HomeMy WebLinkAbout2019-83 - Adopting a Memorandum of Understanding Between the City of Newport Beach and the Newport Beach Lifeguard Management Association and Establishing Salary Ranges for Unit Members and the Position of Assistant Chief, Lifeguard OperationsRESOLUTION NO. 2019-83
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH, CALIFORNIA, ADOPTING A
MEMORANDUM OF UNDERSTANDING BETWEEN THE
CITY OF NEWPORT BEACH AND THE NEWPORT
BEACH LIFEGUARD MANAGEMENT ASSOCIATION
AND ESTABLISHING SALARY RANGES FOR UNIT
MEMBERS AND THE POSITION OF ASSISTANT CHIEF,
LIFEGUARD OPERATIONS
WHEREAS, the City Council of the City of Newport Beach ("City Council")
previously adopted Resolution No. 2001-50, the "Employer -Employee Relations
Resolution," pursuant to the authority contained in the Meyers-MiIias-Brown Act,
Government Code §3500, et seq.;
WHEREAS, the City of Newport Beach ("City") supports effective communication
and collaborative working relationships with its employee associations to promote
improved relations while balancing good management practices;
WHEREAS, the City previously entered into a memorandum of understanding with
the Newport Beach Lifeguard Management Association ("NBLMA"), a recognized
employee organization, for the term of June 12, 2018 through December 31, 2018 ("2018
MOU");
WHEREAS, representatives from the City and the NBLMA met and conferred in
good faith and reached a tentative agreement on wages, benefits, and other terms and
conditions of employment ("Tentative Agreement"), which are memorialized in the
Memorandum of Understanding between the City and NBLMA ("Memorandum of
Understanding") attached hereto as Exhibit A and incorporated herein by this reference;
WHEREAS, the NBLMA ratified said Tentative Agreement on August 21, 2019;
WHEREAS, City of Newport Beach Charter Section 601 requires the City Council
to provide the number, titles, qualifications, powers, duties and compensation of all
officers and employees of the City;
WHEREAS, Newport Beach Municipal Code Section 2.28. 010 provides that, upon
recommendation of the City Manager, the City Council may establish by resolution the
salary range or rate for each position;
WHEREAS, by adopting this resolution, the City Council intends to amend the
salary range for the position of Assistant Chief, Lifeguard Operations;
WHEREAS, the City Manager has reviewed the salary schedule provided in this
resolution and recommends approval;
Resolution No. 2019-83
Page 2 of 3
WHEREAS, the City Council received and considered the Tentative Agreement at
its regular meeting on September 10, 2019;
WHEREAS, the City Council received and considered the Memorandum of
Understanding at its regular meeting on September 24, 2019;
WHEREAS, by adopting this resolution, the City Council also intends to amend the
salary schedule for employees represented by the NBLMA to be in conformance with the
Memorandum of Understanding;
WHEREAS, by adopting this resolution, the City Council intends to amend the
salary range for the position of Assistant Chief, Lifeguard Operations; and
WHEREAS, by adopting this resolution, the City Council also desires to replace
the 2018 MOU by adopting the Memorandum of Understanding attached hereto as Exhibit
A to serve as the successor agreement between the City and the NBLMA for the period
of January 1, 2019 through December 31, 2021.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows:
Section 1: The City Council does hereby adopt the Memorandum of
Understanding that is attached hereto and incorporated herein as Exhibit A. Wages,
hours, fringe benefits and other terms and conditions of employment for employees
represented by the NBLMA shall be provided in accordance with the provisions of the
Memorandum of Understanding which shall serve as the successor agreement between
the City and the NBLMA.
Section 2: Effective the pay period following City Council adoption of this
resolution, the salary range for the Assistant Chief, Lifeguard Operations position shall be
$11,293 to $13,727 per month.
Section 3: Effective the pay period following City Council adoption of this
resolution, the salary ranges for all NBLMA represented classifications shall be in
accordance with the Memorandum of Understanding.
Section 4: The City's Salary Schedule shall be modified to be consistent with this
resolution.
Section 5: The Memorandum of Understanding shall be effective from the date
of January 1, 2019 through December 31, 2021.
Resolution No. 2019-83
Page 3 of 3
Section 6: The Memorandum of Understanding supersedes in all respects any
and all terms and provisions of all prior memorandums of understanding between City
and employees represented by NBLMA, except to the extent that any term or provision
of this Memorandum of Understanding expressly provides otherwise.
Section 7: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
Section 8: If any section, subsection, sentence, clause or phrase of this resolution
is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the
validity or constitutionality of the remaining portions of this resolution. The City Council
hereby declares that it would have passed this resolution, and each section, subsection,
sentence, clause or phrase hereof, irrespective of the fact that any one or more sections,
subsections, sentences, clauses or phrases be declared invalid or unconstitutional.
Section 9: The City Council finds the adoption of this resolution 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, Division 6, Chapter 3,
because it has no potential for resulting in physical change to the environment, directly or
indirectly.
Section 10: This resolution shall take effect immediately upon its adoption by the
City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 24th day of September, 2019.
Diane B. Dixon
Mayor
ATTEST„
Leilani 1. Brown
i
City Clerk
APPROVED AS TO FORM: "1 �
CITY ATTORNEY'S OF ICE
Aa on C. Harp
City Attorney
Attachment: Exhibit A — Memorandum of Understanding
EXHIBIT A
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH
LIFEGUARD MANAGEMENT ASSOCIATION
January 1, 2019 through December 31, 2021
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF NEWPORT BEACH
AND THE
NEWPORT BEACH LIFEGUARD MANAGEMENT ASSOCIATION
TABLE OF CONTENTS
Preamble
Section 1. General Provisions
Durationof Memorandum................................................................................................ 1
Scope............................................................................................................................. 1
Conclusiveness..............................................................................................................2
Savings........................................................................................................................... 2
OtherTerms and Conditions........................................................................................... 2
Unit Classification Titles.................................................................................................. 2
Section 2. Compensation
SalaryAdjustments......................................................................................................... 2
One-time Lump Sum Payment....................................................................................... 3
SpecialAssignment Pay.................................................................................................. 3
Overtime.......................................................................................................................... 3
Uniforms.........................................................................................................................4
CallOut...............................:...:.................................................................................... 4
Scholastic Achievement Pay...........................................................................................4
NightStandby.................................................................................................................. 5
Move -up Pay................................................................................................................... 5
Move -down Pay............................................................................................................. 5
CourtStandby Pay.......................................................................................................... 6
LongevityPay................................................................................................................. 6
Section 3. Leaves
FlexLeave....................................................................................................................... 6
Useof Flex...................................................................................................................... 7
FamilySick Leave........................................................................................................... 8
HolidayTime................................................................................................................... 8
BereavementLeave........................................................................................................ 9
Section 4. Fringe Benefits
Insurance........................................................................................................................ 9
Additional Health Insurance/ Programs......................................................................... 11
Employee Assistance Program..................................................................................... 12
TheRetirement Benefit................................................................................................. 12
Retiree Health Benefits Program................................................................................... 14
TuitionReimbursement................................................................................................. 17
Section 5. Miscellaneous Provisions
Reductionin Force/Layoffs............................................................................................ 18
Discipline....................................................................................................................... 20
Health and Fitness Evaluations..................................................................................... 20
Provision for Sun Protection.......................................................................................... 20
Fitness Equipment and Exercise Time.......................................................................... 21
EmployeePolicy Manual............................................................................................... 21
DirectDeposit................................................................................................................ 21
EXHIBIT A — Represented Classifications and Pay Rates ........................................... 23
MEMORANDUM OF UNDERSTANDING
BETWEEN THE CITY OF NEWPORT BEACH AND
THE NEWPORT BEACH LIFEGUARD MANAGEMENT ASSOCIATION
This Memorandum of Understanding (hereinafter referred to as "MOU") is entered into
with reference to the following:
PREAMBLE
Authorized representatives of the CITY OF NEWPORT BEACH (hereinafter
referred to as "CITY") and authorized representatives of the NEWPORT BEACH
LIFEGUARD MANAGEMENT ASSOCIATION (hereinafter referred to as
"NBLMA") a recognized employee organization, met and conferred, exchanging
various proposals concerning wages, hours, fringe benefits and other terms and
conditions of employment of employees represented by NBLMA (hereinafter
referred to as "EMPLOYEES") for the period of January 1, 2019 through December
31, 2021 .
SECTION 1. GENERAL PROVISIONS
A. Duration of Memorandum
The terms of this MOU are to remain in full force and effect from January 1, 2019
through December 31, 2021.
B. Scope
1. All present written rules and currently established practices and employee
rights, privileges and benefits that are within the scope of representation
shall remain in full force and effect during the term of this MOU unless
specifically amended by the provisions of this MOU, or in the case of the
Department Standard Operating Procedures (SOPs) falling within the scope
of representation, the City has given notice to the Association and, upon
request, met and conferred on any proposed changes which fall within the
scope of representation.
When the Department proposes to change any SOP departmental rule or
regulation, it will provide a copy of such change to the Association no less
than seven (7) days prior to implementation of the proposed change. If such
proposed change materially impacts any matter within the scope of
representation, then the parties agree to meet and confer over such impact.
2. Pursuant to this MOU, the City reserves and retains all of its inherent
exclusive and non-exclusive managerial rights, powers, functions and
authorities ("Management Rights") as set forth in Resolution No. 2001-50.
NBLMA MOU 2019-21
C. Conclusiveness
Except as provided for in this agreement, this MOU contains all of the covenants,
stipulations and provisions agreed upon by the parties.
D. Savings
Should any part of this MOU or any provision herein contained be rendered or
declared invalid, by reason of any existing or subsequently enacted Legislation, or
by decree of a Court of competent jurisdiction, such invalidation of such part or
portion of this MOU shall not invalidate the remaining portion hereto, and same
shall remain in full force and effect.
E. Other Terms and Conditions
Except as to those matters expressly covered by this MOU, all terms and
conditions of employment may be changed or amended after meeting and
conferring, in good faith.
Unless specifically provided in this MOU, Part-time members shall only receive
those benefits in this MOU which are specifically set forth as applicable to Part-
time members.
F. Unit Classification Titles
Unit classifications are listed in Exhibit A.
For all compensation comparison purposes, actual job duties, and not
classification titles, will be utilized.
SECTION 2. COMPENSATION
A. Salary Adjustments
Base salary increases for all NBLMA represented classifications shall be as follows
and as specified in Exhibit A:
Effective the pay period following City Council approval of this MOU, base salaries
will be increased by one and three quarters percent (1.75%) for all members of the
bargaining unit.
NBLMA MOU 2019-21 2
Effective the pay period including January 1, 2020, base salaries will be increased
by one and three quarters percent (1.75%) for all members of the bargaining unit.
Effective the pay period including January 1, 2021, base salaries will be increased
by one and three quarters percent (1.75%) for all members of the bargaining unit.
B. One -Time Lump Sum Payment
All members of the bargaining unit employed by the City at the beginning if the pay
period following City Council approval of this 2019-2021 MOU shall receive a one-
time payment (subject to tax withholdings) of one thousand five hundred dollars
($1,500.00). This payment shall be made by the beginning of the second pay
period following City Council approval of this 2019-2021 MOU. This one-time
payment shall not be reported to Ca1PERS as compensation earnable or
pensionable compensation as it is being provided in the same fiscal year in which
a base salary increase is being provided to members of this bargaining unit.
C. Special Assignment Pav
Boat Pay: Lifeguard Captains certified for and assigned to boat operations shall
receive additional compensation of 2.5% of base salary for their job classification.
Boat assignment pay will be assigned to a qualified Captain and compensated only
when performing boat duties.
Training Pay: The Lifeguard Captain assigned as the "Training Captain" will
receive an additional 7.5% of base pay while assigned the responsibilities of
training.
D. Overtime
Unit employees shall receive overtime compensation for all hours worked in
excess of forty (40) in any work week. Time worked shall be rounded to the nearest
quarter of an hour (seven (7) minutes or less round down; eight (8) minutes or
more round up). Paid time off shall be considered time worked for the purposes
of calculating MOU overtime.
The rate at which MOU overtime (overtime which is in addition to that which is
required by the FLSA) is paid does not include any contributions to the City's
Cafeteria Plan as set forth in Section 4 — Fringe Benefits of the MOU.
Unit employees shall have the option of requesting to earn compensatory time off
(CTO) for all overtime, including training time, in lieu of overtime compensation.
All use of compensatory time off shall be subject to existing City rules. The time
during which an employee may use accrued CTO is subject to approval by the
department head or his/her designee with due regard for the wishes of the
employee and the need to provide service. However, an employee wishing to use
his/her accrued CTO shall provide the City with reasonable notice of such
request. A request to use CTO without reasonable notice may still be granted
NBLMA MOU 2019-21
within the discretion of the supervisor or manager responsible for considering
the request. Notwithstanding this paragraph, the parties agree that employees
cannot use CTO from June 15 through Labor Day each year.
The maximum accrual of CTO shall be eighty (80) hours. Effective January 1,
2020, an employee may only accrue up to eighty (80) hours of CTO per calendar
year.
E. Uniforms
The City shall pay the entire cost of providing full-time and part-time NBLMA
members with each component of the required NBLMA uniforms. The required
NBLMA uniform includes uniform pants, uniform shirts, safety shoes, badges and
insignias, uniform jackets and liners, belts, dive equipment, foul weather gear,
personal floatation device and helmet. The City shall not be responsible for
providing employees with socks, underwear, cap, workout shoes, or other clothing.
As permissible by law and subject to the provisions and limitations under the Public
Employees' Retirement Law, including restrictions on reporting uniform allowance
as pensionable compensation for "non -classic" members hired after January 1,
2013, the City shall report the value of provided uniforms at $838 per year ($32.23
per pay period) in accordance with PERS requirements. The parties agree the
reported value of uniforms is intended to reflect clothing such as pants, shirts,
jackets, and related attire and excludes health and safety related equipment.
F. Call Out
Call out compensation shall be in accordance with the following provisions:
All emergency call out time shall be calculated to the nearest one quarter
(1/4) hour of time worked.
2. A minimum of two (2) hours (including travel time),If the two hours causes
the employee to exceed forty (40) hours in the week, the rate of pay shall
be at one and one half (1 1/2) times the employee's rate of pay. Employees
will be considered "on duty" at the beginning of each emergency call out for
a minimum of two (2) hours or until completed. Employees will not be
compensated for additional call outs that occur during the initial two (2) hour
response period, or during normal working hours.
G. Scholastic Achievement Pay
Employees in the classification of Lifeguard Captain shall
base salary (2%) if they receive a Bachelor's Degree
classification of Lifeguard Battalion Chief shall receive one
salary if the receive a Master's Degree.
NBLMA MOU 2019-21
receive two percent of
Employees in the
percent (1 %) of base
A "degree" shall be awarded by an institution accredited by the State of California,
the United States Department of Education, the Council for Higher Education, or
the Distance Education Training Council.
H. Night Standby
A full-time or part-time employee assigned to standby duty (as defined by
Department Policy) for purposes of being on call to handle emergency situations
arising at times other than during normal working hours shall be guaranteed two
and a half (2.5) hours of pay at the employee's rate of pay for each calendar day
of such standby duty. Employees shall have the option of receiving compensatory
time off at straight time in lieu of pay for night standby. This compensatory time
off is part of same bank which is subject to the maximum accrual of compensatory
time off set forth in Section 2D above.
Move -up Pay
Temporary upgrading shall be defined as the temporary assignment of an
employee to work in a job classification, which is assigned to a salary schedule
higher than his/her regular job classification.
Employees temporarily upgraded to the following job classifications and equivalent
positions shall receive a five percent (5%) pay differential over their rate of pay for
all time worked in the higher job classification if they are assigned to work in the
higher job classification for a period of one (1) working hour or longer.
Lifeguard Captain
Lifeguard Battalion Chief
All holiday, flex leave and other paid leave shall be paid at the employee's rate of
pay.
Assignments to higher rated classifications shall be made at the sole discretion of
the City.
J. Move -down Pav
Employees who work down — a temporary assignment of an employee to work in
a job classification, which is assigned to a salary schedule lower than his her
regular job classification (i.e., a Battalion Chief who moves down as a Lifeguard
Captain or a Lifeguard Captain who moves down as a Lifeguard Officer) shall be
paid at the top step of the classification to which the employee moved down unless
the top step of the moved down classification is higher than their current rate of
pay. In that case, they will be paid at the regular pay rate.
NBLMA MOU 2019-21
K. Court Standby Pav
All NBLMA members who, pursuant to subpoena compelling attendance to testify
to acts, observations, or omissions occurring in the course and scope of
employment or at the direction of their supervisor, are required, while off—duty, to
remain within a certain response time from court, shall be considered to be on
"court standby time" and shall receive four hours of pay for each eight hours of
court standby time. NBLMA members shall, when required to appear in court
pursuant to a subpoena or the direction of their supervisor to testify at to matters
relating to their employment with the City, be considered to be on duty and shall
be paid accordingly. Members shall remit all witness fees received for testifying or
appearing on any matter for which the member is eligible to receive court standby
time.
L. Longevity Pay
Employees in the Unit shall receive Longevity Pay as follows:
Years of Service
16 but less than 20
20 but less than 25
25 and over
SECTION 3. LEAVES
A. Flex Leave
Basis for Accrual
Full -Time Members:
Longevity Pay
1.0%
1.5%
2.5%
Regular full-time employees enrolled in the Flex Leave program will earn
leave in accordance with the following schedule:
Years of continuous Accrual per Maximum Hours
service in the unit pay period/hrs Annual Accrual
1 but less than 5
5.54
288.08
5 but less than 9
6.15
319.80
9 but less than 12
6.77
352.04
12 and over
7.69
399.88
Part -Time Members:
Regular part-time employees shall be enrolled in the Flex Leave program
and accrue leave time at the rate of .04 hours for each hour worked.
NBLMA MOU 2019-21
2. Limit on Accumulation and Cash Out of Flex Leave
Employees shall be entitled to accrue flex leave up to a maximum of fifty-
two (52) times the member's bi-weekly accrual rate. This limit on
accumulation shall apply to both full-time and part-time members. Earned
flex leave in excess of the maximum permitted is currently paid bi-weekly at
the member's hourly rate of pay ("spillover pay"). Members shall be eligible
for flex leave spillover pay only if they have utilized at least eighty (80) hours
of flex leave the previous calendar year. Employees who have not utilized
eighty (80) hours of leave for full time and sixty (60) hours for part-time the
prior calendar year shall not be eligible for "spillover pay". Once an
employee accrues the maximum accrual limit, he/she will not accrue
additional flex leave until he/she uses leave and reduces his/her accrual
below the accrual limit.
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 can elect to receive
the cash out in the pay period which includes June 30 and 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, 2018, 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.
3. Method of Use
Flex leave may not be taken in excess of that actually accrued. The
Department Director or designee 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. Flex leave may be
granted on an hourly basis.
B. Use of Flex
Level A staffing shall run from June 15th through Labor Day. During this period of
time, full-time and part-time NBLMA personnel may be limited to a total of forty
(40) hours usage of flex leave requiring backfill. Additional flex leave during this
period may be approved if, in the opinion of management, adequate staffing levels
can be maintained.
NBLMA MOU 2019-21
C. Family Sick Leave
Unit employees shall be entitled to use an amount of time equal to one-half (1/2)
of their annual leave accrual for an illness of a family member as defined below
which requires the presence of the employee. Such time may be taken from the
employee's annual leave accrual or leave bank, at the employee's choice. Leave
shall be administered in accordance with the provisions of the Employee Policy
Manual (EPM).
For purposes of family sick leave, family member shall mean spouse, parent,
(parent shall mean biological, foster, or adoptive), child (child shall mean biological,
adopted, or foster child; a stepchild; a legal ward; or a child of an employee
standing in local parentis), grandchild, grandparent, sibling oras modified by State
or Federal law.
D. Holiday Time
As described in the following paragraph, employees shall receive leave or pay for
the following holidays:
Independence Day
Labor Day
Veteran's Day
Thanksgiving Day
Friday following Thanksgiving
Christmas Eve
Christmas
New Year's Eve
New Year's Day
Martin Luther King Day
Washington's Birthday
Memorial Day
Floating Holiday (1)
July 4
1st Monday in September
November 11
4th Thurs. in November
Last 1/2 of working day
December 25
Last 1/2 of working day
January 1
3rd Monday in January
3rd Monday in February
Last Monday in May
For employee's birthday or other
holiday.
Full time employees receive 96 hours of holiday time per year, 1/26th (3.69 hours)
per pay period which will be paid or accrued each pay period. Part-time employees
receive 72 hours of holiday time per year, 1/26th (2.77 hours) per pay period which
will be paid or accrued each pay period. When an employee becomes an NBLMA
member, he/she shall select to receive either pay, leave or a combination of both
pay and leave for the holidays. When a part-time employee in the unit is appointed
to a full-time classification, he/she shall select to receive either pay, leave or a
combination of both pay and leave for the additional twenty-four (24) hours.
To the extent permitted by law, this holiday compensation shall be reported to
PERS as special compensation and shall be regarded as compensation earnable
as defined in Government Code Sec. 20636 (c) (6) for purposes of computing
retirement benefits and contributions.
NBLMA MOU 2019-21
E. Bereavement Leave
Bereavement Leave shall be defined as the necessary absence from duty by an
employee because of the death or terminal illness in his/her immediate family.
NBLMA full-time members shall be entitled to 40 hours bereavement leave per
incident (terminal illness followed by death is considered one incident) and 32
hours bereavement leave for part-time members. Leave hours need not be used
consecutively, but should occur in proximate time to the occurrence, but no more
than 90 days from the date of the death of the family member. Immediate family
shall mean an employee's father, stepfather, mother, stepmother, brother, sister,
spouse/domestic partner, child, stepchild and grandparent, and the employee's
spouse/domestic partner's father, mother, brother, sister, child and grandparent.
An employee requesting bereavement leave shall notify his/her supervisor as soon
as possible of the need to take leave.
Probationary Employees. An employee serving his/her initial probationary period
who takes leave under this section who for any reason terminates his/her
employment prior to the completion of such probationary period shall have his/her
final pay check reduced by the value of the leave taken.
SECTION 4. FRINGE BENEFITS
A. Insurance
Benefits Information Committee
The City has established a Benefits Information Committee composed of
one representative from each employee association and up to three City
representatives. The Benefits Information Committee has been established
to allow the City to present data regarding carrier and coverage options, the
cost of those options, appropriate coverage levels and other health care
issues. The purpose of this Committee is to provide each employee
association with information about health care issues and to receive timely
input from associations regarding preferred coverage options and levels of
coverage.
2. City Contribution
The City has implemented an IRS qualified Cafeteria Plan. The City
contribution toward the Cafeteria Plan shall be as set forth below.
Employees shall have the option of allocating Cafeteria Plan contributions
towards the City's existing medical, dental and vision insurance/programs.
The City and NBLMA will cooperate in pursuing additional optional benefits
to be available through the Cafeteria Plan.
NBLMA MOU 2019-21
Any unused Cafeteria Plan funds shall be payable to the employee as
taxable cash back. Employees shall be allowed to change coverages in
accordance with plan rules and during regular open enrollment periods.
a. Full -Time Members.-
The
embers.
The City's contribution towards the Cafeteria Plan is $1,624 (plus the
minimum CalPERS participating employer's contribution). Effective the
pay period following City Council approval of this 2019-2021 MOU, this
amount will increase to $1,645.
Full time NBLMA members who do not want to enroll in any medical plan
offered by the City must provide 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 medical insurance coverage on an annual basis.
Employees hired prior to the first day of the pay period following City
Council approval of this 2019-2021 MOU who elect to opt out of medical
coverage offered by the City because they have provided proof of
minimum essential coverage ("MEC') through anothersource (otherthan
coverage in the individual market, whether or not obtained through
Covered California) 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 approval of this 2019-2021 MOU 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.
b. Part -Time Members.-
Part-time
embers.
Part-time NBLMA members receive a monthly cafeteria benefit of $585.
Effective the pay period following City Council approval of this 2019-
2021 MOU, this amount will increase to $601. For part-time employees
enrolled in medical plans, the cafeteria amount is inclusive of the PERS
designated minimum medical insurance contribution.
For employees who do not enroll in a medical plan there shall be no opt
out cafeteria benefit. Part-time time NBLMA members who do not want
NBLMA MOU 2019-21 10
to enroll in any medical plan offered by the City must provide proof of
minimum essential coverage ("MEC") through another source (other
than coverage in the individual market, whether or not obtained through
Covered California).
3. Dental Insurance
The existing or comparable dental plans shall be maintained as part of the
City's health plan offerings for full-time employees as agreed upon by the
Benefits Information Committee.
4. Vision Insurance
The existing or a comparable vision plan shall be maintained as part of the
City's health plan offerings as agreed upon by the Benefits Information
Committee for full-time employees.
B. Additional Health Insurance/Programs
IRS Section 125 Flexible Spending Account
Section 125 of the Internal Revenue Code authorizes an employee to
reduce taxable income for payment of allowable expenses such as child
care and medical expenses. The City shall maintain a "reimbursable
account program" in accordance with the provisions of Section 125 of the
Internal Revenue Code, pursuant to which a full-time Association member
may request that medical, child care and other eligible expenses be paid or
reimbursed by the City out of the employee's account. The base salary of
the employee will be reduced by the amount designated by the employee
for reimbursable expenses.
2. Disability Insurance
The City shall provide Short -Term (STD) and Long -Term (LTD) disability
insurance to regular full-time employees with the following provisions:
Short -Term Disability
Long -Term Disability
Benefit Amount 66.67% of covered
66.67% of covered
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 shall pay one percent (1 %) of base salary as a post -
tax deduction for this benefit.
NBLMA MOU 2019-21 11
3. Life Insurance
The City shall provide life insurance for full-time employees 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 (i.e., a maximum of $25,000). This amount
remains in effect until the employee retires from City employment.
Employees may also purchase supplemental life insurance at their own
cost.
C. Employee Assistance Program
City shall provide an Employee Assistance Program (EAP) for Association
members through a properly licensed provider. Association members and their
family members may access the EAP subject to provider guidelines.
D. The Retirement Benefit
1. Retirement Benefit Formula
The City contracts with 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: For employees enrolled by the City of Newport Beach as Safety
members on or before November 23, 2012, the retirement formula shall be
3%@50 calculated on the basis of the single highest year.
Tier 2: For classic member (as defined in the Public Employees' Pension
Reform Act) employees enrolled in CalPERS by the City of Newport Beach as
Safety members on or after November 24, 2012, the retirement formula is
2%@50. For these same employees, final compensation will be based on the
highest annual average compensation earnable during the three consecutive
years of employment immediately preceding the effective date of his or her
retirement or any other three consecutive year period chosen by the employee
as set forth in Government Code section 20037.
Tier 3: For employees enrolled by the City of Newport Beach as Safety
members on or after January 1, 2013 who are new members as defined in the
Public Employees' Pension Reform Act), the retirement formula shall be
2.7%@57 provided for by the Public Employees' Retirement Law at
Government Code section 7522.25(d).
For these same employees, final compensation will be based on the highest
annual average compensation earnable during the three consecutive years of
employment immediately preceding the effective date of his or her retirement
NBLMA MOU 2019-21 12
or any other three consecutive year period chosen by the employee as set forth
in Government Code section 7522.32(a).
The City's contract with PERS also provides for:
b. The military buy-back provisions pursuant to Section 20930.3 of the
California Government Code and the highest year benefit pursuant
to Section 20042.
C. The Level 4 1959 Survivors Benefits.
d. The pre -retirement option settlement 2 death benefit (Section
21548).
2. Employee Contributions
Tier 1 and 2 Employees: All unit members in Tiers 1 and 2 will pay the full
9% "safety member" contribution of PERS reportable earnings. This
payment will be made on a pre-tax basis through payroll deduction pursuant
to IRS Code Section 414(h)(2). This contribution will not be considered as
part of employee's "compensation earnable" under Government Code
section 20636.
Unit members will, in addition to the 9% normal member contribution,
contribute 4.6% of pensionable compensation toward retirement costs as
permitted under Government Code §205160, for a total contribution of
13.6%.
Tier 3 Employees. The minimum statutory employee contribution for
employees in Tier 3 is subject to the provisions of the Public Employees'
Pension Reform Act (PEPRA) and equals 50% of the "total normal cost" as
determined by PERS. For FYI 7-18, the employee Safety rate is 10.5% and
is subject to change based on annual PERS actuarial valuations.
In addition to the statutorily required 50% contribution of total normal costs,
Tier 111 employees shall contribute 3.10% of pensionable compensation
toward retirement costs pursuant to Government Code § 205160, for a total
contribution of 13.6%. If future fiscal year member contribution rates for
employees in Tier 111 become greater or less than 10.5%, the additional
contribution made by the employee under 205160 will be increased or
decreased accordingly so that the total employee contribution equals
13.6%.
In the event CaIPERS pension provisions for new or existing employees are
modified by State or Federal legislation, resulting in changes to previously
negotiated terms, the parties agree to meet and confer to discuss
appropriate changes to the MOU.
NBLMA MOU 2019-21 13
E. Retiree Health Benefits Program (Full -Time Classifications Only)
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
and (then) existing retirees have been administratively classified into one of
four 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. Program Structure
This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Plan
(formerly the Medical Expense Reimbursement Program "MERP') and
applies only to regular full-time NBLMA employees.
a. For employees in Category 1, the program is structured as follows:
Each employee will have an individual RHS account for bookkeeping
purposes, called his or her "Employee Account." This account will
accumulate contributions to be used for health care expenses 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).
NBLMA MOU 2019-21 14
Part C contributions (leave settlement as determined by Association):
The Association will determine the level of contribution for all employees
it represents, subject to the following constraints. All employees within
the Association 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 the Association wishes 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.
The Association has decided to participate in Part C contribution, at the
level of zero percent (0%). This amount may be changed, on a go
forward basis, as part of the future meet and confer process. However,
the participation level must be the same for all employees within the
Association. Additionally, the purpose and focus of these changes
should be toward long-term, trend type adjustments. Due to IRS
restrictions regarding "constructive receipt," the City will impose
restrictions against frequent spikes or drops that appear to be tailored
toward satisfying the desires of a group of imminent retirees.
Spillover pay is not eligible for Part C contributions.
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 enrolment 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 (i.e.
five years at full time status). At that time, the City will credit the first five
years' worth of Part B contributions into the Employee Account (interest
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
NBLMA MOU 2019-21 15
B contributions. The exception to this is a full-time employee,
participating in the program, who leaves the City due to industrial
disability during the first five years of employment. In such cases, the
employee will receive exactly five years' worth of Part B contributions,
using the employee's age and compensation at the time of separation
for calculation purposes. This amount will be deposited into the
employee's RHS account at the time of separation.
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 recent 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 parties agree that the City's Part B contributions during active
employment constitute the minimum CaIPERS participating employer's
contribution (i.e., the CalPERS statutory minimum amount) towards
medical insurance after retirement. The parties also agree that, for
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:
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
NBLMA MOU 2019-21 16
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 $400 per 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.
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.
F. Tuition Reimbursement
Full-time and part-time NBLMA members attending accredited community
colleges, colleges or universities may apply for reimbursement of one hundred
percent (100%) of the actual cost of tuition, books, fees or other student expenses
for approved job—related courses. 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
NBLMA MOU 2019-21 17
courses. All claims for tuition reimbursement require the approval of the Human
Resources Director.
NBLMA members attending pre -approved, directly job-related classes, courses
and seminars given by recognized agencies, organizations or individuals other
than accredited college institutions may apply for reimbursement of actual cost of
tuition, books, fees or other student expenses. Reimbursement is contingent upon
the successful completion of the course. Successful completion means a
document or certificate showing successful completion of the course or seminar.
All claims for reimbursement require the approval of Fire Chief or designee before
submittal to Human Resources.
Maximum tuition reimbursement for full-time employees shall be $1,500 per fiscal
year and the maximum reimbursement for part-time employees shall be $1,125
per fiscal year.
SECTIONS. MISCELLANEOUS PROVISIONS
A. Reductions in Force/Lavoffs
The provisions of this section shall apply to full-time and part-time members when
the City Manager determines that a reduction in the work force is warranted
because of actual or anticipated reductions in revenue, reorganization of the work
force, a reduction in municipal services, a reduction in the demand for service or
other reasons unrelated to the performance of duties by any specific employee.
Reductions in force are to be accomplished, to the extent feasible, on the basis of
seniority within a particular Classification or Series and this Section should be
interpreted accordingly.
Definitions
a. "Layoffs" or "Laid off' shall mean the non—disciplinary termination of
employment.
b. "Seniority" shall mean the time an employee has worked in a
Classification or Series calculated from the date on which the
employee was first granted regular status in their current
Classification or any Classification within the Series, subject to the
following:
Credit shall be given only for continuous service (as described
in the next paragraph) subsequent to the most recent
appointment to regular status in the Classification or Series;
Seniority shall include time spent on industrial leave, military
leave and leave of absence with pay, but shall not include time
NBLMA MOU 2019-21 18
spent on any other authorized or unauthorized leave of
absence.
C. "Classification" shall mean one or more full time positions identical
or similar in duties and embraced by a single job title authorized in
the City budget and shall not include part—time, seasonal or
temporary positions. Classifications within a Series shall be ranked
according to pay (lowest ranking, lowest pay).
d. In this bargaining unit, there is one Series made up of the three
classifications represented by the Association — Lifeguard Officer,
Lifeguard Captain and Lifeguard Battalion Chief.
e. "Bumping Rights", "Bumping" or "bump" shall mean the right of an
employee, based upon seniority within a series, to displace a less
senior employee in a lower Classification within the Series.
2. Procedures
In the event the City Manager determines to reduce the number of
employees within a Classification, the following procedures are applicable:
a. Employees within a Classification shall be laid off in inverse order of
seniority;
b. An employee subject to layoff in one Classification shall have the
right to Bump a less senior employee in a lower ranking Classification
within a Series within the bargaining unit, provided, however, that the
determination of the employee to be terminated from the position
shall be based on seniority within the Series. An employee who has
Bumping Rights shall notify the Department Director within seven (7)
working days after notice of layoff of his/her intention to exercise
Bumping Rights.
d. In the event two or more employees in the same Classification are
subject to layoff and have the same seniority, the employees shall
be laid off in inverse order of their position on the eligibility list or lists
from which they were appointed. In the event at least one of the
employees was not appointed from an eligibility list, the Department
Director shall determine the employee(s) to be laid off.
3. Notice
Employees subject to lay—off shall be given at least thirty (30) days advance
notice of the layoff or thirty (30) days' pay in lieu of notice. In addition,
employees laid off will be paid for all accumulated paid leave, holiday leave
(if any).
NBLMA MOU 2019-21 19
4. Re—Employment
Regular and probationary employees who are laid off shall be placed on a
Department re—employment list in reverse order of layoff. The re—
employment list shall remain in effect until exhausted by removal of all
names on the list. In the event a vacant position occurs in the Classification
which the employee occupied at the time of layoff, or a lower ranking
Classification within a Series, the employee at the top of the Department
re—employment list shall have the right to appointment to the position,
provided, he or she reports to work within seven (7) days of written notice
of appointment. Notice shall be deemed given when personally delivered
to the employee or deposited in the U.S. Mail, certified, return receipt
requested, and addressed to the employee at his or her last known
address. Any employee shall have the right to refuse to be placed on the
re—employment list or the right to remove his or her name from the re—
employment list by sending written confirmation to the Human Resources
Director.
5. Severance Pav
Regular employees who are laid off shall, as of the date of lay—off, receive
one week severance pay for each year of continuous service with the City
of Newport Beach, to a maximum of ten (10) weeks of severance pay.
B. Discipline
Any discipline shall be in accordance with the Department SOP and the Employee
Policy Manual.
C. Health and Fitness Evaluations
All NBLMA members shall participate in the Department Fitness Program.
D. Provision for Sun Protection
The first full pay period of each fiscal year, the City will provide $400 to each
full-time unit member and $300 to each part-time unit member for
sunglasses and other sun protection materials (not restricted to use at
Lifeguard Store).
2. Each unit employee shall receive an annual skin cancer screening, which
will be conducted either on or off duty at the Department's discretion.
Employees directed to receive this screening off duty shall receive one (1)
hour of compensatory time off as compensation.
NBLMA MOU 2019-21 20
E. Fitness Equipment and Exercise Time
The City will provide up to $3,000 per year towards the purchase of fitness
equipment to be used on duty for the intended benefit of NBLMA. The actual
equipment to be purchased shall be recommended by NBLMA, and shall require
the final approval of the Fire Chief. Unit employees shall be allowed up to three
(3) hours per week for on duty physical fitness training.
F. Employee Policy Manual
The City and NBLMA have agreed on implementation of the City's revised 2001
Employee Policy Manual. Should additional revisions to the Manual be proposed,
the City will meet and confer on applicable policy manual provisions which are
within the scope of bargaining.
G. Direct Deposit
All Unit employees shall participate in the City's Direct Deposit Program.
Signatures on the following page
NBLMA MOU 2019-21 21
Executed this day of , 2019:
NEWPORT BEACH LIFEGUARD MANAGEMENT ASSOCIATION
BY:
BY:
m
Gary Conwell, President
Mike Ure, Vice President
CITY OF NEWPORT BEACH
Diane B. Dixon, Mayor
CITY OF NEWPORT BEACH
APPROV AS TO FORM
BY: dd".
, Special Counsel
ATTEST:
m
Leilani Brown, City Clerk
NBLMA MOU 2019-21 22
Exhibit A
City of Newport Beach
LIFEGUARD MANAGEMENT ASSOCIATION
SALARY SCHEDULE ADJUSTMENTS
REVISION DATE: SEPTEMBER 28, 2019
1.75% COST OF LIVING ADJUSTMENT
Position Title Hourly Pay Rate 1
Monthly Pay Rate Z
Min
Max
Min
Max
LIFEGUARD BATTALION CHIEF $44.76
$62.92
$7,758
$10,907
LIFEGUARD CAPTAIN $35.54
$50.05
$6,160
$8,675
LIFEGUARD CAPTAIN + 7.5% 3 $38.20
$53.75
$6,621
$9,317
LIFEGUARD OFFICER (PARTTIME) $26.46 $37.23 $4,586 $6,453
REVISION DATE: JUNE 20, 2020
1.75% COST OF LIVING ADJUSTMENT
Position Title
Hourly Pay Rate 1
Monthly Pay Rate z
Min
Max
Min
Max
LIFEGUARD BATTALION CHIEF
$45.54
$64.02
$7,894
$11,097
LIFEGUARD CAPTAIN
$36.16
$50.93
$6,268
$8,827
LIFEGUARD CAPTAIN + 7.5% 3
$38.87
$54.70
$6,737
$9,481
LIFEGUARD OFFICER (PARTTIME)
$26.92
$37.88
$4,666
$6,566
REVISION DATE: JUNE 19, 2021
1.75% COST OF LIVING ADJUSTMENT
Position Title
Hourly Pay Rate 1
Monthly Pay Rate z
Min
Max
Min
Max
LIFEGUARD BATTALION CHIEF
$46.34
$65.14
$8,032
$11,292
LIFEGUARD CAPTAIN
$36.80
$51.82
$6,378
$8,982
LIFEGUARD CAPTAIN + 7.5% 3
$39.55
$55.65
$6,855
$9,646
LIFEGUARD OFFICER (PART TIME)
$27.39
$38.54
$4,747
$6,681
1 Hourly pay rates are rounded to the nearest hundredth.
Z Monthly pay rates are rounded to the nearest whole dollar.
3 LIFEGUARD CAPTAIN + 7.5% includes compensation for the Lifeguard Captain responsible for training.
Citywide Salary Schedule Effective June 22, 2019
STATE OF CALIFORNIA }
COUNTY OF ORANGE } ss.
CITY OF NEWPORT BEACH }
I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the
whole number of members of the City Council is seven; the foregoing resolution, being Resolution
No. 2019-83, was duly introduced before and adopted by the City Council of said City at a regular meeting
of said Council held on the 241h day of September, 2019; and the same was so passed and adopted by the
following vote, to wit:
AYES: Mayor Diane Dixon, Mayor Pro Tem Will O'Neill, Council Member Brad Avery, Council
Member Joy Brenner, Council Member Jeff Herdman, Council Member Kevin Muldoon
NAYS: None
ABSENT: Council Member Duffy Duffield
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of
said City this 251h day of September, 2019.
r Pk`r4.
Leilani I. Brown
City Clerk
Newport Beach, California