HomeMy WebLinkAbout12 - Draft Revisions to the Newport Beach Key and Management Compensation Plan (K&M)TO:
FROM:
CITY OF
NEWPORT BEACH
City Council Staff Report
March 26, 2019
Agenda Item No. 12
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
Grace K. Leung, City Manager - 949-644-3001,
gleung@newportbeachca.gov
Barbara J. Salvini, Human Resources Director - 949-644-3259,
bsalvini(a�newportbeachca.gov
PREPARED BY: Barbara J. Salvini, Human Resources Director,
bsalvini(a�newportbeachca.gov
PHONE: 949-644-3259
Draft Revisions to the Newport Beach Key and Management
TITLE: Compensation Plan (K&M)
ABSTRACT:
The Compensation Plan (Plan) between the City of Newport Beach (City) and the
Newport Beach Key and Management (K&M) group expired December 31, 2018.
Historically, the wages, benefits and other terms and conditions of employment for the
K&M group have closely mirrored the terms and conditions of employment set forth in the
Newport Beach City Employees Association (NBCEA) and Newport Beach Professional
and Technical Employees Association (NBPTEA) Memoranda of Understanding (MOUs).
To promote greater transparency of this group's total compensation, the costs associated
with the draft revisions to the Plan are being presented at this time for public review and
comment. The complete Plan, which spans the time period from January 1, 2019 through
December 31, 2021, will be presented for City Council consideration at the April 9, 2019
regular meeting.
RECOMMENDATION:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because
this action will not result in a physical change to the environment, directly or indirectly;
and
b) Receive and consider the revised Key and Management Compensation Plan.
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Draft Revisions to the Newport Beach Key and Management Compensation Plan (K&M)
March 26, 2019
Page 2
FUNDING REQUIREMENTS:
The Key and Management Plan and Resolution will be presented to the City Council for
consideration at the April 9, 2019 regular meeting, along with a budget amendment
appropriating the cost to implement the terms for the remaining fiscal year (FY2018/19)
from the General Fund Unappropriated Fund Balance. The estimated costs associated
with the salary and benefits provided in the K&M Plan are provided in Attachment B.
DISCUSSION:
The K&M Plan covers approximately 81 miscellaneous (non -safety) and six (6) safety
unrepresented, budgeted positions in the confidential, supervisory, managerial and
executive classifications. To maintain parity, the City has traditionally provided K&M
employees with compensation and benefits adjustments comparable to NBCEA and
NBPTEA.
Salient revisions of the Plan between the City and K&M include:
• Term of three (3) years, from January 1, 2019 through December 31, 2021
• Wage Adjustments for Eligible Employees
✓ January 1, 2019 (retroactive) — 2%
✓ January 1, 2020 — 2%
✓ January 1, 2021 — 2%
• A one-time, Lump Sum Payment, which will not be reported to CalPERS as
compensation earned/pensionable compensation
✓ Pay period of City Council adoption — $2,700
✓ Not provided to City Clerk, City Attorney, City Manager, Police Chief or Fire
Chief
• LIUNA supplemental pension plan
✓ K&M employees will pick up the total cost of the LIUNA plan
• Revisions to the Cafeteria Plan for new employees
• Restructuring of non-FLSA overtime
• Revisions to leave cash outs, including the RHS Part C contribution
• Reimbursement for executive physicals, up to $1,000, for executive management
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Draft Revisions to the Newport Beach Key and Management Compensation Plan (K&M)
March 26, 2019
Page 3
A proposed draft version of the K&M Plan is included in Attachment A with changes from
the current Plan in redline. Costing information is included in Attachment B. The estimated
total cost of implementing the salary and benefits outlined in the Plan is $2,048,332.
The Plan will not become effective until the City Council takes action to adopt it. If the City
Council approves adoption of the revised Plan with K&M, Human Resources staff
members will work to implement the provisions as soon as practicable.
Following tonight's City Council review of the proposed revisions to the Plan with K&M, a
final version of the successor Plan will be presented at the April 9, 2019 regular City
Council meeting. Tonight's costing information and proposed revisions to the Plan will be
posted for public review on the City's website.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A — Revised Key and Management Compensation Plan (Plan) with Salary
Adjustments and proposed Plan (redlined) between the City and the
K&M Group
Attachment B — Estimated Cost of K&M Plan
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Attachment A
INTRODUCTION
Consistent with applicable laws +The following represents the salary and benefit program
established by the City Council for Key and Management. The Key and Management
Compensation Plan shall in no manner be interpreted as a guaranteed or implied contract
between the City and any employee or group of employees.
The Key and Management Group is divided into five categories:
• Executive Management
• Administrative Management
• Administrative Management -Safety
• Division Management
• Confidential
Appendix A lists all classifications in each category.
COMPENSATION
A. Salary
Non Safety:
Key and Management non -safety employees (excluding City Manager, City
Attorney, and City Clerk) will receive the following adjustments, as provided in
Appendix A:
Effective the pay period that includes January 1, 2019B, base salaries will be
increased by two percent (2.065%1.
Effective the pay period that includes January 1, 2020, base salaries will be
increased by two percent (2.065%).
Effective the pay period that includes January 1, 2021, base salaries will be
increased by two percent (2.0%).
Safety:
Pay rates for Safety employees shall be provided in Appendix A as follows:
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E=ffeGfiVe—the no„ norie that i Gh4de lon(4or' 4, 2046, rihoop salaes wiX �hc
;nc-reaseeby 3.3% for- theAssistant PGliGe Chief GlaSSmEatien. T",efea t�Cost-
of-living adjustments for the Assistant Police Chief classification shall be tied to the
cost -of -living adjustments received by Police Management Association employees
during the term of this Plan. as fel.�lows. E eGtive the fiFstneriocl that includes
january 1 2/ 17 hose salary will he inGFes� by 2.5%. �eG���e first a
rra-ar�� c-�..sc� c c-m-orlvcr�
�r�that inGlUdes january 1 2018, base salami will he inresed by 3.0%
EFteEtiVe-the nasi period that in des lan„ary 1 2016base sala�sf-for -h 1
t
Assisttanam- ire Chief GlaS-SiTiEatl-1 will be inGreased by 4. % TheFeafartcr-,CGost-of
living adjustments for the Assistant Fire Chief classification shall be tied to the cost -
of -living adjustments Feeeived byoutlined in sirManagement ASS GST
eoyeesthe Key & �,M)'a�nagement Compensation Plan during the term of this
Plan. ams: cffeGtive the first G114 les january 1 2017,�c
salary will he inGres 7 effeatiFe first ori period that inGlud
january 1 `018 base salary wig he inGrese h;, `.75
i-rzrcxr��� v�-�..rc� ^� J
The Assistant Chief, Lifeguard Operations classification's cost -of -living
adjustments are tied by prior Council resolution to the cost -of -living adjustments
received by Lifeguard Management Association Battalion Chiefseleyeea during
the term of this Plan. As sUnh this nlassifination wig rename the fn/lowing nnst_nf_
salary will be inGreased by 0
217, ham- bae salary wig he inGesed by 2.5%.
r
Range Advancement
Advancement through the salary range varies depending on the Group to which
the employee is assigned:
Executive Management - No steps; movement at the discretion of the City
Manager.
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I�
1
Range Advancement
Advancement through the salary range varies depending on the Group to which
the employee is assigned:
Executive Management - No steps; movement at the discretion of the City
Manager.
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C
A
E
Administrative Management - Five-step range with eligibility for merit step
increases on an annual basis.
Administrative Management -Safety - Five-step range with eligibility for merit step
increases on an annual basis.
Division Management - Five-step range with eligibility for merit step increases on
an annual basis.
Confidential - Eight -step range with eligibility for merit step increases on an annual
basis.
Salary steps are placed in five percent (5%) increments within the range for
Administrative Management, Administrative Management -Safety, Division
Management, and Confidential groups.
Performance Reviews and Anniversary Dates
All Key and Management employees hired prior to December 31, 2001 will have a
December 1, or first full pay period in December, anniversary date. Key and
Management employees hired after December 2001 will have an anniversary date
based upon hire date and hours of service. All Executive Management
performance evaluations will be reviewed by the City Manager prior to
implementation of any range advancement.
Bilingual Pay
Upon determination by the Department Director that an employee's ability to
speak, read and/or write in Spanish or other language as approved, contributes to
the Department, the employee shall be eligible to receive $150 per month in
bilingual pay. A certification process will be conducted by the Human Resources
Department which will confirm that the employee is fluent at the street
conversational level in speaking, reading and/or writing Spanish or other approved
language.
The parties agree that to the extent permitted by law, the Bilingual pay in this
section is special compensation and shall be reported to Ca/PERS as such
pursuant to Title 2 CCR. Section 571 (a)(4) and 571.1 (b)(3) Bilinaual Premium.
Non -Exempt Overtime and Compensatory Time Off
Employees in non-exempt positions are eligible to receive overtime or
compensatory time off. FLSA Oovertime for non-exempt positions shall be paid at
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one -and -one-half (1'/2) times the employee's regular rate of pay. The rate at which
Non-FLSA Overtime is calculated shall not include the City's Cafeteria Plan
Allowance, the opt -out Cafeteria Plan Allowance, or any cash back an employee
may receive from the Cafeteria Plan Allowance by choosing benefits which cost
less than the Allowance. Overtime work must be approved by the employee's
supervisor.
Compensatory time off for non-exempt positions shall accrue at the rate of one -
and -one-half (1'/2) times for every overtime hour worked. Employees may
accumulate up to eighty (80) hours of cGompensatory Ttime off. If such an
employee accrues eighty (80) hours of compensatory time off, he or she will not
be able to accrue additional compensatory time off (and will be paid for any
overtime worked) unless and until he/she uses some of his/her hours and reduces
his compensatory time off bank below eighty (80) hours. °n„ hniirs in evness of
eighty (80) will be paid off. AGG61M61IatiGR on eXGeSS Of th� �Jhty (80) hours may -b -e
approved at the diSGretion of the Department Direr -ter
F. Jury Duty
A Key and Management employee called to serve as a juror shall notify his/her
Ssupervisor as soon as he/she is notified that he/she has to appear for duty. If an
employee calls in the night before and finds out he/she has to report for fury duty
the next day, the employee should send an email to his/her supervisor as soon as
possible to let the supervisor that the employee will reporting to fury duty the
following dayo„ the first Workday fGIIG iRg rcc t of the si immnnc. Key and
Management employees of the City legally required to serve as a juror shall be
entitled to leave with pay and all benefits for a period of up to sixty (60) days so
long as his/her presence is legally required and the process outlined in the
Employee Policy Manual is followed.
G. Uniform Allowance — Public Safety
As permissible by law, the City shall report to PERS the annual value of uniform
allowance at the following rates:
Police Chief - $1,350
Assistant Police Chief - $1,350
Fire Chief - $1.519
Assistant Fire Chief - $1,519
Assistant Chief, Lifeguard Operations - $838
PERS Reporting of Uniform Allowance - To the extent permitted by law, the
City shall report to the California Public Employees' Retirement System
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(CaIPERS) the uniform allowance for each employee as special
compensation in accordance with Title 2, California Code of
Regulation, Section 571(a)(5). Notwithstanding the previous sentence, for
"new members" as defined by the Public Employees' Pension Reform Act
of 2013, the uniform allowance will not be reported as pensionable
compensation to CaIPERS.
H. One -Time Payment
Effective following adoption of the Key & Management Compensation Plan, or as
soon thereafter as practicable, then currently employed (i.e., on the day of City
Council approval of the Plan) non -safety Key & Management employees
(excluding City Manager, City Attorney, and City Clerk, Police Chief and Fire Chief)
will receive a one-time payment of twenty seven hundred dollars ($2,74001. It is
understood this one-time payment does not meet the criteria under California Code
of Regulations 571(b) as reportable compensation for retirement purposes.
LEAVES
Unless rec-ei . 0 . ng a more enhanGed leave benefit than that proWded in the Key a
Management Pan at the Ume of adoption of this 2015 18 Pan, employees in t
Adrnh*trative Management Safety GlassifiGations shall be tied to the leave bene
pr-eWded to the Key and Management group at large du&g the effeGtiVe dates of this
Plan. Employees hired or promoted into these classifications in the Key and Management
group following adoption of the Compensation Plan shall be tied to the leave benefits
provided to the Key and Management group at large.
A. Holiday Leave -
Holidays
Independence Day
Labor Day
Veteran's Day
Thanksgiving Day
Day After Thanksgiving
Christmas Eve
Christmas Day
New Year's Eve
New Year's Day
Martin Luther King Birthday
Washington's Birthday
Observed
July 4
First Monday in September
November 11
Fourth Thursday in November
Friday following Thanksgiving
December 24 - last half of working day
December 25
December 31- last half of working day
January 1
Third Monday in January
Third Monday in February
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Memorial Day Last Monday in May
Floating Holiday (1) July 1St`
*The floating holiday (eight (8) hours of holiday leave) is awarded on July 1. The
hours are added to the employees' Flex Leave account.
Holidays will be paid based on the employee's regular work day schedule. For
example, if an employee is on a 9/80 schedule and the holiday is observed on a
day that the employee is regularly scheduled to work 9 hours, the employee is
entitled to receive 9 hours of holiday pay. However, if an employee is on a 9/80
schedule and the holiday is observed on a day that the employee is regularly
scheduled to work 8 hours, the employee is entitled to receive 8 hours of holiday
pay. Employees will receive 8 hours of holiday pay annually for the Floating
Holiday.
Holidays listed above (except the floating holiday) occurring on a Saturday shall
be observed the preceding Friday. Holidays occurring on a Sunday shall be
observed on the following Monday. (Half day holidays shall be observed prior to
the observed holiday).
B. Holidays — Public Safety
The provisions contained in this section apply to Administrative Management -
Safety (Assistant Chiefs) who are required to work without regard to holidays
based on assignment. Said employees shall receive 3.7 hours per pay period of
Holiday compensation as pay and reported to PERS as compensation earnable as
defined in Government Code Sec. 20636.
The parties aaree. to the extent permitted by law. the compensation in this section
is special compensation for those employees who are normally required to work
on an approved holiday because they work in positions that require scheduled
staffina without reaard to holidays and shall be reoorted as such Dursuant to Title
2 CCR. Section 571(a)(5) Holidav Pay.
C. Flex Leave
Regular full-time employees in the Administrative Management, Administrative
Management -Safety, Division Management and Confidential categories enrolled
in the flex leave program will earn leave according to the below.
KAaximi im
Years of Continuous Hrs Accrued Annual Allowable
Service per Pay Period hours Balance (hours)
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1 but less than 5
6.00
156.00
468.00
5 but less than 9
6.61
171.86
515.58
9 but less than 12
7.23
189.98
563.94
12 but less than 16
8.15
211.90
635.70
16 but less than 20
8.77
228.02
684.06
20 but less than 25
9.38
243.88
731.64
25 and over
10.00
260.00
780.00
Spillover: Employees hired prior to July 1, 1996 shall be paid for earned Flex leave
in excess of the employee's maximum accrual rate (spillover) provided that they
utilized at least 80 hours Flex leave the previous calendar year. Employees with
16 or more years of continuous service are required to use 120 hours of Flex leave
the previous calendar year.
Regular full-time employees in the Executive Management categoriesy will earn
Flex leave according to the following schedule:
Note: If an employee becomes sick in the first three months of employment, the
City will advance up to three (3) months of accrued Flex leave time to be used for
the illness only. If the employee terminates employment prior to three (3) months,
the employee will repay the equivalent to the number of Flex leave days that were
advanced to the employee.
Employees shall accrue three (3) months of Flex leave (as provided in the chart
above) upon completion of three (3) months of continuous employment with the
City of Newport Beach, provided however, this amount shall be reduced by any
Flex leave time advanced during the first three (3) months of employment.
1. Limit on Accumulation
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Maximum
Years of Continuous
Hrs Accrued
Annual
Allowable
Service
per Pay Period
hours
Balance (hours)
1 but less than 15
8.77
228
684.06
15 and over
DUFORg the fiFst three menths
months of o
rrrrn�rrr�-v-r-cr�etYt
9.69
of full tome ernpleyment,
ill ho ole ed in the
F,
252
new
��uccvurr.
employee's
755.82
regular employees
annra in+
Note: If an employee becomes sick in the first three months of employment, the
City will advance up to three (3) months of accrued Flex leave time to be used for
the illness only. If the employee terminates employment prior to three (3) months,
the employee will repay the equivalent to the number of Flex leave days that were
advanced to the employee.
Employees shall accrue three (3) months of Flex leave (as provided in the chart
above) upon completion of three (3) months of continuous employment with the
City of Newport Beach, provided however, this amount shall be reduced by any
Flex leave time advanced during the first three (3) months of employment.
1. Limit on Accumulation
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Employees first hired, or rehired by the City subsequent to July 1, 1996,
shall not be eligible for Flex leave spillover pay and shall not be entitled to
accrue Flex leave in excess of the Flex leave accrual threshold.
2. Method of Use
Flex leave may not be taken in excess of that actually accrued, and in no
case, except for illness, may it be taken prior to the completion of an
employee's initial probationary period.
The Department Director shall approve all requests for Flex leave, taking
into consideration the needs of the Department, and whenever possible, the
seniority and wishes of the employee.
D. Sick Leave
Key and Management employees employed by the City prior to initiation of the
Flex leave program had separate sick and vacation leave banks. With the initiation
of the Flex leave program, vacation leave was converted to Flex leave on an hour
for hour basis and any sick leave hours remained in a bank to be used as provided
in Section 11.2 (Sick Leave) of the Employee Policy Manual.
E. Kin Care
Employees may use up to'/2 of Flex leave accrued per year to provide care for any
member of the employee's immediate family in need of care due to illness or injury.
F. Bereavement Leave
Bereavement leave shall be defined as "the necessary absence from duty by an
employee haVinn a regular nr nrobatiORary appOintmoecause of the death or
terminal illness in his/her immediate family." Unit members shall be entitled to forty
(40) hours of bereavement leave per calendar year per incident (terminal illness
followed by death is considered one incident). Bereavement leave shall be
administered in accordance with the provisions of the Employee Policy Manual.
Leave hours need not be used consecutively, but should occur in proximate time
to the occurrence. For the purposes of this section, immediate family shall mean
an employee's father, mother, stepfather, stepmother, brother, sister,
spouse/domestic partner, child, stepchild, grandparents and the employee's
spouse/domestic partner's father, mother, brother, sister, child and grandparents.
An employee
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requesting bereavement leave shall notify his/her supervisor as soon as possible
of the need to take leave.
G. Administrative Leave
All overtime,either F GOMpensatery time off, was eliminated for FLSA exempt
MaRageMeRt PePcPSE)RR ' Ir i+o place, For Key and Management employees who
are exempt from overtime, Administrative Leave may bewas granted, for a
minimum of 8 hours and a maximum of 80 hours, as recommended by the
Department Director with the approval of the City Manager. The determination as
to how much Administrative Leave will be granted will be; based upon the number
of overtime hours normally worked each year by the individual exempt employee.
Administrative Leave does not accrue and therefore has no cash value. As such,
it cannot be carried over from vear to vear.
H. Leave Sellback
During calendar year 2019Twi^e ann , employees shall have the option on
two occasions)of selling back, on an hour for hour basis, accrued Flex leave. In no
event shall the Flex leave balance be reduced below one hundred and sixty (160)
hours. Hours sold back will be subject to the Retiree Health Savings Plan Part C
contributions, per Section 2 (a), Retiree Medical Benefits. For the term of this
Compensation Plan the Part C contributions for Flex will be at twenty-eRe percent
(201-%).
Effective in calendar year 2020 and thereafter, employees shall have the option of
converting accrued Flex Leave to cash on an hour for hour basis subject to the
following: On or before the pay period which includes December 15 of each
calendar year, an employee may make an irrevocable election to cash out accrued
flex leave which will be earned in the following calendar year. The employee
elect to receive the cash out in the pay period which includes June 30 and/or the
pay period which includes December 15 for those Flex Leave benefits that have
been earned during that portion of the year. In no event shall the flex leave balance
be reduced below one hundred and sixty (� 160) hours. On or before December 31,
2019, each employee shall have the one-time option of cashing out all or a portion
of Flex Leave benefits credited to his/her account as of that date. However, in no
event shall the flex leave balance be reduced below one hundred and sixty (160)
hours when the leave is cashed out.
BENEFITS
A. Insurance
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Medical a d Dental Insurance
The City has implemented an IRS qualified Cafeteria Plan. In addition to the
contribution amounts listed below, the City shall contribute the minimum
CalPERS participating employer's contribution towards medical insurance
for employees enrolled in a CaIPERS medical plan, per Government Code
Section 22892.
IVYM
OWN
V ON NOW --
-110,
- -
.
.
€ffeGtive the Arsf n�SuJanuary 2017, —t The City's contribution
towards the Cafeteria Plan isW%►► ;nG ease by$100 to $1, 725 per month (plus
the minimum Ca1PERS participating employer's contribution).
Employees shall have the option of allocating Cafeteria Plan contributions
towards the City's medical, dental and vision insurance/programs. Unused
Cafeteria PIaR fi Rds shall be payable to the Hemployee as taxable Goch
baGI.Employees shall be allowed to change coverages in accordance with
plan rules and during regular open enrollment periods.
liiii�BIW.l
- -- 111
OWN
V ON NOW --
-110,
- -
Kev and Manaaement emolovees hired Drior to the first day of the Da
period following City Council adoption of this 2019-2021 Compensation
Plan who elect to opt out of medical coverage offered by the City because
they have provided proof of minimum essential coverage ("MEC") through
another source (other than coverage in the individual market, whether or
not obtained through Covered California) and execute an opt -out
agreement releasing the City from any responsibility or liability to provide
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medical insurance coverage on an annual basis will receive $1,000 per
month in taxable cash. For these same employees, if they elect medical
coverage and spend less than the City contribution provided above, those
unused cafeteria plan funds shall be paid to the employee as taxable cash.
Employees hired on or after the first day of the pay period following City
Council adoption of this 2019-2021 Compensation Plan (or a part-time
employee who was hired by the City prior to this same date who is then
hired into a classification in the Key and Management Group) who elect to
opt out of medical coverage offered by the City because they have provided
proof of minimum essential coverage ("MEC") through another source
(other than coverage in the individual market, whether or not obtained
through Covered California) shall receive $500 per month in taxable cash.
For these same employees, if they elect medical coverage and spend less
than the City contribution provided above, there shall be no cash back
provided.
2. Vision Insurance
Employees may purchase vision insurance upon hire and during benefits
open enrollment.
3. Dental Insurance
The existing or comparable dental plans shall be maintained as part of the
City's health plan offerings as agreed upon by the Benefits Information
Committee.
arm
ern:r.Mi.
34. Disability Insurance
The City shall provide disability insurance with the following provisions:
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Short -Term Disability
Long -Term Disability
Benefit Amount 66.67% of covered wa es
66.67% of covered wa es
Maximum Benefit $1,846 weekly
$15,000 monthly
Waiting Period 30 calendar days
180 calendar days
Employees shall not be required to exhaust accrued paid leaves prior to
receiving benefits under the disability insurance program. Employees may
not supplement the disability benefit with paid leave once the waiting period
has been exhausted.
Employees are responsible for the payment of the disability insurance cost
in the amount of one (1 %) percent of base salary as a post -tax deduction
for this benefit.
B. Additional Benefits
1. IRS Section 125 Flexible Saendina Account
The City provides a qualified Section 125 Flexible Spending Account which
authorizes an employee to reduce taxable income for payment of allowable
expenses such as child care and medical expenses.
2. Life Insurance
The Citv shall arovide life insurance for all reaular full-time emalovees in
$1,000 increments equal to one times the employee's annual salary up to a
maximum of $50,000. At age 70 the City -paid life insurance is reduced by
50% of the pre -70 amount. This amount remains in effect until the
employee terminates from City employment.The City ;all provide life
iR6 iraRGe for all regular full empleyees in $1,000 innremeRts based 01
annual salary up to $50,000.
3. Employee Assistance Program
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Key and Management e€mployees are eligible to receive EAP benefits,
which provide confidential counseling and education on work and life
issues, subject to provider guidelines.
4. Executive Management Physicals:
Employees in those classifications designated as Executive Management
shall receive a reimbusement of up to one thousand dollars ($1,000.00) per
year for an executive management physical examination.
C. Retirement Benefits
1. PERS Retirement Formula
The City contracts with California Public Employees Retirement System
(PERS) to provide retirement benefits for its employees. Pursuant to prior
agreements and state mandated reform, the City has implemented first,
second and third tier retirement benefits:
Tier 1 ("Legacy"): For employees hired by the City on or before November
23, 2012, the retirement formula for safety members shall be 3%@50 and
the retirement formula for non -safety members shall be 2.5%@55,
calculated on the basis of the highest consecutive 12 month period selected
by the employee.
Tier 2 ("Classic"): For employees first hired by the City between November
24 and December 31, 2012, or hired on or after January 1, 2013 and who
are not new members as defined in Government Code Section 7522.04(f),
the retirement formula for safety members shall be 2%@50 (Lifeguard/Fire)
or 3%@55 (Police), and the retirement formula for non -safety members shall
be 2%@60, calculated on the basis of the highest consecutive 36 month
period selected by the employee as set forth in Government Code section
20037.
Tier 3 ("PEPRA"): For employees first hired by the City on or after January
1, 2013, who are new members, the safety retirement formula shall be
2.7%@57 and the non -safety retirement formula shall be 2%@62, calculated
on the basis of the highest consecutive 36 month period selected by the
employee provided for by the Public Employees' Retirement Law at
Government Code section 7522.25(d).
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2. Employee Contributions
Non Safety:
Key • Management employees
their PERS retirement benefit., to the exteby law. From july
nt permissible
■_ . MaRagernent non -safety
members have been GORtribUtiRg, in addition te the member GE)Rtributien, a
nnrfinn nf fhn Prnniniinr
NVOWNr _
O'No
O.
.. _ -
Employee retirement contributions that are in addition to the normal PERS
Member Contribution shall be calculated on base pay, special pays, and
other pays normally reported as "PERSable" compensation (known either as
compensation earnable or pensionable compensation, and will be made on
a pre-tax basis through payroll deduction, to the extent allewable allowed by
lawthe government tax n^rlo
Tier 1: EmDloveeS shall contribute
EFteEtive—the nay neri�nGlu ding lona gory 1 2017, employees shall
° 13.0% of
able—compensation earnable , broken do,^,n as follows: 8.0% as the
statutoryof the regi iireit member contribution aPA-2.42% as cost sharing per
and 2.58% of sharing 20516(a) and 2.58% as cost sharing per
20516(f) reonenti„el„
Tier 2: Employees shall contribute 13.0% of compensation earnable as
follows: 7.0% as the statutory member contribution 2.42% as cost sharing
Der under 20516(a) and 2.58% as cost sharina per 20516(f).
12-17
.%
..,nwa'.,
EFteEtive—the nay neri�nGlu ding lona gory 1 2017, employees shall
° 13.0% of
able—compensation earnable , broken do,^,n as follows: 8.0% as the
statutoryof the regi iireit member contribution aPA-2.42% as cost sharing per
and 2.58% of sharing 20516(a) and 2.58% as cost sharing per
20516(f) reonenti„el„
Tier 2: Employees shall contribute 13.0% of compensation earnable as
follows: 7.0% as the statutory member contribution 2.42% as cost sharing
Der under 20516(a) and 2.58% as cost sharina per 20516(f).
12-17
Cffon o the nasi noried innl� ding lonaiary 1 r 2 and
ier : ���tw��,� e��a
Tie' nleyees shall � i ito an additional 25% of pensionahlo
Tr era-prv��z���urr— �a-ri--czucrr«vnar�. �i�v--v���c
nomnonsatlon towards retirement nests pursuant to GE)Vernmont Code
Sei tmen 20516 (f)totalfor a toof 12.70%. EffeGtive si naneri�T idino
jani par 1, 2017, Tier ' and Tie ` employees shall nontrib ito an additional
Z(1�pensionable nceempensatien towardsretoTcrrneRt Gvts esfnrafotaall
err�yee—cwt t�,GR Of 13The minimum statuttovr�vy employee
contribution for employees in Tier 3 is subject to the provisions of the
(PEPRA) and equals 50% of the "total normal cost". Tier 3 employees shall
make an additional contribution of pensionable compensation toward
retirement pursuant to Government Code Section 20516(f), for a total
employee contribution of 13% of pensionable compensation.
Safety:
A. Assistant Police Chief
An Assistant Police Chief's emalovee contribution will depend on what Tier
the emolovee is in as defined above.
Tier 1 and 2 members will contribute the full statutory member contribution,
equal to 9% of compensation earnable, plus an additional 5.6% of
compensation earnable toward retirement costs as permitted under
Government Code §20516(f), for a total contribution of 14.6%.
Tier 3 members: In addition to the statutorilv reauired 50% contribution of
total normal costs ("member contribution rate" which in FY18-19 is 10.5% of
pensionable compensation), Tier 3 members shall contribute an additional
percentage of pensionable compensation toward retirement costs as cost
sharina pursuant to Government Code & 20516(f). so that their total
contribution is 14.6%.
Thereafte, PERS retirement contributions for the Assistant Police Chief
classification shall be tied to the retirement contributions required by safety
12-18
•
.�NARROW
G6AtrOM65A,
as
well as
.,
.—mMr
RUMI
�
Tier 1 and 2 members will contribute the full statutory member contribution,
equal to 9% of compensation earnable, plus an additional 5.6% of
compensation earnable toward retirement costs as permitted under
Government Code §20516(f), for a total contribution of 14.6%.
Tier 3 members: In addition to the statutorilv reauired 50% contribution of
total normal costs ("member contribution rate" which in FY18-19 is 10.5% of
pensionable compensation), Tier 3 members shall contribute an additional
percentage of pensionable compensation toward retirement costs as cost
sharina pursuant to Government Code & 20516(f). so that their total
contribution is 14.6%.
Thereafte, PERS retirement contributions for the Assistant Police Chief
classification shall be tied to the retirement contributions required by safety
12-18
members of the Police Management Association. If there are future changes
to those employee retirement contributions, the same changes will be made
for the Assistant Police Chief.
B. Assistant Fire Chief
An Assistant Fire Chief's employee contribution will depend on what tier the
employee is in as defined above.
Tier 1 and 2 members will contribute the full statutory member contribution
equal to 9% of compensation earnable, plus an additional percentage of
compensation earnable toward retirement costs as permitted under
Government Code & 20516(f), for a total contribution that is the same
oercentaae as contributed by members of the Newaort Beach Fire
Management Association.
Tier 3 members: In addition to the statutorilv reauired 50% contribution of
total normal costs ("member contribution rate" which in FY18-19 is 10.5% of
pensionable compensation), Tier 3 members shall contribute an additional
percentage of pensionable compensation toward retirement costs as cost
sharing pursuant to Government Code 20516(f), so that their total
contribution is the same percentage as contributed by members of the
Newport Beach Fire Management Association.
�.
... �� p
12-19
C. Assistant Chief, Lifeguard Operations
The employee contribution for the Assistant Chief of Lifeguard Operations
will depend on what tier the emDlovee is in as defined above.
Tier 1 and 2 members will contribute the full statutory member contribution,
equal to 9% of compensation earnable, plus an additional 4.6% of
compensation earnable toward retirement costs as permitted under
Government Code & 20516(f). for a total contribution of 13.6%.
Tier 3 members: In addition to the statutorilv reauired 50% contribution of
total normal costs ("member contribution rate" which in FY18-19 is 10.5% of
pensionable compensation), Tier 3 members shall contribute an additional
percentage of pensionable compensation toward retirement costs as cost
sharina Dursuant to Government Code � 20516(f). so that their total
contribution is 13.6%.
PERS retirement contributions for the Assistant Fire Lifeauard Operations
classification shall be tied to the retirement contributions required by
members of the Lifeguard Management Association. If there are future
changes to those employee retirement contributions, the same changes will
be made for the Assistant Chief Lifeguard Operations.
D. Optional Benefits
The City's contract with PERS also provides the 4th Level 1959 Survivor
Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit
(Miscellaneous only), Military Service Credit, 2% Cost of Living Adjustment
and the pre -retirement option settlement 2 death benefit (Section 21548).
12-20
aw
-
-
Bel
C. Assistant Chief, Lifeguard Operations
The employee contribution for the Assistant Chief of Lifeguard Operations
will depend on what tier the emDlovee is in as defined above.
Tier 1 and 2 members will contribute the full statutory member contribution,
equal to 9% of compensation earnable, plus an additional 4.6% of
compensation earnable toward retirement costs as permitted under
Government Code & 20516(f). for a total contribution of 13.6%.
Tier 3 members: In addition to the statutorilv reauired 50% contribution of
total normal costs ("member contribution rate" which in FY18-19 is 10.5% of
pensionable compensation), Tier 3 members shall contribute an additional
percentage of pensionable compensation toward retirement costs as cost
sharina Dursuant to Government Code � 20516(f). so that their total
contribution is 13.6%.
PERS retirement contributions for the Assistant Fire Lifeauard Operations
classification shall be tied to the retirement contributions required by
members of the Lifeguard Management Association. If there are future
changes to those employee retirement contributions, the same changes will
be made for the Assistant Chief Lifeguard Operations.
D. Optional Benefits
The City's contract with PERS also provides the 4th Level 1959 Survivor
Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit
(Miscellaneous only), Military Service Credit, 2% Cost of Living Adjustment
and the pre -retirement option settlement 2 death benefit (Section 21548).
12-20
3. LIUNA Supplemental Pension
Key and Management employees are members of the LIUNA Supplemental
Pension Fund ("Plane). The City shall Ge +tea on behalf of oonh Key and
rM aarR a geMefteMplOyee,—Ge—a n d o n e half n eFGpy��/_ \ of base saIcy
iTnte she LIUNA Supplemental PeRSien F ink The City's sole nhlioatin
to feRNarid the agreed i inns amni int to the f, incl. Effective in the pay period
which includes January 1, 2019, the Plan will be funded exclusively by
contributions from the members. The City will not make any contributions
to the Plan. In addition, as there are increases (which typically occur
annually) to the costs (whether identified as employer or employee
contributions) to fund the Plan, they will be made by Key and Management
employees (i.e., the participants in the Plan). The City is not responsible for,
nor does it make any representation regarding, the payment of benefits to
i snit members Key & Management employees.
rMNO -41
------------
HNFROW MW
••N=w
P; receive the opt eut Gk up," er
contributed amounts directly instead
of having them paid to the E!plan. Participation in the Plan at the same level
will continue to be mandatory for members of the Key & Management
••
- - - ritu fhic nrnni int lAtill nnt hn tnmohin -
��_ Fill
Key & Management employees who leave City employment prior to vesting
in the LIUNA pension plan will have no right to the return of amounts
contributed, or other recourse against the City concerning LIUNA.
D. Retiree Medical Benefits
1. Background
In 2005, the City and all Employee Associations agreed to replace the
previous "defined benefit" retiree medical program with a new "defined
contribution" program. The process of fully converting to the new program
will be ongoing for an extended period. During the transition, employees
12-21
and (then) existing retirees have been administratively classified into one
of three categories. The benefit is structured differently for each of
the categories. The categories are as follows:
a. Category 1 - Employees newly hired after January 1, 2006.
b. Category 2 - Active employees hired prior to January 1, 2006, whose
age plus years of service as of January 1, 2006, was less than 50
(46 for public safety employees).
C. Category 3 - Active employees hired prior to January 1, 2006, whose
age plus years of service was 50 or greater (46 for public safety
employees) as of January 1, 2006.
2. Proaram Structure
This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Plan
(formerly the Medical Expense Reimbursement Program - "MERP").
a. For employees in Category 1, the program is structured as follows:
Each employee will have an individual RHS account (Employee
Account). This account will accumulate contributions to be used for
health care expense after separation. All contributions to the plan
are either mandatory employee contributions or City paid employer
contributions, so they are not taxable to employees at the time of
deposit. Earnings from investment of funds in the account are not
taxable when posted to the account. Benefit payments are not
taxable when withdrawn, because the plan requires that all
distributions be spent for specified health care purposes.
Contributions will be in three parts:
Part A contributions (mandatory employee contributions): 1 % of
Salary.
Part B contributions (employer contributions): $2.50 per month for
each year of service plus year of age (updated every January 1St
based on status as of December 31 St of the prior year).
12-22
Part C contributions (leave settlement as determined by Key and
Management employees):
Key and Management employees will determine the level of
contribution, subject to the following constraints. All employees
within Key and Management must participate at the same level. The
participation level should be specified as a percentage of the leave
balance on hand in each employee's leave bank at the time of
separation from the City.
For example, if Key and Management employees determine to
specify 50% of the leave balance as the participation level, then each
member leaving the City or cashing out leave at any other time,
would have the cash equivalent of 50% of the amount that is cashed
out added to the RHS, on a pre-tax basis. The remaining 50% would
be paid in cash as taxable income. Individual employees would not
have the option to deviate from this breakout.
Sick leave balances may also be included in the RHS Part C
contributions, but only to the extent and within all the numeric
parameters specified in the Employee Policy Manual. Sick leave
participation is a separate item from Flex leave participation, and
thresholds must be separately identified by the Key and
Management group.
Key and Management employees have agreed to Part C
contributions at the level of sixty-five percent (65%) of Sick leave
and twenty-one percent (204%) of Flex leave. This amount may be
changed on a go forward basis, as determined among the Key and
Management group.
Nothing in this section restricts taking leave for time off purposes.
Part A contributions may be included in PERS compensation. Part
B and Part C contributions will not be included in PERS
compensation.
Part A contributions begin upon enrollment in the program and are
credited to each RHS Employee Account each pay period. Eligibility
for Part B contributions is set at five years of vested City
employment. At that time, the City will credit the first five years'
worth of Part B contributions into the Employee Account (interest
12-23
does not accrue during that period). Thereafter, contributions are
made bi-weekly. Part C deposits, if any, will be made at the time of
employment separation.
Each Employee has a right to reimbursement of medical expenses
(as defined below) from the Plan until the Employee Account
balance is zero. This right is triggered upon separation. If an
employee leaves the City prior to five years employment, only the
Part A contributions and Part C leave settlement contributions, if
any, will be in the RHS Employee Account. Such an employee will
not be entitled to any Part B contributions.
Distributions from RHS Employee Accounts are restricted to use for
health insurance and medical care expenses after separation, as
defined by the Internal Revenue Code Section 213(d) (as explained
in IRS Publication 502), and specified in the Plan Document. In
accordance with current IRS regulations and practices, this
generally includes premiums for medical insurance, dental
insurance, vision insurance, supplemental medical insurance, long
term care insurance, and miscellaneous medical expenses not
covered by insurance for the employee and his or her spouse and
legal dependents — again only as permitted by IRS Publication 502.
Qualification for dependency status will be determined by guidelines
in IRC 152. If used for these purposes, distributions from the RHS
accounts will not be taxable. Cash withdrawal for any other purpose
is prohibited. Under IRS Revenue Ruling 2005-24, any balance
remaining in the Employee Account after the death of the employee
and his or her spouse and/or other authorized dependents (if any)
must be forfeited. That particular RHS Employee Account will be
closed, and any remaining funds will become general assets of the
plan.
The City's Part B contributions during active employment constitute
the minimum CalPERS participating employer's contribution i.e.
the CaIPERS statutory minimum amount) towards medical
insurance after retirement. In addition, retirees selecting a
CalPERS medical plan or any other plan with a similar employer
contribution requirement, the required City contribution will be
withdrawn from the retiree's RHS account.
b. For employees in Category 2, the program is the same as for those
in Category 1, with the following exception:
12-24
In addition to the new plan contributions listed above, current
employees who fully convert to the new plan will also receive a one-
time City contribution to their individual RHS accounts that equates
to $100 per month for every month they contributed to the previous
"defined benefit" plan, to a maximum of 15 years (180 months). This
contribution will be made only if the employee retires from the City
and at the time of retirement. No interest will be earned in the interim.
Employees in Category 2 who had less than five years' service with
the City prior to implementation of the new program will only receive
Part B contributions back to January 1, 2006 when they reach five
years total service.
c. For employees in Category 3, the program is the same as for those
in Category 2, with the following exception:
For employees in this category, the City will make no Part B
contributions while the employees are still in the active work force.
Instead, the City will contribute $400 per month into each of their
RHS accounts after they retire from the City, to continue as long as
the employee or spouse is still living.
Each employee will contribute a flat $100 per month to the plan for
the duration of their employment to partially offset part of this
expense to the City. The maximum benefit provided by the City after
retirement is $4,800 per year, accruing at the rate of $400per month.
There is no cash out option for these funds, and they may not be
spent in advance of receipt.
Employees in this category will also receive an additional one-time
City contribution of $75 per month for every month they contributed
to the previous plan prior to January 1, 2006, up to a maximum of 15
years (180 months). This contribution will be made to the RHS
account at the time of retirement, and only if the employee retires
from the City. No interest will be earned in the interim.
12-25
AWN
-
..-
-
12-25
3. Administration
Vendors have been selected by the City to administer the program. The
contract expense for program -wide administration by the vendor will be
paid by the City. However, specific vendor charges for individual account
transactions that vary according to the investment actions taken by each
employee, such as fees or commissions for trades, will be paid by each
employee.
The City's Deferred Compensation Committee, or its successor
committee, will have the authority to determine investment options that
will be available through the plan.
�zv Rr:.
:�- -
- -
E. Tuition Reimbursement
Key and Management employees attending accredited community colleges,
colleges, trade schools or universities, or recognized professional organizations or
agencies may apply for reimbursement of the cost of tuition, books, fees or other
student expenses for approved job—related coursework, seminars or professional
development programs. The Effective January 1, 2016,theroim ur-smen ITl
maximum annual benefit is of $2,000 per fiscal year.
Reimbursement is contingent upon the successful completion of the course.
Successful completion means a grade of "C" or better for undergraduate courses
and a grade of "B" or better for graduate courses. All claims for tuition
reimbursement require the approval of the Human Resources Director or designee.
F. Auto Allowance
Positions in the Executive Management and Administrative Management groups
may be eligible for a limited auto allowance, between $200 and $400 per month,
based on operational necessity and upon the determination of the City Manager.
12-26
MISCELLANEOUS
A. Probationary Period
Newly hired employees shall serve a twelve-month probationary period. Any
employee who is promoted shall be required to successfully complete a six (6)
month probationary period in the new position. All Executive Management
positions serve as at -will employees as that term is defined in California Labor
Code section 2922 and can be released from employment at any time without
cause or due arocess.
The City Manager, City Attorney and City Clerk serve at the pleasure of the City
Council.
B. Direct Deposit
All newly hired employees shall participate in the payroll direct deposit system.
C. Exempt and Non-exempt Status
All classifications in Key and Management are classified as exempt from overtime
under the FLSA, with the following exceptions:
Administrative Assistants to the Police Chief, Fire Chief, City Attorney,
Assistant City Manager, Human Resources Director
Administrative Assistant -Confidential
Fiscal Specialist - Confidential
Human Resources Specialist 1/11
Paralegal
Legal Assistant
D. 94�0-Alternative Work Schedules+e� Rl�e
The City agrees to maintain flex -scheduling where it is currently operating
successfully. Any new flex scheduling must be approved by the City Manager prior
to implementation.
Employees assigned to the 9/80 work schedule will have alternating Fridays off
with the City determining which employees will work on each alternating Friday
ensure effective coverage of the work. These employees' FLSA workweeks shall
begin four hours after the start time of their alternating regular day off and end
exactiv 168 hours later.
12-27
E. Employee Policy Manual
The City of Newport Beach's Employee Policy Manual shall govern all issues not
addressed in this document with respect to wages, hours and other terms and
conditions of employment.
12-28
111111.112
IN
~.AV=
E. Employee Policy Manual
The City of Newport Beach's Employee Policy Manual shall govern all issues not
addressed in this document with respect to wages, hours and other terms and
conditions of employment.
12-28
Appendix A
NEWPORT BEACH KEY & MANAGEMENT EMPLOYEES
MOU Term: January 1, 2019 - December 31, 2021
Salary Schedule Effective: June 12, 2018
2.0% Cost of Living Revision Date: December 22, 2018
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Accounting Manager
$65.58
$79.69
$11,367
$13,813
Administrative Analyst
$34.88
$49.10
$6,047
$8,510
Administrative Assistant (K&M)
$29.34
$41.31
$5,085
$7,160
Administrative Manager
$48.75
$59.26
$8,450
$10,271
Assistant City Attorney
$76.08
$119.18
$13,187
$20,658
Assistant City Clerk
$34.00
$47.84
$5,893
$8,292
Assistant City Engineer
$67.17
$81.63
$11,642
$14,149
Assistant City Manager
$79.47
$119.19
$13,774
$20,659
Assistant Fire Chief
$84.23
$102.36
$14,600
$17,743
Assistant Fire Chief - LG Operations 3
$64.03
$77.83
$11,099
$13,491
Assistant Police Chief 3
$85.14
$103.50
$14,758
$17,939
Assistant to the City Manager
$62.43
$75.88
$10,822
$13,153
Budget Analyst
$37.62
$52.91
$6,521
$9,171
Budget Analyst, Senior
$43.52
$61.26
$7,544
$10,619
Budget Manager
$65.58
$79.69
$11,367
$13,813
Building Inspector, Chief
$55.19
$67.09
$9,565
$11,629
City Traffic Engineer
$67.17
$81.63
$11,642
$14,149
Civil Engineer, Principal
$63.94
$77.72
$11,084
$13,472
Civil Engineer, Senior
$49.70
$69.91
$8,615
$12,118
Community Development Director
$75.40
$113.08
$13,069
$19,601
Deputy City Attorney
$65.58
$79.69
$11,367
$13,813
Deputy City Clerk
$30.81
$43.37
$5,341
$7,517
Deputy City Manager
$62.20
$83.47
$10,782
$14,469
Deputy Community Development Director
$70.64
$85.86
$12,245
$14,882
Deputy Finance Director
$70.64
$85.86
$12,245
$14,882
Deputy Public Works Director
$82.83
$100.68
$14,358
$17,452
Deputy PW Director -Municipal Operations
$70.64
$85.86
$12,245
$14,882
Deputy Recreation & Sr. Services Director
$67.22
$81.71
$11,652
$14,163
Equipment Maintenance Superintendent
$56.55
$68.76
$9,803
$11,918
Executive Assistant
$32.24
$45.37
$5,588
$7,863
Field Maintenance Superintendent
$56.55
$68.76
$9,803
$11,918
Field Superintendent II
$56.55
$68.76
$9,803
$11,918
Finance Director
$75.40
$113.08
$13,069
$19,601
Fire Chief 3
$75.12
$112.67
$13,021
$19,529
Fire Division Chief - Emergency Med. Srvs.
$61.79
$75.11
$10,711
$13,019
Fire Marshal (Civilian)
$61.79
$75.11
$10,711
$13,019
Fiscal Specialist (Confidential)
$28.45
$40.05
$4,932
$6,942
Harbormaster
$48.06
$72.08
$8,331
$12,494
26
12-29
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Human Resources Analyst
$38.50
$54.17
$6,674
$9,389
Human Resources Analyst, Senior
$42.49
$59.79
$7,364
$10,363
Human Resources Director
$71.33
$106.98
$12,363
$18,544
Human Resources Manager
$61.79
$75.11
$10,711
$13,019
Human Resources Specialist 1
$29.16
$40.98
$5,054
$7,102
Human Resources Specialist II
$32.24
$45.37
$5,588
$7,863
Information Technology (IT) Manager
$67.22
$81.71
$11,652
$14,163
Information Technology Supervisor
$58.69
$71.33
$10,174
$12,364
Library Services Director
$71.33
$106.98
$12,363
$18,544
Library Services Manager
$56.55
$68.76
$9,803
$11,918
Management Analyst, Senior
$40.12
$56.47
$6,954
$9,788
Operations Support Superintendent
$56.55
$68.76
$9,803
$11,918
Paralegal
$31.28
$44.01
$5,421
$7,628
Park & Tree Superintendent
$56.55
$68.76
$9,803
$11,918
Planning Manager
$58.52
$71.13
$10,143
$12,329
Police Chief 3
$77.32
$115.96
$13,402
$20,100
Police Support Services Administrator
$68.85
$83.68
$11,935
$14,505
Principal Planner
$45.69
$64.32
$7,919
$11,149
Public Information Manager
$62.43
$75.88
$10,822
$13,153
Public Information Specialist
$30.81
$43.37
$5,341
$7,517
Public Works Director
$75.40
$113.08
$13,069
$19,601
Public Works Manager
$62.43
$75.88
$10,822
$13,153
Purchasing Agent
$41.48
$58.32
$7,190
$10,108
Recreation & Sr. Services Director
$71.33
$106.98
$12,363
$18,544
Recreation Manager
$45.29
$55.05
$7,850
$9,542
Revenue Manager
$65.58
$79.69
$11,367
$13,813
Senior Services Manager
$49.98
$60.76
$8,663
$10,531
Systems & Administration Manager
$52.91
$64.32
$9,171
$11,149
Utilities Director
$71.33
$106.98
$12,363
$18,544
Y -Rate Administrative Manager
$78.13
$13,542
1 Hourly pay rates are rounded to the nearest hundredth.
Z Monthly pay rates are rounded.
3 Range adjustments are subject to change as these positions are not tied to K&M COLAs.
27
12-30
NEWPORT BEACH KEY & MANAGEMENT EMPLOYEES
MOU Term: January 1, 2019 - December 31, 2021
Salary Schedule Effective: June 12, 2018
2.0% Cost of Living Revision Date: December 21, 2019
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Accounting Manager
$66.89
$81.28
$11,594
$14,089
Administrative Analyst
$35.58
$50.08
$6,168
$8,680
Administrative Assistant (K&M)
$29.92
$42.13
$5,187
$7,303
Administrative Manager
$49.73
$60.44
$8,620
$10,476
Assistant City Attorney
$77.60
$121.57
$13,450
$21,072
Assistant City Clerk
$34.68
$48.80
$6,010
$8,458
Assistant City Engineer
$68.51
$83.26
$11,875
$14,432
Assistant City Manager
$81.06
$121.57
$14,050
$21,072
Assistant Fire Chief
$85.92
$104.41
$14,892
$18,098
Assistant Fire Chief - LG Operations 3
$64.03
$77.83
$11,099
$13,491
Assistant Police Chief 3
$85.14
$103.50
$14,758
$17,939
Assistant to the City Manager
$63.68
$77.40
$11,038
$13,416
Budget Analyst
$38.37
$53.97
$6,651
$9,355
Budget Analyst, Senior
$44.39
$62.49
$7,695
$10,831
Budget Manager
$66.89
$81.28
$11,594
$14,089
Building Inspector, Chief
$56.29
$68.43
$9,757
$11,861
City Traffic Engineer
$68.51
$83.26
$11,875
$14,432
Civil Engineer, Principal
$65.22
$79.28
$11,305
$13,742
Civil Engineer, Senior
$50.70
$71.31
$8,787
$12,361
Community Development Director
$76.90
$115.35
$13,330
$19,993
Deputy City Attorney
$66.89
$81.28
$11,594
$14,089
Deputy City Clerk
$31.43
$44.24
$5,448
$7,668
Deputy City Manager
$63.45
$85.14
$10,997
$14,758
Deputy Community Development Director
$72.05
$87.57
$12,489
$15,179
Deputy Finance Director
$72.05
$87.57
$12,489
$15,179
Deputy Public Works Director
$84.49
$102.70
$14,645
$17,801
Deputy PW Director -Municipal Operations
$72.05
$87.57
$12,489
$15,179
Deputy Recreation & Sr. Services Director
$68.57
$83.34
$11,885
$14,446
Equipment Maintenance Superintendent
$57.68
$70.13
$9,999
$12,156
Executive Assistant
$32.88
$46.27
$5,700
$8,021
Field Maintenance Superintendent
$57.68
$70.13
$9,999
$12,156
Field Superintendent II
$57.68
$70.13
$9,999
$12,156
Finance Director
$76.90
$115.35
$13,330
$19,993
Fire Chief 3
$75.12
$112.67
$13,021
$19,529
Fire Division Chief - Emergency Med. Srvs.
$63.03
$76.61
$10,925
$13,279
Fire Marshal (Civilian)
$63.03
$76.61
$10,925
$13,279
Fiscal Specialist (Confidential)
$29.02
$40.85
$5,030
$7,081
Harbormaster
$49.02
$73.53
$8,497
$12,744
28 12-31
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Human Resources Analyst
$39.27
$55.25
$6,807
$9,577
Human Resources Analyst, Senior
$43.34
$60.98
$7,512
$10,570
Human Resources Director
$72.75
$109.12
$12,610
$18,915
Human Resources Manager
$63.03
$76.61
$10,925
$13,279
Human Resources Specialist 1
$29.74
$41.79
$5,155
$7,244
Human Resources Specialist II
$32.88
$46.27
$5,700
$8,021
Information Technology (IT) Manager
$68.57
$83.34
$11,885
$14,446
Information Technology Supervisor
$59.87
$72.76
$10,377
$12,612
Library Services Director
$72.75
$109.12
$12,610
$18,915
Library Services Manager
$57.68
$70.13
$9,999
$12,156
Management Analyst, Senior
$40.92
$57.60
$7,093
$9,984
Operations Support Superintendent
$57.68
$70.13
$9,999
$12,156
Paralegal
$31.90
$44.89
$5,530
$7,781
Park & Tree Superintendent
$57.68
$70.13
$9,999
$12,156
Planning Manager
$59.69
$72.55
$10,346
$12,575
Police Chief 3
$77.32
$115.96
$13,402
$20,100
Police Support Services Administrator
$70.23
$85.36
$12,173
$14,795
Principal Planner
$46.60
$65.61
$8,077
$11,372
Public Information Manager
$63.68
$77.40
$11,038
$13,416
Public Information Specialist
$31.43
$44.24
$5,448
$7,668
Public Works Director
$76.90
$115.35
$13,330
$19,993
Public Works Manager
$63.68
$77.40
$11,038
$13,416
Purchasing Agent
$42.31
$59.48
$7,334
$10,311
Recreation & Sr. Services Director
$72.75
$109.12
$12,610
$18,915
Recreation Manager
$46.19
$56.15
$8,007
$9,733
Revenue Manager
$66.89
$81.28
$11,594
$14,089
Senior Services Manager
$50.98
$61.97
$8,836
$10,742
Systems & Administration Manager
$53.97
$65.61
$9,355
$11,372
Utilities Director
$72.75
$109.12
$12,610
$18,915
Y -Rate Administrative Manager
$78.13
$13,542
1 Hourly pay rates are rounded to the nearest hundredth.
Z Monthly pay rates are rounded.
3 Range adjustments are subject to change as these positions are not tied to K&M COLAs.
29
12-32
NEWPORT BEACH KEY & MANAGEMENT EMPLOYEES
MOU Term: January 1, 2019 - December 31, 2021
Salary Schedule Effective: June 12, 2018
2.0% Cost of Living Revision Date: December 19, 2020
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Accounting Manager
$68.23
$82.91
$11,826
$14,371
Administrative Analyst
$36.29
$51.08
$6,291
$8,854
Administrative Assistant (K&M)
$30.52
$42.97
$5,290
$7,449
Administrative Manager
$50.72
$61.65
$8,792
$10,686
Assistant City Attorney
$79.15
$124.00
$13,719
$21,493
Assistant City Clerk
$35.37
$49.77
$6,131
$8,627
Assistant City Engineer
$69.88
$84.93
$12,113
$14,721
Assistant City Manager
$82.68
$124.00
$14,331
$21,493
Assistant Fire Chief
$87.63
$106.50
$15,190
$18,460
Assistant Fire Chief - LG Operations 3
$64.03
$77.83
$11,099
$13,491
Assistant Police Chief 3
$85.14
$103.50
$14,758
$17,939
Assistant to the City Manager
$64.96
$78.95
$11,259
$13,684
Budget Analyst
$39.14
$55.05
$6,784
$9,542
Budget Analyst, Senior
$45.28
$63.74
$7,849
$11,048
Budget Manager
$68.23
$82.91
$11,826
$14,371
Building Inspector, Chief
$57.41
$69.80
$9,952
$12,099
City Traffic Engineer
$69.88
$84.93
$12,113
$14,721
Civil Engineer, Principal
$66.53
$80.86
$11,532
$14,017
Civil Engineer, Senior
$51.71
$72.74
$8,963
$12,608
Community Development Director
$78.44
$117.65
$13,597
$20,393
Deputy City Attorney
$68.23
$82.91
$11,826
$14,371
Deputy City Clerk
$32.06
$45.12
$5,557
$7,821
Deputy City Manager
$64.71
$86.85
$11,217
$15,053
Deputy Community Development Director
$73.50
$89.32
$12,739
$15,483
Deputy Finance Director
$73.50
$89.32
$12,739
$15,483
Deputy Public Works Director
$86.18
$104.75
$14,938
$18,157
Deputy PW Director -Municipal Operations
$73.50
$89.32
$12,739
$15,483
Deputy Recreation & Sr. Services Director
$69.94
$85.01
$12,122
$14,735
Equipment Maintenance Superintendent
$58.84
$71.53
$10,199
$12,399
Executive Assistant
$33.54
$47.20
$5,814
$8,181
Field Maintenance Superintendent
$58.84
$71.53
$10,199
$12,399
Field Superintendent II
$58.84
$71.53
$10,199
$12,399
Finance Director
$78.44
$117.65
$13,597
$20,393
Fire Chief 3
$75.12
$112.67
$13,021
$19,529
Fire Division Chief - Emergency Med. Srvs.
$64.29
$78.14
$11,144
$13,545
Fire Marshal (Civilian)
$64.29
$78.14
$11,144
$13,545
Fiscal Specialist (Confidential)
$29.60
$41.67
$5,131
$7,222
Harbormaster
$50.00
$75.00
$8,667
$12,999
30 12-33
POSITION TITLE
HOURLY PAY RATE 1
MONTHLY PAY RATE Z
MIN
MAX
MIN
MAX
Human Resources Analyst
$40.06
$56.36
$6,944
$9,769
Human Resources Analyst, Senior
$44.20
$62.20
$7,662
$10,781
Human Resources Director
$74.21
$111.31
$12,863
$19,293
Human Resources Manager
$64.29
$78.14
$11,144
$13,545
Human Resources Specialist 1
$30.34
$42.63
$5,258
$7,389
Human Resources Specialist II
$33.54
$47.20
$5,814
$8,181
Information Technology (IT) Manager
$69.94
$85.01
$12,122
$14,735
Information Technology Supervisor
$61.06
$74.21
$10,585
$12,864
Library Services Director
$74.21
$111.31
$12,863
$19,293
Library Services Manager
$58.84
$71.53
$10,199
$12,399
Management Analyst, Senior
$41.74
$58.75
$7,235
$10,183
Operations Support Superintendent
$58.84
$71.53
$10,199
$12,399
Paralegal
$32.54
$45.79
$5,640
$7,936
Park & Tree Superintendent
$58.84
$71.53
$10,199
$12,399
Planning Manager
$60.88
$74.00
$10,553
$12,827
Police Chief 3
$77.32
$115.96
$13,402
$20,100
Police Support Services Administrator
$71.64
$87.06
$12,417
$15,091
Principal Planner
$47.53
$66.92
$8,239
$11,599
Public Information Manager
$64.96
$78.95
$11,259
$13,684
Public Information Specialist
$32.06
$45.12
$5,557
$7,821
Public Works Director
$78.44
$117.65
$13,597
$20,393
Public Works Manager
$64.96
$78.95
$11,259
$13,684
Purchasing Agent
$43.16
$60.67
$7,481
$10,517
Recreation & Sr. Services Director
$74.21
$111.31
$12,863
$19,293
Recreation Manager
$47.12
$57.28
$8,167
$9,928
Revenue Manager
$68.23
$82.91
$11,826
$14,371
Senior Services Manager
$52.00
$63.21
$9,013
$10,957
Systems & Administration Manager
$55.05
$66.92
$9,542
$11,599
Utilities Director
$74.21
$111.31
$12,863
$19,293
Y -Rate Administrative Manager
$78.13
$13,542
1 Hourly pay rates are rounded to the nearest hundredth.
Z Monthly pay rates are rounded.
3 Range adjustments are subject to change as these positions are not tied to K&M COLAs.
31
12-34
Attachment B
Newport Beach Key & Management and Executive Management, 2% COLA per year, $2,700 one-time bonus, new hire opt out of $500 and no cash back
if enrolled in health plan, and reimbursement up to $1,000 for executive management annual physicals
Note: This cost estimate assumes that the employees will be paying for the supplemental retirement program.
sg,2/21/19
81 Authorized Full-time Miscellaneous Employees
6 Authorized Full-time Safety Employees
Tier 1: 66
Tier 2: 15
FY 19 Proposed
Year 1-
Year 2 -
Year 3 -
429,693
Tier 3: 6
Budget
2.0%
2.0%
2.0%
Total Cost
Base Pay
(83,376)
(250,128)
1,744
Miscellaneous
11,135,981
222,720
449,894
681,611
1,354,224
Safety
1,263,059
25,261
51,028
77,309
153,598
5,750
Subtotal 12,399,040
247,981
500,921
758,920
1,507,822
Supplemental Pay
8,188
Certification Pay (flat dollar, not % of base pay)
2,220
-
-
-
-
Holiday Pay
68,152
1,363
2,753
4,171
8,288
Bilingual Pay (flat dollar, not %of base pay)
5,400
-
-
-
Subtotal 75,772
1,363
2,753
4,171
8,288
Pension Contribution 2
13,000
13,000
39,000
Subtotal 3,027,785
180,234
Pension Normal Cost
2,158,519
43,170
87,204
132,119
262,493
Pension Unfunded Actuarial Liability
2,971,210
59,424
120,037
181,862
361,323
(197,555)
Subtotal 5,129,728
102,595
207,241
313,980
623,816
Other City Paid Benefits
Medicare (mandatory payment of 1.45%)
Compensated Absences
Cafeteria Plan
Employee Assistance Program (EAP)
Uniform Allowance
Smartphone Allowance
Wellness/Deferred Comp
Car Allowance
Life Insurance (policy based on annual base pay with cap of $50,000)
Tuition Reimbursement (based on calendar year 2017 actual)
Retiree Health Savings (Post Employment Healthcare Contribution)
Supplemental Retirement Program (LIUNA - EE 1.5% & ER 1.16%)
One-time nonPERSable bonus of $2,700
Annual executive physicals (reimbursement up to $1,000 per year)
Offset - Employee Pick Up of PERS Pension Costs (13.0%)
Overtime (based on calendar year 2017 actual hours = 329.6, all safety)
222,959
7,031
7,322
11,107
25,460
429,693
8,679
17,532
26,562
52,774
1,939,752
(83,376)
(83,376)
(83,376)
(250,128)
1,744
9,445
71,580
5,750
61,800
8,188
4,000
103,674
169,200
-
-
-
234,900
-
-
234,900
-
13,000
13,000
13,000
39,000
Subtotal 3,027,785
180,234
(45,521)
(32,707)
102,006
(1,624,521)
(32,490)
(65,631)
(99,434)
(197,555)
Subtotal (1,624,521)
(32,490)
(65,631)
(99,434)
(197,555)
32,524
650
1,314
1,991
3,955
Total 19,040,328
500,333
601,077
946,922
2,048,332
Salary Only
2.00%
4.04%
6.12%
Total Comp
2.63%
3.16%
4.97%
1 Original estimate is based on Fiscal Year 2019 Adopted Budget.
2 Pension contribution calculated by tier; rates presented are averaged tier rates from actuarial valuation.
12-35