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RES-11035 Letter of Understanding For Maintenance & CraftsRESOLUTION NO. 11035 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 JULY 1, 2017 THROUGH DECEMBER 31, 2019. WHEREAS, the City of Orange, hereinafter referred to as "City," and the Orange Maintenance and Crafts Employees' Association have met and conferred in accordance with the requirements of the Meyers - Milias -Brown Act; and WHEREAS, the City and the Orange Maintenance and Crafts Employees' Association have reached agreement on wages, salaries, and other terms and conditions of employment effective July 1, 2017 through December 31, 2019; and WHEREAS, the City Council of the City of Orange has consulted with its Chief Negotiator 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 . 99 ADOPTED this 24 day of October 2017. Teresa . Smith, Mayor, City of Orange ATTEST: Mary E. City Clerk, City o nge STATE OF CALIFORNIA) COUNTY OF ORANGE ) CITY OF ORANGE ) I, MARY E. MURPHY, City Clerk of the City of Orange, California, do hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the 24 day of October 2017, by the following vote: AYES: COUNCIL MEMBERS: Alvarez, Whitaker, Smith, Murphy, Nichols NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAINED: COUNCIL MEMBERS: None Mary E. rp , City Clerk, C' f Orange Resolution No. 11035 2 8312397.1 OR020 -071 EXHIBIT "A" A LETTER OF UNDERSTANDING BETWEEN THE CITY OF ORANGE AND THE ORANGE MAINTENANCE AND CRAFTS EMPLOYEES' ASSOCIATION EFFECTIVE JULY 1, 2017 THROUGH DECEMBER 31, 2019. 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 Crafts Employees' Association ( "OMCEA ") hereby enter into this LOU effective July 1, 2017. 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 OMCEA adopted by City Council Resolution No. 10972. 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. Agreement 1. Term and Effective Date. The term of this LOU shall be from July 1, 2017 to December 31, 2019 and will become effective upon ratification by the OMCEA membership and approval of the City Council. 2. Salary (MOU Appendix "A "). Effective October 20, 2017, the first full pay period in July 2018, and the first full pay period in July 2019, employees shall receive lump -sum payments in accordance with the Schedule attached as Appendix "A ". Only employees that are active (employed by the City) during the pay period that a lump - sum payment is to be made are eligible for such payments. Payments will be according to the classification the member is in at the time the lump -sum payment is made. Members in an acting position at the time of the lump -sum payment will receive the amount for their Resolution No. 11035 3 8312397.1 OR020 -071 acting classification, regardless of whether their acting classification is within OMCEA. Part-time, benefitted employees will receive a pro -rata share equivalent to their FTE classification in payroll at the time of the payment (e.g., a 25 -hour employee will receive 62.5% of the lump sum amount — 25 -hour employees are a 0.625 FTE). If OMA, OMEA, and /or WDEA receive any increase in salary, including base salary, lump sum payments, and /or step increases, and /or medical insurance greater than this unit in the fiscal years covered by the New MOU, then this unit shall receive the same. 3. Medical Insurance (MOU Article XVI, Section 1B) Modify Article XVI, Section 1B of the MOU to provide that the City's contribution shall be increased by $75 effective January 1, 2018 and increased by an additional $75 effective January 1, 2019. 4. Vacation Conversion (MOU Article XII, Section 3) Effective July 1, 2017, an employee may convert up to 50% of his/her current annual vacation accrual into cash in lieu of time off with pay during the 2017 -2018 fiscal year. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 1, and may so convert twice during the 2017 -2018 fiscal year. Effective July 1, 2018, an employee may convert up to 50% of his/her current annual vacation accrual into cash in lieu of time off with pay during the 2018 -2019 fiscal year. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 1, and may so convert twice during the 2018 -2019 fiscal year. Effective July 1, 2019, an employee may convert up to 50% of his/her current annual vacation accrual into cash in lieu of time off with pay during the 2019 -2020 fiscal year. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 1, and may so convert twice during the 2019 -2020 fiscal year. 5. Educational/Wellness Reimbursement (MOU Article XVII, New Section 4) Effective July 1, 2017, the parties agree to amend Article XVII, Section 4 to provide as follows: The City agrees to allow reimbursement to employees of up to $375.00 of the $750.00 allotted per fiscal year towards reimbursement for items 1, 2 and/or 3 below. Requests must be approved, prior to purchase or participation, by the Human Resources Director. Resolution No. 11035 4 8312397.1 OR020 -071 1) Membership in a health/fitness club. 2) Participation in a weight loss /stop smoking /wellness /fitness program. 3) Fitness equipment (home gym equipment). The City will not reimburse employees for any of the above listed activities for family /dependent health related expenses. 6. Standby Pay (MOU Article X, Section 10). Effective October 1, 2017, amend Article X, Section 10, to provide as follows: SECTION 10. Standby Pay. Employees, assigned by Management to standby status after their regular work hours, will receive two (2) hours per day (Monday through Friday) of standby pay at their straight time hourly rate, or three (3) hours per day for Saturdays, Sundays, Holidays, days where the City closes services (i.e., Holiday Closure), and regular days off (i.e., the employee's scheduled Friday off as part of the 9/80 schedule). Employees must be capable of performing all duties that would be required if called back to work. 7. Certification Pay (MOU Article III, Section 9, New Subsection B). Effective upon execution of this agreement, Article III, Section 9.13 shall be amended as follows: B. ASE Mechanics Certification. Employees who possess the certifications necessary to perform smog checks shall receive a flat $50 per month bonus. 8. Vacation (MOU Article X1I, Section 1). Effective upon execution of this agreement, Article XII, Section 1 shall be amended as follows: SECTION 1. Vacation Accrual. All full -time, regular employees accrue paid vacation as follows: After Year(s)Vacation Hours of service Per Year 1 80 2 96 3 104 4 112 5 through 10 120 11 128 12 136 13 144 14 152 Resolution No. 11035 5 8312397.1 OR020 -071 15 160 16 164 17 168 18 172 19 176 20 180 21 184 22 188 23 192 24 or more 200 9. Boot Allowance (MOU Article XIX, Section 3) Effective July 1, 2017, Article XIX, Section 3, shall be amended as follows: SECTION 3. Safety Shoes. Designated employees covered by this MOU are required to wear safety shoes with steel toes while on duty. An employee will receive up to $450 per fiscal year for safety boot allowance. Inspection of the work site will be made on a regular basis to ascertain compliance to the safety shoe program. 10. Language Clean-up/Other. Implement mutually agreed language clean-up to conform MOU to current practices or agreements. 11. Status of MOU. Except as specifically provided and amended herein, the terms and conditions of the MOU shall govern 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, 2019. Resolution No. 11035 6 8312397.1 OR020 -071 City of Orange Dated: u h5b? By: Teresa E. Smith, Mayor Attest: Mary E. TWAIZ:c i ty Cler Approved as to form: Laura J. Kalty Special Counsel for the City Orange Maintenance and Crafts Employees' Association Dated: k\L v7 B rian McDaris, Vice President i3 Resolution No. 11035 7 8312397.1 OR020 -071 Appendix " A " City of Orange Orange Maintenance and Crafts Employees' Association Schedule of Lump Sum Payments Lumn Sum Pavment Classification Title Chemical Sprayer Custodian Equipment Maint Leadworker Equipment Mechanic I Equipment Mechanic II Equipment Operator Equipment Parts Technician Lead Custodian Maintenance Worker Parks Maint Leadworker Parks Maintenance Worker I Parks Maintenance Worker II Public Works Maint Worker I Public Works Maint Worker II Public Works Maintenance Leadworker Skilled Maint Leadworker Skilled Maintenance Worker— Facilities Skilled Maintenance Worker— Parks Skilled Maintenance Worker — Public Works Upon Council Approval July 2018 July 2019 1,144.08 1,144.08 572.04 927.84 927.84 463.92 1,432.08 1,432.08 716.04 1,233.12 1,233.12 616.56 1,362.48 1,362.48 681.24 1,309.20 1,309.20 654.60 133.12 1,233.12 616.56 1,077.60 1,077.60 538.80 1,020.24 1,020.24 510.12 1,362.48 1,362.48 681.24 1,020.24 1,020.24 510.12 1,127.28 1,127.28 563.64 1,020.24 1,020.24 510.12 1,127.28 1,127.28 563.64 1,362.48 1,362.48 681.24 1,396.80 1,396.80 698.40 1,264.08 1,264.08 632.04 1,264.08 1,264.08 632.04 1,264.08 1,264.08 632.04 Resolution No. 11035 8312397.1 OR020 -071