RES-11470 LOU ORANGE CITY FIRE MANAGEMENT - JULY 1, 2023 THROUGH JUNE 30, 2026RESOLUTION NO. 11470
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE ESTABLISHING A LETTER OF
UNDERSTANDING BETWEEN THE CITY OF
ORANGE AND THE ORANGE CITY FIRE
MANAGEMENT ASSOCIATION EFFECTIVE JULY
1, 2023, THROUGH JUNE 30,2026
WHEREAS, the City of Orange ("City") and the Orange City Fire Management
Association ("Association") have met and conferred in accordance with the requirements of the
Meyers-Milias-Brown Act; and
WHEREAS,the City and the Association have reached agreement on wages, salaries, and
other terms and conditions of employment effective July 1, 2023, through June 30, 2026; and
WHEREAS,the City Council of the City of Orange has consulted with the City Manager
and Human Resources Director concerning the proposed employment terms contained in the
attached Letter of Understanding.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Orange
that the attached Letter of Understanding is approved and incorporated by reference as Exhibit
ADOPTED this 27th day of June 2023.
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iel R. Slater, Mayor, City of Orange
ATTEST:
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Pamela Coleman, City Clerk, City of Orange
Attachment: Exhibit A
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF ORANGE
I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify
I/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 27th day of June 2023, by the following vote:
AYES:COUNCILMEMBERS: Barrios, Dumitru, Tavoularis, Gyllenhammer,
Bilodeau, and Slater
NOES:COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: Gutierrez
ABSTAIN: COUNCILMEMBERS: None
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Pamela Coleman, City Clerk, City of Orange
I
Resolution No. 11470 2
EXHIBIT "A"
A LETTER OF UNDERSTANDING
BETWEEN THE CITY OF ORANGE AND THE
ORANGE CITY FIRE MANAGEMENT ASSOCIATION
EFFECTIVE JULY 1, 2023, THROUGH JUNE 30,2026
This Letter of Understanding("LOU")is entered into by and between the City of Orange
City") and the Orange City Fire Management Association ("Association"), collectively the
Parties".
Recitals
A. The City and the Association hereby enter into this LOU effective July 1, 2023.
B. The Parties agree to incorporate the language addressed in this LOU into a new
Memorandum of Understanding("New MOU"), once the Parties review and concur on any and
all language changes that will become part of the New MOU. Thereafter, a New MOU
document will be presented to the City Council at a future meeting for its approval.
C. All references to the "MOU" in this LOU shall be to that Memorandum of
Understanding by and between the City and Association adopted by Resolution No. 11275 by
the City Council on November 10,2020. Except as to those provisions which expressly expired
and/or those provisions expressly addressed by this LOU,the terms and conditions of the MOU
remain operative until the New MOU is approved and adopted.
Agreement
1. Term and Effective Date.
The term of this LOU shall be from July 1, 2023, through June 30, 2026, and will become
effective upon ratification by the Association membership and approval of the City Council.
2. Salary (Appendix "A").
Modify Article III, Sections 1 and 2 as follows:
Effective the pay periods beginning June 18, 2023, and June 30, 2024, a base salary
increase of 5.0% shall be granted for members.
Effective the pay period beginning June 29, 2025, a base salary increase of 2.0% shall
be granted for members.
3. Longevity Pay.
Modify Article III, Section 11 to eliminate 15 years of service tier, and amend monthly pay
for 20 and 25 years of service tiers as follows:
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Effective Date
15 Years of 20 Years 25 Years
Service of Service of Service
Current 200.00 $400.00 $600.00
June 18, 2023 550.00 $750.00
4. Health Benefits.
Modify Article VI, Section 1(A)to increase the City's monthly contribution as follows:
Effective Dates Monthly Contribution
Current 1,955.00
Janua 1, 2024 2,005.00
Janua 1, 2025 2,055.00
Janu. 1, 2026 2,105.00
Modify Article VI, Section 1(D) to state that effective June 18, 2023, the cash in lieu
medical waiver amount of$500.00 per month will remain fixed indefinitely. In the case
of future promotional hires from Fire Local 2384 to the Association,the waiver amount
will be $500.00 per month irrespective of the waiver amount that Fire Local 2384
employees are receiving under their MOU. This implies that individuals who have a
higher waiver amount in Fire Local 2384 will not be able to retain it and will instead
default to the $500.00 per month waiver amount under the Association. Existing
Association members who waive medical will continue to be capped at the $1,955.00
per month amount.
5. Educational Incentive Program.
Modify Article VII, Section 3 to maintain monthly incentive for Associate degree, and
amend Bachelor and Master degree premiums as follows:
Education Current Monthly Proposed Monthly
Level Incentive Incentive
AA/AS 200.00 200.00
BA/BS 400.00 550.00
MA/MS 600.00 750.00
6. California Incident Command Certification System (CICCS).
Modify Article VII, Section 6 to increase certification premium from $100.00 to $200.00
per month.
A-2
7. Leaves of Absence/Sick Leave Usage—Service Retirement.
Modify Article XI, Section 5(H) to allow for eligible sick leave hours to be placed into an
employee's Retirement Health Savings Plan as follows:
Upon retiring from City service and entering CalPERS as a Retired Annuitant, an
employee with:
A minimum of twenty (20) years of continuous service to the City shall receive pay for
sixty percent (60%) of all accrued and unused sick leave hours; and
A minimum of twenty-five(25)years of continuous service to the City shall receive pay
for seventy percent(70%) of all accrued and unused sick leave hours.
Employees hired/promoted into Association after June 18, 2023, and retire from City
service, enter CalPERS as a Retired Annuitant, with a minimum of five (5) years of
continuous service to the City shall receive pay for fifty percent (50%) of all accrued
and unused sick leave hours.
8. Residency Requirement.
Incorporate new Article into MOU as follows:
All Association personnel hired by the Orange City Fire Department after June 25, 2023,
following approval and adoption of this Agreement, shall be a permanent and full-time
resident of the State of California and reside no further than one hundred (100) road miles
from Fire Headquarters. This presumes that a substantial portion of that distance will be
traveled at freeway speed and that personnel can report to Fire Headquarters within ninety
90) minutes of the request for call back. Employees hired before June 25, 2023, with
continuous City of Orange employment(with no break in service) are exempt.
9. Limited Reopener.
Incorporate new Article into MOU as follows:
The City can reopen Article III (Salaries) and/or Article X, Section 3 (Vacation Cash Out)
of the MOU for negotiations during the 2023/2024 or 2024/2025 fiscal years through a
limited reopener subject to the requirements set forth in this Article. In order for the City
to invoke this limited reopener, the following elements must be met:
1) There must be a fiscal year-over-year (from 2021/2022 to 2022/2023, or, from
2022/2023 to 2023/2024)decrease in net sales tax revenue received by the City greater
than ten percent(10%), and;
2) The City must provide written notice of its request and intent to reopen MOU
negotiations for this limited purpose to the Association during the following dates:
December 15, 2023, through January 15, 2024, or, December 15, 2024, through
January 15, 2025.
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Upon receipt of such timely request, the Parties agree to meet and confer in good faith on
the Article(s)requested for reopening. Any changes to the MOU arising out of this limited
reopener shall be by mutual written agreement. It is the expressed intent of the Parties that
the language pertaining to this limited reopener is included in the current MOU only and
expires June 30, 2026. Any inclusion of a like or similar Article in future MOUs will be
subject to the meet and confer process.
10. Employer-Employee Labor Relations Resolution.
Parties have met and discussed Employer—Employee Labor Relations Resolution which
shall be brought forward to City Council at a future date once all City bargaining groups
have had an opportunity to review.
11. Language Cleanup.
Parties have agreed to incorporate several language changes into the New MOU to further
clarify existing MOU provisions. There is no additional fiscal impact for these language
changes.
12. Status of MOU.
Except as specifically provided and amended herein, the terms and conditions of the MOU
shall govern the provisions of wages, salaries, and other benefits for all covered employees.
This LOU shall not be interpreted to extend and/or limit any other rights, benefits, or
compensation of either party except as specifically provided herein, and both this LOU and
the New MOU shall expire on June 30, 2026.
City of Orange Orange City Fire Management Association
01 ///3/2-02:3
Dated: Dated:
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By: By:
Monica Espinoza, Human Resources Director Robert . Stefano esident
APPROVED AS TO FORM:
oeciAb. 0
Mary E. Binning, City orney
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APPENDIX A
ORANGE CITY FIRE MANAGEMENT ASSOCIATION
MONTHLY SALARY RANGES
EFFECTIVE JUNE 19, 2022
2.0% Across the Board Salary Increase
CLASSIFICATION TITLE RANGE
STEP STEP STEP STEP STEP STEP
A B C D E F
Fire Battalion Chief 694.5 11390 11972 12581 13224 13898 14606
EFFECTIVE JUNE 18, 2023
5.0% Across the Board Salary Increase
CLASSIFICATION TITLE RANGE
STEP STEP STEP STEP STEP STEP
A B C D E F
Fire Battalion Chief 704.5 11972 12585 13224 13900 14609 15353
EFFECTIVE JUNE 30,2024
5.0% Across the Board Salary Increase
CLASSIFICATION TITLE RANGE
STEP STEP STEP STEP STEP STEP
A B C D E F
Fire Battalion Chief 714.5 12585 13228 13901 14611 15356 16139
EFFECTIVE JUNE 29,2025
2.0% Across the Board Salary Increase
CLASSIFICATION TITLE RANGE
STEP STEP STEP STEP STEP STEP
A B C D E F
Fire Battalion Chief 718.5 12838 13495 14181 14905 15665 16464
Appendix A-1