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RES-10974 Memorandum For Water Division EmployeesRESOLUTION NO. 10974 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. WHEREAS, the City of Orange, hereinafter referred to as "City," and the Water Division Employees' Association hereinafter referred to as "WDEA ", have met and conferred in accordance with requirements of the Meyers - Milias -Brown Act; and WHEREAS, the City and WDEA have reached agreement on wages, hours, and other conditions of employment effective July 1, 2015 through and including June 30, 2017, and the City Council desires to repeal Resolution No. 10764 and amendments thereto for said employees as set forth in the Memorandum of Understanding; and WHEREAS, on May 10, 2016, the City Council of the City of Orange adopted Resolution No. 10933, a Resolution of the City Council of the City of Orange Establishing a Letter of Understanding between the City of Orange and the Water Division Employees' Association effective July 1, 2015 through June 30, 2017; and WHEREAS, the City and the Association agreed to incorporate the provisions contained in the Letter of Understanding noted above into a new Memorandum of Understanding once both parties had an opportunity to review and concur on any and all language changes included in the new Memorandum of Understanding. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange that the Memorandum of Understanding (MOU) attached hereto as Exhibit "A" (the "MOU ") is approved and incorporated herein by reference as if fully set forth herein and that Resolution No. 10764 be repealed in its entirety. 7888823.3 OR020 -063 ADOPTED the 11th day of October 2016. ATTEST: Mary E. M , 57ity Clerk, Cit of Orange v- 4.0 Teresa Smith, Mayor, 6ty 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 11th day of October 2016, by the following vote: AYES: COUNCILMEMBERS: Alvarez, Whitaker, Smith, Murphy, Nichols NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ABSTAIN: COUNCILMEMBERS: None Mary, . Murp , ity Clerk, City range 7888823.3 OR020 -063 11 City of r .. -yge Exhibit "A" MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF ORANGE AND THE WATER DIVISION EMPLOYEES' ASSOCIATION JULY 1 2015 THROUGH JUNE 30 2017 7888823.3 OR020-063 WATER DIVISION EMPLOYEES' ASSOCIATION Paze No. 1 1 2 6 6 6 7 7 8 8 11 13 14 15 7888823.3 OR020 -063 iv MEMORANDUM OF UNDERSTANDING TABLE OF CONTENTS Article No.Article Title I Recognition II Non - Discrimination III Salaries Basic Compensation Plan, Salary Schedule, Hourly Rate Part-Time Employees, Beginning Rates, Service, Advancement within Schedule, Reduction in Salary Steps, Bilingual Assignment, Shift Bonus, Certification Bonuses, Special Assignment, Performance Evaluation IV Work Week V Probation VI Promotion VII Demotion VIII Reassignment of Compensation Ranges IX Working Out of Class X Overtime /Compensatory Time /Callback XI Holidays XII Vacation XIII Part-Time and Temporary Employee Eligibility for Fringe Benefits XIV Leaves of Absence Leave of Absence without Pay, Jury Duty and Witness Services, Military Leave, Sick Leave, Family Leave, Bereavement Leave, Workers' Compensation, Family Care & Medical Leave Paze No. 1 1 2 6 6 6 7 7 8 8 11 13 14 15 7888823.3 OR020 -063 iv Article No.Article Title Page No. XV Fringe Benefit Administration 21 XVI Health Benefits 21 Health Insurance, Life Insurance, Long Term Disability, State Disability Insurance, Retirement Health Savings Plan Trust XVII Educational Assistance Program 23 XVIII Retirement 24 XIX Miscellaneous Provisions 25 Rideshare Incentive, Uniforms, Work Shoe Allowance, Eyeglass Replacement, Clothing Reimbursement, Breaks, Direct Deposit XX Travel Expense Allowed 26 XXI Safety and Health 27 XXII City Rights 27 XXIII Employee Organizational Rights and 29 Responsibilities XXIV Grievance Procedure 30 XXV Disciplinary Appeals Procedure 31 XXVI No Strike -No Lockout 33 XXVII WDEA Representatives 34 XXVIII Layoff Procedure 34 XXIX Sole and Entire Memorandum of Understanding 37 XXX Waiver of Bargaining During the Term of this MOU 38 XXXI Emergency Waiver Provision 38 XXXII MOU Terms Severable 38 XXXIII Term of Memorandum of Understanding 38 7888823.3 OR020 -063 v Article No. Article Title Page No. XXXIV Ratification and Execution 39 Appendix "A"Monthly Salary Ranges O 7888823.3 OR020 -063 Vl Article I RECOGNITION SECTION 1. Pursuant to the provisions of the Employee Relations Resolution No. 3611 of the City of Orange (hereinafter, the "City "), the City has recognized Water Division Employees' Association (hereinafter called "WDEA ") as the majority representation for the classifications described in Appendix "A" for the purpose of meeting its obligations under the Meyers- Milias- Brown Act, Government Code Section 3500, et seq., and the Employee Relations Resolution when City rules, regulations, or law affecting wages, hours or other terms and conditions of employment are amended or changed. Article II NON - DISCRIMINATION SECTION 1. The parties mutually recognize and agree to protect the rights of all employees herein to join and /or participate in protected WDEA activities in accordance with the Employer - Employee Relations Resolution and Government Code Sections 3500 et. sec . SECTION 2. The City and WDEA agree that they shall not discriminate against any employee on the basis of actual or perceived race, color, national origin, religion, sex, gender identity, physical or mental disability, medical condition (cancer - related or genetic characteristics), ancestry, marital status, age, sexual orientation, citizenship, pregnancy, childbirth or related medical condition, status as a covered veteran, or service in the uniformed services (as defined by the Uniformed Services Employment and Reemployment Rights Act of 1994) or any other lawfully protected class. The City and WDEA shall reopen any provision of this MOU for the purpose of complying with any final order of a Federal or State agency or court of competent jurisdiction requiring a modification or change in any provision or provisions of this Agreement in compliance with Federal or State anti - discrimination laws. SECTION 3. Whenever the masculine gender is used in this MOU, it shall be understood to include feminine gender. SECTION 4. The term "employee(s)" shall refer only to those employees covered by this MOU. 7888823.3 OR020 -063 Article III SALARIES SECTION 1. Basic Compensation Plan. There is hereby established a basic compensation plan for all members of WDEA unit in any of the designated classifications of employment listed in this MOU and its attachments. SECTION 2. Salary Schedule. Salaries effective April 17, 2016 and June 26, 2016 for employees covered by this MOU are listed in Appendix "A." The salary schedules in Appendix "A" are incorporated into the MOU as monthly amounts based on a 40 -hour workweek and 80 -hour work period. SECTION 3. Hourly Rate Part-Time Employees. A. 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. The hourly rate for persons employed on a regular part-time or temporary basis in an equivalent classification shall be determined in the same manner. In determining the hourly rate as herein provided, compensation shall be made to the nearest '/2 cent. B. Regular part-time employees who are scheduled to work on an average of at least 20 hours per week on a year -round basis may be considered for advancement to the next higher step upon completion of hours of employment equal to the minimum number of months of service required by full -time employees. One thousand -forty hours (1,040 hours) of regular part-time employment shall equal six (6) months' service. SECTION 4. Beginning Rates. A new employee 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 ", D ", "E ", or "F" depending upon the employee's qualifications. SECTION 5. Service. The word "service" shall be defined to mean continuous, full -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 resignation or for any length of time due to discharge shall serve to eliminate the accumulated length of service time of such employee for the purpose of this MOU. An employee re- entering the service of the City shall be considered as a new employee, except that he may be re- employed within one (1) year and placed in the same salary step in the appropriate compensation range as he was at the time of the termination of employment. 7888823.3 OR020 -063 2 SECTION 6. Advancement within Salary Schedule. The following regulations shall govern salary advancement within ranges: A. Merit Advancement. An employee may be considered for advancement through the salary range upon completion of the minimum length of service as specified in section 6 A) (3) below. Advancement through the salary range may be granted only for continuous, meritorious, and efficient service, and continued improvement by the employee in the effective performance of his duties. A merit increase shall become effective on the first day of the pay period following completion of the length of service required for such advancement and shall require the following. 1) The Head of the department which the employee is employed shall file with the Human Resources Director a Personnel Action Form and a completed Performance Evaluation Form recommending the granting or denial of the merit increase and supporting such recommendation with specific reasons therefore. A disapproval from the Human Resources Director, together with the reasons therefore, shall be returned to the Department Head. 2) The recommendation of the Department Head and the approval of the Human Resources Director shall be forwarded to the Payroll Division of the Finance Department for change of payroll status. 3) Advancement through the pay ranges Step "A" through Step "F" shall occur in yearly increments. B. Special Merit Advancement. When an employee demonstrates exceptional ability and proficiency in the performance of his duties, the Department Head may recommend to the Human Resources Director that said employee be advanced to a higher pay step without regard to the minimum length of service provisions contained in this MOU. The Human Resources Director may, on the basis of a Department Head's recommendation, approve and effect such advancement. C. Length of Service Required When Advancement is Denied. When an employee has not been approved for advancement to the next higher salary step, he may be reconsidered for such advancement at any subsequent time. This reconsideration shall follow the same steps and shall be subject to the same action as provided in Section 6(A). SECTION 7. Reduction In Salary Steps. Any employee who is being paid on a salary step higher than Step "A" may be reduced by one or more steps for just cause upon the recommendation of the Department Head with the approval of the Human Resources Director. SECTION 8. Bilingual Assignment. Employees may be assigned by the Department Head to a Bilingual Assignment. Bilingual Assignments shall be made on the following basis: 7888823.3 OR020 -063 3 A. The Department Head shall determine the number of Bilingual Assignment positions which are necessary based upon a demonstrable need and the frequency of use; and B. All Bilingual Assignments must be approved by the Human Resources Director or his designee; and C. Employees receiving Bilingual Assignment compensation may be required to take and pass a proficiency test on an annual or as- needed basis, as determined by the Human Resources Department; and D. No permanency or seniority may be obtained in a Bilingual Assessment and such assignment may be revoked at any time by the Human Resources Director or his designee; and E. No employee shall be required to perform a Bilingual Assignment on a regular basis or employ bilingual skills on a regular basis who is not receiving bilingual pay pursuant to this section; and F. Such employees on Bilingual Assignment shall receive an additional $140.00 per month in addition to their regular salary for the duration of the assignment. SECTION 9. Shift Bonus. All employees who are assigned to shifts that start between 1200 hours 12:00 p.m.) and 0600 (6:00 a.m.) shall receive a two percent (2 %) bonus based upon the employee's base salary for all hours worked. Employees who are assigned shifts that start between 0600 hours (6:00 a.m.) and 1200 (12:00 p.m.) are not entitled to this compensation. This form of compensation, also referred to as "Shift Differential" shall continue to be reported to Ca1PERS as special compensation and therefore compensation earnable pursuant to California Public Employees' Retirement System (PERS) Regulations, Section 571(a)(4). SECTION 10. Certification Bonus. Effective July 1, 2007 upon proof of permanent /non - interim certification: A. State of California Department of Health Services Water Distribution Operator Certification: Employees who possess a Grade I Water Distribution Certificate (D -1) shall receive a flat $75.00 per month bonus. ii. Employees who possess a Grade II Water Distribution Certificate (D -2) shall receive a flat $100.00 per month bonus. iii. Employees who possess a Grade III Water Distribution Certificate (D -3) shall receive a flat $150.00 per month bonus. 7888823.3 OR020 -063 4 iv. An employee who possesses two (2) or more of the above certifications is eligible to receive only the highest grade - certificate bonus. There shall be no pyramiding of certificate bonuses. B. The above forms of compensation, also referred to as "Educational Incentive Pay" shall continue to be reported to Ca1PERS as special compensation and therefore compensation earnable pursuant to California Public Employees' Retirement System PERS) Regulations, Section 571(a)(2). SECTION 11. Special Assignment. The Public Works - Water Division shall establish two (2) special assignments as Welders. Public Works Water Division employees covered by the terms and conditions of this agreement may be so assigned at the discretion of the Department Head or designee. Water Division personnel so assigned and performing these and related duties shall receive $100.00 per month during the period of such special assignment. This form of compensation, also referred to as "Gas Maintenance Premium" shall continue to be reported to Ca1PERS as special compensation and therefore compensation earnable pursuant to California Public Employees' Retirement System (PERS) Regulations, Section 571(a)(4). Special Assignment Guidelines. A. Water Division personnel assigned to positions specified in Section 11 above shall move on a step -to -step basis without changing anniversary date. B. All special assignments to positions set forth in Section 11 above of Water Division employees shall be made or revoked at the discretion of the Department Head or designee. C. There is no period of probation required in a special assignment and no permanency or seniority may be obtained in a special assignment. A regular full -time or part- time employee in a classification retains that current classification during special assignments. SECTION 12. Performance Evaluations. Any dispute as to the contents of the performance evaluation shall first be discussed with the immediate supervisor. If not resolved, the employee may appeal the disputed evaluation through the appropriate chain of command up to the Department Head whose decision shall be final and binding. Notwithstanding the paragraph above, in the event a substantial disagreement regarding the content of the performance evaluation continues, the employee may submit a clarifying memorandum within 30 calendar days which shall become a part of the Performance Evaluation and shall be filed with the Performance Evaluation in the employee's personnel file in the Human Resources Department. 7888823.3 OR020 -063 5 Article IV WORK WEEK SECTION 1. The regular workweek for all employees shall be 40 hours per week. SECTION 2. The department shall discuss changes in the established work schedule with the affected employees prior to the implementation of the change. Article V PROBATION SECTION 1. An employee initially appointed or promoted to a class shall serve a probationary period of 26 pay periods during which he shall have an opportunity to demonstrate suitability for the job. Under certain conditions, with the approval of the Human Resources Director, the Department Head may, for just cause, extend the probationary period up to an additional 13 consecutive pay periods. The employee shall attain regular status in the class upon successful completion of the probationary period or any extension of the probationary period. An employee who does not satisfy the standards of the class during the probationary period shall be notified, in writing, and termination or demotion proceedings shall be initiated. Probationary employees shall not be entitled to appeal a termination or a demotion. SECTION 2. Probationary employees are not entitled to compete in closed /promotional recruitment /selection processes of the City; they may, however, compete for any open/competitive recruitment /selection process. Article VI PROMOTION SECTION 1. Salary Step Assignment. When an employee is promoted to a position of a higher classification, he may be assigned to Step "A" in the appropriate range for the higher classification; provided, however, that if such employee is already being paid at a rate equal to or higher than Step "A" in the appropriate range for the higher classification, he may be placed in the step in that appropriate salary range as will grant him an increase of at least one (1) salary step but no more than three (3) salary steps, at the discretion of the City Manager. SECTION 2. Eligibility When eligibles remain in higher bands of a current Eligibility List and the Department Head selects an eligible in a lower band, upon request of an unsuccessful candidate for promotion, the Department Head will ensure that the eligible candidates who remain in higher bands are notified of the reasons for their non - selection. 7888823.3 OR020 -063 6 Article VII DEMOTION SECTION 1. When an employee is demoted for disciplinary reasons to a position in a lower classification, the new salary rate shall be fixed in the appropriate salary range for the lower classification, in accordance with the following provisions: A. The salary rate shall be reduced by at least one salary step, and; B. The new salary rate must be within the salary range for the classification to which the employee is demoted. Article VIII REASSIGNMENT OF COMPENSATION RANGES SECTION 1. Any employee who is employed in a classification which is allocated to a different pay range shall retain the same salary in the new range as he previously held in the prior range, and shall retain credit for length of service acquired in the previously held step toward advancement to the next higher step in the new salary range; provided, however: A. That if such retention shall result in the advancement of more than one step in the old pay range, the Human Resources Director may, at the time of reassignment, place the employee in a step which will result in an increase of only one step. B. That if the reassignment is to a lower compensation range, the "F" step of which is lower than the employee's existing rate of pay at the time of reassignment, the employee shall continue to be paid at the existing rate of pay until such time as the position shall be reassigned to a compensation schedule which will allow for further salary advancement, or until such time as the employee is promoted to a position assigned to a higher compensation range. C. That if the reassignment is to a lower compensation range, the "F" step of which is higher than the existing rate of pay, the employee shall be placed in that step of the lower compensation range which is closest to, but no lower than, the existing rate of pay. 7888823.3 OR020 -063 7 Article IX WORKING OUT OF CLASS SECTION 1. The City may work employees out of classification for up to 10 consecutive working days without additional compensation. SECTION 2. Working out of class assignments shall only be made for positions vacated due to illness, an approved leave of absence, voluntary resignation, or terminations. SECTION 3. Acting Time Pay_. A. An employee shall receive acting time pay at the "A" Step of the higher class, or 5% above the employee's regular salary, whichever is greater, for work performed in the higher classification on the 11 th consecutive day out of class, and for each consecutive day thereafter, an employee works out of class. B. The Department Head or designee shall assign the employee to work out of classification but shall notify the Human Resources Director prior to the assignment. C. To qualify for working out of class pay, the employee must be performing all the significant duties of the higher position. SECTION 4. Eligibility 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 regularly scheduled holidays, regular days off, jury duty, and /or verifiable sick leave, shall not constitute a break in consecutiveness for acting pay eligibility. Article X OVERTIME /COMPENSATORY TIME /CALL BACK SECTION 1. Entitlement for Overtime. All employees shall be entitled to overtime compensation for all hours worked in excess of 40 hours within the employee's regular workweek. SECTION 2. Overtime or Compensatory Pam Overtime shall be paid either in the form of pay at the employee's regular hourly rate or equal time off. The method of payment of overtime, either in cash or equivalent time off, must be authorized and approved by the Department Head. SECTION 3. Overtime Accumulation. Overtime shall be accumulated at the rate of one hour of compensatory time for each one hour of overtime worked except for callback pay and premium time and one -half) overtime. Callback time shall be accumulated in accordance with Sections 12 7888823.3 OR020 -063 8 and 14. Premium (time and one -half) overtime shall be accumulated in accordance with Section 10. Only time actually worked (except callback) shall count in the computation of overtime, except that for the term of this agreement, the time off for holidays falling in any workweek, Monday through Friday, or callback in accordance with Sections 12 and 14, shall be counted towards the computation of overtime. However, any fatigue pay hours, as determined and used pursuant to the Public Works Department Policy, shall count in the computation of overtime, and in the event of a City Hall holiday closure (during the Christmas/New Year's Holiday), any paid leave hours (i.e., vacation, compensatory time, or sick leave) used during the holiday closure shall also count in the computation of overtime. SECTION 4. Compensatory Time Accumulation. Compensatory time for overtime shall be accumulated in no less than one - quarter hour ( hour) per day increments. When an employee works less than one - quarter hour ( hour) per day of overtime, the employee shall not receive compensatory time for overtime of less than one - quarter of an hour ( hour) per day worked. SECTION 5. Eli ig bility. In order to be entitled to overtime, such overtime must be authorized by the Department Head or his designee. SECTION 6. Maximum Compensatory Time Accrual. Any accumulated compensatory time accrued in excess of 80 hours per calendar year shall be automatically paid in the first pay period of the new calendar year. SECTION 7. Use of Compensator Time. A. Accumulated compensatory time off may be taken by an employee upon reasonable notice and prior approval of the Department Head or his designee. B. Accumulated compensatory time off shall be taken by an employee when directed by the Department Head or his designee; provided, however, that the Department Head or his designee gives an employee at least 10 days' notice prior to the date compensatory time off is to be taken. C. In approving and directing compensatory time off, the Department Head or his designee will, as far as practicable, attempt to accommodate employee convenience to the degree possible in light of the operational requirements of the department. SECTION 8. Premium Overtime Compensation. If in the event of circumstances beyond the City's control (such as acts of God, fire, flood, insurrection, civil disorder, national emergency, or other similar circumstances), an employee is required to hold over on his normal work shift, and to jointly work with another employee who has been called back pursuant to Sections 12 or 14 herein, then such employee shall be entitled to premium (time and one -half) overtime compensation. 7888823.3 OR020 -063 9 SECTION 9. Nothing herein is intended to limit or restrict the authority of the City to require any employee to perform overtime work. SECTION 10. Whenever two (2) or more premium (time and one -half) compensation rates or overtime rates may appear to be applicable to the same hour or hours worked by any employee, there shall be no pyramiding or adding together of such premium (time and one -half) or overtime rates and only the higher applicable rate shall apply. SECTION 11. When an employee is promoted to a higher classification not covered by this MOU, all compensatory time previously earned shall be paid in cash at the time of the promotion and at the employee's current rate of pay prior to promotion. SECTION 12. Callback Pay. If, after completing his normal work shift, and after having left City premises and /or the employee's work location, an employee is required to be called back to work, the employee shall be compensated at the rate of 1 /z times the employee's equivalent hourly base rate for each hour compensated as callback. An employee shall be compensated for a minimum of two and one -half (2 1 /2) hours callback compensation or the equivalent time off at 1 %2 times the actual hours worked, regardless of whether the employee actually works less than two and one - half hours. This provision applies even though an employee's regular workweek is not completed, but shall not apply to employees who are continuing on duty for their normal work shift. Section 14 below denotes compensation provided when an employee is eligible for both callback pay and standby pay. SECTION 13. Standby Pay. Employees, assigned by Management to standby status after their regular work hours, will receive two (2) hours per day (Mondays through Fridays) of standby pay at their straight time hourly rate, or three (3) hours per day for Saturdays, Sundays, and Holidays. SECTION 14. Callback Pay Plus Standby. Employees who are called back to work pursuant to Section 12 above, and who are assigned by Management to standby status after their regular work hours pursuant to Section 13 above, will receive two (2) hours per day (Mondays through Fridays) of standby pay at their straight time hourly rate, or three (3) hours per day for Saturdays, Sundays, and Holidays plus a minimum of two and one -half (2 1 /2) hours call back pay at their straight time hourly rate. Call back incidents of over two and one -half (21 /2) hours worked shall be paid at the straight time hourly rate. Actual call back hours worked pursuant to this section shall count as time worked toward the 40 hours for qualifying for premium (time and one -half) overtime under FLSA. 7888823.3 OR020 -063 10 Article XI HOLIDAYS SECTION 1. Holiday Designation. Employees covered by this MOU shall receive the following paid nine -hour holidays, except letter "I" below: A. January 1S (New Year's Day) B. The third Monday in February (President's Day) C. Last Monday in May (Memorial Day) D. July 4th (Independence Day) E. First Monday in September (Labor Day) F. November 11 (Veteran's Day) G. Fourth Thursday in November (Thanksgiving Day) H. Fourth Friday in November (Day after Thanksgiving) I. One -half day before Christmas, if December 24 falls on a Monday through Thursday (Christmas Eve; 4.5 hours) J. December 25 (Christmas Day) K. A total of 9 hours of floating holiday time SECTION 2. Floatinggoliday. Effective January Ist each employee will have one nine (9) hour Floating Holiday accrued per calendar year. Floating Holiday requirements are as follows: A. Floating holidays shall be taken as time off from work no later than the end of the calendar year in which it was accrued. B. The floating holiday is not accumulative. Employees who terminate their employment with the City prior to using the floating holiday shall receive cash reimbursement for said holiday. Employees who do not use the floating holiday during the calendar year it was accrued shall forfeit it. C. Notwithstanding the above, the floating holiday shall be taken at the convenience of the City with approval of the Department Head or his designee. D. Probationary employees are provided with, and are eligible to use, Floating Holiday and Holiday Hours according to the guidelines established in this Article, and/or, with approval of the Human Resources Director. E. Employees hired after January 1S of each year shall receive a prorated portion of the 9 hours. SECTION 3. Holidays on Certain Days of the Week. In the event any of the above holidays falls on a Sunday, except the one -half day before Christmas, the following day will be taken in lieu of the actual date on which the holiday falls. When any of the above holidays fall on a Saturday, 7888823.3 OR020 -063 I I except one -half day before Christmas, the preceding Friday will be taken in lieu of the actual date on which the holiday falls. When any of the above holidays falls on an employee's regularly scheduled day off during the week, except the one -half day before Christmas, the employees' holiday bank will be credited with nine (9) hours of holiday compensatory time. Accumulated holiday compensatory time must be used by the employee by June 30 of the same fiscal year in which it was accumulated or be forfeited. SECTION 4. Eli ig bility to Receive Holiday Pay. In order to be eligible to receive holiday pay, an employee must have worked, or be deemed to have worked because of an approved absence e.g., sick leave, vacation, or compensatory time), the employee's regularly scheduled day before and regularly scheduled day after the holiday. Should an employee fail to work the employee's regularly scheduled day before and after the holiday, or if the employee is on an approved leave of absence without pay, the employee shall not be entitled to holiday pay. SECTION 5. Holiday During Vacation. Should one of the holidays listed above fall during an employee's vacation period while an employee is lawfully absent with pay, the employee shall receive holiday pay and no charge shall be made against the employee's accumulated vacation. SECTION 6. Double Time Pay. A. All employees required to work on a holiday listed above shall receive, with the approval of their supervisor, double time pay for hours worked on the holiday, or time off equal to the number of hours the employee actually worked on the holiday. Employees who work in excess of their regular number of hours on a holiday listed above, shall receive double time pay for all such hours actually worked. Employees shall receive no other compensation whatsoever for working on a holiday with the exception of the following: Any WDEA employee required to work and water division employees called -out on the following days shall receive twoand one -half pay for all hours worked on: Independence Day (July 4 Thanksgiving Day, and Christmas Day (December 25 regardless of the date observed by City Hall employees. B. Employees whose regularly scheduled day off falls on the holiday or day observed in lieu of the holiday as set forth in this Article shall receive nine (9) hours of compensatory holiday time. Such holiday time must be taken by the end of each fiscal year in which it was accumulated. 7888823.3 OR020 -063 12 Article XII VACATION SECTION 1. Vacation Accrual. All full -time, regular employees who have one (1) year's continuous service shall thereafter be entitled to a vacation per the following Vacation Accrual Chart. After Year(s) Vacation Hours of Service Per Year 1 through 4 80 5 through 10 120 11 128 12 136 13 144 14 152 15 through 24 160 25 or more 200 SECTION 2. Vacation Usaize and Accumulation. Vacation shall be taken at the convenience of the City with the approval of the Department Head or his designee. Vacation should be taken annually and not accumulated from year to year, when possible. Vacation hours not in excess of the equivalent number of hours earned in the immediately preceding 24 -month period may be accumulated with the permission of the Department Head and the Human Resources Director. Employees shall not accumulate vacation in excess of the equivalent number of hours earned in the immediately preceding 24 -month period. No vacation hours shall be accrued in excess of the equivalent number of hours earned in the immediately preceding 24 -month period. Probationary employees accrue vacation, but may not use vacation until the successful completion of an initial probationary period, except in the event of a City Hall holiday closure with the approval of the Human Resources Director. SECTION 3. Vacation Conversion. An employee may convert up to 33% of his current annual vacation accrual into pay, in lieu of time off with pay on an annual basis for the 2015/16 and 2016/17 fiscal years. An employee requesting such a conversion must meet the eligibility requirements as set forth in Section 1 and may so convert once in each of the notedfiscal years. SECTION 4. Vacation Pay -Out Upon Termination. Eligible full -time and part-time regular employees who terminate their employment with the City shall be paid for all accrued vacation, if any, and the prorated portion of their final vacation accrual. Prorated vacation shall be on the basis of 1/12 of the employee's annual vacation pay for each full month of service. 7888823.3 OR020 -063 13 Article XIII PART -TIME AND TEMPORARY EMPLOYEE ELIGIBILITY FOR FRINGE BENEFITS SECTION 1. Definitions. Nothing contained in this section guarantees a specified number of hours per day or days per week or weeks per year or months per year of work to any City employee. Employees who are not defined as Full -Time Employees may be defined as followed: A. Regular part-time employees shall be those employees scheduled in the City's budget to work 20 or more hours per week on a year -round basis (52 weeks minus approved leave). B. Temporary part-time employ shall be those employees scheduled in the City's budget to work less than 20 hours per week on a year -round basis (52 weeks minus approved leave). C. Seasonal employees shall be those employees who are scheduled in the City's budget to work on less than a year -round basis regardless of hours worked. SECTION 2. Regular Part-Time Employees. Entitlement to fringe benefits are based upon a proration of hours. A. Regular part-time employees shall receive fringe benefits in proportion to the number of hours the employee is scheduled to work per the City's approved budget, to the normal 40 -hour week on an annual basis. The annual schedule for all regular part-time employees shall be the schedule that is included in the City's approved budget or a schedule that is designated by Management at the commencement of the employee's employment with the City. B. This pro- ration shall apply to the following fringe benefits: holiday pay, vacation, sick leave, flexible benefit plan contribution, retirement contribution, and disability insurance. C. Regular part-time employees may receive step increases provided they work the actual number of hours a full -time employee would have had to work in order to be entitled to progress to the next step of the salary range. SECTION 3. Temporary and Seasonal Employ Temporary and Seasonal employees shall be entitled to receive no fringe benefits provided for in this MOU or in any resolution of the City, except those stated in Article XVIII, Section 4 of this MOU, or unless otherwise provided by Federal and /or State Law. 7888823.3 OR020 -063 14 Article XIV LEAVES OF ABSENCE SECTION 1. Leave of Absence without Pay. For all regular employees as described herein, the following Leave without Pay procedure shall apply: A. After all available leave benefits, including vacation, compensatory time, and other leave benefits have been completely used, an employee, not under suspension, may make written application to the Department Head for leave without pay. No such leave will be considered absent a written application from the employee requesting leave. B. If the Department Head and the Human Resources Director agree that such leave is merited and in the interest of the City, leave may be granted for a period not to exceed six (6) months following the date of expiration of all other allowable leave benefits. C. No employment or fringe benefits such as sick leave, vacation, health insurance, retirement, or any other benefits shall accrue to any employee on leave of absence without pay except as denoted under the FCML section below. During such leave in excess of five (5) working days, no seniority shall be accumulated. D. Subject to and consistent with the conditions of the group heath, life or disability plans, coverage may be continued during a leave of absence without pay, provided direct payment of the total premium is made by the employee as prescribed by the Payroll Division of the City. The City will pay up to six (6) months of the Flexible Benefit Plan contribution for employees who are on long term disability leave. E. At the end of such leave, if the employee desires additional leave, written application must be made through the Department Head to the Human Resources Director at least ten (10) days before the end of the six (6) month period stating the reasons why the additional leave is required and why it would be in the best interests of the City to grant such a leave of absence. If such additional leave is merited and would still preserve the best interests of the City, he may approve such extension of the leave of absence for a period not to exceed an additional six (6) months. F. If the employee does not return to work prior to or at the end of such leave of absence or extension of leave of absence, the City shall consider the employee as terminated from his employment with the City. G. An employee on leave of absence must give the City at least seven (7) days' written notice of intent to return to work prior to returning to work. 7888823.3 OR020 -063 15 H. Any employee who engages in outside employment during said leave of absence without prior notification and approval of the Human Resources Director and Department Head may be subject to termination. I. Any employee who falsifies the reason for request for said leave of absence may be terminated for falsifying a request of absence or extension thereof. J. Such leave shall be granted on the same basis for pregnancy, childbirth, and other medically related conditions, except that such an employee shall retain all seniority rights. K. Forms setting forth the benefits available or such other pertinent information shall be maintained for distribution in the Human Resources Department. SECTION 2. Jury Duty and Witness Service For City. A. Jury Duty. When required to serve on a jury all employees shall have paid time off for a period not to exceed 30 calendar days per calendar year for each jury duty summons which an employee responds to. Employees shall receive their regular pay while serving on jury duty, provided all jury fees paid to the individual employee, less allowed automobile expenses, are turned over to the City. A full -time employee who works a rotating schedule, who is summoned for jury duty, shall be placed on a day -shift until jury duty has concluded; the employee will be excluded from required overtime while performing jury duty. If an employee is required to call in for jury service and the court does not need the employee's service, the employee is expected to report to work. Once an employee has completed his jury service, he must provide the Certificate of Jury Service to his immediate supervisor to qualify for jury duty compensation. B. Witness Service for the City. If an employee is called as a witness, on behalf of the City, he shall receive his normal pay for the time spent by the employee serving as a witness for the City. Employees shall be required to pay any witness fees that accrue to the employee for his witness service to the City as a condition of receiving his normal pay while serving as a witness for the City. SECTION 3. Military Leave of Absence. If an employee is required to take military training two weeks each year, he shall be entitled to military leave of absence under the provisions of State law, found in Section 395- 395.02 of the Military and Veterans' Code. An employee must provide a copy of their military orders to the Human Resources Department to qualify for a military leave of absence. SECTION 4. Sick Leave.Sick leave with pay shall be allowed, credited, and accumulated in accordance with the following: 7888823.3 OR020 -063 16 A. For employees working a regular 40 -hour week, eight (8) hours of sick leave will accrue for each month of continuous service. Probationary employees may use accrued sick leave during the probationary period. B. All non- benefitted employees shall receive sick leave as required by State law. C. Sick leave will be charged at the rate of one - quarter ( hour for each one - quarter hour of work an employee is absent. D. Any employee eligible for sick leave with pay may use such leave for the following reasons: 1) Medical and dental office appointments during work hours when authorized by the Department Head or his designee; and /or 2) Personal illness or physical incapacity resulting from causes beyond the employee's control; including pregnancy, childbirth and other medically related conditions; 3) For an employee who is a victim of domestic violence, sexual assault, or stalking, for the purposes described in Labor Code sections 230(c) and 230.1(a). 4) No employee shall be eligible or entitled to sick leave with pay for any illness or injury arising out of and in the course of City employment. E. Sick Leave Application. Sick leave may be applied only to an absence caused by illness or injury of an employee except as provided in Section 5 or 6 below. F. Sick Leave Charged. In any instance involving use of a fraction of a day's sick leave, the minimum charged to the employee's sick leave account shall be one - quarter ( hour, while additional actual absence of over one - quarter ( hour shall be charged to the nearest one -half ( hour. Sick leave shall only be used for the purposes stated, and the Department Head shall be responsible for control of employee abuse of the sick leave privilege. Employees may be required to furnish a certificate issued by a licensed physician or other satisfactory written evidence of illness to establish the employee's entitlement to sick leave payment. G. Maximum Accumulation of Sick Leave. An employee who is initially hired after July 1, 1980 shall be allowed to accumulate sick leave to a maximum of 960 hours. Sick leave hours in excess of such maximum shall be forfeited. H. Retirement from City Service and Entering the Public Employees' Retirement System. Upon retiring from City service and entering the Public Employees' 7888823.3 OR020 -063 17 Retirement System, an employee shall receive no sick leave payout for the first 60 days of accrued sick leave (0 -480 hours), but shall receive 25% pay for the next 30 days of accrued sick leave (481 -720 hours), and 50% pay for all accrued sick leave thereafter (721 -960 hours). I. Death of an Employ Upon the death of an employee while employed by the City, 100% of all accrued sick leave benefits shall be paid to the beneficiary of the deceased employee. Payment will be made when proper authorization for payment is received from the estate of the decedent employee. J. Sick Leave Conversion. 1) Eligible employees with sick leave usage of 0.0 to 27.0 hours per payroll calendar year will have the option to convert 30 hours of their unused sick leave to vacation in the first pay period of the following year. 2) Employees with sick leave usage of 27.25 to 36.0 hours per payroll calendar year may convert 20 hours of unused sick leave to vacation in the first pay period of the following year. 3) Employees must have a minimum balance of 180 hours of sick leave available after conversion. 4) However, no hours will be converted to vacation if said vacation conversion places the employee's vacation bank over the maximum allowable accrual. In this case, all sick leave hours eligible for conversion will instead remain in the employee's sick leave account. SECTION 5. Family Leave. In accordance with the California Family Sick Leave and Paid Sick Leave Acts, an employee is allowed up to 48 hours of family leave per calendar year for family related illness or injury, which shall be charged against the employee's accumulated sick leave. Family as used in this subsection is limited to any relation by blood, marriage or adoption who is a member of the employee's household (under the same roof); and any parent, substitute parent, parent -in -law, spouse, registered domestic partner, child, brother, sister, grandchild or grandparent of the employee, regardless of residence. Benefitted part-time employees are allowed to use up to one -half of their annual accrual of sick leave for family leave purposes. SECTION 6. Bereavement Leave. Regular full -time employees shall be entitled to take up to three (3) days of paid bereavement leave per incident on the following terms and conditions: A. Bereavement leave may only be used upon the death or critical illness where death appears to be imminent of the employee's immediate family. "Immediate family" as used in this sub - section, shall be limited to any relation by blood, marriage, or adoption who is a member of the employee's household (living at the same address) 7888823.3 OR020 -063 18 and any parent, legal guardian, parent -in -law, brother -in -law, sister -in -law, grandparent, grandchild, aunt, uncle, spouse, registered domestic partner, child, brother, or sister of the employee regardless of residence. B. Days of absence due to bereavement leave shall not exceed three (3) working days per incident -and shall not be deducted from the employee's accumulated sick leave. An employee on bereavement leave shall inform his immediate supervisor of the fact and the reasons therefore as soon as possible. Failure to inform his immediate supervisor, within a reasonable period of time, may be cause for denial of bereavement leave with pay for the period of absence. SECTION 7. Workers' Compensation. Employees who incur a work - related injury or illness will be eligible to receive Workers' Compensation benefits according to the State of California's Department of Workers' Compensation regulations and benefits provided pursuant to this Memorandum of Understanding. A. Temporary Disability Leave. Unit employees shall be granted temporary disability leave of up to 365 days in the event of a job - related injury or illness. Temporary disability leave in excess of 365 days will expire based on current State regulations. When a City employee is entitled to receive temporary disability payments, the City will contribute additional compensation to allow the employee to receive 100% of their regular rate of pay, or provide full salary continuance, for the first 30 days starting from the first day of temporary disability. The employee will then receive 80% of salary for up to an additional 335 calendar days. Thereafter, the regular temporary disability Workers' Compensation rate will apply. B. Course of Employ Should it be determined that an employee's illness or injury did not arise in the course of the employee's employment with the City or that the employee is not temporarily or permanently incapacitated or disabled as a result of the injury or illness, then the employee's accrued, or if insufficient, future sick leave shall be charged to reimburse the City for any payments made to the employee pursuant to Section A above. C. Physician Pre-Designation. An employee may elect to pre- designate a qualified medical provider if done in accordance with the Division of Workers' Compensation DWC). Pre - designation regulations include but are not limited to the following criteria: 1) The physician has a previous history of directing the medical treatment of the employee; 2) The physician retains the medical records and history of the employee; and 7888823.3 OR020 -063 19 3) The physician agrees to treat work - related injuries or illnesses in accordance with the regulations. D. Fringe Benefits. The City will continue to provide vacation, sick leave, insurance, and other fringe benefits for employees who qualify for workers' compensation. Any fringe benefits not paid by the City pending the determination of whether an injury /illness is job- related shall be paid retroactively if the injury /illness is subsequently determined to be job - related. In such instances the employee shall be reimbursed for any benefit or premium payments made by the employee prior to the job - related determination being finalized. SECTION 8. Family Care And Medical Leave (FCML). State and Federal laws require the City to provide family and medical care leave for eligible employees. The following provisions set forth employees' and employer's rights and obligations with respect to such leave. Rights and obligations which are not specifically set forth below are set forth in the City's Employee Handbook. Any provisions not set forth in the Employee Handbook are set forth in the Department of Labor regulations implementing the Federal Family and Medical Leave Act of 1993 (FMLA) and the regulations of the California Fair Employment and Housing Commission implementing the California Family Rights Act (CFRA) (Government Code Section 12945.2). Unless otherwise provided, "Leave" under this Article shall mean leave pursuant to the FMLA and CFRA. An employee's request for leave is subject to review and final approval of the Human Resources Director. A. Amount of Leave. Eligible employees are entitled to a total of 12 workweeks of leave during any 12 -month period. An employee's entitlement to leave for the birth or placement of a child for adoption or foster care expires 12 months after the birth or placement. B. Calculating the 12 -Month Period. The 12 -month period for calculating leave entitlement will be a "rolling period" measured backward from the date leave is taken and continues with each additional leave day taken. Thus, whenever an employee requests leave, the City will look back over the previous 12 -month period to determine how much leave has been used in determining how much leave an employee is entitled to. C. Use of Other Accrued Leaves While on Leave. If an employee requests leave for any reason permitted under the law, he -must exhaust all accrued leaves (except sick leave) in connection with the leave. This includes vacation, holiday, and other compensatory accruals. If an employee requests leave for his own serious health condition, in addition to exhausting accrued leave, the employee must also exhaust sick leave. The exhaustion of accrued leave will run concurrently with the Family Care and Medical Leave. D. Required Forms. Employees must fill out required forms, available in the Human Resources Department, including: Request for Family Medical Leave; Medical Certification; Authorization for Payroll Deductions for Benefit Plan Coverage 7888823.3 OR020 -063 20 Continuation During Family /Medical Care Leave; and the Fitness - for -Duty to Return from Leave (if applicable). Article XV FRINGE BENEFIT ADMINISTRATION SECTION 1. Administration. The City reserves the right to select the insurance carrier or administer any fringe benefit programs that now exist or may exist in the future during the term of the MOU. SECTION 2. Selection and Funding. In the administration of the fringe benefit programs, the City shall have the right to select any insurance carrier or other method of providing coverage to fund the benefits included under the terms of this MOU, provided that the benefits of the employees shall be no less than those in existence as of implementation of this MOU. SECTION 3. Changes. If, during the term of this MOU, any change of insurance carrier or method of funding for any benefit provided hereunder occurs, the City shall notify WDEA prior to any change of insurance carrier or method of funding the coverage. Article XVI HEALTH BENEFITS SECTION 1. Health Insurance. The City shall continue to contract with the Public Employees' Retirement System (PERS) to make available those health insurance benefits provided under the Public Employees' Medical and Hospital Care Act (PEMHCA). A. Retiree Premium Contribution. The City shall contribute toward the payment of premiums under the PERS Health Benefits Plan to each eligible retiree annuitant of PERS, to the extent required by law, a contribution of $125.00 per month ($128 per month effective January 1, 2017). Effective January 1 each year, this contribution is expected to be adjusted annually by the Ca1PERS Board of Administration to reflect any change in the medical care component of the Consumer Price Index. B. Flexible Benefits Plan. The City shall provide a Section 125 Flexible Benefits Plan for active full -time and benefited part-time employees and pay the following amounts to provide funds for optional dental insurance coverage, vision plans, health plans, or as miscellaneous pay: 7888823.3 OR020 -063 21 C. Any amounts in excess of the amounts designated in Section 1B necessary to maintain benefits under any benefits plans selected by the employee shall be borne by the employee. D. An employee cannot be enrolled in the PERS Health Benefits Plan if a spouse is enrolled in the same agency or enrolled in an agency with PERS Health, unless the employee (or the spouse) is enrolled without being covered as a family member. E. An employee may choose not to be enrolled in the Health Benefits Plan. If an employee chooses not to be enrolled in the health plan, the employee must provide proof of group medical insurance coverage (e.g., coverage under a spouse's employer's plan) that is compliant with the Affordable Care Act (ACA), as determined by the Human Resources Director. Based on determination that group medical insurance coverage is in full force and effect, eligible employees shall receive $745.00 per month towards the Flexible Benefits Plan. Effective April 1, 2016, this amount shall increase to $795.00 per month. Effective January 1, 2017, this amount shall increase to $845.00 per month. F. In the event that the employee loses eligibility (with documentation) then the employee may re- enroll in the PERS Health Benefits Plan pursuant to their rules and regulations. SECTION 2. Life Insurance. The City shall contribute the full premium toward a $40,000 life insurance policy for each benefited employee. SECTION 3. Long Term Disability Insurance. The City shall provide a long -term disability plan that pays 60% of salary after a 60 -day elimination period to a maximum of $4,000 per month. SECTION 4. State Disability Insurance. The City of Orange has entered into a contract with the State of California for a State Disability Insurance plan concerning employees in WDEA. A. In order to apply for State Disability Insurance, a claim form must be obtained from the State of California Employment Development Department. The "Claim Statement of Employee" form must be completed by the employee and the employee's doctor must complete the "Doctor's Certificate" section before the claim can be processed. The employee should be aware that if he receives State Disability Insurance benefits for time paid as sick leave by the City, he will be responsible for reimbursing the City by payroll deduction for the amounts paid by both the City and State Disability insurance, and sick leave balances will be adjusted accordingly. 7888823.3 OR020 -063 22 B. When a claim is received, the State Disability Insurance Office will request the necessary information to determine the employee's eligibility. Benefits may begin with the day after the 7 calendar day waiting period of disability or the first day of hospitalization. An employee may be paid for the waiting period if their disability exceeds 21 days. C. Benefits are coordinated between the City of Orange and State Disability and the employee is paid allowance benefits based on their present rate of pay and the State Disability Insurance benefit schedule. SECTION 5. Retirement Health Savings Plan Trust. The City allows the Association to establish a Retirement Health Savings Plan Trust for its' employees. The City will not contribute to this plan, as all costs and contributions of the Plan will be borne by the employees. WDEA will sponsor said plan, and indemnify and release the City from any and all plan liability. The City will provide logistical payroll support. The responsibility for the maintenance and investment of the plan funds rests solely with WDEA. Article XVII EDUCATIONAL ASSISTANCE PROGRAM SECTION 1. Program Requirements. The City will reimburse employees for training costs associated with certifications and the cost of tuition, textbooks, health fees, and parking fees required for approved community college and college courses. An approved course is one designated to directly improve the knowledge of the employee relative to his specific job, and must be approved by the Department Head and the Human Resources Director prior to registration. Reimbursement will be based upon the final grade received. A final grade of "C" or better qualifies the employee for 100% reimbursement up to the amount specified in Section 2. SECTION 2. Payments. Educational assistance payments to an employee shall not exceed 600.00 in any one fiscal year and the individual must still be employed by the City when the course is completed to qualify for reimbursement. SECTION 3. Professional Development. The City agrees to allow reimbursement to employees of up to $300.00 of the $600.00 allotted per fiscal year for activities that aid in their professional development. Reimbursable activities include the following: 1. Attendance at job - related professional conferences and seminars; 2. Payment of membership dues in community and professional organizations; 3. Purchase of job - related professional journals, books, and other written materials, which further their knowledge and improve their effectiveness in their duties. 7888823.3 OR020 -063 23 Participation and /or purchase must be approved in advance by the Department Head and the Human Resources Director. The above modifications are made to recognize and encourage staff to pursue educational and public relations oriented activities beyond those normally budgeted for them by their departments and in which they are directed to participate. Approved activities are those which may be expected to further their knowledge of their jobs and the Orange community and which contribute to their improved effectiveness. Individual departments may continue to budget funds for staff attendance at professional conferences and seminars, for payment of professional membership dues, and for the purchase of books, journals, and related written materials, which enhance the staffs knowledge. Article XVIII RETIREMENT SECTION 1. PERS Retirement Formula — Tier 1. Effective June 29, 2003, the City provided the PERS 2.7% @ age 55 Retirement Program. This applies to all employees hired by the City prior to January 1, 2013. This also applies to new employees who are considered "classic" members of CalPERS or current members of another California public retirement system with Ca1PERS reciprocity who are hired on or after January 1, 2013. Employees do not contribute any portion of their salary to PERS towards cost - sharing of the City's employer contribution rate. The City shall pay all remaining employer costs towards the retirement program for employees covered herein. SECTION 2. PERS Retirement Formula — Tier 2. Employees hired on or after January 1, 2013, who thereupon become new members in PERS, shall be subject to the 2.0% @ age 62 retirement program pursuant to the California Public Employees' Pension Reform Act of 2013 (PEPRA) and related statutory changes. In all other respects, employees hired by the City on and after January 1, 2013 shall be subject to the terms and requirements of PEPRA. New PERS members shall pay 50% of the normal cost of retirement. SECTION 3. PERS Member Contribution. All benefited employees shall participate in the California Public Employees' Retirement System (Ca1PERS). Employees shall pay 8.0% of reportable salary, on a pre -tax basis, to PERS as their full member contribution. Annual reports are available online from Ca1PERS showing the amount of contribution so made. SECTION 4. Part-Time Employees. Part-time employees not covered under the Public Employees' Retirement System shall participate in a defined contribution retirement plan in lieu of Social Security contributions. The City shall contribute 3.75% of the employee's eligible earnings toward the retirement plan. Part-time employees shall contribute 3.75% of their eligible earnings toward the retirement plan. 7888823.3 OR020 -063 24 SECTION 5. 1959 PERS Survivors Benefit. The City shall pay fees and provide the PERS 1959 Survivor Benefit at the Third Level Option. Article XIX MISCELLANEOUS PROVISIONS SECTION 1. Rideshare Incentive Program. An employee may receive $30 per month and eight 8) hours of compensatory time (to a maximum accrual of 16 hours) every six (6) months for carpooling, using public transportation, biking, walking, or other approved modes of transportation to commute to and from the work -site. To qualify for these incentives, an employee must use one 1) of the above modes of transportation a minimum of 70% of his commuting time. SECTION 2. Uniforms. The City retains the absolute right to establish a uniform policy for any of its departments. SECTION 3. Work Shoe Allowance. Employees are required to wear safety shoes with steel toes while on duty. Inspection of the work site will be made on a regular basis to ascertain compliance to the safety shoe program. A. Allowance. The City will contribute up to $450 on a fiscal year basis per employee toward a work shoe allowance. B. Applicability. The Work Shoe Allowance will be applicable towards the purchase of steel - toe safety boots (ANSI standards approved), arch supports, insoles and water conditioner. SECTION 4. Eyeglass placement. The City will pay for replacement of employee's eyeglasses that are lost or damaged in the course of his work. Damaged eyeglasses will be turned into the City in order for the employee to be entitled to reimbursement. The City will not reimburse an employee for more than one (1) pair of lost or damaged eyeglasses per fiscal year. SECTION 5. Clothing Reimbursement Allowance. A. Allowance. The City shall contribute up to $150 per employee toward the clothing reimbursement allowance per fiscal year. This $150 clothing reimbursement per fiscal year is PERS - reportable for all WDEA employees, effective September 17, 2006. However, this clothing reimbursement allowance will not be reported to CalPERS 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. Reimbursement Request. Employees may submit a request for reimbursement once per fiscal year. 7888823.3 OR020 -063 25 C. Clothing. The City shall reimburse employees for the following articles of clothing which are to be worn on the job: blue jeans, white crew socks, white walking socks, and two (2) pairs of shorts per year. The following articles of clothing are not considered reimbursable clothing under this MOU: polo shirts, T- shirts, jackets, windbreakers, dress socks, dress slacks, and other types of clothing not specifically reimbursable under the above guidelines. SECTION 6. Breaks. Employees are entitled to two 15- minute breaks, unless an emergency requires continued work, as determined by the employee's supervisor. An employee shall be permitted to take one break during the first half of the work shift and one break during the second half of the work shift. Breaks shall be scheduled to ensure that public counters and telephones are covered at all times during the regular working day and are designed to provide a period of relaxation and /or nutrition during each half of the working day. If a break is not taken, it shall not be accumulated, but shall be lost and not charged in the future to the City. SECTION 7. Direct Deposit. Effective July 1, 2007, all new City employees are required to participate in the City's direct paycheck deposit program. City employees hired prior to July 1, 2007 who do not participate in the direct deposit program will have their paychecks mailed to the mailing address on file for said employee from the City's Finance Department. Article XX TRAVEL EXPENSE ALLOWED SECTION 1. Mileage Reimbursement. Expense claims for the use of private automobiles must be authorized and submitted through the Department Head, to the Accounts Payable division of the Finance Department for reimbursement. Such use, where mileage is reimbursed, will be reimbursed at the rate per mile allowed under the current IRS regulations. SECTION 2. Out of City Travel. If the estimated expense of contemplated travel out of the City is too great to expect the employee to finance the trip and be reimbursed upon his return, the City Manager may authorize advance payment of the estimated amount of the travel expense to the employee. A. Coach class airplane passage will be considered standard for out -of -town travel. B. Use of personal cars for out -of -City trips, within the State, may be approved by the City Manager when use of commercial transportation is not available or practical. If an employee prefers to use his personal car, he may be reimbursed mileage expenses as long as the expenses do not exceed the amount of the cost of the commercial transportation. 1) The rate per mile allowed under the current IRS regulations shall be approved for use of personal cars when City cars are not available. 7888823.3 OR020 -063 26 SECTION 3. Transportation and Expense Charges. Air, rail, or public transportation used and expenses for local transportation, such as taxicabs and bus fare, will be allowed whenever such transportation is necessary toconduct City business. In addition, the following expenses and charges will be allowed, whenever necessary, for conducting City business. A. Expense will be allowed for adequate lodging. Hotel accommodations shall be appropriate to the purpose of the trip. B. Telephone and fax charges will be allowed for official calls and transmissions. C. Expenses for meals will be reimbursed according to Administrative Policy Number 4.13. Article XXI SAFETY AND HEALTH The City and the employees of the City agree to comply with all applicable Federal, State, and City laws, codes, and policies that relate to health and safety. In addition, the City and WDEA agree to actively pursue the continuation of safe working procedures and environments. Article XXII CITY RIGHTS SECTION 1. The City reserves, retains, and is vested with, solely and exclusively, all rights of Management which have not been expressly abridged by specific provisions of this MOU or by law to manage the City, as such rights existed prior to the execution of this MOU. The sole and exclusive rights of Management, as they are not abridged by this MOU or by law, shall include, but not be limited to, the following rights: A. To manage the City generally and to determine the issues of policy. B. To determine the existence or non - existence of facts which are the basis of the Management decision. C. To determine the necessity of organization of any service or activity conducted by the City and expand or diminish services. D. To determine the nature, manner, means, and technology, and extent of services to be provided to the public. 7888823.3 OR020 -063 27 E. To determine the methods of financing. F. To determine the types of equipment or technology to be used. G. To determine and /or change the facilities, methods, technology, means, and size of the work force by which the City operations are to be conducted. H. To determine and change the number of locations, relocations, and types of operations, processes, and materials to be used in carrying out all City functions including, but not limited to, the right to contract for or subcontract any work or operation of the City. I. To assign work to and schedule employees in accordance with requirements as determined by the City, and to establish and change work schedules and assignments. J. To relieve employees from duties for lack of work, economic conditions, or similar non- disciplinary reasons. K. To establish and modify productivity and performance programs and standards. L. To discharge, suspend, demote, or otherwise discipline employees for proper cause. M. To determine job classifications and to reclassify employees and to determine the job classifications to be assigned to the bargaining unit. N. To hire, transfer, promote, and demote employees for non - disciplinary reasons in accordance with this MOU. O. To determine policies, procedures, and standards for selection, training, and promotion of employees. P. To establish employee performance standards including, but not limited to, quality and quantity standards; and to require compliance therewith. Q. To maintain order and efficiency in its facilities and operations. R. To establish and promulgate and /or modify rules and regulations to maintain order and safety in the City which are not in contravention with this MOU. S. To take any and all necessary action to carry out the mission of the City in emergencies. SECTION 2. Except in emergencies, or where the City is required to make changes in its operations because of the requirements of law, whenever the contemplated exercise of Management's rights shall impact on a significant number of employees of the bargaining unit, the City agrees to meet and confer in good faith with representatives of WDEA regarding the impact 7888823.3 OR020 -063 28 of the contemplated exercise of such rights prior to exercising such rights, unless the matter of the exercise of such rights is provided for in this MOU or in Personnel Rules and Salary Resolutions and Administrative Code, which are incorporated in this Agreement. By agreeing to meet and confer with WDEA as to the impact and the exercise of any of the foregoing City Rights, Management's discretion in the exercise of these rights shall not be diminished. Article XXIII EMPLOYEE ORGANIZATIONAL RIGHTS AND RESPONSIBILITIES SECTION 1. Dues Deductions/Agencyg_ Shol). The City shall deduct for dues and WDEA benefits on a bi- weekly basis from the pay of all employees in the classifications and positions recognized to be represented by WDEA. These deductions shall be made utilizing a mutually agreed upon form to be provided for this purpose. The City shall remit such funds to WDEA within ten (10) days following their deduction. WDEA is an Agency Shop association. This means each employee must either be a dues paying member of the association, or, in lieu of membership, pay a service fee to the association as the exclusive representative of his position, or, if he qualifies, may designate a certain non - profit agency to which he will pay an equivalent amount. Adherence to the Agency Shop provision is a condition of employment. SECTION 2. Indemnification. WDEA agrees to hold the City harmless and indemnify the City against any claims, causes of actions, or lawsuits arising out of the deductions or transmittal of such funds to WDEA, except the intentional failure of the City to transmit to WDEA monies deducted from the employees pursuant to this Article. SECTION 3. Newly Hired Employees. The City will provide WDEA with a list of any new hires into the bargaining unit within 30 days of receipt of a request for such list by WDEA. SECTION 4. Bulletin Boards. The WDEA shall have the right to use bulletin boards on City premises for the purpose of posting announcements and WDEA information. The City will furnish bulletin board space on one (1) existing bulletin board to be selected by WDEA at each location where there are five (5) or more employees. The bulletin boards shall be used for the following subjects only: A. WDEA recreational, social, and related Union news bulletins. B. Scheduled WDEA meetings. C. Information concerning WDEA elections and the results thereof. D. Reports of official WDEA business, including WDEA newsletters, reports of committees, or the Board of Directors. 7888823.3 OR020 -063 29 E. Any other written material which first has been approved and initiated by the designated City representative at each facility. The designated City representative must either approve or disapprove a request for posting within 24 hours, excluding Saturday, Sunday, and legal holidays, from the receipt of the material and the request to post it. The designated City representative shall not unreasonably withhold permission to post. SECTION 5. Except as limited by specific and express terms of this MOU, WDEA hereby retains and reserves unto itself all rights, powers, and authority, confirmed on and vested in it by the laws and Constitution of the State of California and /or United States of America. Article XXIV GRIEVANCE PROCEDURE SECTION 1. Definition of Grievance. A grievance shall be defined as a timely complaint by an employee or group of employees of WDEA concerning the interpretation or application of specific provisions of this MOU or of the Rules and Regulations governing personnel practices or working conditions of the City. An employee complaint concerning his own discipline shall be processed in accordance with Article XXV. SECTION 2. Business Dam Business days means those days in which the City's administrative offices are open. SECTION 3. Time Limits for Filing Written Formal Grievances. The time limits for filing written formal grievances shall be strictly construed, but may be extended by mutual agreement evidenced, in writing, and signed by a duly authorized representative of the City and the grieving party. Failure of the grieving party to comply with any of the time limits set forth hereunder shall constitute waiver and bar further processing of the grievance. Failure of the City to comply with time limits set forth in this Section shall automatically move the grievance to the next level in the Grievance Procedure. The grieving party may request the assistance of the WDEA in presenting a grievance at any level of review or may represent himself. SECTION 4. Informal Grievance Process. An employee must first attempt to resolve a grievance on an informal basis by discussion with his immediate supervisor without undue delay. Every effort shall be made to find an acceptable solution to the grievance by these informal means at the most immediate level of supervision. At no time may the informal process go beyond the division head concerned. In order that this informal procedure may be responsive, all parties involved shall expedite this process. In no case may more than ten (10) business days elapse from the date of the alleged incident giving rise to the grievance, or when the grievant knew or should have reasonably become aware of the facts giving rise to the grievance and the filing of a written formal grievance with the Human Resources Director of the City, with a copy to the Department Head in which the employee works. Should the grievant fail to file a written grievance within ten 10) business days from the date of the incident giving rise to the grievance, or when grievant knew 7888823.3 OR020 -063 30 or should have reasonably become aware of the facts giving rise to the grievance, the grievance shall be barred and waived. SECTION 5. Formal Grievance Process, Human Resources Director, Department Head. If the grievance is not resolved through the informal process, and the written grievance is filed within the time limits set forth above, the grievant shall discuss the grievance with the Human Resources Director and the Department Head. The Human Resources Director and the Department Head shall render a decision and comments, in writing, regarding the merits of the grievance and return them to the grievant within ten (10) business days after receiving the grievance. SECTION 6. Formal Grievance Process, City Manager. If the grievance is not resolved in Section 5 above, or if no answer has been received from the Human Resources Director and Department Head within ten (10) business days from the presentation of the written grievance to the Human Resources Director and Department Head, the written grievance shall be presented to the City Manager, or his duly authorized representative, for determination. Failure of the grievant to take this action will constitute a waiver and bar to the grievance, and the grievance will be considered settled on the basis of the last Management grievance response. The City Manager, or his duly authorized representative, shall render a final decision on the merits of the grievance and comments, in writing, and return them to the grievant within ten (10) business days after receiving the grievance. After this procedure is exhausted, the grievant, WDEA, and the City shall have all rights and remedies to pursue said grievance under the law. The City shall instruct its supervisors on the proper use and implementation of this grievance procedure and every reasonable effort shall be made by the employee and the supervisor to resolve the grievance at the informal step. ARTICLE XXV DISCIPLINARY APPEALS PROCEDURE SECTION 1. Disciplinary Appeals. Any employee who has obtained regular status, and any promotional probationary employee shall have the right to appeal any termination, suspension, reduction in salary, or non - probationary demotion. The right to appeal shall not apply to probationary, non - benefited part-time, temporary, or seasonal employees covered by this MOU. Verbal or written reprimands, probationary demotions, performance evaluations, and denial of merit increases are not subject to appeal. However, an employee may submit a written rebuttal to any verbal or written reprimand. In addition, the employee may also request said reprimand be withdrawn from their official Personnel record after one (1) year. However, such removal shall be at the complete discretion of the Human Resources Director. SECTION 2. Formal Disciplinary Appeals Process. An employee desiring to appeal a supervisor /manager's decision to take disciplinary action shall have up to ten (10) business days after receipt of the notice of intent to discipline to file either a verbal or written appeal to the Department Head. If, within the appeal period, the employee does not file an appeal, unless good cause for the failure is shown, the disciplinary action shall be considered final and shall take effect 7888823.3 OR020 -063 31 as prescribed. If the employee does file a notice of appeal within the appeal period, the Department Head shall consider the merits of said appeal prior to implementation of any disciplinary action. In the event the Department Head upholds the disciplinary action, said action shall be implemented immediately. An employee may appeal the Department Head's decision to the City Manager or, at the City Manager's discretion, to his designee, as long as such designee is not a manager from the department of the employee filing said appeal. An employee may appeal any termination, suspension, reduction in salary, or non - probationary demotion to the City Manager or his designee. Any request for an appeal to the City Manager shall be submitted in writing to the Human Resources Department within ten (10) business days of the Department Head's decision. Failure to do so shall render the discipline final and constitute a waiver of any further administrative or judicial appeals. The appeal to the City Manager may be either in the form of a written appeal or an oral presentation. Termination appeals may be further processed in accordance with the provisions of Section 3 below. SECTION 3. Formal Process For Terminations, Advisory Hearing Officer. A non - probationary terminated employee may request a full evidentiary hearing within 15 business days of the date of any notice of termination. Failure to request a hearing within the 15 -day period constitutes a waiver of the hearing. In lieu of a hearing, a terminated employee may submit a written response to the City Manager within the 15 -day period. Requests for extensions to file a written response must be made within the 15 -day period. If a hearing is requested to challenge the imposition of termination, a full evidentiary hearing shall be held by a Hearing Officer who shall render an advisory decision. If the parties cannot agree on the identity of the Hearing Officer, the parties shall procure from the State Mediation and Conciliation Service a list of seven (7) qualified Hearing Officers. Each party shall alternately strike one (1) name from the list until only one (1) person remains, who shall be the Hearing Officer. The determination as to which party strikes first shall be made on a random basis. A. Fees for retaining the Hearing Officer and other costs related to conducting the hearing, for example employing a court reporter, shall be shared equally by the City and the employee. The City and the employee shall each be responsible for securing and paying for their respective representation at the hearing, if any. B. The Hearing Officer shall determine whether good cause exists for the imposition of the termination and, if not, the appropriate degree of discipline. The decision of the Hearing Officer is remitted to the City Manager for final disposition. C. The City Manager, or his duly authorized representative, shall render a final decision on the Hearing Officer's comments and recommendation, in writing, and return them to the employee within ten (10) business days after receiving the Hearing Officer's findings. 7888823.3 OR020 -063 32 D. After this procedure is exhausted, the employee and the City shall have all rights and remedies to pursue said appeal under the law. Article XXVI NO STRIKE -NO LOCKOUT SECTION 1. Prohibited Conduct. WDEA, its officers, agents, representatives and /or members agree that during the term of this MOU, they will not cause or condone any strike, walkout, slowdown, sick -out, or any other job action by withholding or refusing to perform services. SECTION 2. The City agrees that it shall not lock out its employees during the term of this MOU. The term "lockout" is hereby defined so as not to include the discharge, suspension, termination, layoff, failure to recall, or failure to return to work of employees of the City in the exercise of its rights as set forth in any of the provisions of this MOU or applicable ordinance or law. SECTION 3. Any employee who participates in any conduct prohibited in Section 1 above may be subject to termination by the City. SECTION 4. In addition to any other lawful remedies or disciplinary actions available to the City, if WDEA fails, in good faith, to perform all responsibilities listed below in Section 5, WDEA Responsibility, the City may suspend any and all of the rights, privileges, accorded to WDEA under the Employee Relations Resolution and this MOU, including, but not limited to, suspension of recognition of WDEA, grievance procedure, right of access, check -off, the use of the City's bulletin boards, and facilities. SECTION 5. WDEA Responsibility. A. In the event that WDEA, its officers, agents, representatives, or members engage in any of the conduct prohibited in Section 1 above, WDEA or its duly authorized representatives shall immediately instruct any persons engaging in such conduct that their conduct is in violation of this MOU, and they should immediately cease engaging in conduct prohibited in Section 1 above, Prohibited Conduct, and return to work. B. If WDEA performs all of the responsibilities set forth in paragraph (A) above, its officers, agents, and representatives shall not be liable for damages for prohibited conduct performed by employees who are covered by this MOU in violation of Section 1 above. 7888823.3 OR020 -063 33 Article XXVII WDEA REPRESENTATIVES SECTION 1. The City agrees to recognize the five (5) representatives selected by WDEA. SECTION 2. WDEA agrees to limit to three (3) the number of representatives plus any paid WDEA consultants authorized by WDEA as meet and confer representatives. SECTION 3. WDEA shall have the responsibility to notify the City, in writing, of the names of its duly authorized representatives. The City shall have no obligation to recognize or deal with any employee as a representative unless he is on the designated representative list. SECTION 4. Representatives shall not log compensatory time, overtime, or any other premium time and one -half) pay for time spent performing any function as a representative. SECTION 5. WDEA representatives shall be allowed to use City available facilities to hold meetings. In addition, each representative shall be allowed nine (9) hours per fiscal year of City time for the purpose of attending representatives' meetings. WDEA will make advanced notification to a designated management representative as to the time and date of such meetings and names of persons attending on release time. Article XXVIII LAYOFF PROCEDURE When a layoff or reduction in force is necessary, the layoff procedures set forth in Resolution No. 8179, as incorporated below, shall be used as the established layoff policy and procedure. SECTION 1. Purpose. The purpose of this policy is to establish and communicate the City's procedures when a layoff or reduction in force is necessary. SECTION 2. Scope. All WDEA employees are subject to reduction in force at the direction of the City Manager. SECTION 3. Policy. The City retains the right to abolish any position, reduce the work force and layoff employees when it becomes necessary due to economic conditions, organizational changes, lack of work, or because the necessity for a position no longer exists. Whenever possible, the City will advise WDEA of their intent at least ten (10) calendar days in advance of the effective date. The City's layoff policy provides the following criteria to be followed during a reduction in force. 7888823.3 OR020 -063 34 SECTION 4. Procedure. A. Order of Reductions in Force (Layoff and Demotion). Within a department and by classification, the order of layoff or demotion shall be as follows: 1) Temporary employees (19 hours or less); 2) Initial probationary employees; 3) Regular part-time employees (20 or more hours, but less than 40 hours); 4) Regular full -time employees (40 hours). For purposes of this procedure, the Water Division will be considered a department. B. Lam 1) Layoffs shall be based on City -wide seniority, except, negative performance during the past three (3) years will be considered to determine the order of layoff. Negative performance and disciplinary actions will include the following: a) Denial of merit increases; b) Suspension without pay; c) Extensions of probationary periods; d) Disciplinary demotions to lower level positions; e) Disciplinary reductions in pay; f) Performance evaluations. Reports containing significant, negative written comments indicating improvement needed and warning of further consequences to follow if improvement fails to occur. Only those reviews forwarded to the Human Resources Department for inclusion in the official personnel file will be considered.. A single negative disciplinary action will not reduce the employee's seniority. However, additional disciplinary actions will reduce the employee's seniority by two (2) years for each additional occurrence, for a possible reduction of six (6) years. If denial of a merit increase and extension of a probationary period occur at the same time, they will be considered as one disciplinary action. 2) The order of layoff shall be established by the Human Resources Director, including seniority and results of review of performance evaluations and prior disciplinary actions. 3) The order of layoff will be the least senior employee as determined by the procedure above. 7888823.3 OR020 -063 35 4) Prior to the establishment of the final order of layoff, the Human Resources Director shall furnish affected employees a copy of the "Proposed Order of Layoff." Notice will be hand delivered to employees whenever possible. 5) If the employee wishes to contest the application of the criteria set forth in this policy to his position on the list, he may appeal with any supporting materials to the Human Resources Director. This request should be directed to the Human Resources Director within seven (7) calendar days following the establishment and distribution of a "Proposed Order of Layoff' list. The employee will be allowed representation during the appeal process. 6) After meeting with all employees wishing to be heard with respect to their position on the layoff list, the Human Resources Director or his designee shall establish the Final Order of Layoff' list. The decision of the Human Resources Director or his designee shall be final and not subject to the grievance process or further appeal. C. Written Notice. Employees to be laid off shall be provided written notice at least ten (10) calendar days in advance of the layoff date. Notice will be hand delivered to the employee whenever possible. If personal delivery is not possible, the notice will be sent by certified mail to the last known residential address. D. Transfer or Demotion in Lieu of Layoff. 1) Whenever employees are to be laid off, they may transfer or demote to another vacant position in their own department or other departments providing that: a) The positions are at the same or lower level; b) Positions are authorized, budgeted, and the City intends to fill the vacancies; C) The employee meets the qualifications of the new position as determined by the Human Resources Director. 2) Whenever employees are to be laid off, they may demote to lower level, filled positions within their department providing they: a) Formerly held or supervised the lower level position within the classification series; b) Employee meets or can reasonably meet qualifications for the new position as determined by the Human Resources Director or can reasonably meet the qualifications within one (1) month following appointment; c) Posses greater seniority to displace a lower level worker; d) Request in writing a demotion to the previously held or supervisory position within ten (10) calendar days of receiving the notice of layoff 7888823.3 OR020 -063 36 or voluntary demotion. A voluntary demotion shall not reflect as a negative action in the employee's personnel file. E. Re- employment Lists. 1) Regular employees in good standing who are laid off or demoted shall have their name placed on a departmental re- employment list for the last classification previously held. Names shall be placed on the list in inverse order of seniority. (Last released - first rehired). Vacancies the department desires to fill will be offered first to eligibles on the departmental reemployment list. 2) Other hiring departments who have vacancies the City desires to fill will give priority consideration to those employees whose names appear on the re- employment list. If these employees are not selected for rehire, the reason for non - selection must be approved by the Human Resources Director. 3) Names of qualified individuals shall remain on re- employment lists for a period not to exceed two (2) years from the date of layoff. Individuals who qualify for rehire but do not respond to written notification to the last known address on file within ten (10) calendar days or who refuse two (2) job offers shall have their names removed from the re- employment list. Once rehired, employee names are removed from all reemployment lists. SECTION 5. Non - Discrimination in Reduction in Force. Layoffs and demotions, which result from a reduction in force, shall be made without regard to an employee's actual or perceived race, color, national origin, religion, sex, gender identity, physical or mental disability, medical condition (cancer- related or genetic characteristics), ancestry, martial status, age, sexual orientation, citizenship, pregnancy, childbirth or related medical condition, status as a covered veteran, or service in the uniformed services (as defined by the Uniformed Services Employment and Re- employment Rights Act of 1994) or any other lawfully protected class. Article XXIX SOLE AND ENTIRE MEMORANDUM OF UNDERSTANDING SECTION 1. It is the intent of the parties hereto that the provisions of this MOU shall supersede all prior agreements and memorandums of agreement, letters of understanding, or memorandums of understanding, or contrary salary and /or personnel resolutions or Administrative Codes, provisions of the City, oral and written, expressed or implied, between the parties, and shall govern the entire relationship and shall be the sole source of any and all rights which may be asserted hereunder. This MOU is not intended to conflict with Federal or State law. 7888823.3 OR020 -063 37 Article XXX WAIVER OF BARGAINING DURING THE TERM OF THIS MEMORANDUM OF UNDERSTANDING SECTION 1. During the term of this MOU, the parties mutually agree that they will not seek to change, negotiate, or bargain with regard to wages, hours, benefits, and terms and conditions of employment, whether or not covered by this MOU or in the negotiations leading thereto, and irrespective of whether or not such matters were discussed or were even within the contemplation of the parties hereto during the negotiations leading to this Memorandum. Regardless of the waiver contained in this Article, the parties may, however, by mutual agreement, in writing, agree to meet and confer about any matter during the term of this Memorandum. Article XXXI EMERGENCY WAIVER PROVISION SECTION 1. In the event of circumstances beyond the control of the City, such as acts of God, fire, flood, wind, insurrection, civil disorder, national emergency, or similar circumstances, provisions of this MOU or the Personnel Rules or Resolutions of the City, which restrict the City's ability to respond to these emergencies, shall be suspended for the duration of such emergency. After the emergency is declared over, this MOU will be reinstated immediately. WDEA shall have the right to meet and confer with the City regarding the impact on employees of the suspension of the provisions in the MOU during the course of the emergency. Article XXXII MOU TERMS SEVERABLE SECTION 1. Should any provision of this MOU be found to be inoperative, void, or invalid by a court of competent jurisdiction, or by enactment of Federal or State legislation, all other provisions of this MOU shall remain in full force and effect for the duration of this MOU. Article XXXIII TERM OF MEMORANDUM OF UNDERSTANDING, NO LAYOFF CLAUSE, AND RELATIONSHIP WITH OTHER REPRESENTED NON - SAFETY BARGAINING UNITS The term of this MOU shall commence on July 1, 2015 and shall continue in full force and effect until June 30, 2017. 7888823.3 OR020 -063 38 Article XXXIV RATIFICATION AND EXECUTION The City and the WDEA acknowledge that this MOU shall not be in full force and effect until ratified by WDEA and adopted by the City Council of the City of Orange. Subject to the foregoing, this MOU is hereby executed by the authorized representatives of the City and WDEA and entered into this 11th day of October 2016. CITY OF ORANGE WATER DIVISION EMPLOYEES' ASSOCIATION By: By: 1ZJ:1 Teresg E. Smith, Mayor Terry A. Remyn, WDEA President By: Al Contreras, WDEA Bo rd Member H Approved as to form: Laura J. Kalty, Special Counsel for the City 7888823.3 OR020 -063 39 BY : 1 4 ector Medina, WDEA Board Member APPENDIX "A" WATER DIVISON EMPLOYEES' ASSOCIATION MONTHLY SALARY RANGES EFFECTIVE JUNE 29, 2014 3.0% Across the Board Salary Increase RANGE STEP STEP STEP STEP STEP STEP Classification Title A B C D E F Senior Water Meter Service Wkr 485 4006 4211 4426 4651 4888 5138 Skilled Maintenance Wkr -Water 482 3947 4148 4360 4582 4816 5061 Water Maintenance Leadworker 502 4361 4583 4817 5063 5321 5592 Water Maintenance Worker I 443 3249 3415 3589 3772 3965 4167 Water Maintenance Worker 11 463 3590 3773 3966 4168 4380 4604 Water Meter Service Worker I 451 3382 3554 3735 3926 4126 4336 Water Meter Service Worker II 471 3736 3927 4127 4338 4559 4791 Water Plant Operator 1 476 3831 4026 4231 4447 4674 4912 Water Plant Operator II 496 4232 4448 4675 4914 5164 5427 Water Yard Storekeeper 473 3774 3966 4168 4381 4604 4839 EFFECTIVE APRIL 17, 2016 2.0% Across the Board Salary Increase NEW STEP STEP STEP STEP STEP STEP Classification Title RANGE A B C D E F Senior Water Meter Service Wkr 489 4087 4296 4515 4745 4987 5241 Skilled Maintenance Wkr -Water 486 4026 4232 4448 4674 4913 5163 Water Maintenance Leadworker 506 4449 4676 4914 5165 5428 5705 Water Maintenance Worker I 447 3315 3484 3661 3848 4044 4251 Water Maintenance Worker II 467 3662 3849 4046 4252 4469 4697 Water Meter Service Worker I 455 3450 3626 3811 4005 4209 4424 Water Meter Service Worker II 475 3812 4006 4210 4425 4651 4888 Water Plant Operator I 480 3908 4107 4317 4537 4768 5011 Water Plant Operator II 500 4318 4538 4769 5013 5268 5537 Water Yard Storekeeper 477 3850 4046 4252 4469 4697 4937 7888823.3 OR020 -063 40 APPENDIX "A" WATER DIVISION EMPLOYEES' ASSOCIATION MONTHLY SALARY RANGES (Continued) EFFECTIVE JUNE 26, 2016 2.0% Across the Board Salary Increase NEW STEP STEP STEP STEP STEP STEP Classification Title RANGE A B C D E F Senior Water Meter Service Wkr 493 4170 4382 4606 4841 5087 5347 Skilled Maintenance Wkr -Water 490 4108 4317 4537 4769 5012 5267 Water Maintenance Leadworker 510 4538 4770 5013 5269 5538 5820 Water Maintenance Worker I 451 3382 3554 3735 3926 4126 4336 Water Maintenance Worker 11 471 3736 3927 4127 4338 4559 4791 Water Meter Service Worker 1 459 3519 3699 3887 4086 4294 4513 Water Meter Service Worker 11 479 3888 4087 4295 4514 4744 4986 Water Plant Operator 1 484 3987 4190 4404 4628 4864 5112 Water Plant Operator 11 504 4405 4629 4865 5114 5374 5648 Water Yard Storekeeper 481 3927 4128 4338 4559 4792 5036 7888823.3 OR020 -063 41