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MAINTENANCE & CRAFTS ASSNRESOLUTION NO. 11192 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE ESTABLISHING A LETTER OF UNDERSTANDING BETWEEN THE CITY OF ORANGE AND THE ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION EFFECTIVE JANUARY 1,2020 THROUGH DECEMBER 31,2022. WHEREAS, the City of Orange, hereinafrer referred to as "CiTy," and the Orange Maintenance and Crafts Employees' Association, hereafrer referred to as the "Association" have met and confened in accordance with the requirements of the Meyers-Milias-Brown Act; and WII REAS,the City and the Association have reached agreement on wages, salaries, and other terms and conditions of employment effective January 1, 2020 through December 31, 2022; and WIi REAS,the City Council of the City of Orange has consulted with the Assistant City Manager and Human Resources Director concerning the proposed employment terms contained in the attached Letter of Understanding. NOW, THEREFORE, BE IT RESOLVED by the CiTy Council of the City of Orange that the attached Letter of Understanding is approved and incorporated by reference as Exhibit A „ ADOPTED this 12' day of November 2019. Mark A. Mutphy, Mayor, Ci Or ige ATTEST: C gvuP .C n Pamela Coleman, City Clerk, City of Orange STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF ORANGE I, PAMELA COLEMAN, City Clerk of the City of Orange, Califomia, do hereby certify that the foregoing Resolution was duly and regulazly adopted by the CiTy Council of the City of Orange at a regulaz meeting thereof held on the 12'day of November 2019,by the following vote: AYES: COi1NCILMEMBERS: Alvazez,Murphy,Nichols, Monaco NOES: COiJNCILMEMBERS: None ABSENT: COiJNCILMEMBERS: None ABSTAINED: COUNCILMEMBERS: None ramela Co eman, City Clerk, Ciry o Orange Resolution No. 11192 2 EXHIBIT "A" A LETTER OF UNDERSTANDING BETWEEN THE CITY OF ORANGE AND THE ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION EFFECTIVE JANUARY 1,2020 THROUGH DECEMBER 31, 2022 This Letter of Understanding ("LOU") is entered into by and between the CiTy of Orange and the Orange Maintenance and Crafts Employees' Association. Recitals A. The City of Orange (hereafter, "City") and the Orange Maintenance and Crafrs Employees' Association("Association")hereby enter into this LOU effective January 1,2020. B. The parties agree to incorporate the language addressed in this LOU into a new Memorandum of Understanding ("New MOU"), once both parties have the opportunity to review and concur on any and all language changes that will become part of the New MOU. A New MOU document will be presented to the City Council at a future meeting for its approval. C. All references to the "MOU" in this LOU shall be to that Memorandum of Understanding by and between the City and the Association adopted by City Council Resolution No. 11058. Except as to those provisions which expressly expired and/or those provisions expressly addressed by this LOU, the terms and conditions of the MOU remain operative until the New MOU is approved and adopted. Aereement 1. Term and Effective Date The term of this LOU shall be from January 1, 2020 to December 31, 2022 and will become effective upon ratification by the Associa6on membership and approval of the City Council. 2. Salary (Attached as Auoendix"A"1 Effective January 5, 2020, implement a 3% across the board base salary increase. Effective January 3, 2021, implement a 3% across the boazd base salary increase. Effective January 2, 2022, implement a 3% across the boazd base salary increase. 3. Actine Pav (Workina out of Class) (MOU Article IXl Modify Article IX, Sections 2 and 3 (Note: Section 4 will be elimivated) of the existing MOU and bifurcate Acting Pay/Working out of class pay to Temporary Upgrade Pay and Out-of- Resolution No. 11192 3 Class Appointment Pay to be consistent with Ca1PERS criteria. New Sections 2 and 3 to read as follows: SECTION 2. Acting Time Pay An employee shall receive acting time pay, as further defined below, at "A" Step of the higher class, or 5% above the employee's regulaz salary, whichever is greater, for work performed in the higher classification on the l lth consecutive day out of class,and for each consecutive day thereafter an employee works out of class. The Department Head or his designee shall assign the employee to work out of classification but shall notify the Human Resources Director prior to the assignment. A. Temporary Upgrade Pay. When an employee is working out of classification due to an incumbenYs approved leave of absence, said employee shall receive Temporary Upgrade Pay. Temporary Upgrade Pay, as defined by California Code of Regulations 571(a)(3), is compensation to employees who are required by their employer or goveming boazd or body to work in an upgraded position/classification of limited duration." The above form of compensation shall be reported to CaIPERS as special compensation and therefore compensation eamable. However, Temporary Upgrade Pay will not be reported to CaIPERS as pensionable compensation for "new members" hired on or after January 1, 2013, as defined by the Public Employees' Pension Reform Act of 2013 PEPRA). B. Out-of-Class Appointment. Out-of-class appointments shall only be made for positions vacated due to voluntary resignation, promotion, demotion or termination. Gov. Code section 20480 of the Public Employees' Retirement Law (PERL) defines an "out-of-class appointmenY'to mean an appointment to an upgraded position or higher classification by an employer or governing boazd or body in a vacant position for a limited duration. For purposes of this section, a "vacant position" refers to a position that is vacant during recruitment for a permanent appointment. A vacant position does not refer to a position that is temporazily available due to another employee's leave of absence (see "Temporazy Upgrade Pay" above). SECTION 3. Eli igb`lity Period. During the 10 consecutive working day eligibiliTy period before an employee is entitled to receive acting time pay, absence for compensatory time and/or vacation shall break consecutiveness and cause the 10 consecutive working day eligibility period to start over. Absences for regulazly scheduled holidays, regular days off, jury duty, and/or verifiable sick leave shall not constitute a break in consecutiveness for acting pay eligibility. 4. Overtime/Comoensatory Time/Call Back(MOU Article X. Sections 9 and 111 Modify Ar[icle X, Section 9 of the MOU to increase the callback compensation from a minimum of two (2) hours to two and one-half(2%:) hours of callback compensation. Modify Article X, Section 11 of the MOU to increase the callback plus standby compensation from two (2)hours to rivo and one-half(2%z)hours of callback plus standby compensation. Resolution No. 1 ll 92 4 5. Vacation Conversion (MOU Article XII, Section 31 Modify Article XII, Section 3 to read as follows: Effective July 1, 2019, an employee may convert up to 50% of his current annual vacation accrual into cash in lieu of rime off with pay during the 2019-2020 fiscal yeaz. An employee requesting such a conversion must meet the eligibility requirements as set for[h in Section 2, and may so convert twice during the 2019-2020 fiscal year. Effective July 1, 2020, an employee may convert up to 50% of his current annual vacation accrual into cash in lieu of time off with pay during the 2020-2021 fiscal year. An employee requesting such a conversion must meet the eligibiliTy requirements as set forth in Section 2, and may so convert twice during the 2020-2021 fiscal yeaz. Effective July 1, 2021, an employee may convert up to 50% of his current annual vacation accrual into cash in lieu of time off with pay during the 2021-2022 fiscal yeaz. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 2, and may so convert twice during the 2021-2022 fiscal year. Effective July 1, 2022, an employee may convert up to 50% of his cunent annual vacation accrual into cash in lieu of tnne off with pay during the 2022-2023 fiscal year. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 2, and may so conver[twice during the 2022-2023 fiscal yeaz. 6. Health Insurance (MOU Article XVI, Section 11 Modify Article XVI, Section 1(A) of the MOU to increase the City's monthly retiree premium contribution to$139.00 and adjust annually thereafter as determined by the Ca1PERS Board of Administration. Modify Article XVI, Section 1(B) of the MOU to increase the City's monthly contributions as follows: Current 995.00 $1,370.00 $1,595.00 Janu 1, 2020 $1,020.00 $1,420.00 $1,670.00 Janu 1, 2021 $1,045.00 $1,470.00 $1,745.00 Jan 1,2022 $1,070.00 $1,520.00 $1,820.00 Modify Article XVI, Section 1(E) of the MOU to reflect: Employees hired after January 1, 2020 who elect to waive medical insurance shall receive 400.00 per month. Employees with a hire date prior to January 1, 2020 shall remain at the amount of$995.00. Resolution No. 11192 5 7. PERS Leve14 Survivor Benefit(MOU Acticle XVIII, Section 51 Modify Section XVIII, Section 5 of the MOU to read as follows: The City will provide the PERS 1959 Survivor Benefit at the Third Level Option for miscellaneous members.The City shall increase the 1959 Survivor Benefit to the Fourth Level Option (California Government Code Section 21574) for miscellaneous members; miscellaneous members shall pay their$2.00 monthly contribution through payroll deduction. The City shall pay the employer portion subject to the following limit: In the event the employer portion exceeds $6.00 monthly,miscellaneous members agree to pay any portion of the employer portion that exceeds $6.00 monthly. This benefit shall be contingent upon all affected bargaining units contractually agreeing to this provision. 8. Uniform/Clothine Reimbursement Allowance(MOU Article XIX. Section 21 Modify Article XIX to add new Section 2(C) into MOU to read as follows: Unit employees assigned to the Streets Division shall receive a $150.00 reimbursement allowance for the purchase of pants (jean pants or a working pant(i.e. Dickies) as determined by Department of Public Works Management. Allowance only applicable to benefitted employees each fiscal yeaz via reimbursement with proper proof of purchase. 9. Limited Reooener(MOU Article XXXIIII Modify Article X,'YIII to add new Section 2 into MOU as follows: Either par[y can reopen Article III and Article XII, Section 3 of the MOU for negotiations during the 2020-2021 or 2021-2022 fiscal years through a limited reopener subject to the requirements set forth in this article. In order for either party to invoke this limited reopener: 1) There must be a fiscal year-over-yeaz(from 18-19 to 19-20) increase/decrease in sales tax revenue received by the city greater than 10°/a, and 2) Either party must provide in written notice of its request and intent to reopen MOU negotiations for this limited purpose in writing to either party during the following dates: June 15, 2021 through July 15, 2021, or December 15, 2021 through January 15, 2022. Upon receipt of such tunely request,the parties agree to meet and confer in good faith on the ar[icle(s) requested for reopening. Any changes to the MOU arising out of this limited reopener shall be by mutual written agreement. It is the expressed intent of the parties that the language pertaining to this limited reopener is included in the current MOU only and expires December 31, 2022. Any inclusion of a like or similar article in future MOUs will be subject to the meet and confer process. 10. Emnlovee Handbook The City to present a draft of an updated Employee Handbook. Resolution No. 11192 6 11. Laneua2e Chanees Implement mutually agreed language clean-up to conform MOU to cunent practices or agreements. 12. Status of MOU Except as specifically provided and amended herein, the terms and conditions of the MOU shall govem the provisions of wages, salaries and other benefits for all covered employees. This LOU shall not be interpreted to extend and/or limit any other rights, benefits, or compensation of either party except as specifically provided herein and both this LOU and the new MOU shall expire on December 31, 2022. City of Orange Orange Maintenance and Crafts Employees' Association Dated: a ' Dated: 2""7_ —20 BY: B . Monica Espinoza, Human Resources Director rian ie s, v sor By: N/Y`G By: Will Kolbow,Assistant City Manager G z o Toledo, resident By: K-s` By: .. Christina Lopez, Senior Hun n esources Analyst Bnan McDaiis, 1ce President By: t;JN-x,.-.- C* By: Susan Galvan, Economic Development Manager ulian reasur By: J h_ />_ osh G cia, Director at Lazge Ap roved as to form: ary A. atz, Ci ey Resolution No. 11192 7 Appendix "A" ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION MONTHLY SALARY RANGES EFFECTIVE JANUARY 5,2020 3.0 % Across the Board Salary Increase NEW STEP STEP STEP 5TEP STEP STEP ClassiScation Title RANGE A B C D E F ChemicalSprayer 476 3831 4026 4231 4447 4674 4912 Custodian 434 3107 3265 3431 3606 3791 3983 Equipment Maint Leadworker 521 4794 5039 5296 5566 5850 6148 Equipment Mechanic I 491 4129 4339 4560 4793 5037 5293 Equipment Mechanic II 511 4561 4794 5038 5295 5566 5849 Equipment Operator 503 4383 4606 4841 5088 5348 5620 Equipment Parts Technician 491 4129 4339 4560 4793 5037 5293 Lead Custodian 464 3608 3792 3985 4189 4402 4627 Maintenance Worker 453 3416 3590 3772 3965 4167 4379 Parks MaintLeadworker 511 4561 4794 5038 5295 5566 5849 Pazks Maintenance Worker I 453 3416 3590 3772 3965 4167 4379 Pazks Maintenance Worker II 473 3773 3966 4168 4381 4605 4839 Public Works Maintenance 511 4561 4794 5038 5295 5566 5849 Leadworker Public Works Maint Worker I 453 3416 3590 3772 3965 4167 4379 Public Works Maint Worker II 473 3773 3966 4168 4381 4605 4839 Skilled Maint Leadworker 516 4676 4915 5166 5429 5706 5997 Skilled Maintenance Worker—496 4232 4448 4675 4914 5164 5427 Facilities Skilled Maintenance Worker—496 4232 4448 4675 4914 5164 5427 Pazks Skilled Maintenance Worker—496 4232 4448 4675 4914 5164 5427 Public Works Resolution No. 11192 8 Appendix "A" (Continued) ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION MONTHLY SALARY RANGES EFFECTIVE JANUARY 3.2021 3.0 % Across the Baard Salary Increase NEW STEP STEP STEP STEP STEP STEP Classification Title RANGE A B C D E F ChemicalSprayer 482 3947 4149 4360 4582 4816 5061 Custodian 440 3201 3364 3536 3716 3906 4105 Equipment Maint Leadworker 527 4940 5192 5457 5735 6028 6335 Equipment Mechanic I 497 4254 4470 4698 4938 5190 5455 Equipment Mechanic II 517 4700 4939 5191 5456 5734 6027 Equipment Operator 509 4516 4746 4988 5243 5510 5791 Equipment Parts Technician 497 4254 4470 4698 4938 5190 5455 Lead Custodian 470 3718 3907 4107 4316 4536 4767 Maintenance Worker 459 3519 3699 3887 4086 4294 4513 Pazks Maint Leadworker 517 4700 4939 5191 5456 5734 6027 Pazks Maintenance Worker I 459 3519 3669 3887 4086 4294 4513 Pazks Maintenance Worker II 479 3888 4087 4295 4514 4744 4986 Public Works Maintenance 517 4700 4939 5191 5456 5734 6027 Leadworker Public Works Maint Worker I 459 3519 3669 3887 4086 4294 4513 Public Works Maint Worker II 479 3888 4087 4295 4514 4744 4986 Skilled Maint Leadworker 522 4818 5064 5322 5594 5879 6179 SkilledMaintenanceWorker—502 4361 4584 4817 5063 5321 5593 Facilities SkilledMaintenanceWorker—502 4361 4584 4817 5063 5321 5593 Pazks SkilledMaintenanceWorker—502 4361 4584 4817 5063 5321 5593 Public Works Resolution No. 11192 9 Appendix "A" (Continued) ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION MONTHLY SALARY RANGES EFFECTIVE JANUARY 2,2022 3.0 % Across the Board Salary Increase NEW STEP STEP STEP STEP STEP STEP Classification Title RANGE A B C D E F ChemicalSprayer 488 4067 4274 4492 4721 4962 5215 Custodian 446 3298 3467 3644 3829 4024 4229 Equipment Maint Leadworker 533 5090 5350 5623 5909 6211 6527 Equipment Mechanic I 503 4383 4606 4841 5088 5348 5620 Equipment Mechanic II 523 4842 5089 5349 5622 5908 6210 Equipment Operator 515 4653 4890 5140 5402 5677 5967 Equipment Parts Technician 503 4383 4606 4841 5088 5348 5620 Lead Custodian 476 3831 4026 4231 4447 4674 4912 Maintenance Worker 465 3626 3811 4005 4210 4424 4650 Pazks MaintLeadworker 523 4842 5089 5349 5622 5908 6210 Parks Maintenance Worker I 465 3626 3811 4005 4210 4424 4650 Pazks Maintenance Worker II 485 4006 4211 4426 4651 4888 5138 Public Works Maintenance 523 4842 5089 5349 5622 5908 6210 Leadworker Public Works Maint Worker I 465 3626 3811 4005 4210 4424 4650 Public Works Maint Worker II 485 4006 4211 4426 4651 4888 5138 Skilled Maint Leadworker 528 4965 5218 5484 5764 6058 6367 SkilledMaintenanceWorker—508 4493 4723 4963 5217 5483 5762 Facilities SkilledMaintenanceWorker—508 4493 4723 4963 5217 5483 5762 Pazks SkilledMaintenanceWorker—508 4493 4723 4963 5217 5483 5762 Public Works Resolution No. 11192 10