.030-58.030 Water Meter Leadman 52.030-56.030 Water Meterman 49.007-53.007 Water Meter Repairman 49.007-53.007 Water Plant Operator 52.030-56.030 Water Plant Supervisor 54.030-58.030 Water Quality Control Supervisor 55.007-59.007 Yard Serviceworker 48.030-52.030 1241 - 1508 1474 - 1792 1303 - 1583 1662 - 2021 1155 - 1404 1303 - 1583 1404 - 1706 1749 - 2126 1625 - 1975 1404 - 1706 1706 - 2074 1548 - 1881 1181 - 1436 1305 - 1586 1662 - 2021 1508 - 1833 1273 - 1548 1273 - 1548 1508 - 1833 1662 - 2021 1706 - 2074 1241 - 1508 CITY OF NEWPORT BEACH • PERSONNEL OFFICE August 5, 1981 TO: CITY CLERK FROM: Lorenzo Mota, Personnel Director SUBJECT: NEWPORT BEACH EMPLOYEES LEAGUE MEMO OF UNDERSTANDING - FISCAL YEAR 81-82 REFERENCE TO EMPLOYEE P.E.R.S. CONTRIBUTION RATE During the meet and confer process with Newport Beach Employees League, the City offered an 11.0% increase. During the negotiation process, the employee representatives requested that the City pay the entire employee P.E.R.S. contri- bution rate. The City subsequently agreed to pay one-half (3.5%) of the employees P.E.R.S. contribution rate. The one-half payment of the rate was in lieu of a corresponding salary increase. 072280 41/ MEMORANDUM OF UNDERSTANDING BETWEEN CITY OF NEWPORT BEACH AND NEWPORT BEACH EMPLOYEES LEAGUE The wages, hours and conditions of employment that are set forth in this Memorandum have been discussed and jointly proposed by and between the staff officials of the City of Newport Beach (hereinafter referred to as "NEWPORT BEACH") and the Newport Beach Employees League (hereinafter referred to as "NBEL"). The terms and conditions of employment that are set forth in this Memorandum have been discussed in good faith between NEWPORT BEACH and NBEL. NBEL agrees to recommend acceptance by its members of all the terms and conditions of employment as set forth herein, and NEWPORT BEACH agrees to recommend to the Newport Beach City Council that all the terms and conditions of employment as set forth herein be incorporated in full in a resolution of the City Council. Upon the adoption of such a resolution, all the terms and conditions of this Memorandum so incorporated shall become effective without further action by either party. \ O-I ARTICLE I NBEL Recognition NEWPORT BEACH hereby confirms its prior certifi- cation of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and confer and otherwise deal exclusively with NBEL on all matters within the scope of representation per- taining to the said employees as authorized by law. NBEL agrees that during the life of this Memorandum it will not appear before the City Council or any other legis- lative body on any matters within the scope of the meet and confer process unless required under a subpoena, or by law, or by agreement with NEWPORT BEACH. ARTICLE II Salaries and Wages Effective July 1, 1980, the salary of each employee represented by NBEL shall be increased by an amount equal to thirteen and six/tenths percent (13.6%) over and above his or her salary immediately prior thereto. In addition, for the following classifications only, a two and one-half percent (2.5%) salary increase will be implemented on January 1, 1981: -2- i • Assistant Street Maintenance Foreman Beach and Storm Drain Foreman Carpenter Carpenter Foreman Concrete Foreman Electrical Foreman Electrician I Electrician II Equipment Mechanic II Equipment Mechanic III Equipment Mechanic Foreman Field Operations Foreman Maintenance Painter Sign and Paint Shop Technician Sign and Paint Shop Foreman Street Maintenance Foreman Traffic Painter Utilities Construction Foreman Utilities Construction Leadman Utilities Construction Specialist Utilities Foreman Utilities Leadman Utilities Specialist Water Quality Control Supervisor. -3- ARTICLE III Night Shift Differential NEWPORT BEACH agrees to pay $.375 per hour night shift differential for employees working a regularly scheduled work shift of which four or more hours are worked between the hours of 5:00 p.m. and 8:00 a.m. Overtime worked as an exten- sion of an assigned day shift shall not qualify an employee for night shift differential. ARTICLE IV Call Back Pay Employees called back to work between the hours of 9:00 p.m. and 5:00 a.m. shall receive an additional $.50 per hour. Said $.50 per hour shall be added on to the employee's normal overtime rate. ARTICLE V Holidays Effective July 1, 1980, NEWPORT BEACH agrees to provide the following holidays: (1) Friday, December 26, 1980; (2) Friday, January 2, 1981. -4- In return, each NBEL employee will work a full eight -hour day on December 24, 1980, and December 31, 1980. This provision shall be in effect for one year only. The Veterans' Day holiday shall be celebrated on November 11, 1980. NBEL agrees that members scheduled to work four days a week, ten hours a day, will, when a holiday occurs during a work week, work 32 hours during said work week. NBEL agrees that members scheduled to work 44 hours and 36 hours during a two -week work schedule will, when a holiday occurs during a work schedule, receive only eight hours' pay for said holiday. ARTICLE VI Retirement To the extent permitted by federal and state law and the City Charter, NEWPORT BEACH shall have the right to provide a retirement plan for its employees. The plan may provide different benefits than those available to existing employees at a lower cost to NEWPORT BEACH, if said benefits apply uniformly with respect to all employees within specified classifications and if such changes are applicable only to new employees. -5- ARTICLE VII Medical NEWPORT BEACH agrees to increase the maximum annual dental benefit from Five Hundred Dollars ($500.00) to Seven Hundred Fifty Dollars ($750.00) (basic and major). NEWPORT BEACH agrees to meet and confer with NBEL representatives in a timely manner regarding the selection of an optional membership in a qualified health maintenance organization. ARTICLE VIII Seniority Seniority is defined as the length of service of an employee, dating from the employee's last date of hire. Any right based upon seniority shall not accrue to any employee until the employee attains permanent status as defined in Section 2 of the Newport Beach Personnel Policies. In the event City determines to lay off employees, City shall consider the following factors: A. Ability to perform the work required and the manner in which the employee has pre- viously performed the work; and -6- B. Length of seniority. In the event the employees involved are substan- tially equal when these factors are considered, then the length of service within classification and within the department shall be controlling. Employees laid off shall be subject to rehire, for a period oftwo years from date of layoff, with rehire to occur in reverse order of layoff. ARTICLE IX Representation During Disciplinary Proceedings NEWPORT BEACH agrees that employees represented by NBEL shall have the right to be represented by an authorized representative of NBEL at any meeting between the employee and a supervisor having the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to the employee. -7- S • ARTICLE X Continuation of Existing Benefits All employees in the classifications represented by NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this Memorandum that are provided to employees of NEWPORT BEACH as set forth in resolutions pre- viously adopted by the City Council of the City of Newport Beach for such purposes. The City Representative of NEWPORT BEACH will not recommend any revision or modification to such conditions or benefits which apply to employees in the classi- fications represented by NBEL without the mutual agreement of NBEL. ARTICLE XI Conclusiveness of Agreement This Memorandum contains all the covenants, stipu- lations, and provisions agreed upon by the parties. Therefore, for the life of this Memorandum, neither party shall be compelled, -8- and expressly waives its rights, to meet and confer with the other concerning any issues within the scope of representa- tion, whether or not specifically met and conferred about prior to the execution of this Memorandum, except by mutual agreement of the parties. No representative of either party has authority to make and none of the parties shall be bound by any statement, representation, or agreement reached prior to the signing of this Memorandum and not set forth herein. ARTICLE XII Duration The terms of this Memorandum are to remain in full force and effect until the 30th day of June, 1981, and there- after from year to year unless within the time frame and in the manner designated in Section 13, Timetable for Submission of Requests, of the Employer -Employee Relations Resolution, either party serves written notice upon the other party of its desire to make changes in this Memorandum. Upon adoption of a resolution approving this Memorandum and the terms hereof by the City Council of the City of Newport Beach, this Memorandum shall be in full force and effect retroactively as of the 1st day of July, 1980. / / / / / / -9- ARTICLE XIII Separability Should any part of this Memorandum or any provisions herein contained be rendered or declared invalid by reason of any existing or subsequently enacted legislation or by decree of a court of competent jurisdiction, such invalidations of such part or portion of this Memorandum shall not invalidate the remaining portions hereof and they shall remain in full force and effect. ARTICLE XIV Non -Discrimination NEWPORT BEACH and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his membership or nonmember- ship in NBEL, or because of his race, creed, color, national origin, religious belief, political affiliation, sex, or age. EXECUTED this '" "" day of %�T , 1980. CITY OF NEWPORT BEACH By NEWPORT BEACH EMPLOYEES LEAGUE WYN ^ SCE D ARD BUR Personnel Director/ City Representative Representative -10- EWPOR CH CI B �I '�_•ts 'ss ! Finance,"-ctor/ City Representative APPROVED AS TO FORM: f��Eil L " l ROBERT H. BURNHAM Assistant City Attorney NEWPORT BEACH EMPLOYEES LEAGUE By Al/AEL reseese ntati e ME RGFnMILLI- Representative -11- 7/22/80 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE A RECOGNIZED EMPLOYEE ORGANIZATION The wages, hours, and conditions of employment that are set forth in this Memorandum have been discussed and jointly proposed by and between the staff officials of the City of Newport Beach (hereinafter called "NEWPORT BEACH") and the Newport Beach Employees League (hereinafter called "NBEL"). The terms and conditions of employment that are set forth in this Memorandum have been NEWPORT BEACH acceptance by employment as and the NBEL. its members of discussed in good faith between The NBEL agrees to recommend all the terms and conditions of set forth herein, and recommend to the Newport Beach City and conditions of employment as set in full in a resolution of the City of such a resolution, all the terms NEWPORT BEACH agrees to Council that all the terms forth herein be incorporated Council. Upon the adoption and conditions of this Memorandum so incorporated shall become effective without further action by either party. ARTICLE I NBEL Recognition NEWPORT BEACH hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction and Maintenance unit, and agrees to meet and -z- SO confer and otherwise deal exclusively with NBEL on all matters within the scope of representation pertaining to the said employees as authorized by law. The NBEL agrees that during the life of this Memorandum it will not appear before the City Council or any other legislative body on all matters within the scope of the meet and confer process unless required under a subpoena, or by law, or by agreement with NEWPORT BEACH. ARTICLE II Salaries and Wages Effective July 1, 1979, the salary of each employee repre- sented by the NBEL shall be increased by an amount equal to thirteen percent (13%) over and above his or her salary imme- diately prior thereto. ARTICLE III Retirement NEWPORT BEACH agrees to pay one-half the employees' contribution (three and one-half percent [3-1/2%]) to Public Employees Retirement System (PERS). NEWPORT BEACH agrees to a lump sum payment the first pay period following the signing of the Memorandum of Understanding that will reflect an amount equal to one-half the employees' contribution to PERS for the period of time between July 1, 1978, and the signing of this Memorandum of Understanding. NEWPORT BEACH will then pay one-half the employees' contribution to PERS for the remainder of Fiscal Year 1978-79. -27 t. ARTICLE IV Holidays Effective July 1, 1978, NEWPORT BEACH agrees to provide each employee represented by NBEL one "floating holiday," said holiday to be the employee's date of birth. In addition, effective for Fiscal Year 1979-80 only, NEWPORT BEACH agrees to provide additional one-half day holiday on Christmas Eve and one-half day holiday on New Years Eve. ARTICLE V Sick Leave Accrual NBEL will accrue sick leave pursuant to the schedule set forth in Section 702.3.1 of the Newport Beach Personnel Manual. ARTICLE VI Acting Appointments NEWPORT BEACH agrees that if an employee is appointed on an acting basis to a position with a higher salary range for a period exceed forty (40) consecutive hours, said employee shall receive compensation for such acting appointment retro- active to the first hour of the appointment. ARTICLE VII Wage and Salary Survey NEWPORT BEACH agrees to complete, prior to March 1, 1980, a wage and salary survey of all classifications represented by the NBEL. Information gathered in said survey will be provided for - 3- IPS 1. NBEL review prior to March 1, 1580. ARTICLE VIII Representation During Disciplinary Proceedings NEWPORT BEACH agrees that employees represented by NBEL shall have the right to be represented by an authorized repre- sentative of NBEL at any meeting between the employee and a supervisorhaving the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to the employee. ARTICLE IX Continuation of Existing Benefits All employees in the classifications represented by the NBEL shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this Memorandum that are provided to employees of NEWPORT BEACH as set forth in resolutions previously adopted by the City Council of the City of Newport Beach for such purposes. The City Representative of NEWPORT BEACH will not recommend any revision or modification to such conditions or benefits which apply to employees in the classifications represented by NBEL without the mutual agreement of NBEL. ARTICLE X Conclusiveness of Agreement This Memorandum contains all the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life of this Memorandum, neither party shall be compelled, and expressly waives its rights, to meet and confer with the other concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execu- tion of this Memorandum, except by mutual agreement of the parties. No representative of of the parties shall or agreement reached not set forth herein. either party has authority to make and none be bound by any statement, representation, prior to the signing of this agreement and ARTICLE XI Duration The terms of this Memorandum are to remain in full force and effect until the 30th day of June, 1980, and thereafter from year to year unless within the time frame and in the manner designated in Section 13, TIMETABLE FOR SUBMISSION OF REQUESTS, of the Employer -Employee Relations Resolution, either party serves written notice upon the other party of its desire to make changes in this Memorandum. Upon adoption of a resolution approving this Memorandum and the terms hereof by the City Council of the City of Newport Beach, this Memorandum shall be in full force and effect retroactively as of the 1st day of July, 1978. ARTICLE XII Separability Should any part of this Memorandum or any provisions herein contained be rendered or declared invalid by reason of any existing or subsequently enacted legislation or by decree of a court of competent jurisdiction, such invalidations of such part or portion of this Memorandum shall not invalidate the remaining portions hereof and they shall remain in full force and effect. ARTICLE XIII Non -Discrimination NEWPORT BEACH and NBEL agree that there will be no discrimi- nation by either party or by any of their agents against any employee because of his membership or non -membership in the NBEL, or because of his race, creed, color, national original, religious belief, political affiliation, sex, or age. ARTICLE XIV State Surplus Disclaimer In, in Fiscal Year 1979-80, the State allocates surplus funds to cities to relieve the burden created by lost property tax revenues brought about by the passage of Proposition 13, and if conditions are attached to those funds which would pre- vent or limit the City's ability to grant employee salary increases, then it is understood and agreed between the parties hereto as follows: 1, If the State guidelines for acceptance of State surplus funds permit some percentage salary increases, NEWPORT BEACH agrees to pay employees that percentage increase up to a maximum of thirteen percent (13%); 2. NEWPORT BEACH agrees to reopen negotiations with NBEL for the purpose of determining alternate means of compensation -6- t t ': �•�}�¢ ��Y���S-f%��4vtiJaf:�Srlti[�� 411. to make up the difference between the percentage paid in salaries and the remainder of the agreed upon percentage salary increase as set forth in this Memorandum of Understanding, subject to the conditions contained in paragraph 4 below; 3. If no salary increases are permitted under the State guidelines, then NEWPORT BEACH agrees to reopen negotiations for the purpose of determining substitute forms of compensation which will equate to the total dollar amount of the proposed percentage salary increase as set forth in this Memorandum of Understanding, subject to the conditions contained in paragraph 4 below; 4. The commitments contained in this Article are made by NEWPORT BEACH in good faith and shall be honored by NEWPORT BEACH to the best of its ability, exercising every reasonable effort to make available sufficient municipal revenues to satisfy these commitments; 5. If the State guidelines have been adjudicated and declared invalid as they apply to salary adjustments contained in existing -7- a contractual agreements, NEWPORT BEACH agrees to pay the full percentage salary increase as set forth in this Memorandum of Understanding. EXECUTED this J7 day of YA,tsk- , 1978. CITY OF NEWPORT BEACH By WAYN t• the City'Manager/City esentative. l tilia '6RGE PAi" AS, Finan-c Director/3,ty Represe tative THE NEWPORT BEACH EMPLOYEES LEAGUE APPROVED AS TO FORM: DWARD BURT, ice-Presi.ent DENNIS D. O'NEIL, City Attorney -8- • MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH EMPLOYEES LEAGUE A RECOGNIZED EMPLOYEE ORGANIZATION The wages, hours and conditions of employment that are set forth in this Memorandum have been discussed and jointly proposed by and between the staff officials of the City of Newport Beach (hereinafter called "NEWPORT BEACH") and the Newport Beach Employees League (hereinafter called "NBEL") and shall apply to all classifications set forth in Appendix "A". The terms and conditions of employment that are set forth in this Memorandum have been discussed in good faith between NEWPORT BEACH and the NBEL. The NBEL agrees to recommend acceptance by its members of all the terms and conditions of employment as set forth herein, and NEWPORT BEACH agrees to recommend to the Newport Beach City Council that all the terms and conditions of employment as set forth herein be incorporated in full in a resolution of the City Council. Upon the adoption of such a resolution, all the terms and conditions of this Memorandum so incorporated shall become effective without further action by either party. ARTICLE I NBEL Recognition NEWPORT BEACH hereby confirms its prior certification of NBEL as the recognized employee organization for the employees in the Construction & Maintenance unit, and agrees to meet and confer and otherwise deal • • exclusively with NBEL on all matters within the scope of representation pertaining to the said employees as authorized by law. The NBEL agrees that during the life of this Memorandum it will not appear before the City Council or any other legislative body on any matter within the scope of the meet and confer process unless required under a subpoena, or by law, or by agreement with NEWPORT BEACH. ARTICLE II Salaries and Wages NEWPORT BEACH and NBEL agree to the salary schedule for the various classifications as set forth in Appendix "A" attached to this Memorandum and by this reference made a part hereof, to be effective July 3, 1976. ARTICLE III Acting Appointments City agrees that if an employee is appointed on an acting basis to a position with a higher salary range for a period exceeding 40 consecutive hours said employee shall receive compensation for such acting appointment retroactive to the first hour of the appointment. ARTICLE IV Vacation and Sick Leave Accrual City agrees to adjust the vacation and sick leave accrual rates for certain employees in the General Services Department regularly scheduled to work in excess of 40 hours per week. NBEL agrees that the General Services Director shall designate the employees in the following numbers and classifications who shall qualify for this adjustment: • Building Maintenance Division 1 Building Maintenance Man I 1 Building Maintenance Man II 44 Hours/week 44 Hours/week Field Maintenance Division 1 Refuse Leadman 44 Hours/week 2 Equipment Operator I 42 Hours/week 4 Equipment Operator II 42 Hours/week 4 Laborers 42 Hours/week It is further agreed that the classifications designated above which are assigned to an average 44 hour week shall accrue sick leave and vacation leave in accordance with the schedule established in Sections 702.3.1 and 703.3.1 of Resolution 8617. Those employees assigned to an average 42 hour week shall accrue sick leave and vacation leave in accordance with the following schedule: Sick Leave Hours in Normal Work Week Accrual Per Month (Hours) 42 (Average) Vacation Leave Yrs. of Continuous Service 0 but less than 5 5 but less than 9 9 but less than 13 13 but less than 17 17 but less than 21 21 but less than 25 25 and over 8.40 Hours in Normal Work Week 42 (Average) Accrual per Month (Hours) 8.40 9.80 11.20 12.60 14.00 15.40 16.80 NBEL further agrees that employees who qualify for the adjustment in the accrual rate shall likewise be charged for usage of such leave in a like and similar manner. ARTICLE V Overtime City and NBEL agree to postpone further discussion of the issue of time and one half for overtime pay until after the United States Supreme Court ruling regarding the constitutionality of the Fair Labor Standards Act Amendments has been received. Should the Supreme Court decision declare the FLSA unconstitutional for public agencies, City and NBEL agree to reopen negotiations on this item only at a mutually agreeable date. ARTICLE VI Representation During Disciplinary Proceedings CITY agrees that employees represented by NBEL shall have the right to be represented by an authorized representative of NBEL at any meeting between the employee and a supervisor having the authority to impose disciplinary action when it is reasonably anticipated that such meeting might result in the imposition of disciplinary action which would result in a loss of pay to the employee. ARTICLE VII Continuation of Existing Benefits All employees in the classifications as set forth in Appendix "A" shall be covered by the terms and conditions and receive all the other benefits not specifically covered by any other Article of this Memorandum that are provided to employees of Newport Beach as set forth in Resolutions previously adopted by the City Council of the City of Newport Beach for such purposes. The City Representative of Newport Beach will not recommend any revision or modification to such conditions or benefits which apply to employees in the classifications as set forth in Appendix "A" without the mutual agreement of NBEL. ARTICLE VIII Conclusiveness of Agreement This Memorandum contains all the covenants, stipulations and provisions agreed upon by the parties. Therefore, for the life of this Memorandum, neither party shall be compelled, and expressly waives its rights, to meet and confer with the other concerning any issues within the scope of representation, whether or not specifically met and conferred about prior to the execution of this Memorandum, except by mutual agreement of the parties. No representative of either party has authority to make and none of the parties shall be bound by any statement, representation, or agreement reached prior to the signing of this agreement and not set forth herein. ARTICLE IX Duration The terms of this Memorandum are to remain in full force and effect until the 30th day of June, 1977, and thereafter from year to year unless within the time frame and in the manner designated in Section 13 TIMETABLE FOR SUBMISSION OF REQUESTS of the Employer -Employee Relations Resolution, either party serves written notice upon the other party of its desire to make changes in this Memorandum. Upon adoption of a Resolution approving this Memorandum and the terms hereof by the City Council of the City of Newport Beach, this Memorandum shall be in full force and effect as of the 1st day of July, 1976. ARTICLE X Separability Should any part of this Memorandum or any provisions herein contained be rendered or declared invalid by reason of any existing or subsequently enacted legislation or by decree of a court of competent jurisdiction, such invalidations of such part or portion of this Memorandum shall not invalidate the remaining portions hereof and they shall remain in full force and effect. ARTICLE XI Non -Discrimination NEWPORT BEACH and NBEL agree that there will be no discrimination by either party or by any of their agents against any employee because of his membership or non -membership in the NBEL, or because of his race, creed, color, national origin, religious belief, political affiliation, sex, or age. Executed this v7 5 day of lc..,, .i , 1976. CITY OF NEWPORT BEACH nance iirec and City Repr- entative Approved as to Form: THE NEWPORT BEACH EMPLOYEES LEAGUE By: LLt-/�- ART CAVRGNA 0, Presfdent PETER IN, Tice President DENNIS O'NEIL, City Attorney APPENDIX "A" EFFECTIVE JULY 3, 1976 Title Assistant Building Maintenance Foreman Assistant Refuse Foreman Assistant Street Maint. Foreman Assistant Tree Foreman Assistant Utilities Superintendent Beaches & Storm Drain Maint. Foreman Building Maintenance Foreman Building Maintenance Man I Building Maintenance Man II Carpenter Carpenter Foreman Cement Finisher Concrete Foreman Electrical Foreman Electrician I Electrician II Equip. Maint. Superintendent Equipment Mechanic I Equipment Mechanic II Equipment Mechanic III Equipment Operator I Equipment Operator II Equipment Mechanic Foreman Field Operations Foreman Groundsman Gardener I Groundsman Gardener II Laborer Maintenance Man I Maintenance Man II Maintenance Painter Park Equipment Mechanic Park Foreman Parking Meter Foreman Parking Meter Serviceman I Parking Meter Serviceman II Salary Range 42.025 44.000 43.025 43.025 49.025 45.025 45.025 37.025 39.025 42.025 45.025 43.025 45.025 47.025 41.025 46.000 52.000 41.000 44.000 45.000 40.000 42.025 46.000 47.000 - 46.025 - 48.000 - 47.025 - 47.025 - 53.025 - 49.025 - 49.025 - 41.025 - 43.025 - 46.025 - 49.025 - 47.025 - 49.025 - 51.025 - 45.025 - 50.000 - 56.000 - 45.000 - 48.000 - 49.000 - 44.000 - 46.025 - 50.000 - 51.000 39.025 - 43.025 41.025 - 45.025 39.000 - 43.000 40.000 41.000 41.000 - 44.000 - 45.000 - 45.000 42.000 - 46.000 47.000 - 51.000 46.025- 50.025 40.025 - 44.025 41.025 - 45.025 Monthly Salary Range 921 - 991 - 967 - 967 - 1296 - 1066 - 1066 - 722 - 796 - 921 - 1066 - 967 - 1066 - 1176 877 1092 1464 856 991 1040 815 921 1092 1147 1120 1204 1176 1176 1576 1296 1296 877 967 1120 1296 1176 1296 1429 1066 1328 1779 1040 1204 1265 991 1120 1328 1394 796 - 967 877 - 1066 776 - 944 815 - 856 - 856 - 991 1040 1040 899 - 1092 1147 - 1394 1120 - 1361 836 - 1016 877 - 1066 Title Salary Range Monthly Salary Range Refuse Crewman Refuse Foreman Refuse Inspector Refuse Leadman Sign & Paint Shop Foreman Sign & Paint Shop Technician Sprinkler Systems Technician Street Maintenance Foreman 39.025 - 43.025 796 - 967 47.000 - 51.000 1147 - 1394 44.000 - 48.000 991 - 1204 41.000 - 45.000 856.- 1040 44.000 - 48.000 991 - 1204 41.000 - 45.000 856 - 1040 42.000 - 46.000 899 - 1092 45.025 - 49.025 1066 - 1296 Traffic Painter 41.000 - 45.000 856 - 1040 Traffic Painter Foreman 44.000 - 48.000 991 -1204 Traffic Painter Leadman 42.000 - 46.000 899 - 1092 Tree Foreman 47.000 - 51.000 1147 - 1394 Tree Trimmer I 39.025 - 43.025 796 - 967 Tree Trimmer II 42.000 - 46.000 899 - 1092 Utilities Construction Foreman 47.025 - 51.025 1176 - 1429 Utilities Construction Leadman 46.000 - 50.000 1092 - 1328 Utilities Construction Specialist 43.000 - 47.000 944 - 1147 Utilities Foreman 47.000 - 51.000 1147 - 1394 Utilities Leadman 45.000 - 49.000 1040 - 1265 Utilities Serviceworker 40.000 - 44.000 815 - 991 Utilities Specialist 41.025 - 45.025 877 - 1066 Water Meter Foreman Water Meter Leadman Water Meter Man Water Meter Repairman Water Plant Operator Water Plant Supervisor Water Quality Control Supervisor 47.000 - 51.000 1147 - 1394 45.000 - 49.000 1040 - 1265 41.025 - 45.025 877 - 1066 41.025 - 45.025 877 - 1066 45.000 - 49.000 1040 - 1265 47.000 - 51.000 1147 - 1394 47.000 - 51.000 1147 - 1394