Loading...
HomeMy WebLinkAbout17 - MOU with Newport Beach Fire Management AssociationAGENDA ITEM 17 TO: Mayor and City Council FROM: Sharon Wood, Assistant City Manager SUBJECT: Memorandum of Understanding with Fire Management Association Recommendation Approve Memorandum of Understanding Between the City of Newport Beach and the Newport Beach Fire Management Association. Discussion The previous Memorandum of Understanding (MOU) with the Fire Management Association expired on December 31, 2001. Because salaries in this bargaining unit have been tied to those in the Firefighters Association, we were waiting until the Firefighters' MOU was approved to finalize an agreement with Fire Management. We have reached tentative agreement with the Fire Management Association, consistent with direction from the City Council, and consistent with the Firefighters' MOU except as noted below. The term of the MOU is three years, January 1, 2002 through December 31, 2004. 2. Salary Increases January 2002 8% January 2003 3% July 2003 2% January 2004 3% July 2004 2% An additional adjustment in the Fire Management MOU is to increase the difference between the salaries of Fire Battalion Chief and Deputy Fire Chief from 12.5% to 18 %. This change is in recognition of the Deputy Chief's responsibilities for three divisions (Operations, Support Services and Prevention), and brings this position's salary more in line with similar positions in other Orange County agencies. Certificate Pay As with the Firefighters, there will be the opportunity to receive extra pay for achieving certain certifications. In the Fire Management MOU, only Chief Fire Officer certification is eligible, and the amount is set at I% of the employee's base pay. For Firefighters, the amount is set at 1.5 %. 4. Flex Leave /Longevity Pay Employees with nine or more years of service will receive the same amount of flex leave, regardless of hire date. This change partially eliminates the two- tiered flex leave system that was introduced as part of the City's budget cutbacks in 1996. Increasing leave time for newer employees was a priority for the Association because their leave accrual rate is lower than for other agencies in Orange County. To retain a differentiation for longer -term employees, the longevity pay is increased for employees with 16 or more years of service. 5. Holidays Martin Luther King's birthday is added as a holiday. Employees hired after October 1996 will have a one -time opportunity to choose to receive half their holidays as time off rather than pay. This is another provision designed to address the lower rate of leave accrual for employees hired after 1996. 6. Health Insurance The Fire Management Association will participate in the City's cafeteria medical plan, which will bring all City employees into the same health benefit program. The City's contribution to the medical plan will be $500 per month in the first year, $550 in the second year and $575 in the third year. 7. Retirement The Association did not request a change in the retirement benefit, and it will remain at 3% @ 55. Final MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH FIRE MANAGEMENT ASSOCIATION This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU ") is entered into with reference to the following: 1. The Newport Beach Fire Management Association ( "NBFMA "), 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. NBFMA representatives and City representatives have reached a tentative agreement as to wages, hours and other terms and conditions of employment for the period from January 1, 2002 to December 31, 2004 and this tentative agreement has been embodied in this MOU. 3. The City acknowledges and appreciates the cooperation of NBFMA during the meet and confer process leading to the adoption of the 2002 -2004 MOU. 4. This MOU, upon approval by NBFMA 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, the City acknowledges that NBFMA is the majority representative for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in 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 NBFMA. 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 1 Final as of January 1, 2002 This MOU shall remain in full force and effect until December 31, 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 any 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 such as, or similar to, this MOU. C. Scone. 1. All present written rules and currently established practices and employee 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, or in the case of the Department SOP's falling within the scope of representation, the City has given notice to the Association and, upon request, met and conferred on any proposed changes which fall within the scope of representation. When the Department proposes to change any SOP departmental rule or regulation, it will provide a copy of such change to NBFMA no less than seven (7) days prior to implementation of the proposed change. If such proposed change materially impacts any matter within the scope of representation, then the parties agree to meet and confer over such impact. 2. Pursuant to this MOU, the City reserves and retains all of its inherent exclusive and non - exclusive managerial rights, powers, functions and authorities ( "Management Rights ") as set forth in Resolution No. 2001-50. D. Bulletin Boards. Space shall be provided on bulletin boards within the Fire Department at their present location for the posting of notices and bulletins relating to NBFMA business, meetings, or events. All materials posted on bulletins boards shall indicate the name of the organization responsible. Material posted shall not contain personal attacks on any City official or employee, any material which constitutes harassment, discrimination or retaliation on the basis of race, gender, ethnicity, religion or other statutorily or constitutionally impermissible basis, as well as any pornographic or obscene material. 2 Final 2. Material posted and messages sent through electronic mail (E -Mail) shall not contain personal attacks on any City official or employee, any material which constitutes harassment, discrimination or retaliation on the basis of race, gender, ethnicity, religion or other statutorily or constitutionally impermissible basis, as well as any pornographic or obscene material. E -Mail may be used for Association business on a limited basis and consistent with Department Policy. E. 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 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. F. Modifications. Any agreement, alteration, understanding, variation, or waiver or modification of any of the terms or provisions of this MOU shall not be binding upon the parties unless contained in a written document executed by authorized representatives of the parties. G. Savings. Should any part of this MOU be rendered or declared illegal or invalid by legislation, decree of court of competent jurisdiction or other established governmental administrative tribunal, such invalidation shall not affect the remaining portions of this MOU provided, however, should the provisions of this MOU relating to salary increases, fringe benefits, or the compensation policy be declared invalid the City shall provide alternative forms of compensation such that NBFMA members suffer no financial detriment by virtue of the decision or ruling with the manner and form of the compensation to be determined by the parties after meeting and conferring in good faith. H. Impasse. In the event of an impasse (the failure to agree on a new MOU after the express term of the existing MOU has expired), the parties may agree on mediation pursuant to the procedure outlined in Section 16 of Resolution No. 2001 -50 or a successor resolution. I. Definitions. For the purposes of this MOU these terms shall have the following meanings: 3 Final 1. The term "member" or " NBFMA member" shall mean all persons within classifications represented by NBFMA. 2. The term "staff employee" shall mean any NBFMA member who is assigned to work a 40 hour workweek. 3. The term "line employee" shall mean any NBFMA member assigned to work an average 56 hour workweek in 24 hour shift increments. 4. The term "Municipal Fire Departments in Orange County" or "Municipal Fire Departments" shall mean all City operated Fire Departments and the Orange County Fire Authority. SECTION 2. - COMPENSATION A. Pay for Time Worked. 1. Guaranteed Salary/Total Compensation Adjustments. (a) Effective the first payroll period December 29, 2001, the salary schedule for the classifications represented by the Association shall be as specified below. The salary for the position of Fire Battalion Chief shall maintain at least a 9% salary differential between the top step of Fire Captain and the bottom step of the Fire Battalion Chief. Adjustments to the salary of Battalion Chief shall be reflected in corresponding adjustments to other positions represented by NBFMA necessary to maintain the salary. (b) Fire Management Association Represented Classifications: Classification Fire Battalion Chief Staff Battalion Chief Deputy Fire Chief Fire Marshal Deputy Chief, Marine Div Percent of Battalion Chief Top Step N/A 112.5% 118% 112.5% 112.5% + $325/mo. (i) Effective December 29, 2001, the City shall increase base salary for the Battalion Chief classification by eight (8 %) percent (with increases for other classifications pursuant to the matrix above). This increase is inclusive of a five (5 %) percent market adjustment. 19 Final (ii) Effective January 11, 2003, the City shall increase base salary for the Battalion Chief classification by three (3 %) percent (with increases for other classifications pursuant to the matrix above). (iii) Effective June 28, 2003, the City shall increase base salary for the Battalion Chief classification by two (2 %) percent(with increases for other classifications pursuant to the matrix above). (iv) Effective January 10, 2004, the City shall increase base salary for the Battalion Chief classification by three (3 %) percent. (v) Effective June 26, 2004, the City shall increase base salary for the Battalion Chief classification by two (2 %) percent. 2. Flex Leave Premium Pay Account. On request NBFMA members shall have the right to receive pay, at the rate of 109% of their then current base salary, for any Flex Leave banked, up to a maximum of 78 times their bi- weekly Flex Leave accrual rate as of June 30, 1994 (Flex Leave Premium Pay Account). The Flex Leave Premium Pay Account balance shall be shown on each member's regular pay stub. The Flex Leave Premium Pay Account shall be reduced in accordance with member purchases. Each member shall, upon termination, resignation, retirement or other separation from service, receive terminal pay at the rate of 109% of their then current base salary for all accrued Flex Leave to the full extent of the remaining balance in the Flex Leave Premium Pay Account with any remaining Flex Leave paid at the then current base salary. The provisions of this section shall apply only to members employed by the City of Newport Beach on or before June 30, 1994. 3. Vacation Leave Premium Pay Account. Members who are on the traditional Vacation/Sick Leave program as of June 30, 1994 shall be entitled to receive pay, at the rate of 109% of their then current base salary, for any accumulated Vacation Leave up to a maximum of 52 times their bi- weekly Vacation Leave accrual rate as of June 30, 1994 (Vacation Leave Premium Pay Account). The Vacation Leave Premium Pay Account balance shall be shown on each members regular pay stub. The Vacation Premium Pay Account balance shall be reduced commensurate with member purchases. Each member shall, upon termination, resignation, retirement or other separation from service, receive terminal pay at the rate of 109% of their then current base salary for all accrued Vacation Leave to the full extent of the remaining balance in the Vacation Leave Premium Pay Account with any remaining Vacation Leave paid upon termination at the then current base salary. The provisions of this section 3 4. Final shall apply only to members employed by the City of Newport Beach on or before June 30, 1994. Scholastic /Certificate Achievement Pay. NBFMA members are entitled to additional compensation contingent upon scholastic /certificate achievement ( "Scholastic /Certificate Achievement Pay "). NBFMA members may apply for increases pursuant to this Section when eligible and scholastic /certificate achievement pay shall be included in the member's paycheck for the pay period immediately after approval by the Fire Chief. It is the responsibility of the NBFMA member to apply for Scholastic /Certificate Achievement Pay. Approval of the member's application shall not be unreasonably withheld or delayed, and the member shall not be entitled to receive scholastic /certificate achievement pay prior to the date the application is approved even though the member may have been eligible prior to approval. Scholastic /Certificate achievement pay is contingent upon years of service and number of units and/or degrees received by the employee. Qualifying units and/or degrees must be awarded by accredited community colleges, state colleges or universities. NBFMA member shall receive scholastic achievement pay in accordance with the following: Years of College Monthly Service: Semester/Unit: Comp: 2 or more 30 1.4% 3 or more 60 2.0% 3 90 2.6% 4 120 3.2% 4 B.A./B.S. 3.8% • of base monthly top step Battalion Chief salary 6. Certificate Pay. Coursework Completion of coursework for Certified Chief Fire Officer 7. Court Standby Pay. Monthly Compensation I % /mo base NBFMA members who, pursuant to Subpoena compelling attendance to testify to acts, observations, or omissions occurring in the course and scope of employment 21 Final or at the direction of their supervisor, are required, while off -duty, to remain within a certain response time from court, shall be considered to be on "court standby time" and shall receive four hours of pay for each eight hours of court standby time. NBFMA members shall, when required to appear in court pursuant to a Subpoena or the direction of their supervisor to testify at to matters relating to their employment with the City, be considered to be on duty and shall be paid accordingly. Members shall remit all witness fees received for testifying or appearing on any matter for which the member is eligible to receive court standby time. 8. Overtime - Hours Worked. All approved paid overtime shall be paid at the straight time rate. The City and Association agree that all unit classifications are properly exempted from the provisions of the Fair Labor Standards Act. Overtime payments were decreased from time and one -half to straight time by agreement of the parties as part of a negotiation which increased the percentage spread between Battalion Chief and Fire Captain. The overtime rate shall be taken into account when comparing total compensation to benchmark positions in other agencies. SECTION 3. - LEAVES A Pay for Time Not Worked. 1. Vacation Selection System. The City has implemented a vacation selection system (VSS) which phased out mandatory scheduling for vacation relief in favor of leave coverage by paying overtime to other members occupying the same position. The City commits to maintain VSS subject to budgetary constraints outlined in this Section. The City shall, for each fiscal year during the term of this MOU, adopt a budget which provides for the payment of overtime specifically for the purpose of implementing VSS. The amount to be budgeted shall be calculated by computing the Vacation/Flex leave time (leave) normally accrued by each member during a fiscal year (total annual leave) multiplying total annual leave, by that member's overtime rate of pay (value of leave) and then adding the value of leave for each NBFMA member. Each member's overtime rate of pay shall be calculated on the basis of the member's highest anticipated rate of pay during the upcoming fiscal year. The total "value of leave" for all members shall be identified in the budget as the "LEAVE COVERAGE FUND." 7 91 Final 2. Sick Leave. Upon paid retirement, termination in good standing or death, but not termination for cause or resignation in lieu of termination, any member or his/her estate shall be paid, at the rate of 109% of their final base salary for a percentage of the employees accrued but unused Sick Leave computed as follows: YEARS OF SERVICE: LESS THAN 10 10 BUT LESS THAN 15 15 BUT LESS THAN 20 20 OR MORE PERCENT OF UNUSED SICK LEAVE: NONE 25% 37.5% 50% Payment for accrued but unused Sick Leave shall be limited to the first 800 hours of accrued Sick Leave for Staff Employees and the first 1200 hours for Line employees (for example if a Line Employee had accumulated 1400 hours of Sick Leave and retired after 16 years he or she would receive Terminal Sick Leave Pay in a sum equal to 109% of their base salary per hour for 450 hours of Sick Leave - 1200 hours multiplied by .375). Compensable Time Off. 1. Flex Leave. (a) NBFMA personnel hired prior to 10/1/96, shall accrue flex leave at the following rates. It is mutually understood that accrual rates have been modified to provide for the longevity increase set forth below: Years of Leave Accrual Cont. Svc Hours/Pay Period Line Employees Leave Accrual Longevity Hours/Pay Period Pay Increase Staff Employees Less than 5 8.77 6.26 0.00% 5 but less than 9 9.69 6.92 0.00% 9 but less than 12 10.62 7.58 0.00% 12 but less than 16 12.00 8.57 0.00% 16 but less than 20 12.00 8.57 1.5% 20 but less than 25 12.00 8.57 2.5% 25 and over 12.00 8.57 3.5% El (b) Final NBFMA personnel hired or rehired by the City of Newport Beach on or after 10/1/96 shall accrue flex leave at the following rates: Years of Leave Accrual Cont. Svc Hours/Pay Period Line Personnel Leave Accrual Longevity Hours/Pay Period Pay Increase Staff Personnel Less than 5 7.81 5.58 0.00% 5 but less than 9 8.66 6.19 0.00% 9 but less than 12 10.62 7.59 0.00% 12 but less than 16 11.54 8.24 0.00% 16 but less than 20 12.00 8.57 1.5% 20 but less than 25 12.00 8.57 2.5% 25 and over 12.00 8.57 3.5% The Flex leave program shall be administered as follows: (i) NBFMA members shall not accrue flex leave until continuously employed by the Newport Beach Fire Department for a period of six (6) months provided, however, if a member on the flex leave program becomes sick during the first six months of employment, the City will advance up to six (6) months of accrual for line employees for use by the member to recover from illness. In the event the City advances paid leave time and the employee is terminated or resigns before completing six months of continuous employment, the member's final check shall be reduced by an amount equal to the number of flex leave hours advanced multiplied by the member's hourly rate of pay. NBFMA members who are staff employees shall accrue six (6) months of flex leave and line employees shall accrue six (6) months of flex leave immediately upon completion of six (6) months continuous employment with the Newport Beach Fire Department, provided however, this amount shall be reduced by any flex leave time advanced during the first six months of employment. (iii) Members employed by the City prior to initiation of the flex leave program have had the current accrued vacation time converted to flex leave on an hour for hour basis with the current sick leave placed in a bank to be used as provided in the Employee Policy Manual . Members entitled to use sick leave pursuant to the Employee Policy Manual and who are absent due to illness shall have their sick leave bank reduced by the duration of the absence unless the member notifies appropriate 0 Final department personnel that the absence should be charged to the members flex leave account. (iv) Subject to the provisions of Section 2(A)(3), prior to the effective date of this MOU, members were entitled to accrue flex leave up to a maximum of 78 times the members bi- weekly accrual rate. Earned flex leave in excess of the maximum permitted is currently paid bi- weekly at the members hourly rate of pay. NBFMA members may, at any time, elect to receive pay (at the members normal hourly rate) for all accrued flex leave in excess of 72 hours for a line employees and 40 hours for staff employees. However, NBFMA members may not elect to buy down accrued Flex Leave below the current threshold for payment (78 times the members bi- weekly accrual rate) unless, during the twelve months preceding the election, the member has taken at least ninety-six (96) hours of paid leave if a line employee and eighty (80) hours of paid leave if a staff employee. (v) All requests for scheduled flex leave shall be submitted to appropriate department personnel. In no event shall a member take or request flex leave in excess of the amount accrued. (vi) Members shall be paid for all accrued flex leave at their then current hourly rate of pay upon termination of the employment relationship. (vii) Members currently in the vacation/sick leave program shall be provided a one -time opportunity to convert to the flex -leave program during the month of July, 2002. All changes shall be effective the first pay period in January, 2002. 2. Holiday Time. (a) Accrual. The provisions of this subsection shall apply to all NBFMA members on a pro -rata basis. NBFMA members who are line employees shall accrue holiday time at the rate of 5.54 hours per pay period. NBFMA who are staff employees shall accrue holiday time at the rate of 3.96 hours per pay period. All employees including Staff Employees shall receive their holiday time in pay (PERSable). Holiday pay shall be paid bi- weekly with the regular check. 10 Final (b) Staff Employees. Staff Employees may be required to take specified City holidays off, in the sole discretion of the Fire Chief. Time will be charged against the employee's flex (or vacation) leave bank. 3. Worker's Compensation Leave. Any Safety NBFMA employee who has been incapacitated by reason of any injury or illness which has been determined to have arisen out of or in the course of his or her employment shall receive compensation in accordance with the provisions of Section 4850 et. seq. of the Labor Code of the State of California. 4 Vacation/Sick Leave. Administration of the vacation and sick leave program for members who have not converted to flex leave shall be in accordance with the provisions of the Employee Personnel Manual of the City of Newport Beach. Line employees shall accrue sick leave at the rate of twelve hours per month and staff employees shall accrue sick leave at the rate of eight hours per month. 5. Sick Leave Conversion. Members who, at the end of any calendar year have a sick leave bank greater than a sum equal to eighty -six (86) times their normal bi- weekly sick leave accrual rate and who have used six (6) or fewer days during the calendar year, may elect to covert up to six (6) days of sick leave to three (3) days pay or, with the approval of the Fire Chief, three (3) days of vacation. Members shall elect to convert to sick leave within sixty (60) days after the end of any calendar year. 6. Family Sick Leave. Unit employees shall be entitled to use one -half (1/2) of their annual sick leave accrual for an illness of a dependent which requires the presence of the employee. Leave shall be administered in accordance with the provisions of the Employee Policy Manual. The provisions of this Section shall not be construed to affect or reduce the right of any employee to any unpaid family medical leave authorized by State or Federal law. 7. Bereavement Leave. Bereavement leave shall be defined as "the necessary absence from duty by an employee having a regular or probationary appointment because of a death or terminal illness in his/her immediate family. Staff employees shall be entitled to 11 Final five (5) working days of Bereavement Leave per calendar year while Line Employees shall be entitled to ninety (90) hours of Bereavement Leave per occurrence. Bereavement leave shall be administered in accordance with the provisions of the Employee Policy Manual. 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. ReassiMent. In the event a line employee is reassigned to a staff position, or a staff employee is reassigned to a line position, the City shall automatically convert the Flex Leave, Vacation Leave, Sick Leave, Bereavement Leave and other benefits from the position previously held to the newly assigned position provided. The ratio for conversion of staff employee benefits to line employee benefit shall be 7/5 and the ratio for converting line employee benefits to staff employee benefits shall be 5/7. SECTION 4. - FRINGE BENEFITS A. Insurance. Health and Dental Insurance. The City has implemented an IRS qualified Cafeteria Plan. NBFMA members shall join this plan effective August 1, 2002. The City contribution toward the Cafeteria Plan shall be as set forth below. 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 Fire Management Association 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 health insurance programs will be a maximum of $500. Effective July, 2002, the City's contribution towards the Cafeteria Plan will be $484 (plus the $16 medical contribution). Effective January, 2003, the City's contribution towards the Cafeteria Plan will be $534 (plus the $16 medical contribution). 12 Final Effective January, 2004, the City's contribution towards the Cafeteria Plan will be $559 (plus the $16 medical contribution). Effective upon the ratification of this agreement, NBFMA members who do not want to enroll in any health care plan offered by the City must provide evidence of 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. 3. Retirement Benefits. (a) Pursuant to Section 20615 of the California Government Code, the City shall pay to PERS, on behalf of all employees covered by this agreement, the entire required normal "safety member" retirement contribution, but not to exceed 9% of the compensation eamable which PERS uses to calculate retirement contributions and benefits. In addition, the amount of this payment shall be reported to PERS as special compensation, which is part of the employee's compensation earnable, pursuant to the provisions of Section 20023(c)(4) of the California Government Code, as amended effective July 1, 1994. This payment shall be credited to the employee's accounts maintained by PERS in accordance with Section 20615 of the California Government Code. NBFMA acknowledges that the City is making this payment pursuant to a specific request of NBFMA to do so. (b) The City's contract with PERS shall also provide for: (i) A 3% @ 55 retirement formula pursuant to the provisions of Section 21252.01 of the California Government Code. (ii) The military buy -back provisions pursuant to Section 20930.3 of the California Government Code and the highest year benefit pursuant to Section 20042. (iii) The Level 4 1959 Survivors Benefit. 4. Benefits Information Committee. The City shall meet with a medical - dental information committee on a quarterly basis. The committee shall be comprised of one representative from each bargaining unit and up to three management representatives. Committee advisory function shall include determination of coverage, preparation and solicitation of bids, consultation with the City's broker, determination of plan coverage, and selection of carrier and coverage options. Meetings and determinations shall be 13 Final coordinated to facilitate inclusion of findings or decisions in the collective bargaining process. 5. Retiree Insurance. (a) 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. (i) The City has implemented a $400 per month cap for retiree medical insurance premium contributions as agreed to by the the City and the Newport Beach Fire Management Association. 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 premium under this program to a maximum of $400. Retirees shall be responsible for any remaining medical insurance premiums. The employee's current share of the retirement contribution in accordance with the formulas set forth above shall be $27.47 per month. Effective March 9', 2002, the employee's current share of the retirement contribution shall be $34.06 per month. Subsequent contribution levels shall be set annually, in accordance with the formula described above. (ii) Prior to increasing the deductions for the employee's contribution share, the City shall provide the NBFMA 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 NBFMA prior to any increases in employee deduction levels. The parties agree that any increase will take effect as soon as possible after January 1. 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 unfounded retiree medical insurance premiums not covered by the funds collected under D. (a) above. 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 NBFMA unit employee will contribute $10 per 14 Final month and the City shall contribute $20 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 NBFMA mutually agree to end the funding on behalf of NBFMA members. Accumulated funds from the employee and employer contributions described above shall be held separate from the City's general fund. The funds for the unfunded liability account shall be kept in an interest bearing account and may only be used to pay for unfounded retiree medical insurance premiums not covered by the funds collected under D. (a) above. In the event the retiree medical insurance program described herein is discontinued, NBFMA members will receive an accounting on any remaining funds and the City will immediately meet and confer with NBFMA on the distribution of said fitnds back to active (not retired/f ill -time) City employees in the NBFMA unit. The City will provide NBFMA with an annual report certified by the City Finance Director describing the balance, interest earnings, and any expenditures of the trust account described herein. B. Disability Insurance. The City provided disability insurance with the following provisions: Weekly Benefit 662/3% gross weekly wages 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. 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. 15 Final C. Employee Assistance Program. City shall provide an Employee Assistance Program through a properly licensed provider. NBFMA members may access the Employee Assistance Program at no cost subject to provider guidelines. D. Annual Physical Examinations. All NBFMA members shall participate in the Department Fitness Program as outlined in Department SOP. E. Physical Conditioning Equipment/Apparel. City shall provide workout apparel for each NBFMA member. Workout apparel shall consist of three workout shirts and two trunks. NBFMA members shall wear City provided workout apparel when working out on duty. F. Required Uniform. City shall pay the entire cost of providing NBFMA member with each component of the required NBFD uniform. The required NBFD uniform includes safety shoes, badges and insignias, uniform pants, uniform shirts, uniform jackets and liner, belts, and turnout safety clothing. City shall not be responsible for providing employee with socks, underwear, cap or workout shoes, or other clothing. The City will report the value of the required uniform at $750.00. The City will provide an adequate number of reserve turnouts at each station to allow for proper turnout cleaning/decontamination. This equipment will be used to temporarily replace an employees personal turnout equipment that cannot be placed in service because they are wet, contaminated, or aged. These reserve turnouts will be available by August 1, 2002. SECTION 5. -MISCELLANEOUS PROVISIONS A. Dues Checkoff. NBFMA members shall have the right to authorize the City to deduct regular monthly NBFMA dues from their bi- weekly paycheck. The City shall deduct payment of NBFMA dues when the employee has authorized such deduction and City shall remit all payments to NBFMA in accordance with the terms of each member's authorization. IM Final B. Fire Suppression Staffing Levels. Move -up coverage shall be used to staff the fire suppression battalion chief position in the absence of available battalion chiefs. C. Jury Duty. NBFMA members who are assigned to line positions and are called to jury duty shall be excused for each 24 hour shift during which the member is required to attend court and sit on a jury or await assignment. D. Staff Assignment Schedule As a matter of past practice, staff employees have worked various schedules including 10/80, 8/80 and 9/80. Staff employees have, also as a matter of past practice, been required to attend meetings or training sessions on days off by switching their normal day off and have not received compensation. When the parties have agreed not to alter any rights that members may have as a result of any past practice, NBFMA members shall select, in writing, one of the preceding schedules of the schedule option selected. The staff member shall be entitled to work that schedule unless that work schedule would significantly interfere with the ability of the member to perform his/her required duties. All NBFMA members assigned to work a forty hour work week shall have the option to work any of the following schedules: - Five eight hour days, Monday through Friday. - Four ten hour days. - Nine eighty work schedule. E. 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. 17 Final (b) "Seniority" shall mean the time an employee has worked in a specific Classification within a Series calculated from the date on which the employee was first granted permanent status, 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. (iii) For purposes of determining layoffs within any Classification, seniority shall mean the time an employee has worked within any Series. (c) "Classification" shall mean one or more full time positions identical or similar in duties and embraced by a single job title authorized in the City budget and shall not include part-time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). (d) "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, more supervisory responsibilities for subordinates. The City Manager shall determine those Classifications which constitute a Series. (e) "Bumping Rights ", "Bumping" or "Bump" shall mean the right of an employee in a higher Classification who is subject to layoff to displace a less senior employee in a lower Classification within the Series. 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, provided, however, the City shall allow an employee to become re- certified as an EMT or a paramedic in the event the employee's certification has expired due to promotion to another position. An employee has the right to "Bump" into only those positions the employee has previously held with the Department. 2. Procedures. In the event the City Manager determines to reduce the number of employees within a Classification, the following procedures are applicable: HE Final (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, provided, however, that the determination of the employee to be terminated from the position of Firefighter shall be based on seniority within the Series. An employee who has Bumping Rights shall notify the Department Director within seven (7) 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 in inverse order of their position on the eligibility list or lists from which they were appointed. In the event at least one of the employees was not appointed from an eligibility list, the Department Director shall determine the employee(s) to be laid off. 3. Notice. Employees subject to lay -off shall be given at least thirty (30) days advance notice of the layoff or thirty (30) days pay in lieu of notice. In addition, employees laid off will be paid for all accumulated paid leave, holiday leave (if any), and accumulated sick leave to the extent permitted by the Personnel Resolution. 4. Re- Employment. Permanent and probationary employees who are laid off shall be placed on a Department re- employment list in reverse order of layoff. Re- employment lists will be valid for two (2) years. The re- employment list shall remain in effect until exhausted by removal of all names on the list. In the event a vacant position occurs in the Classification which the employee occupied at the time of layoff, or a lower ranking Classification within a Series, the employee at the top of the Department re- employment list shall have the right to appointment to the position, provided, he or she reports to work within seven (7) days of written notice of appointment. Notice shall be deemed given when personally delivered to the employee or deposited in the U.S. Mail, certified, return receipt requested, and addressed to the employee at his or her past known address. Any employee shall have the right to refuse to be placed on the re- employment list or the right to 19 Final remove his or her name from the re- employment list by sending written confirmation to the Human Resources Director. 5. Demotion. Permanent and probationary employees who are demoted because of reduced staffing levels shall be placed on a Department promotional list in reverse order of demotion. This promotional list shall remain in effect until exhausted by removal of all names on the list. 6. Severance Pay. Permanent employees who are laid off shall, as of the date of lay -off, receive one week severance pay for each year of continuous service with the City of Newport Beach. F. Amortizing Payroll System. The City shall establish an amortizing payroll system which will ensure that compensation and benefits due to members be paid or conferred in twenty six (26) equal bi- weekly installments during each calendar year. G. Discipline Plan. Employees of this Association are exempt from disciplinary leave of less than five (5) days. Executed this day of 11999 By: NBFMA By: NBFMA 20 CITY OF NEWPORT BEACH m Tod Ridgeway Mayor ATTEST: By: LaVonne Harkless, City Clerk APPROVED AS TO FORM: Robert H. Burnham, City Attorney 21 Final Final EXHIBIT A FIRE MANAGEMENT ASSOCIATION REPRESENTED CLASSIFICATIONS Class Code Classification F300 Fire Battalion Chief F305 Staff Battalion Chief F310 Deputy Fire Chief F315 Line Battalion Chief F320 Fire Marshal F325 Deputy Chief, Marine Div. 22