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HomeMy WebLinkAboutItem 2g: Resolution 6791 - Compensation and Benefits for Public Works Employees Association il 8. pi911,4 h. lig .,..,.,,,o, 9,,t7 trio NC....RAT,,,,- 0� STAFF REPORT Administrative Services Department DATE: August 16, 2011 TO: Mayor and City Council FROM: Hue C. Quach, Administrative Services Director ,I Michael A. Casalou, Human Resources Administra r SUBJECT: Resolution No. 6791 establishing compensation and related benefits for employees represented by the Arcadia Public Works Employees Association (APWEA) for July 1, 2011 through June 30, 2014 Recommendation: Adopt SUMMARY Resolution No. 6791 establishes terms of employment and compensation for City employees represented by the Arcadia Public Works Employees Association (APWEA). Pursuant to the Meyers-Milias-Brown Act, the City has met and conferred in good faith concerning wages, benefits and working conditions with the APWEA. Staff is recommending the City Council adopt Resolution No. 6791, establishing compensation and benefits as outlined in the Memorandum of Understanding (MOU) effective July 1, 2011 through June 30, 2014. DISCUSSION City labor negotiators recently completed discussions with the APWEA's negotiating committee, primarily discussing pension reform items. The resolution presented for adoption reflects a continuation of past compensation and benefits, as well as new items where agreements have been reached. Other issues not addressed below shall remain in full force and effect as set forth in the existing MOU. The proposed term of the agreement is July 1, 2011 through June 30, 2014. The conditions of the agreement were approved by the APWEA membership on July 12, 2011. The new MOU provides for APWEA members to begin contributing 2.34% of salary, effective July 1, 2011, to offset a portion of the City's costs related to CaIPERS retirement benefits pursuant to §20516(f) (Employee Sharing Cost of Additional Benefits). Additionally, effective July 1, 2012 and July 1, 2013, members will contribute an additional 2.33%, for a total of 7%. In addition to the above amounts, APWEA members will continue contributing 1% of the Employee portion of their retirement. The employee cost-sharing will be accomplished through pre-tax deductions in the manner contemplated by §20516(f) of the Government Code. The City recognizes that the IRS has yet to take a position on the pre-tax status of deductions made under Mayor and City Council August 16, 2011 Page 2 of 2 §20516(f) and in the event that, subsequent to the effective date of this provision, the IRS determines that such deductions do not qualify for pre-tax status,the City agrees to meet and discuss the effects thereof. Other pension reform changes include amending the current contract with CaIPERS by adopting a 2nd Tier Retirement formula for new hires of 2% @ 60 with the Three Year Average Final Compensation (This staff report is being presented simultaneously and requires adoption of a resolution and introduces an ordinance to be effective October 9, 2011); capping the maximum monthly retiree health benefit contribution made by the City for existing employees who retire on or after January 1, 2012; and employees hired on or after July 1, 2011 will only be eligible for retiree health insurance benefits at the mandatory minimum contribution established by California Government Code Section 22892(b). In addition to the items mentioned above, Resolution No. 6791 incorporates new salary schedules through June 30, 2014. Effective July 1, 2011, base salaries for APWEA members will increase in the amount of two and thirty-four hundredths of a percent (2.34%). Thereafter, the base salaries will increase in the amount of two and thirty- three hundredths of a percent (2.33%) effective July 1, 2012 and July 1, 2013 respectively. The salary schedules for the classifications covered by this MOU are set forth on Exhibit "A". The proposed MOU also contains minor administrative and language changes to the sections covering Health Insurance (revision needed to conform to CaIPERS regulations), Military Leave, Sick Leave, Vacation Leave and Bereavement Leave. Additionally, since the City (at the time of this writing) has not reached an agreement with one of the three Miscellaneous bargaining units, adoption of this resolution will not take place until the City has completed that process. In the event the process is not complete, this item will be continued to a future City Council meeting. FISCAL IMPACT The aforementioned pension reform items will provide significant long term savings to the City. Sufficient funds are available in the FY 2011-12 General and Non-General Funds Budgets to implement these changes. RECOMMENDATION Adopt Resolution No. 6791 of the City Council of the City of Arcadia, California establishing compensation and related benefits for employees represented by the Arcadia Public Works Employees Association for July 1, 2011 through June 30, 2014. APPROVED: Don Penman, City Manager RESOLUTION NO. 6791 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, APPROVING A MEMORANDUM OF UNDERSTANDING ESTABLISHING COMPENSATION AND RELATED BENEFITS FOR EMPLOYEES REPRESENTED BY THE ARCADIA PUBLIC WORKS EMPLOYEES ASSOCIATION ("APWEA") FOR JULY 1, 2011 THROUGH JUNE 30, 2014 THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: SECTION 1. The City Council hereby approves that certain Memorandum of Understanding ("MOU") by and between the City of Arcadia and the Arcadia Public Works Employees Association ("APWEA") dated effective as of July 1, 2011, a copy of which is attached hereto. The City Manager is hereby authorized and directed to execute this Memorandum of Understanding on behalf of the City. The salary and benefits for employees represented by APWEA shall be those set forth in the Memorandum of Understanding. SECTION 2. This Resolution shall become effective immediately upon its adoption and the City Clerk shall certify to the adoption of this Resolution. Passed, approved and adopted this day of , 2011. Mayor of the City of Arcadia ATTEST: City Clerk APPROVED AS TO FORM: n ,f -e.G/42,44 Steph n P. Deitsch City Attorney CITY OF ARCADIA AND ARCADIA PUBLIC WORKS EMPLOYEES ASSOCIATION 4 OF ARC otpFORA,i_16 V Incorporated ,,,i Augur[5, 3 li 00›,.......7_0„/, 'pity of im MEMORANDUM OF UNDERSTANDING JULY 1 , 2011 — JUNE 30, 2014 Table of Contents Page PREAMBLE 1 ARTICLE I 2 Section A. PARTIES AND RECOGNITION 2 Section B. APPROPRIATE UNIT 2 Section C. MUTUAL RECOMMENDATION 2 Section D. AUTHORIZED AGENTS 3 ARTICLE II 3 Section A. TERM 3 Section B. SAVINGS CLAUSE 3 ARTICLE III ASSOCIATION RIGHTS 3 Section A. AGENCY SHOP LEGISLATIVE AUTHORITY 3 Section B. RIGHT TO JOIN 6 Section C. USE OF BULLETIN BOARDS 6 Section D. PAYROLL DEDUCTION 6 Section E. ACCESS TO FACILITIES 7 Section F. ASSOCIATION STEWARDS 7 Section G. REASONABLE NOTICE 8 ARTICLE IV MANAGEMENT RIGHTS 8 ARTICLE V COMPENSATION 8 Section A. SALARY SCHEDULES 8 Section B. PROMOTION OR ADVANCEMENT 9 Section C. PERCENTAGES BETWEEN STEPS/RANGE 9 Section D. ADVANCES IN RATE OF COMPENSATION 9 ARTICLE VI RETIREMENT 9 Section A. EMPLOYEES HIRED BEFORE JULY 1, 2011 9 Section B. EMPLOYEES HIRED ON OR AFTER JULY 1, 2011 10 Section C. DEFERRED COMPENSATION 10 ARTILCE VII OVERTIME (FLSA) AND WORK SCHEDULES 11 Section A. OVERTIME 11 Section B. RECALL 11 Section C. 11 Section D. WORK SCHEDULES 12 ARTICLE VIII STABILITY PAY/LONGEVITY PAY 12 Section A. STABILITY PAY 12 Section B. LONGEVITY PAY 12 ARTICLE IX TUITION LOAN/REIMBURSEMENT 12 ARTICLE X MILEAGE REIMBURSEMENT 13 ARTICLE XI HEALTH, DENTAL AND LIFE INSURANCE 14 Section A. CONTRIBUTION 14 Section B. RETIREE HEALTH - EMPLOYEES HIRED BEFORE JULY 1, 2011 15 Section C. RETIREE HEALTH - EMPLOYEES HIRED ON OR AFTER JULY 1, 2011 16 ARTICLE XII DISABILITY INCOME INSURANCE 17 ARTICLE XIII MEDICAL EXAMINATIONS 17 ARTICLE XIV UNIFORMS 17 Section A 17 Section B 17 Section C. 17 Section D. 17 Section E 17 Section F 17 Section G. 18 Section H. 18 ARTICLE XV LEAVE 18 Section A. LEAVE 18 Section B. POWER TO GRANT LEAVE 18 Section C. TEMPORARY MILITARY LEAVE (PAID AND UNPAID) 19 Section D. VACATION LEAVE 20 Section E. SICK LEAVE 21 Section F. WORKERS' COMPENSATION 23 Section G. HOLIDAYS 23 Section H. WITNESS LEAVE 25 Section I. BEREAVEMENT LEAVE 25 ii Section J. UNAUTHORIZED ABSENCE 25 ARTICLE XVI PROBATIONARY PERIOD 25 Section A 25 Section B 26 Section C. 26 ARTICLE XVII ACTING PAY 26 Section A. ACTING PAY 26 Section B. EXCEPTION 26 ARTICLE XVIII LAYOFFS 27 Section A. LAYOFF PROCEDURE 27 Section B. RE-EMPLOYMENT LIST 27 Section C. SEVERANCE PAY 27 ARTICLE XIX PERSONNEL FILES 28 Section A. PERSONNEL FILES 28 Section B. PROMOTIONAL RECUITMENTS 28 Section C. WRITTEN REPRIMAND REVIEW 28 ARTICLE XX EMPLOYEE GRIEVANCES 28 Section A. DEFINITIONS 28 Section B. TIMELINESS 30 Section C. EMPLOYEE REPRESENTATION 30 Section D. INFORMAL GRIEVANCE PROCEDURE 30 Section E. FORMAL GRIEVANCE PROCEDURE 30 Section F. APPEAL TO HUMAN RESOURCES COMMISSION 31 ARTICLE XXI LABOR- MANAGEMENT COMMITTEE 36 ARTICLE XXII FULL UNDERSTANDING 37 Section A 37 Section B 37 2010-2014 NEGOTIATION TEAMS 38 iii PREAMBLE It is the purpose of the Memorandum of Understanding to promote and provide for harmonious relations, cooperation and communication between City Management and the City employees covered by this Memorandum. As a result of good faith negotiations between City Management representatives and Association representatives, this Memorandum sets forth the Agreement regarding wages, hours, and other terms and conditions of employment for the employees covered by this Memorandum. This Memorandum provides for an orderly means of resolving differences which may arise from time to time during its term. 1 ARTICLE I Section A. PARTIES AND RECOGNITION The Memorandum of Understanding is made and entered into between the management representatives of the City of Arcadia, hereinafter referred to as the "City" and representatives of the Arcadia Public Works Employees Association, a formally recognized exclusive employee organization, hereinafter referred to as the "Association," pursuant to the provisions of the Meyers-Milias-Brown Act (Government Code §3500 et.seq.). Section B. APPROPRIATE UNIT The City agrees to give the Association notice of any changes, additions, or deletions of bargaining unit by classifications via an emailed copy of the Human Resources Commission Agenda. The agenda will be emailed to the Association's authorized agent at the same time the agenda is sent to Commission members. The Association shall be responsible for providing the City with the authorized agent's email address. The full-time and permanent part-time classifications covered by this Agreement are: Building Maintenance Crew Supervisor Building Maintenance Technician Equipment Operator Fleet Maintenance Crew Supervisor Fleet Technician I and II Fleet Technician/Welder Maintenance Worker Storekeeper Buyer Streets Maintenance Crew Supervisor Traffic Signal/Street Light Technician Utilities Crew Supervisor Water Production Crew Supervisor Water Production Technician I and II Water Quality Backflow Inspector Section C. MUTUAL RECOMMENDATION This Memorandum of Understanding constitutes a mutual recommendation to the City Council, City of Arcadia, for determination. 2 Section D. AUTHORIZED AGENTS The City's principal authorized agent shall be the City Manager, 240 W. Huntington Drive, Arcadia, California, 91007, except where a particular City representative is specifically designated in connection with the performance of a specific function or obligation set forth herein. The Public Works bargaining unit's authorized representative is Anthony Pulido, President of the Arcadia Public Works Employees Association, 11800 Goldring Road, Arcadia, California, 91066-6021. The duly authorized staff representative is Robin Nahin, Executive Director of City Employees Associates, 254 B Lindero Avenue, Long Beach, California, 90803. ARTICLE II Section A. TERM The parties have met and conferred in good faith regarding wages, hours and other terms and conditions of employment and it is mutually agreed that this Memorandum of Understanding shall be effective, upon ratification by the City Council, for the period July 1, 2011 through June 30, 2014. Section B. SAVINGS CLAUSE If any provision or the application of any provision of this Agreement as implemented should be rendered or declared invalid by any final court action or decree or by reasons of any preemptive legislation, the remaining Sections of this Agreement shall remain in full force and effect for the duration of said Agreement. ARTICLE III ASSOCIATION RIGHTS Section A. AGENCY SHOP LEGISLATIVE AUTHORITY The City of Arcadia (City) and the Arcadia Public Works Employees Association (Association) mutually understand and agree that in accordance with State of California law, per adoption of SB 739, and the Agency Shop election held on September 15, 2005, a majority of the full time, regular employees in classifications represented by the Association voted to be covered by an Agency Shop agreement. As a result of the Agency Shop election, as a condition of continued employment, this Agency Shop agreement hereby requires that all bargaining unit employees: 3 a. Elect to join the Association and pay Association dues; b. Pay an agency fee for representation; or c. With a religious exemption, pay a fee equal to the agency fee to be donated to selected charities. 1. Association Dues/Agency Fee Collection. Effective with the pay period beginning September 4, 2005, the Administrative Services Department shall deduct Association dues, agency fee and religious exemption fees from all employees who have signed a written authorization and a copy of that authorization has been provided to the Administrative Services Department. Employees on leave without pay or employees who earn a salary less than the Association deduction shall not have an Association dues or agency fee deduction for that pay period. The Association shall notify the City of any agency fee payer who elects to only pay fair share fees, the fee equal to direct representation costs as determined by the Association's certified financial report. The Association shall notify the City of the amount of the fair share fee to be deducted from the fair share fee payer's paycheck. 2. New Hire Notification. Effective September 15, 2005, all new hires in the Association shall be informed by the Human Resources Division, at the time of hire that an Agency Shop agreement is in effect for their classification. The employee shall be provided a copy of this Agreement, the Memorandum of Understanding and a form, mutually developed between the City and the Association that outlines the employee's choices under the Agency Shop Agreement. The employee shall be provided thirty (30) calendar days from the date of hire to elect their choice and provide a signed copy of that choice to the Administrative Services Department. The Association may request to meet with new hires at a time and place mutually agreed upon between the Department Head and the Association. 3. Failure to Pay Dues/Fees. All unit employees who choose not to become members of Arcadia Public Works Employees Association shall be required to pay to Arcadia Public Works Employees Association a representation service fee that represents such employee's proportionate share of Arcadia Public Works Employees Association's cost of legally authorized representation services on behalf of unit employees in their relations with the City of Arcadia. Such representation service fee shall in no event exceed the regular, periodic membership dues paid by unit employees who are members of Arcadia Public Works Employees Association. Unit employees who attain such status after the 4 effective date of this Agreement shall be subject to its terms thirty (30) days after attaining unit status. 4. Leave Without Pay/Temporary Assignment Out of Unit. Employees on an unpaid leave of absence or temporarily assigned out of the unit shall be excused from paying agency shop fees or charitable contributions. 5. Religious Exemption. Any employee who is a member of a religious body whose traditional tenets or teachings include objections to joining or financially supporting employee organizations shall not be required to pay an agency fee, but shall pay by means of mandatory payroll deduction an amount equal to the agency fee to a non-religious, non-labor charitable organization exempt from taxation under Section 501(c)(3) of the Internal Revenue Code. Those fees shall be remitted by the City, at the choice of the employee, to one of the following non-labor, non- religious charitable organizations: United Way or American Red Cross. To qualify for the religious exemption the employee must provide to Arcadia Public Works Employees Association, with a copy to the City, a written statement of objection, along with verifiable evidence of membership in a religious body as described above. The City will implement the change in status within thirty (30) days unless notified by Arcadia Public Works Employees Association that the requested exemption is not valid. The City shall not be made a party to any dispute arising relative to the determination of religious exemptions. Any of the above-described payment obligations shall be processed by the City in the usual and customary manner and time-frames. 6. Records. Arcadia Public Works Employees Association shall keep an adequate itemized record of its financial transactions and shall make available annually, to the City and to unit members, within sixty (60) days after the end of its fiscal year, a written financial report thereof in the form of a balance sheet certified as to accuracy by its president and treasurer or corresponding principal officer, or by a certified public accountant. The City shall provide the Association a list of all unit members and dues paying status with each Association dues check remitted to the Association. 7. Rescission of Agreement. The Agency Shop agreement may be rescinded at any time during the term of the Memorandum of Understanding by a majority vote of all the employees in the 5 bargaining unit. A request for such vote must be supported by a petition containing the signatures of at least thirty percent (30%) of the employees in the unit. The election shall be by secret ballot and conducted by California State Mediation and Conciliation and in accordance with state law. 8. Indemnification. The Association shall indemnify, defend and hold the City harmless from and against all claims and liabilities as a result of implementing and maintaining this agreement. Section B. RIGHT TO JOIN The City and the Association recognize the right of the employees to form, join and participate in lawful activities of employee organizations and the equal alternative right of employees to refuse to join or participate in employee organization activities. Section C. USE OF BULLETIN BOARDS The City shall provide for the Association's use designated bulletin boards where employees in the bargaining unit have access during regular business hours subject to the following conditions: 1. All postings for bulletin boards must contain the date of posting and the identification of the organization; and 2. The Association will not post information which is defamatory, derogatory or obscene subject to the immediate removal of the right to post for a period not to exceed ninety (90) days. Section D. PAYROLL DEDUCTION The City will deduct from the pay of Association members the normal and regular monthly Association membership dues as authorized in writing by the employee on the City form subject to the following conditions: 1. Such deduction shall be made only upon submission of the City form to the designated City representative. Said form shall be duly completed and signed by the employee. 2. The City shall not be obligated to put into effect any new, changed or discontinued deduction until the pay period commencing fifteen (15) days or longer after such submission. 6 Section E. ACCESS TO FACILITIES All Association business will be conducted by employees and Association representatives outside of established work hours. Nothing herein shall be construed to prevent an Association representative or an employee from contacting the Human Resources Administrator or other management representatives regarding personnel related matters during work hours. The authorized Association Business Agent shall be given access to work locations during working hours provided that prior to visiting any work location the Association representative shall: 1. Contact the Human Resources Administrator or his/her designee, to state the purpose of his/her visit and which location he/she will be visiting, and 2. The Human Resources Administrator or designee determines that such visit shall not interfere with the operations of the department. In the event the requested time and/or location of such visit by the Association Business Agent is denied because it would interfere with the operations of the department, the Human Resources Administrator or his designee shall set an alternative time and/or location for such visit within 72 hours. Section F. ASSOCIATION STEWARDS Four (4) Shop Stewards shall be selected in such manner as the Association may determine. The Association shall notify the employer in writing of the names of the four (4) Stewards who are authorized to represent employees in the bargaining unit. Section G. REASONABLE NOTICE It is mutually understood and agreed that a copy (via the United States Postal Service) of the City Council and/or Human Resources Commission agenda for each meeting mailed to two (2) authorized representatives of the Association shall constitute reasonable written notice of any opportunity to meet with such agencies, on all matters within the scope of representation upon which the City Council or Human Resources Commission may act. The Association shall provide the Human Resources Administrator with the name and addresses of the two (2) authorized representatives within five (5) days of the effective date of this Agreement. ARTICLE IV MANAGEMENT RIGHTS Except as limited by the specific and express terms of this Agreement, the City hereby retains and reserves unto itself all rights, powers, authority, duty and responsibilities confirmed on and vested in it by the laws and the Constitution of the State of California, the Charter of the City of Arcadia and/or the laws and Constitution of the United States of America. The management and the direction of the work force of the City is vested exclusively in the City, and nothing in this Agreement is intended to circumscribe or modify the existing rights of the City to direct the work of its employees; hire, promote, demote, transfer, assign and retain employees in positions within the City, subject to the Personnel Rules and Regulations of the City; suspend or discharge employees for proper cause; maintain the efficiency of governmental operations; relieve employees from duties for lack of work or other good reason; take action as may be necessary to carry out the City's mission and services in emergencies; and to determine the methods, means and personnel by which the operations are to be carried out. ARTICLE V COMPENSATION Section A. SALARY SCHEDULES The City agrees to increase base salaries of classifications covered by this MOU in the amount of two and thirty-four hundredths of a percent (2.34%), effective July 1, 2011, and two and one-third percent (2.33%), effective July 1, 2012 and July 1, 2013. The salary schedules for classifications covered by this MOU are set forth on Exhibit A and incorporated herein. 8 Section B. PROMOTION OR ADVANCEMENT Promotion or Advancement in Rate of Compensation. When an employee is promoted, the pay shall advance to the lowest step in such higher range that will provide not less than an approximate 5% increase in compensation unless the top step in such range provides less than one step increase. The 5% shall be measured by the range from which the employee is promoted. When an employee is promoted to a higher classification, the date of promotion shall be used in determining the date of future step increases. Section C. PERCENTAGES BETWEEN STEPS/RANGE The Parties acknowledge that the percentage between steps within a range is approximately two and one half percent (2.5%). Section D. ADVANCES IN RATE OF COMPENSATION During the term of this Agreement, individuals will advance in their rates of compensation two steps (approximately 5.0%) on their anniversary dates upon receiving satisfactory evaluations until the top step in the range is reached. ARTICLE VI RETIREMENT Section A. EMPLOYEES HIRED BEFORE JULY 1 2011 The City's existing contract with CaIPERS provides for the 2.5% @ 55 retirement formula. Upon ratification of this Agreement, the City shall begin the process necessary to implement employee contributions to offset a portion of the City's costs related to CaIPERS retirement benefits pursuant to §20516(f) (Employee Sharing Cost of Additional Benefits). The employee cost-sharing will be accomplished through pre-tax deductions in the manner contemplated by §20516(f) of the Government Code. The parties recognize that the IRS has yet to take a position on the pre-tax status of deductions made under §20516(f) and in the event that, subsequent to the effective date of this provision, the IRS determines that that such deductions do not qualify for pre-tax status, the parties agree to meet and discuss the effects thereof. The cost-sharing arrangement will be implemented as follows: 1. Effective July 1, 2011, employees will pay two and thirty-four hundredths of a percent (2.34%) of PERSable compensation to CaIPERS retirement via payroll deduction; 9 2. Effective July 1, 2012, employees will pay an additional two and one-third percent (2.33%) of PERSable compensation to CaIPERS retirement for a total of four and sixty-seven hundredths of a percent (4.67%) via payroll deduction; 3. Effective July 1, 2013, employees will pay an additional two and one-third percent (2.33%) of PERSable compensation to CaIPERS retirement for a total of seven percent (7%) via payroll deduction. (In addition to the foregoing cost sharing payments, employees shall continue to pay the one percent (1%) member contribution currently paid by employees.) The City shall continue to pay the cost of the employees' normal member contribution to CaIPERS in the amount of seven percent (7%) (EPMC) and shall continue to report that as additional compensation pursuant to §20636(c)(4) of the Government Code. Further, said amount will be allocated to the employee's retirement account. Section B. EMPLOYEES HIRED ON OR AFTER JULY 1 2011 For employees hired on or after July 1, 2011, the City will execute a contract amendment for a 2nd Tier of retirement benefits with CaIPERS for the following benefits: 1. 2% at age 60 retirement formula; 2. Three (3) year average final compensation period (Government Code §20037); 3. Employee will pay the full seven percent (7%) member contribution to CaIPERS via payroll deduction; 4. Special Compensation items shall be reported to CaIPERS in accordance with applicable law; 5. The City agrees to contract with CaIPERS to provide Association with a Military Service Credit option. It is agreed and understood that the employee is responsible for paying for the cost of this benefit. 6. Notwithstanding the foregoing, an employee hired on or after July 1, 2011, but before the 2nd Tier retirement benefits are effective, shall receive the retirement benefits in effect on the date of hire; provided, however, the employee shall pay the full member contribution of eight percent (8%) from the date of hire. Section C. DEFERRED COMPENSATION Employees may elect to allocate salary to the City's 457 Plan on a pre-tax basis in accordance with the provisions of the Plan. 10 ARTILCE VII OVERTIME (FLSA) AND WORK SCHEDULES Section A. OVERTIME With the approval of the City Manager, and when necessary to perform essential work, a Department Administrator may require employees to work at any time other than during regular working hours until such work is accomplished. An employee required to be in a work status beyond forty hours (40) in a designated work week, or to work in excess of the regularly scheduled shift shall be paid at the rate of one and one-half times the regular hourly rate. No overtime credit shall be allowed for any period less than one-half hour. Overtime shall be rounded to the nearest one-half hour. The Department Administrator, City Manager or designee, may permit an employee to take compensatory time in lieu of paid overtime. With Department Administrator approval, represented employees shall be permitted to accumulate compensatory time only to a maximum of one hundred (100) hours. When the maximum level of compensatory time is reached, overtime shall be paid. The scheduling of compensatory time off shall not result in the pyramiding of overtime. Section B. RECALL Employees recalled to work after completing a day's work, including any overtime shall receive a minimum credit of two (2) hours of overtime. Section C. When an employee is directed by his/her Department Administrator or the City Manager to attend classes or City functions at times other than regularly scheduled work hours which cause the employee to be in a work status in excess of 40 hours in a 7 day work period, the employee shall be paid at the rate of time and one-half the employee's regular rate of pay. This does not apply to classes or other functions which the employee voluntarily attends. 11 Section D. WORK SCHEDULES The City agrees that if it decides to change the current 9-day — 80 hour work schedule, the City will give the Association two (2) weeks advance notice and will meet and confer with the Association prior to implementing a new work schedule; provided, however, the City will not be required to meet and confer before implementing a new work schedule in the case of an emergency affecting City operations. If in the event the City determines an emergency exists, it may modify an employee's regular work hours. Reasonable notice will be given by the City to affected employees. ARTICLE VIII STABILITY PAY/LONGEVITY PAY Section A. STABILITY PAY See Side Letter as Exhibit B. Section B. LONGEVITY PAY A Longevity Pay benefit will be implemented based on the following formula: Completed Years of Continuous Service Amount Per Pay Period 5-9 Yrs $38.462 10-14 Yrs $57.693 15 Yrs + $76.924 The Longevity Pay benefit is effective the pay period an employee completes 5, 10 or 15 years of continuous employment with the City. ARTICLE IX TUITION LOAN/REIMBURSEMENT Employees shall be eligible for tuition advancement or reimbursement who have completed at least one probationary period in the Classified Service, or one year of continuous service if employment is "at-will," subject to the conditions below. To qualify for tuition advancement/reimbursement, a Tuition Loan/ Reimbursement Form must be submitted and pre-approved by the employee's Department Head and Human Resources Administrator, before the course(s) begin. Tuition loan or reimbursement shall only be for courses, specialized training, or degree programs "job-related" that are directly related to the employee's position as determined by the City Manager or designee. 12 The Tuition Loan/Reimbursement Program will operate on a fiscal year basis (July 1 through June 30) and shall be subject to the availability of funds as determined by the City. The maximum loan or reimbursement amount shall be $4,126 for undergraduate courses and $5,062 for graduate courses. Eligible fees include tuition, on campus parking fees and textbooks. All other fees are subject to approval by the City. School supplies are not reimbursable. All course work must be completed while employed by the City of Arcadia with a passing grade of "C" or equivalent when numerical score or pass/fail grade is given. If the employee either does not receive a "C" or better or for any reason does not finish the class, the advance is due and payable. Any employee who shall voluntarily retire or terminate employment or be terminated for disciplinary cause within one year from the completion of a class or classes shall refund all tuition paid under this provision for those specific classes unless they were required to attend by the appointing power. An employee who separates employment and who received tuition advancement and did not complete a class or classes within one (1) year from the advancement, shall refund all tuition advanced and be subject to the provisions outlined in the Advanced Tuition Participation and Loan Agreement. Employees who retire on a Disability or Industrial Disability Retirement, or are laid off shall not be required to refund tuition fees. The City reserves the right to investigate any school and approve or disapprove it for advancement or reimbursement if such action appears warranted. Courses must be taken at an accredited education institution, which is defined as any college or university which has been accredited by a recognized government or professional accrediting body (as determined by the City). Additionally, the City reserves the right to deny any course(s), specialized training or degree programs determined by the City Manager to be non-job related. ARTICLE X MILEAGE REIMBURSEMENT Mileage is reimbursed for travel in an employee's personal vehicle in connection with City business. Prior approval must be obtained from the immediate supervisor or Department Head. If travel is required frequently during a month, reimbursement will be made once a month. Completed mileage forms shall be submitted to the Department Head consistent with the administrative policy. Any employee authorized to use a personal vehicle must maintain an insurance policy meeting the standards established by the City Manager. 13 ARTICLE XI HEALTH, DENTAL AND LIFE INSURANCE Section A. CONTRIBUTION The City shall provide regular full-time employees in a classification represented by this Agreement with the following contributions: 1. CaIPERS Health Program: The City will contribute the minimum employer contribution required pursuant to Government Code §22892(b) ("Minimum Contribution") per month per employee for health insurance. 2. Dental Insurance — mandatory enrollment: The City will contribute the employee only cost for Delta Care USA insurance per month ("Dental Contribution") toward one of two dental plans. Additional coverage may be purchased through the Optional Benefits allocation. 3. Optional Benefits: Subject to the limits set forth herein, the City shall contribute the remaining amount of employee's health and dental insurance benefit allowance through a contribution to a Internal Revenue Code §125 Cafeteria Plan as follows: a. The City shall pay up to a maximum of $915 per month per full-time employee for coverage. For full-time employees, if the City's contribution exceeds the cost of employee only coverage, the difference shall be contributed toward the cost of dependent coverage or to the employee in cash or a combination of both. b. If the premium cost of the health plan exceeds the City contribution, the employee shall pay through payroll deduction the difference between the monthly premium and the amount contributed by the City. c. The employee's exercise of the option to use the difference toward dependent health coverage or the deferred compensation plan is subject to the conditions controlling enrollment periods and eligibility established by the respective plans or carriers. d. Dependent enrollment will require proof of eligibility for dependent status including social security number, marriage, birth and/or adoption certificates. 4. Life Insurance: The City shall provide a $25,000 Life & AD&D benefit for eligible employees. 14 moor 5. Vision Plan: The City shall provide each employee with a vision plan, with the City paying the premium in fiscal years FY11-12, FY12-13 and FY13-14. The vision plan will be Vision Service Plan, Option B. The City will pay the premium up to the cost of the family plan. Section B. RETIREE HEALTH - EMPLOYEES HIRED BEFORE JULY 1, 2011 1. Tier I Retirees. For employees hired before July 1, 2011 and retiring from the City on or after July 1, 2007 through December 31, 2011 ("Tier I Retirees"), the City agrees to provide a monthly health insurance premium ("Premium Payment") for the purpose of purchasing health coverage offered through the CaIPERS health program as governed by the Public Employees' Medical & Hospital Care Act ("PEMHCA") for the Tier I Retiree and his or her spouse in an amount not to exceed the monthly premium applicable to the coverage level for the retiree (i.e., Employee Only or Employee + spouse) under the PERS Choice plan* (*rates are determined by region of residence). The Premium Payment shall be payable in the following form: (1) the minimum employer contribution required pursuant to Government Code §22892(c) ("Retiree Minimum Contribution") payable directly to CaIPERS, and (2) a reimbursement to the Tier I Retiree equal to difference between the cost of plan in which the Tier I Retiree enrolls, subject to the foregoing cap, and the Retiree Minimum Contribution ("Reimbursement"). If a retiree enrolls in a more expensive plan, he or she will be responsible for payment of any premium in excess of the capped amount. The Reimbursement shall cease for the Tier I Retiree upon eligibility for Medicare coverage, and the Reimbursement shall cease for the spouse upon eligibility for Medicare coverage, or after 15 years, whichever occurs first. Tier I Retirees must be "eligible retirees" in order to receive the benefits described in this paragraph. 2. Tier II Retirees. For employees hired before July 1, 2011 and retiring from the City on or after January 1, 2012 ("Tier II Retirees"), the City agrees to provide a Premium Payment for the purpose of purchasing health coverage offered through PEMHCA for the Tier II Retiree and his/her spouse in an amount not to exceed the monthly premium applicable to the coverage level for the retiree (i.e., Employee Only or Employee + spouse) for the 2012 PERS Choice plan * (*rates are determined by region of residence; Los Angeles rates for 2012 are Employee Only $505.63, employee + spouse $1,011.26). The Premium Payment shall be payable in the following form: (1) Retiree Minimum Contribution payable directly to CaIPERS, and (2) a reimbursement to the Tier II Retiree equal to difference between the 15 cost of plan in which the Tier II Retiree enrolls, subject to the foregoing cap, and the Retiree Minimum Contribution ("Reimbursement"). If a retiree enrolls in a more expensive plan, he/she will be responsible for payment of any premium in excess of the capped amount. The Reimbursement shall cease for the Tier II Retiree upon eligibility for Medicare coverage, and the Reimbursement shall cease for the spouse upon eligibility for Medicare coverage, or after 15 years, whichever occurs first. Tier II Retirees must be "eligible retirees" in order to receive the benefits described in this paragraph. 3. Eligible Retiree. An "eligible retiree" is a unit member who retires on a service, disability, or industrial disability retirement and has 1,000 hours of accumulated sick leave at the date of retirement. An employee who has fewer than one thousand (1,000) hours of accumulated sick leave at the date of retirement may purchase up to a maximum of three hundred fifty (350) hours worth of sick leave in an amount equal to the employee's daily pay rate at the time of retirement to meet the one thousand (1,000) hour requirement, provided, however, upon verification of information from a qualified medical provider that an employee has substantially depleted the employee's sick leave accrual due to an absence or absences caused by a serious illness or injury suffered by the employee or a family dependent living in the employee's household, this purchase limitation of 350 hours will be excused. In addition, the eligible employee must apply prior to retirement for such coverage through Human Resources. The Association shall notify Human Resources in the event of the death of a retired member. In order to be eligible for retiree health coverage, the employee, and if applicable, the employee's spouse, must be enrolled in a City- sponsored health plan as of the retiree's last day of work and maintain eligibility to continue in the CaIPERS Health Program as stipulated by the Health Program. Section C. RETIREE HEALTH - EMPLOYEES HIRED ON OR AFTER JULY 1, 2011 Tier III Retirees. For employees hired on or after July 1, 2011 that retiree from the City and who remain enrolled in a PEHMCA health plan after retirement ("Tier III Retiree"), the City will pay no more than the Retiree Minimum Contribution. Tier III Retirees shall not be reimbursed or otherwise receive payment from the City for health insurance premiums in excess of the Retiree Minimum Contribution. 16 ARTICLE XII DISABILITY INCOME INSURANCE The City shall provide disability income insurance up to a maximum total monthly payment of $12.81 per full-time employee, covered by this agreement during the life of the Agreement. ARTICLE XIII MEDICAL EXAMINATIONS All medical examinations required by the City shall be paid for by the City in accordance with the City of Arcadia Personnel Rules and Regulations. Section B. An employee, at any time, may be required by the appointing power to take a medical examination, paid for by the City, to determine fitness for duty. ARTICLE XIV UNIFORMS The following shall apply for each fiscal year: Section A. The City shall provide each new employee with seven (7) sets of uniforms consisting of shirts and trousers with the exception of Fleet employees who shall be provided 11 sets of shirts and trousers. Employees who work with high-voltage and/or due to medical condition shall be provided with fire-retardant clothing per discretion of the Crew Supervisor. The City shall provide only one (1) replacement for any damaged or lost shirt and trouser/shorts. Section B. The City will reimburse up to $150.00 for each pair of steel-tip, non-conductive boots for those full-time regular employees who work regularly with electricity and all other covered employees for general steel- tip boots. The City will not pay for any additional items such as socks, polish or extra laces. Section C. The City shall provide ten (10) orange t-shirts with a City logo for each full- time permanent employee. Section D. The City shall provide two (2) City of Arcadia hats for each full-time permanent employee. Section E. The City shall provide one (1) pair of rain bots for each full-time permanent employee. The City shall provide replacement rain gear on an as needed basis or determined by the supervisor. Section F. The City shall provide one (1) set of rain gear for each full-time permanent employee. The City shall provide replacement rain gear on an as needed basis or determined by the supervisor. 17 Section G. The City shall provide one (1) sweatshirt for each full-time permanent employee. Section H. Upon termination of employment, the employee shall turn in all uniforms and other items issued shall have a dollar amount equal to the unreturned uniforms' and items costs that will be deducted from the employee's final pay check. ARTICLE XV LEAVE Section A. LEAVE In accordance with the current Personnel Rules and Regulations of the City of Arcadia, all leaves for classifications represented by this Agreement shall be provided for as follows: Section B. POWER TO GRANT LEAVE Upon the written request of an employee stating the reasons therefore, the appointing power with the approval of the City Manager shall have power to grant leaves of absence with or without pay subject to the following restrictions: 1. Length — leave of absence without pay may be granted for a period not to exceed one year with the exception that military leaves may be granted for the duration of a war or national emergency or as required by the Military and Veterans' code. 2. Reason — a leave of absence may be granted an employee, provided he/she meets all other requirements set forth in this rule, who desires to attend school or college or to enter training to improve the quality of his/her service, who enters military service of the United States, who is temporarily incapacitated by illness, or who presents some other reasons equally satisfactory. 3. Right to Return — the granting of a leave of absence without pay confers upon the employee the right to return to his/her classification before or at the expiration of his leave of absence. Therefore, a leave of absence shall be granted only to an employee who intends to return to his/her classification with the City. 4. Service Record — no request for leave of absence will be considered unless the employee presenting the request has a satisfactory service record. 18 5. An employee granted a leave of absence may be required by the appointing power or the City Manager to successfully pass a medical examination prior to being allowed to return to work. 6. The granting of a leave of absence of thirty (30) days or less, with or without pay, shall not constitute an interruption of service within the meaning of this subsection. The granting of a leave of absence with or without pay of more than thirty (30) days shall constitute an interruption of service unless, in the action granting such leave of absence, it is provided that such leave of absence shall not constitute an interruption of service. Section C. TEMPORARY MILITARY LEAVE (PAID AND UNPAID) Any employee who is a member of the reserve corps of the armed forces of the United States or of the National Guard or the Navy Militia shall be entitled to a temporary military leave of absence as provided by applicable Federal law and applicable California State law. To be eligible for paid leave for thirty (30) calendar days of active military training, an employee must have been employed by the City for a period of not less than one (1) year immediately prior to the day on which the leave of absence begins. If the employee has not been employed for a period of one year, the leave shall be granted without pay. Pay shall not exceed thirty (30) calendar days in any one (1) fiscal year. An employee on paid military leave shall continue to accrue vacation, sick leave, seniority and/or holiday in the same manner as the employee would have, had the employee been in a work status. To be eligible to receive the leave, an employee must submit a request in writing with a copy of his/her military orders to his/her immediate supervisor for processing. Military and Veteran's Code §§395, 395.01(a), 564 and 566 set forth provisions for state military reserve personnel employed by public employers are statutorily entitled to up to 180 days of temporary military leave for active duty activities with up to 30 days of paid military leave each fiscal year. When placed on state active duty this is ordered active duty, which entitles the employee to paid military leave. State military reserve personnel also generally have a right to extended leaves of absence and a right to re-employment after lengthy periods of ordered duty when called to active duty in certain emergency circumstances and public employees are entitled to receive their pay from their public employer for the first thirty (30) days of that period of active military and veteran's code §§143, 146, 395, 395.05, 395.06 and 566. 19 Before leaving for an extended leave (181 days or more), the employee must notify the city of his or her intention to return to work upon the completion of the active duty service. Employees will have ninety (90) days from completion of extended active service to report back to work to resume their duties, must submit to the City a copy of the honorable discharge papers, and pass a medical exam. Additional military leave provisions were adopted by Council on November 20, 2001, in Resolution 6268. For military leave covered by this Resolution, the City will maintain the difference between the employee's City salary and benefits of the employee while on active military duty. Although a military leave of absence is not considered a break in service in relation to seniority, if the employee wishes to have their extended military service time credited toward CaIPERS, the employee may buy back credit for their leave of absence for active military service through CaIPERS as CaIPERS has determined that payments while on such service are not reportable for retirement purposes. This leave provision does not apply to employees who are drafted or receive orders to military duty for periods longer than 180 calendar days. Employee's rights to return to vacant positions after an absence that exceeds 180 calendar days shall be governed by the applicable Federal and State law. Section D. VACATION LEAVE 1. Every full-time employee represented by this agreement, with the exception of temporary appointments shall accumulate vacation with pay beginning with the first full pay period of employment at the rate of 3.07 hours per pay period during the first five years of continuous full-time employment with the City; at the rate of 4.61 hours per pay period between the employee's fifth and tenth anniversary date of continuous full-time employment; at the rate of 5.22 hours per pay period between the employee's tenth and fifteenth anniversary date of continuous full-time employment, and at the rate of 6.15 hours per pay period after fifteen years of continuous full-time employment with the City. Accumulated vacation shall be granted at the discretion of the appointing power. 2. Vacation may not be accumulated beyond the amount accumulable for a sixty-five (65) pay period basis. Once an employee has accumulated this amount, no more vacation will be accrued by the employee until the employee's accrual has been reduced below this maximum amount. 20 When through work circumstances and needs of the job, an employee has been unable to utilize vacation time and this has not been a pattern or past practice for that employee, the City Manager for good cause may approve excess accumulated vacation, provided the employee reduces the total below the allowable maximum within six (6) months. 3. An employee who has previously requested and was granted approval of vacation leave for use during the last three (3) months of the calendar year and is unable to utilize such leave because of the City's cancellation of leave shall be allowed to carry over the excess leave time into the next three (3) months of the new calendar year, if rescheduling of the vacation leave is not possible. 4. Upon termination, vacation used shall be prorated against vacation earned. Every City employee who leaves the City employ for any reason shall be granted all accumulated vacation or shall be paid therefore at his rate of compensation applicable at the time he leaves the City employ. If an employee works 50% of the pay period, the employee shall receive credit for that pay period's vacation accrual. If an employee works less than 50% of the pay period, the employee accrues nothing. 5. Employees may elect to sell back vacation during a calendar year equal to the amount of vacation taken during the year, by the date of the request, not to exceed a maximum of 80 hours in the calendar year. Section E. SICK LEAVE 1. Every full-time employee represented by this agreement shall be granted sick leave with full pay. Said sick leave shall be accumulated beginning with the first full pay period of employment on the basis of 3.693 hours for each pay period of service completed with the City. Employees may accumulate up to a maximum of 2,000 hours of sick leave with pay. For the purposes of overtime calculation, paid sick leave, when accompanied by a doctor's note verifying illness, shall be regarded as hours worked. 2. City Manager or designee may require a medical examination by a physician or evidence of the reason for an absence of any employee during absence on account of illness of such employee. 21 3. Except as provided hereinafter, sick leave means authorized absence from duty of an employee who is temporarily disabled and unable to work due to a non-work related medical condition or due to a scheduled medical or dental appointment during regular working hours for a non-work related medical condition. Every effort shall be made to schedule appointments during non-working hours. Employees that are injured on duty, and the injury is recognized as such by the City or the WCAB, and not eligible to receive salary to supplement workers' compensation temporary disability benefits under Section F of this Article, may request that accrued sick leave be paid to supplement workers' compensation disability payments. 4. Sick leave may be used by an employee when their attendance upon a member of the employee's family dependent who is seriously ill and requiring the attendance of such employee. Sick leave may also be used when the employee's family dependent requires the employee's presence at the dependent's medical or dental appointment during regular working hours. Every effort shall be made to schedule appointments during non-working hours. Family dependents shall include only dependents currently residing in the employee's household, or the employee's minor children. 5. The appointing power and City Manager may require evidence of the reason for any employee's absence caused by illness or death in the immediate family of the employee during the time for which sick leave is requested. 6. In order to be eligible for sick leave, an employee must provide at least fifteen (15) minutes advance notice of an absence. Failure to do so without good cause may result in denial of sick leave and disciplinary action. 7. In case of absence due to illness, the employee shall notify his department in accordance with departmental rules and explain the nature of the illness. The appointing power and City Manager may deny or revoke sick leave if the illness or injury for which it is taken is caused or substantially aggravated by compensated outside employment. 8. Upon separation from the City of Arcadia, an employee who works 50% of the final pay period, shall receive credit for that pay period's sick leave accrual. If an employee works less than 50% of the pay period, the employee accrues nothing. 22 Section F. WORKERS' COMPENSATION In those instances where an employee of the City of Arcadia is injured on duty and the injury is so recognized by the Workers' Compensation Act by the City of Arcadia or the Workers' Compensation Appeals Board, such employee may be paid a combination of salary and Workers' Compensation equal to his regular salary rate for such time as he is absent from duty because of such injury. Such payment shall be granted only to employees with three or more full years of continuous service with the City as well as to those who have completed their initial probation with the City as of June 14, 1999. The leave shall be for up to a maximum of ten months from and after date of such injury. Lost time due to an injury on duty shall not be charged against an employee's accumulated sick leave. Section G. HOLIDAYS 1. Each employee in a classification represented by this MOU shall be allowed the following holidays with pay: New Year's Day January 1 President's Day The third Monday in February Memorial Day The last Monday in May Independence Day July 4 Labor Day The first Monday in September Admission Day September 9 Veteran's Day November 11 Thanksgiving Day The fourth Thursday in November Day after Thanksgiving Day The Friday following the fourth Thursday in November Christmas Eve December 24 (4 hours) Christmas Day December 25 New Year's Eve December 31 (4 hours) Every day appointed by the City Council for a public fast, thanksgiving or holiday. For full-time employees assigned to an alternate work week, and scheduled to work 9 or more hours, but for the holiday would have been scheduled to work 9 or more hours, the employee may use accrued vacation time, accrued comp time, floating holiday time or unpaid leave to make up any difference between the provided nine hours of holiday pay and the actual number of regularly scheduled working hours for a designated holiday. For example, if a holiday falls on a day an employee is scheduled to work ten (10) hours, the employee shall receive nine (9) hours of holiday pay and be permitted to use other accrued leaves to make up the extra hour for that day. 23 2. In lieu of Citywide holidays to celebrate Dr. Martin Luther King's birthday and Admission Day, full-time employees shall receive two (2) eight (8) hour floating holidays to be scheduled by the employee in the same manner as vacation leave. Additionally, full-time employees shall receive an eight (8) hour floating holiday for his/her birthday to be scheduled by the employee in the same manner as vacation leave. Floating holidays shall not carry over into subsequent fiscal years and failure to schedule a floating holiday in the fiscal year in which it is earned shall result in its loss. If the City adopts Dr. Martin Luther King's birthday as a fixed Citywide holiday or it re-adopts Admission Day as a fixed Citywide holiday, the floating holiday(s) based thereon shall cease and eligible employee shall receive the fixed Citywide holiday(s). 3. Full-time employees in the unit employed on July 1 of the fiscal year shall conditionally accrue twenty-four (24) hours of floating holiday. If the employee uses floating holiday leave and separates from City employment before the date upon which the floating holiday is based (Dr. Martin Luther King's birthday, Admission Day and/or the Employee's birthday), said floating holiday leave shall be repaid to the City through payroll deduction. Employees hired after the beginning of the fiscal year shall accrue floating holiday only if the employee is employed before the date on which the floating holiday is based (Dr. Martin Luther King's birthday, Admission Day and/or the Employee's birthday). 4. As an example, an employee hired on July 15, whose birthday is August 5, would receive a floating holiday for his birthday, Admission Day and Dr. Martin Luther King's birthday for that fiscal year. However, if that same employee was hired on March 15, the employee would not receive any floating holiday benefit for that fiscal year. 5. If a holiday falls on a Friday that City operations are closed, under the 9/80 work schedule, each employee will receive eight (8) hours of floating holiday time. Floating holiday time is not accruable and not payable if unused. The floating holiday must be used by the end of the fiscal year in which it is granted or it shall be forfeited. 6. Each employee in a classification represented by this MOU shall be allowed eight (8) hours floating holiday for his or her birthday to be scheduled by the employee in the same manner as vacation days are scheduled. Floating holidays do not carry over from calendar year to calendar year. Failure to schedule the day off within the calendar year shall result in its loss. 24 Section H. WITNESS LEAVE An employee who is subpoenaed or required to appear in Court as a witness shall be deemed to be on a leave of absence. With approval of the appointing power and City Manager, the employee may be granted leave with pay during the required absence. The employee shall remit to the City fees received except mileage. A paid leave of absence shall not be granted for time spent in Court on personal cases. Section I. BEREAVEMENT LEAVE At the time of death, or where death appears imminent in the immediate family, an employee may be granted a leave of absence with pay, upon approval of the appointing power and the City Manager. Immediate family is defined as the spouse/registered domestic partner, the employee or employee's spouse's mother or stepmother, father or stepfather, brother or sister or step sibling, child or stepchild, grandparents, grandchildren, or any relative of the employee or employee's spouse residing in the same household. Such leave shall be granted based on employee's current work shift up to a maximum of three (3) shifts; provided, however, if the employee is required to travel more than three hundred (300) miles from his or her residence, the employee may take an additional two (2) days which will be charged to accrued sick leave. Section J. UNAUTHORIZED ABSENCE Unauthorized leaves of absence are cause for immediate dismissal. ARTICLE XVI PROBATIONARY PERIOD Section A. The probationary period is part of the examination process. It is a work- test period during which the employee's performance and conduct on the job are evaluated to determine whether or not the employee is fully qualified for permanent appointment. During the probationary period, a probationer may be released, or demoted if permanent status is held in a lower classification, without the right of appeal, if the appointing power deems the probationer unfit or unsatisfactory for service. 25 When a provisional appointment is made to a probationary position and subsequently the appointee is appointed to the position as a probationary employee, with no time interval between the provisional and probationary appointment, the "employment date" as herein defined, shall be the date first appointed on a provisional basis. Section B. All eligible candidates appointed to a position from an open competitive examination and who are not currently employed in a permanent position shall be on probation for twelve months before attaining permanent status. Section C. Eligible candidates appointed from a promotional list shall be on probation for six months before attaining permanent status. ARTICLE XVII ACTING PAY Section A. ACTING PAY Any employee in the unit who is required, in writing, to work three (3) working days or longer in a higher classification which is vacant due to sick leave, injury leave, vacation, termination or move up due to acting pay shall receive the following acting pay retroactive to the first day of the assignment: 1. Five (5) percent above their current rate of pay or A step of the higher classification; or 2. An employee in the classification of Maintenance Worker assigned to an acting position of Crew Supervisor in the following: Building Maintenance, Fleet Maintenance, Maintenance, Water Maintenance, Water Production, and/or Water Services Representative shall receive ten (10) percent above their current rate of pay; or 3. Should such percentage exceed the top step of the range for the higher classification, the employee shall receive compensation at the top step of the higher classification. Section B. EXCEPTION Nothing contained herein shall apply to an employee who is being trained by the City to qualify for a higher classification. 26 ARTICLE XVIII LAYOFFS Section A. LAYOFF PROCEDURE The City Manager or appointing power may lay off an employee in the Classified Service because of a material change in duties or organization, inclement weather, adverse working conditions, shortage of work or funds or return of employees from authorized leave of absence. The order of layoff shall be temporary, probationary, and then regular employees and shall be (1) based on performance and (2) in the reverse of total cumulative time served in the same class or promotional field upon the date established for the layoff to become effective. For the purposes of layoffs, seniority will only be disregarded if an employee's overall performance evaluation rating in any one of the last three years is below proficient. In such case, the layoff shall be based upon performance. Regular full-time employees who receive notice of layoff may, in lieu of layoff, voluntarily demote to the next lower classification that the employee previously held within the unit, provided such employee's seniority in the department is greater than an employee holding the lower position. Section B. RE-EMPLOYMENT LIST The names of employees shall be placed upon reemployment lists in the reverse order of the layoff. Re-employment lists shall remain effective for two (2) years from the effective date of separation from service. Section C. SEVERANCE PAY A full-time employee whose position is abolished or vacated by a reduction in work load or lack of funds, and has at least one (1) year of consecutive full time service with the City shall receive, upon termination, severance pay. Severance pay shall be a lump sum payment equal to 1/5th of their previous months' salary times the number of years of consecutive service, not exceeding five (5) years of service. 27 ARTICLE XIX PERSONNEL FILES Section A. PERSONNEL FILES The City shall maintain a central personnel file for each employee. Supervisors may maintain working personnel files. If a supervisor maintains a working personnel file, copies of written material which is to be used as a basis for employee discipline shall be sent to the central personnel file and given to the employee. Copies of performance evaluations and/or disciplinary actions shall not be entered in the file, until the employee is given a copy and an opportunity to review and comment thereon. The employee shall be given an opportunity during working hours to initial, date, and file a written response to the material. The written response shall be attached to the material. An employee or their designated representative (in writing) shall have the right to examine and/or obtain copies of any material from the employee's personnel file. Such copies shall be provided at the employee's cost. Section B. PROMOTIONAL RECUITMENTS Discipline older than three (3) years will not be considered in promotional recruitments. Section C. WRITTEN REPRIMAND REVIEW Effective July 1, 2011, the Human Resources Administrator or designee agrees to conduct an informal meeting with members who receive a written reprimand and wish to discuss said reprimand. ARTICLE XX EMPLOYEE GRIEVANCES Section A. DEFINITIONS 1. Grievance — A grievance is an allegation by an employee(s) of a misinterpretation or misapplication of any express provision of the applicable Memorandum of Understanding or City and/or Department Personnel Rules and Regulations where there is no other specific method of review provided by City law. 28 2. Grievant — An employee or group of employees in the classified service adversely affected by an act or omission by the City allegedly in violation of an express provision of the Memorandum of Understanding or City and/or Department Personnel Rules and Regulations. 3. Department Head —The Department Head or designee. 4. Work day — A work day is any day the City offices are regularly open for business. 5. Exclusions from the Grievance Procedure: a. The procedure is not to be used for the purpose of changing wages, hours and working conditions. Allegations involving wages, hours and working conditions may thus be grieved only if the grievance involves a misapplication or misinterpretation of an express provision of the MOU or a City/Department Personnel Rules and Regulations. b. The procedure is not intended to be used to challenge the content of employee evaluations or performance reviews. Allegations that the City has failed to comply with an evaluation procedure set forth in a specific provision of the MOU and/or City/Department Personnel Rules and Regulations are grievable. c. The procedure is not intended to be used to challenge a reclassification, layoff, transfer, denial of reinstatement, or denial of a step or merit increase. Notwithstanding the above, if the process used to reach the foregoing decisions is not in compliance with an express provision of the MOU and/or City/Department Personnel Rules and Regulations, a grievance may be filed. d. The procedure is not intended to be used in cases of oral or written reprimand, demotion, suspension, removal or other disciplinary action. Appeals of disciplinary actions are covered by the City's Personnel Rules and Regulations. e. The procedure is not to be used to challenge examinations or appointment to positions. Notwithstanding the above, if the process used to reach the foregoing decisions is not in compliance with an express provision of the MOU and/or City/Department Personnel Rules and Regulations, a grievance may be filed. 29 Section B. TIMELINESS The grievance must be filed by the employee within the timelines set forth herein. Failure of the employee to file the initial grievance or process the grievance from one level to another in a timely manner is a forfeiture of the grievance and the grievance will not be processed further. If the City fails to respond in a timely manner, the employee may proceed to the next level. Section C. EMPLOYEE REPRESENTATION The employee may be represented by a person of his or her choice to prepare and present the grievance. The employee may use a reasonable amount of released time to process the grievance. The release time must be approved by the Department Head. Section D. INFORMAL GRIEVANCE PROCEDURE Within fifteen (15) working days following the event, or within fifteen (15) working days after the employee should reasonably have known of the event, the employee should attempt to resolve the grievance on an informal basis by discussion with his or her immediate supervisor. Section E. FORMAL GRIEVANCE PROCEDURE 1. First Level of Review: Next Level Supervisor. If the employee is not able to resolve the grievance after discussion with his or her immediate supervisor, within ten (10) working days after the informal discussion with the immediate supervisor, the employee shall present the grievance in writing to the next level supervisor on the official City grievance form setting forth the following information: a. The specific section of the rules or MOU allegedly violated. b. The specific act or omission which gave rise to the alleged violation. c. The date or dates on which the violation occurred. d. Documents, witnesses or evidence in support of the grievance. e. The resolution of the grievance at the informal stage. A copy of the grievance shall be provided to the Human Resources Division of the Administrative Services Department concurrently with presentation to the immediate supervisor. The next level supervisor shall render a decision in writing, on the grievance form, within ten (10) working days after receiving the grievance. 30 2. Department Head Review. If the employee does not agree with the decision of the next level supervisor, within ten (10) working days after receiving the next level supervisor's decision or twenty (20) days from the date the next level supervisor received the grievance but failed to issue a decision, the employee shall present the grievance in writing, on the grievance form, to the department head. The department head may require the employee and the immediate supervisor to attend a grievance meeting. The department head shall communicate a decision in writing within ten (10) working days of receiving the grievance or within ten (10) working days of holding a grievance meeting whichever is longer. 3. Human Resources Administrator. If the employee is not in agreement with the decision reached by the department head, within ten (10) working days after receiving the department head's decision or twenty (20) days from the date the department administrator received the grievance but failed to issue a decision, the employee shall present the grievance in writing to the Human Resources Administrator on the official City grievance form. The Human Resources Administrator may require the employee and the immediate supervisor to attend a grievance meeting. The Human Resources Administrator shall communicate a decision in writing within ten (10) working days of receiving the grievance or the holding of a grievance meeting whichever is longer. 4. Human Resources Commission. If the employee is not in agreement with the decision of the Human Resources Administrator or if the Human Resources Administrator has failed to respond, the employee shall present the grievance to the Human Resources Commission within ten (10) working days from the date of receipt of the Human Resources Administrator's decision or twenty (20) days from the date the Human Resources Administrator received the grievance but failed to issue a decision. Section F. APPEAL TO HUMAN RESOURCES COMMISSION 1. Scheduling of Hearing: Upon receipt of the request for an appeal, the City shall, within thirty (30) days, transmit the appeal to the Human Resources Commission. The Commission shall schedule a hearing. The appeal hearing shall be set not less than twenty (20) working days nor more than sixty (60) working days from the date of the filing of the appeal. All interested parties shall be notified in writing of the date, time, and place of the hearing at least ten (10) working days prior to the hearing. 31 2. Public Hearings: All hearings shall be open to the public. 3. Pre-Hearing Procedure: a. Subpoenas: The Human Resources Commission is authorized to issue subpoenas at the request of either party prior to the commencement of the hearing. After the commencement of the hearing, subpoenas shall be issued by the Commission only for good cause. Each party will prepare their own subpoenas and present them to the Human Resources Division of the Administrative Services Department and the other party. The Human Resources Division of the Administrative Services Department will issue the subpoenas. The Human Resources Division of the Administrative Services Department will serve subpoenas for current City employees. It will be the responsibility of the employee or the City to serve subpoenas on individuals who are not currently employed by the City. It will be the responsibility of the employee and the City to submit the written request for subpoenas at least ten (10) working days before the date of the hearing. b. Exhibits and Witness Lists: Five (5) working days prior to the date set for the hearing, each party shall serve upon the other party and submit to the Human Resources Division of the Administrative Services Department a list of all witnesses and a list and copy of all exhibits. An original and nine (9) copies of the exhibits shall be presented to the Human Resources Division of the Administrative Services Department in 3 hole notebooks which are tabbed down the side with the exhibit numbers. The employer's exhibits shall be designated by number. The employee's exhibits shall be designated by alphabetical letter. Neither party will be permitted to call during the hearing, a witness not identified pursuant to this section nor use any exhibit not provided pursuant to this section unless that party can show that they could not reasonably have anticipated the prior need for such witness or such exhibit. c. Statement of Issues: Five (5) working days prior to the date set for the hearing, each party shall submit to the Human Resources Division of the Administrative Services Department a Statement of Issues. 32 4. Submission to the Human Resources Commission: Five (5) working days prior to the date set for the hearing, the Human Resources Division of the Administrative Services Department shall present each member of the Human Resources Commission with a copy of the jurisdictional documents. Those documents include the grievance documents at each level and the responses to the grievance. 5. Payment of Employee Witnesses: Employees of the City who are subpoenaed to testify during working hours will be released with pay to appear at the hearing. The Commission may direct that these employees remain on call until called to testify. Employees who are subpoenaed to testify during non-working hours will be compensated for the time they actually testify, unless the City agrees to a different arrangement. 6. Conduct of the Hearing: a. The hearing need not be conducted in accordance with technical rules relating to evidence and witnesses but hearings shall be conducted in a manner most conducive to determination of the truth. b. Any relevant evidence may be admitted if it is the type of evidence on which responsible persons are accustomed to rely in the conduct of serious affairs, regardless of the existence of any common law or statutory rules which might make improper the admission of such evidence over objection in civil actions. c. Hearsay evidence may be used for the purpose of supplementing or explaining any direct evidence that shall not be sufficient in itself to support a finding unless it would be admissible over objection in civil actions. d. The rules dealing with privileges shall be effective to the same extent that they are now or hereafter may be recognized in civil actions. e. Irrelevant and unduly repetitious evidence may be excluded. f. The Human Resources Commission shall determine relevancy, weight and credibility of testimony and evidence. Decisions made by the Commission shall not be invalidated by any informality in the proceedings. 33 g. During examination of a witness, all other witnesses, except the parties, shall be excluded from the hearing upon motion of either party. h. The Human Resources Commission may conduct the hearing or delegate evidentiary and/or procedural rulings to its legal counsel. 7. Burden of Proof. In a grievance appeal the grievant has the burden of proof by preponderance of the evidence. 8. Proceed with Hearing or Request for Continuance: Each side should be asked if it is ready to proceed. If either side is not ready and wishes a continuance, good cause must be stated. Any request for a continuance must be made in writing and submitted prior to the hearing to all parties. Before requesting a continuance, the moving party shall contact all parties to determine if there is any opposition to the continuance and shall state in its request if there is opposition. 9. Testimony under Oath: All witnesses shall be sworn in for the record prior to offering testimony at the hearing. The chairperson will request the witnesses to raise their right hand and respond to the following: "Do you swear that the testimony you are about to give at this hearing is the truth, the whole truth and nothing but the truth?" 10.Presentation of the Case: The hearing shall proceed in the following order unless the Human Resources Commission for special reason, directs otherwise: a. The Human Resources Chair shall announce the issues after a review of the statement of issues presented by each party. b. The grievant (employee) shall be permitted to make an opening statement. c. The respondent (City) shall be permitted to make an opening statement, or reserve an opening statement until presentation of its case. d. The grievant shall produce his/her evidence. e. The respondent may then offer its evidence. f. The grievant followed by the respondent may offer rebutting evidence. g. Closing arguments shall be permitted at the discretion of the Human Resources Commission. The party with the burden of proof shall have the right to go first and to close the hearing by making the last argument. The Commission may place a time limit on closing arguments. The Commission or the parties may request the submission of written briefs. After the request for submittal of 34 written briefs, the Commission will determine whether to allow the parties to submit written briefs and determine the number of pages of said briefs. 11.Procedure for the Parties: The party representing the department and the party representing the employee will address their remarks, including objections, to the Chair of the Human Resources Commission. Objections may be ruled upon summarily or argument may be permitted. The Chair reserves the right to terminate argument at any time and issue a ruling regarding an objection or any other matter, and thereafter the representatives shall continue with the presentation of their case. 12.Right to Control Proceedings: While the parties are generally free to present their case in the order that they prefer, the Chair reserves the right to control the proceedings, including, but not limited to, altering the order of witnesses, limiting redundant or irrelevant testimony, or by the direct questioning of witnesses. 13.Hearing Demeanor and Behavior: All parties and their attorneys or representatives shall not, by written submission or oral presentation, disparage the intelligence, ethics, morals, integrity or personal behavior of their adversaries or members of the Commission. 14.Deliberation Upon the Case: The Commission will consider all oral and documentary evidence, the credibility of witnesses, and other appropriate factors in reaching their decision. The Commission may deliberate at the close of the hearing in closed session or at a later fixed date and time not to exceed ten (10) working days. 15.Recommended Decision: The Human Resources Commission shall render its recommendations as soon after the conclusion of the hearing as possible, and no event, later than ten (10) working days after concluding the hearing, unless otherwise stipulated to by the parties. The recommended decision shall include an explanation of the basis for the decision. The Human Resources Commission shall not be polled as to their decision by the grievant or the grievants' counsel. 16.Recommendation to the City Manager. The decision of the Human Resources Commission is advisory to the City Manager. The proposed decision shall be provided to the grievant and the City Manager. 35 Either the employee or the department may file a written appeal to the proposed decision, by filing exceptions thereto with the Human Resources Administrator within ten (10) days of receipt of the Commission's recommended decision. The party desiring to contest the recommended decision of the Commission may also request a transcript for review by the City Manager within ten (10) working days of the Commission's decision. If the appealing party requests a transcript, that party shall pay the cost of the transcript. 17.Final Action by City Manager. Within ten (10) working days of the filing of exceptions, or within ten (10) days of receipt of the transcript, the City Manager shall review the decision of the Commission, any exceptions filed, and a record, if one is requested. The decision of the City Manager shall be final. The decision shall be transmitted to the employee and to the department head. ARTICLE XXI LABOR - MANAGEMENT COMMITTEE The City and the Association hereby agree to the establishment of an ad hoc committee to discuss employer-employee relation matters. Each side may designate up to two (2) Public Works Services Department representatives to serve on the committee. For purpose of coordination only, the Human Resources Administrator shall be chairman of the committee. The committee shall meet quarterly as necessary, at a mutually agreed upon time and place. The party requesting the meeting shall submit an agenda of topics to be discussed no less than five (5) days prior to the scheduled meeting date. 36 ARTICLE XXII FULL UNDERSTANDING Section A. This Memorandum of Understanding contains all the covenants, stipulations and provisions agreed upon by the parties and any other prior existing understanding or Agreements by the parties, whether formal or informal, regarding any such matters are hereby superseded or terminated in their entirety. It is the intent of the parties that this Agreement be administered in its entirety in good faith during its full term. The Association recognizes that during such term it may be necessary for Management to make changes in rules or procedures affecting the employees in the unit and that the City will meet and confer as required by law, before implementing changes. For the life of this agreement it is agreed and understood that the Association hereto voluntarily and unqualifiedly waives its rights and agrees that the City shall not be required to meet and confer with respect to any subject or matter whether referred to or covered in this Agreement or not during the term of this Agreement. However, the specific provisions of this contract may not be reopened during the term of this contract without the consent of the City and the Association. Section B. The parties hereto have caused the Memorandum of Understanding to be executed this day of 2011. ARCADIA PUBLIC WORKS CITY OF ARCADIA EMPLOYEES ASSOCIATION Anthony Pulido Don Penman APWEA President City Manager 37 2010-2014 NEGOTIATION TEAMS APWEA City of Arcadia Kevin Henderson, Tom Tait, Team Member Public Works Services Director Jerry Moeller, Hue Quach, Team Member Administrative Services Director Anthony Pulido, Michael A. Casalou, Team Member Human Resources Administrator Jon Shoemaker, Yvonne Yeung, Team Member Senior Management Analyst Kevin Tobin, William W. Floyd, Jr., Team Member Attorney Mike Gaskins, CEA Representative 38 Q :n LE ' Od' OOO 'C O CI) Oet 'Cr oO4- t` COOLn LC) X Ln V et M V et Lc) L) r- c0 O N et N- O co (O O O 'cW a ti CO O O 4- N M Ln CO OR. 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I-O C O N 13 N •� L L �°+ o m c aN d a a u c.)) « ti 3 E y c a L co E r I- d CAr V o 3 3 3 U C) '0 J 0 V d p 0 Y H w �. > G) FO- U C ,aa) V V 0 CC w-• O. .dr O IC_a CCa U) w rn « m a) .O 0 C m •V •� CO 7 .0 C 7 C AN CO t0 C L 0 0 2 O. .0 r CO)C m =' 0 .7 ,O m U id d u v 2 C) 3 C FO- a 0.s 1- 1- 0d 4 C CO` C` w C6 d twE •O :-O O O O R � '� R C) a� m d co i- 2 I� 3W mU) U. U I= 3 CI) m' 531. 3 a a a a a a a a a a a a a a a a a a a a a i co Is. CO O) O s- N C) If U) CD 1- co Of O s- N M et IC) ED 41 It et et It IC) U) U) U) U7 U) U') U) U7 U) CD ED ED MD MA CD CD C E m 7 re Z Exhibit"B" LETTER OF AGREEMENT BETWEEN THE CITY OF ARCADIA AND ARCADIA PUBLIC WORKS EMPLOYEE ASSOCIATION The City of Arcadia and the Arcadia Public Works Employee Association (APWEA) agree to amend Article VIII, Section A, Stability Pay/Longevity Pay of the 2011-2014 MOU as follows: Section A. STABILITY PAY Stability Pay is applicable only to employees who were hired prior to July 1, 1983. The plan pays $25 per year for each year of consecutive service up to a maximum of twenty years (20)of service, where the maximum attainable is $500. Cash Stability payments are made once a year between December 1, and December 10, only to employees on the payroll as of December 1. Stability Payments will be paid on a pro-rata basis to employees that retire or are laid off prior to December 1, provided they meet all eligibility requirements. 4F0F- I I Anthony Pu iso Date Don Penman Date APWEA President City Manager