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SR - RES-10962 - CLASSIFICATION, COMPENSATION, AND TERMS OF EMPLOYMENT FOR PART-TIME AND SEASONAL EMPLOYEES1. SUBTECT Resolution No. 10962 - A Resolution of the City Council of the City of Orange Relating to the Classification, Compensation, and Terms of Employment for Part -Time and Seasonal Employees of the City of Orange Effective July 1, 2016 Through and Including June 30, 2017 and Repealing Resolution No. 10893 and Amendments Thereto, for Said Employees. 2. SUMMARY Resolution No. 10962 presents the compensation and terms of employment for the City's unrepresented Part -Time and Seasonal employees for a one -year period. Details of these terms are provided under Section 7, "Discussion and Background" below. 3. RECOMMENDED ACTION Approve Resolution No. 10962. Authorize staff to make the necessary budget adjustments and /or appropriations to the departments' salary and benefit accounts to fund the increased costs of the contract. 4. FISCAL IMPACT Fiscal Year 2016 -17 Cost Description General Fund Cost of Salary Increase (8 months) $35,019 Total Annual Cost $52,528 5. STRATEGIC PLAN GOAL(S) 1. Provide for a safe community 2. Be a fiscally healthy community 3. Provide outstanding public service 6. GENERAL PLAN IMPLEMENTATION N/A 7. DISCUSSION and BACKGROUND Employees covered by the City's Part -Time and Seasonal Resolution are considered unrepresented and therefore do not bargain collectively for salary, benefits, and other terms and conditions of employment. Earlier this year, Governor Jerry Brown signed into law Senate Bill 3, raising California's minimum wage to $15.00 by 2022. Increases to the minimum wage begin January 1, 2017, when the minimum wage will rise from the current $10.00 per hour to $10.50 per hour with increases scheduled through 2022 as follows: A few of our part -time classifications are currently paid less than the new minimum wage. Staff is therefore recommending the Council address salary levels for those impacted positions with an effective date of October 30, 2016 to comply with the new State minimum wage while ensuring competitive pay rates and protecting against salary compaction between classifications. There are currently 138 part -time and seasonal employees (FTE 54.31) on payroll who are covered by this Resolution. With a few exceptions, the vast majority of these employees serve in positions that are either temporary, seasonal (summer only), or part -time with a work schedule of 19 hours per week or less. The following changes would be implemented if Council approves the attached Resolution. • Salary — Salary ranges are broken into two (2) subcategories in line with Minimum Wage Increase Requirement and Cost of Living Adjustments: Minimum Wage Increase Requirement a) Aquatics Series: Pool Manager, Assistant Pool Manager, Lifeguard /Swim Instructor, Swimming Attendant = 5.0 %; b) Police Cadet Series: Police Cadet I = 5.0 %; Police Cadet H = 5.0 %; c) Recreation Series: Recreation Services Leader I -IIl, Assistant Recreation Services Coordinator, Recreation Services Activity Specialist = 5.0 %; d) School Crossing Guard & School Crossing Guard Supervisor = 3.0% Cost of Living Adjustment a) Intern Series: Engineering Intern = 4.0% and Management Intern = 4.5 %; b) Parks & Recreation Series: Parks Maintenance Helper = 2.5 %; c) Police Support Series: Parking Control Officer I = 2.0 %, Police Sworn Series: Police Academy Trainee = 3.0 %; Police Reserve Officer I through III = 3.5% 8. ATTACHMENTS • Resolution 10962 — Part-Time and Seasonal Employees Salary Resolution ITEM # 10/11/2016 RESOLUTION NO. 10962 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE RELATING TO THE CLASSIFICATION, COMPENSATION, AND TERMS OF EMPLOYMENT FOR PART - TIME AND SEASONAL EMPLOYEES OF THE CITY OF ORANGE EFFECTIVE JULY 1 2016 THROUGH AND INCLUDING JUNE 30, 2017 AND REPEALING RESOLUTION NO. 10893 AND AMENDMENTS THERETO, FOR SAID EMPLOYEES. WHEREAS, the City Council of the City of Orange wishes to set forth the wages, hours and conditions of employment for July 1, 2016 through June 30, 2017 for the employees described herein, and WHEREAS, the City Council has consulted with the City Manager concerning the proposed employment terms contained herein; NOW, THEREFORE, be it resolved that wages, hours and conditions of employment be adopted as follows: SECTION 1. BASIC COMPENSATION PLAN. There is hereby established a basic compensation plan for all employees of the City of Orange who are now employed or will in the future be employed in any of the designated classifications listed in this Resolution and its attachments. Whenever the masculine gender is used in this Resolution, it shall be understood to include the feminine gender. The term "employee(s)" shall refer only to those employees covered by this Resolution. SECTION 2. SALARY AND WAGE SCHEDULES. Salaries effective October 30, 2016 for employees covered by this Resolution are listed in Appendix "A." SECTION 3. ADMINISTRATION OF BASIC COMPENSATION PLAN. For all employees who have a regular weekly work schedule of 40 hours, the equivalent hourly rate of pay shall be the monthly rate times 12 divided by 2,080 annual hours. In determining the hourly rate as herein provided, compensation shall be made to the nearest 1 /2 cent. Employees may be considered for advancement to the next higher step upon completion of two thousand eighty (2,080) hours of service. SECTION 4. BEGINNING RATES. A new employee in Appendix "A" of the City shall be paid the rate shown in Step "A" in the range allocated to the class of employment for which he has been hired, except that on the request of the department head under whom the employee will serve, and with the authorization of the Human Resources Director, such employee may be placed in Step "B ", "C ", or "D" if applicable, depending upon the employee's qualifications. SECTION 5. SERVICE. The word "service" as used in this Resolution, shall be defined to mean continuous, part -time service in an employee's present classification, service in a higher classification, or service in a classification allocated to the same salary range and having generally similar duties and requirements. A lapse of service by any employee for a period of time longer than 30 days by reason of 1 CITY COUNCIL MINUTES OCTOBER 11, 2016 3. CONSENT CALENDAR (Continued) 3.17 RESOLUTION NO. 10962 (C2500.J.4.7) A Resolution of the City Council of the City of Orange relating to the classification, compensation, and terms of employment for part-time and seasonal employees of the City of Orange effective July 1, 2016 through and including June 30, 2017 and repealing Resolution No. 10893 and amendments thereto, for said employees. ACTION: Approved Resolution No. 10962, and authorized staff to make the necessary budget adjustments and /or appropriations to the departments' salary and benefit accounts to fund the increased costs of the contract. 3.18 Number Not Used. 3.19 RESOLUTION NO. 10974 (C2500.J.4.4.1) A Resolution of the City Council of the City of Orange Approving the Memorandum of Understanding between the City of Orange and the Water Division Employees' Association (WDEA), Concerning Wages, Hours, and other Conditions of Employment Effective July 1, 2015, through and including June 30, 2017, and Repealing Resolution No. 10764 and Amendments thereto for said Employees. ACTION: Approved. 3.20 RESOLUTION NO. 10968 (C2500.J.4.3.1) A Resolution of the City Council of the City of Orange Repealing Resolution No. 10778 and Implementing the Memorandum of Understanding between the City of Orange and the Orange Fire Management Association Concerning Wages, Hours, and Other Conditions of Employment for the period of July 1, 2015, through and including June 30, 2017. ACTION: Approved. 3.21 RESOLUTION NO. 10976 (C2500.J.4) A Resolution of the City Council of the City of Orange authorizing and approving a Citywide Salary Schedule in accordance with the requirements of California Code of Regulations, Title 2, Section 570.5. ACTION: Approved. 3.22 RESOLUTION NO. 10979 (S4000.S.4) A Resolution of the City Council of the City of Orange summarily vacating a portion of Chapman Avenue, commonly referred to as Assessor's Parcel No. 231 - 061 -04, as excess street right of way that is no longer needed for street purposes. ACTION: Approved. PAGE 9