Loading...
HomeMy WebLinkAbout05 - Police Association MOU, Police Management Association MOU & Lifeguard MOUCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 5 July 6, 2010 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Dave Kiff, City Manager 949 - 644 -3000, dkiff(dnewportbeachca.gov Terri L. Cassidy J.D., Human Resources Director 949 - 644 -3303, tcassidv @newportbeachca.gov SUBJECT: Approval of Resolutions Adopting Memoranda of Understanding with the Police Association (PA), Police Management Association (PMA), and Association of Newport Beach Ocean Lifeguards (ANBOL); and Adoption of Resolution Implementing a CaIPERS Time -In -Grade Exception ISSUE: The adoption of new MOUs with police and seasonal lifeguard personnel. RECOMMENDATION: The following actions are recommended: Approve the resolutions adopting the Memorandum of Understanding between the City of Newport Beach and the Police Association (Attachment A); between the City of Newport Beach and the Police Management Association (Attachment B); and between the City of Newport Beach and the Association of Newport Beach Ocean Lifeguards (Attachment C); and 2. Approve the resolution adopting the CaIPERS Employer -Paid Member Contribution Time -in -Grade Exception (Attachment D). DISCUSSION: Background: In October 2009, City representatives and representatives from the formerly titled Police Employee's Association, and City representatives and representatives from the Police Management Association, began meeting and conferring in good faith to negotiate successor Memoranda of Understanding for the Memoranda that expired on December 31, 2009. The City and PA met a total of nine (9) times and reached tentative agreement on May 13, 2010. City representatives and PMA met a total of six (6) times and reached tentative agreement on May 13, 2010. Adoption of MOUs July 6, 2010 Page 2 On April 14, 2010 and May 13, 2010, City representatives and a representative from the Association of Newport Beach Ocean Lifeguards ( ANBOL) met to negotiate the terms of a successor MOU, to replace the MOU that had expired on March 31, 2009. On June 8, 2010 the City and ANBOL reached a tentative agreement. The membership of the respective associations (PA, PMA, and ANBOL) have ratified the agreements by majority vote. Each agreement does not become effective, per Government Code Section 3505.1, until the governing body, i.e., City Council, takes action to adopt it. MOU language changes are noted in italics in the respective MOUs. The main provisions of each Memorandum of Understanding are as follows: PA and PMA • Two -year term, from January 1, 2010 through December 31, 2011. • Salaries to remain unchanged for the term of the MOU. • Effective the pay period beginning July 3, 2010, the City's contribution toward the Cafeteria Plan will increase by $75 per month and an additional $75 per month effective the pay period beginning July 2, 2011. • PA sworn unit employees and PMA employees will contribute 3.5% toward retirement through a pre -tax payroll deduction, effective July 3, 2010, through December 31, 2011. • Sworn new hires will pay 5.5% of the 9% Employer Paid Member Contribution (Time -in -Grade Exception). • On June 10, 2010, the City was notified by the Newport Beach Police Employees Association of the Association's official name change to the Newport Beach Police Association, which has been incorporated throughout the MOU. ANBOL • One year term, from May 1, 2010 through April 30, 2011. • Salaries to remain unchanged for the term of the MOU. • Increase in equipment allotment from $100 to $140 annually for the purchase of sunglasses, sweatpants, hats and related equipment; at the same time, the City will no longer provide sweatpants or full brimmed hats, offsetting the $40 increase. • Eligibility for ANBOL membership to change from requiring 300 work hours to 240 work hours. Pursuant to Government Code Section 20636(e) (1) the City Council may elect a Time - in -Grade Exception (Exception) to allow newly hired employees to pay a greater portion of the PERS Employer Paid Member Contribution to implement the Exception provided for in Management Association MOUs, the City Council terms (Attachment D). Adoption of MOUs July 6, 2010 Page 3 (EPMC). In order for the City Council the Police Association and Police must adopt a resolution defining the If the City Council approves adoption of the three Memoranda of Understanding, staff will work to implement the provisions of each contract as soon as practicable. As these negotiations conclude, we wish to thank the members of the PA and PMA for their acknowledgement of the challenging fiscal issues facing the City (and cities across California) as they attempt to address rising pension costs. We appreciate that consideration. It remains the City's goal to have employees fund a larger portion of these pension costs, to enable the City to remain the stable, sound workplace that benefits our employees and our community. Public Notice: Public notice was fulfilled with the posting of the agenda and report for this item. Funding Availability The combined cost to provide the increase in benefits for PA and PMA is estimated to be $537,750 for the duration of the contract. The 3.5% employee contribution via pre- tax payroll deduction will more than offset the increased cost in benefits and provide an estimated $225,600 in savings for the contract period. The increased cost to implement the contract with ANBOL is negligible (estimated to be less than $1,000). Submitted by: Davtf Kiff City Manager Attachments: Terri L. Cassidy Human Resources Director • A - Resolution Adopting a Memorandum of Understanding with the Police Association • B - Resolution Adopting a Memorandum of Understanding with the Police Management Association • C - Resolution Adopting a Memorandum of Understanding with the Association of Newport Beach Ocean Lifeguards • D - Resolution Adopting EPMC Time -in -Grade Exception Attachment A RESOLUTION NO. 2010 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH POLICE ASSOCIATION WHEREAS, the City Council of the City of Newport Beach previously adopted Resolution No. 2001 -50, the "Employer- Employee Relations Resolution ", to promote improved relations and communication between the City of Newport Beach and its employee associations; and WHEREAS, the Memorandum of Understanding between the City of Newport Beach and the Newport Beach Police Association expired December 31, 2009; and WHEREAS, representatives from the City of Newport Beach and the Newport Beach Police Association have met and conferred in good faith and established terms and conditions of employment under a successor Memorandum of Understanding; and WHEREAS, the City Council of the City of Newport Beach desires to adopt the Memorandum of Understanding between the City of Newport Beach and the Newport Beach Police Association: NOW, THEREFORE, the City Council of the City of Newport Beach does RESOLVE as follows: Section 1. Wages, hours, fringe benefits and other terms and conditions of employment of employees represented by the Newport Beach Police Association shall be provided in accordance with the provisions of the attached Memorandum of Understanding (Exhibit A). Section 2. The term of the Memorandum of Understanding shall be two years, commencing retroactively to January 1, 2010, and will remain in full force and effect through December 31. 2011. Adopted this day of , 2010. M Mayor of the City of Newport Beach ATTEST: City Clerk EXHIBIT A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH POLICE ASSOCIATION This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU ") is entered into with reference to the following: PREAMBLE 1. The Newport Beach Police Association ( "NBPA "), a recognized employee organization, and the City of Newport Beach ( "City "), a municipal corporation and charter city, have been meeting and conferring, in good faith, with respect to wages, hours, fringe benefits and other terms and conditions of employment. 2. NBPA representatives and City representatives have reached a tentative agreement as to wages, hours and other terms and conditions of employment for the period from January 1, 2010 to December 31, 2011 and this tentative agreement has been embodied in this MOU, which has been executed concurrently. 3. This MOU, upon approval by NBPA and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters set forth herein. SECTION 1. — General Provisions A. Recognition In accordance with the provisions of the Charter of the City of Newport Beach, the Meyers - Milias -Brown Act of the State of California and the provisions of the Employer's /Employee Labor Relations Resolution No. 7173, the City acknowledges that NBPA is the majority representative for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in those classifications specified in Exhibit "A" or as appropriately modified in accordance with the Employer /Employee Resolution. All other classifications and positions not specifically included within Exhibit "A" are excluded from representation by NBPA. B. Duration of Memorandum 1. Except as specifically provided otherwise, any ordinance, resolution or action of the City Council necessary to implement this MOU shall 1 be considered effective as of January 1, 2010. This MOU shall remain in full force and effect until December 31, 2011, and the provisions of this MOU shall continue after the date of expiration of this MOU in the event the parties are meeting and conferring on a successor MOU. 2. The terms and conditions of this MOU shall prevail over conflicting provisions of the Newport Beach City Charter, the ordinances, resolutions and policies of the City of Newport Beach, and federal and state statutes, rules and regulations which either specifically provide that agreements such as this prevail, confer rights which may be waived by any collective bargaining agreement, or are, pursuant to decisional or statutory law, superseded by the provisions of an agreement similar to this MOU. C. Release Time 1. NBPA members shall be allowed to participate in the following activities during scheduled working hours without loss of pay ('Release Time "): a. attendance at off -site meetings, conferences, seminars or workshops related to matters within the scope of representation; b. to prepare for scheduled meetings between the City and NBPA during the meet and confer process. C. i. to travel to, and attend scheduled meetings between the City and NBPA during the meet and confer process. ii. to travel to and attend scheduled grievance and disciplinary hearings. iii. to meet, for up to one hour, with their representative prior to a hearing described in subsection C.c.ii above. 2. NBPA shall designate certain members as those members entitled to release time. In no event shall any one designate be entitled to use more than 100 hours of Release Time (exclusive of actual time spent meeting with City representatives on matters relating to the scope of representation), within any calendar year. Designates must give reasonable advance notice to, and obtain permission from, their supervisor prior to use of release time, or, prior to N adjusting work hours per subsection C.2.a. Requests for release time shall be granted by the supervisor unless there are specific circumstances that require the designate to remain on duty. Designates shall, to the maximum extent feasible, receive shift assignments compatible with participation in the meet and confer process. a. Any NBPA negotiating team member may request and shall (subject to the approval process above) be granted flex work hours on any scheduled work day during which the negotiating team member is to attend a meet and confer session. Employees may flex start/finish time up to two (2) hours. 3. City grants NBPA members the right to engage in the activities described in subsection 1(c) at any time without any reduction to City — provided Release Time or to any Release Time bank created pursuant to subsection C.S. 4. City Grants NBPA 500 hours of Release Time per calendar year to engage in the activities described in subsection C.1.a and 1.b. (City — provided Release Time.) NBPA may accumulate up to 300 hours of City — provided Release Time. 5. In addition to City — provided Release Time and Release Time provided pursuant to subsection C.3, NBPA members may contribute up to two hours of earned compensatory time off ( "CTO ") to an NBPA Release Time Bank. Members may contribute earned CTO only during the period from July 1 through August 15 during any calendar year. However, members shall not have the right to contribute CTO to the NBPA Release Time bank if NBPA has accumulated more than 600 hours of total Release Time. Any NBPA member who contributes CTO to the Release Time Bank gives up any right to usage of, or payment for, the contributed CTO. Contributions may be made only in hourly increments. Contributions shall be on forms prepared by the City which shall then be submitted to the appropriate department employee. City shall advise NBPA as to the balance of hours in the Release Time Bank upon request. For purposes of this subparagraph only, the term "compensatory time off or CTO" includes accrued flex leave, accrued vacation leave, and accrued holiday time. 6. There is no entitlement to release time for any matter not set forth above. 3 D. Scope 1. All present written rules and current established practices and employees' 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. 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. Management Rights include, but are not limited to, the following. a. the determination of the purposes and functions of the Police Department; b. the establishment of standards of service; C. to assign work to employees as deemed appropriate; d. the direction and supervision of its employees; e. the discipline of employees; f. the power to relieve employees from duty for lack of work or other legitimate reasons; g. to maintain the efficiency of operations; h. to determine the methods, means and personnel by which Police Department operations are to be conducted; i. the right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; j. the exercise of complete control and discretion over the manner of organization, and the appropriate technology, best suited to the performance of departmental functions. The practical consequences of a Management Rights decision on wages, hours, and other terms and conditions of employment shall be subject to the grievance procedures. 2 E. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to request the other to meet and confer concerning any issue relating primarily to matters within the scope of representation except as expressly provided herein or by mutual agreement of the parties. No representative of either party has the authority to make, and none of the parties shall be bound by, any statement, representation or agreement which is not embodied in this MOU. Subject to the paragraph above, this section shall not be construed to prevent the Newport Beach Police Department from giving notice to the Association and affording the Association the opportunity to meet and confer on the impact of policy changes or the exercise of management rights. However, the terms of this MOU may not be modified through the impact negotiations process; except by mutual agreement. F. Modifications Any agreement, alteration, understanding, variation, or waiver or modification of any of the terms or provisions of this MOU shall not be binding upon the parties unless contained in a written document executed by authorized representatives of the parties. G. Bulletin Boards Space shall be provided on bulletin boards within the Police Department at their present location for the posting of notices and bulletins relating to NBPA business, meetings, or events. All materials posted on bulletins boards shall indicate the name of the organization responsible. Material posted shall not contain personal attacks on any City official or employee, any material which constitutes harassment, discrimination or retaliation on the basis of race, gender, ethnicity, religion or other statutorily or constitutionally impermissible basis, or any pornographic or obscene material. H. No Strike The parties recognize their mutual responsibility to provide the citizens of Newport Beach with uninterrupted municipal services and, therefore, for the term of this MOU, the parties agree not to conduct concerted strike, work slowdown, sick out, withholding of services, or lockout activities. 3 I. Savings If any provision of this MOU shall be held invalid by any court of competent jurisdiction, or if compliance with or enforcement of any provision shall be restrained by court action, or other established governmental administrative tribunal, the remainder of this MOU shall not be affected, and the parties shall replace such invalidated provision with another of similar or equal value through the negotiations process. J. Impasse In the event of an impasse (the failure to agree on a new MOU after the express term of the existing MOU has expired), the parties may agree on mediation pursuant to the procedure outlined in Section 16 of Resolution No. 2001 -50. SECTION 2. — Compensation A. Salary Salaries shall remain unchanged for the term of this agreement. B. Code Seven /Duty Incentive Time The City and NBPA have agreed to eliminate entitlement to compensation for duty incentive time and Code Seven time based upon implementation of the 9/80 work schedule and a Settlement Agreement between the City and NBPA. NBPA and its members agree that the provisions and rules relative to entitlement to compensation for duty incentive time or Code Seven time survive the termination of this MOU, that the provisions of the settlement agreement are in full force and effect and that no request for compensation for duty incentive time or Code Seven time at variance with the provisions of existing rules or the settlement agreement shall be made at any time in the future by NBPA or any of its members. C. Overtime 1. Employees shall be entitled to overtime compensation at the rate of time and one half for hours worked in excess of their regularly scheduled shift. Paid time off shall be considered time worked for overtime calculation purposes. 2. Employees shall also be entitled to overtime compensation for hours worked in excess of 2,080 hours in the 12 month period commencing January 1 st of each year. These overtime payments shall be offset by Section 1 above. 2 3. Overtime compensation shall be in the form of compensatory time off or pay at the election the employee. Maximum compensatory time accrual shall be 120 hours. All overtime worked for employees at the CTO maximum shall be paid. 4. The current practice for scheduling and approving CTO shall continue for the term of this agreement. CTO is approved on a "first come, first served" basis. Department policy is to approve CTO unless the use of CTO would result in staffing below minimum levels established by the Department, or the Department has a special circumstance or an operational need that requires staff resources above its established minimum levels. The Association may reopen negotiations concerning the protocol of approving CTO requests if the Department's staffing level drops such that it routinely runs at or below minimum staffing levels. 5. The Police Department has the discretion to schedule any of its employees to work a regular work day on July 4th, regardless of the day of the week or job assignment. This may include modifying work schedules and /or days off according to deployment needs. Unit employees who actually work July 4th will be compensated at their regular hourly rate, plus premium pay equal to 1/2 of the hours actually worked on that day. Employees will be provided their regular number of days off for the month of July (unless otherwise scheduled on an overtime basis), which will be selected /assigned according to the normal practices of their particular work unit. Should the employees work an additional shift in subsequent leap years compensation shall be paid at the appropriate rate of overtime pay. 6. The City and NBPA jointly petitioned the NLRB and were granted a 7(b) exemption of the Fair Labor Standards Act to allow for use of the overtime standards as set forth in this section. The exemption allows continued use of the Department's alternative /semi - flexible schedule. D. Overtime Compensation - Court 1. Compensation - Employees shall receive either compensatory time or paid time at their discretion. 2. On -Call - Off -duty employees on call for court who have not been canceled prior to the scheduled standby time shall, whether extended or not, be compensated at a rate equal to the actual standby time, with FA a minimum of one (1) hour paid at time and one -half the employee's regular rate of pay. 3. Appearance - Off -duty employees who are required to appear in court shall be compensated for the actual time involved with a minimum of two (2) hours paid at time and one -half the employee's regular rate of pay. Employees appearing in court after being on call the same day shall be compensated from the time listed on the subpoena until released by the court. 4. Cancellation — Off-duty employees whose court appearance is cancelled with less than 12 hours notice shall receive a payment for one hour at the employee's regular rate of pay. E. Master Police Officer Recognition Program The City and NBPA agreed to institute a Master Officer Recognition Program ( "MORP ") on July 4, 1987. The intent of the MORP is to attract highly qualified and experienced lateral officers and encourage NBPA members to remain with the Newport Beach Police Department by compensating employees who have acquired special skills, training and ability through years of service. The MORP is comprised of four levels with progressively higher compensation paid as years of service and experience increase. For MORP purposes, years of sworn service and time in a specialty assignment shall be counted as follows: 1. Two years in a regular patrol assignment at NBPD shall be equivalent to one year in any specialty assignment. Time spent in Bike, K9, Motors and Accident Investigation will be considered to be patrol time for the purposes of this section. 2. Two thousand eighty (2,080) hours of service as an FTO shall be equivalent to one year in a specialty assignment. 3. Years of sworn service includes actual time employed as a police recruit or similar classification in a police training academy, not to exceed six months. MORP shall commence beginning the first full pay period after the employee qualifies for each Master Officer step. It is the responsibility of the employee to apply for MORP pay or any increase in MORP compensation level. The City reserves the right to administratively modify the MORP program so as to structure it as a Special Pay rather than an element within the base rate, as long as the overall compensation of the 0 employees is not reduced. The Associatiori will be given advance notice if such a change is to be implemented. The requirements and compensation of the four levels of MORP are summarized as follows: MASTER OFFICER I Requirements: 1. Minimum service of five (5) years as a sworn Police Officer. 2. Must have obtained an intermediate POST Certificate, or the educational equivalent. 3. Must have successfully completed one year in a specialty assignment in the Newport Beach Police Department (NBPD) or two years in a regular patrol assignment at NBPD. 4. Must maintain at least an overall meets standard or equivalent rating on their most recent performance evaluation. Compensation: Five percent (5 %) base salary step increase. MASTER OFFICER II Requirements: 1. Minimum service of eight (8) years as a sworn Police Officer. 2. One full year at the Master I level. 3. Must have obtained an advanced POST Certificate, or the educational equivalent. 4. Must have successfully completed one year in a specialty assignment in the Newport Beach Police Department (NBPD) or two years in a regular patrol assignment at NBPD. 5. Must maintain at least an overall meets standard rating on their most recent NBPD performance evaluation. Compensation: 0 Five percent (5 %) base salary step increase above Master Officer I. MASTER OFFICER III Requirements: 1. Minimum service of ten (10) years as a sworn Police Officer. 2. One full year at the Master 11 level. 3. Must have successfully completed a second full year in any specialty assignment in the NBPD, or have any combination of specialty and equivalent time in regular patrol assignments, or a minimum of three years total service at NBPD. 4. Must maintain at least an overall meets standard rating on their most recent NBPD performance evaluation. Compensation: Five percent (5 %) base salary step increase above Master Officer 11. MASTER OFFICER IV Requirements: 1. Minimum service as a sworn Police Officer: a. Fifteen (15) years plus a Bachelors degree or a minimum of 120 semester units b. Twenty (20) years plus a minimum of 90 semester units C. Twenty -five (25) years plus a minimum of 60 semester units 2. One full year at the Master III level. 3. At least one year assigned as an FTO in the Patrol Division, regardless of the number of hours actually training, or have attended the POST FTO school. 5. Must have successfully completed at least three years in at least two specialty assignments in the NBPD, or have any combination of 10 specialty and equivalent time in regular patrol assignments, and a minimum of five years total service at NBPD. 6. Must receive and maintain at least an overall meets standards rating on their most recent NBPD performance evaluation. Compensation: Five percent (5 %) base salary step increase above Master Officer III. F. Education Retention Incentive Program Effective the pay period beginning June 23, 2007, the City shall institute the Education Retention Incentive Program to retain experienced, well - educated non -sworn employees. Employees shall be eligible for payment for education beyond minimum qualifications and years of service as follows. Incentive pay shall commence beginning the first full pay period after the employee qualifies. It is the responsibility of the employee to apply for incentive pay or any increase in compensation level. Education Years of City Service 30 units 15 AA or 60 units 12 MA/BA or 120 units 8 A graduate degree is the only eligible increment of education for positions requiring BA. Compensation: Five percent (5 %) of members base monthly salary. G. Scholastic Achievement Pav Sworn NBPA members are entitled to additional compensation contingent upon scholastic achievement ( "Scholastic Achievement Pay "). Sworn NBPA members may apply for increases pursuant to this Section when eligible and scholastic achievement pay shall be included in the member's paycheck for the pay period immediately after approval by the Chief of Police. It is the responsibility of the NBPA member to apply for Scholastic Achievement Pay. Approval of the member's application shall not be unreasonably withheld or delayed, and the member shall not be entitled to receive scholastic achievement pay prior to the date the application is approved even though the member may have been eligible prior to approval. Scholastic achievement pay is contingent upon years of service 11 and the number of units and /or degrees received by the employee. Effective the pay period beginning January 20, 2007 (prospectively), years of service shall include time employed as a police recruit or similar classification in a police training academy, not to exceed six months. The Plan consists of five levels which reflect multipliers of the base monthly salary. Qualifying units and /or degrees must be awarded by accredited community colleges, state colleges or universities. The following is a schedule of monthly payments pursuant to the Scholastic Achievement Program: Years of Service: 30 Units 60 Units 90 Units BA/BS MA/MS /JD 2 1% 1% 1% 1% 1% 3 1% 2% 3% 5.5% 5.5% 4 1% 2% 3% 5.5% 6.5% H. Non -sworn Personnel Shift Differential The night shift differential pay for non -sworn personnel shall be $1.50 per hour between the hours of 6 p.m. and 6 a.m. I. Training Pay Police Officers assigned to Field Training Officer duties for either Regular or Reserve officers and Civilian Employees assigned to training duties for new employees are entitled to receive compensation for these extra duties. To be eligible for compensation, the employee shall have completed a 40 -hour FTO course and shall be required to complete a Daily Evaluation Report for each shift worked with a trainee. Employees assigned full training responsibilities who have not completed the FTO course shall be eligible for compensation pending course completion. Employees will be compensated for each shift worked as an FTO with a trainee at the rate of 1.5 straight time hours per shift: The following classifications are not eligible for training pay consistent with existing department/division practice. Sr. Community Service Officer Sr. Custody Officer Sr. Animal Control Officer Sr. Police Dispatcher Sr. Crime Scene Investigator 12 J. Motor Officer Pay Assigned Motor Officers are responsible for keeping the motorcycle assigned to him /her cleaned and polished at all times. This work shall be performed outside of regularly scheduled work hours; and compensated at the rate of six (6) additional hours overtime per month (six (6) hours at time and one half equals nine (9) hours compensation). K. Canine Officer Employees assigned to work as Canine Officers, (in accordance with individual signed contracts between the employees and department) shall receive additional compensation at the rate of six (6) additional hours of overtime pay per month (six hours of time and a half equals nine (9) hours of compensation). This pay is recognition of the additional hours required of employees assigned to care for a City dog. City and Association mutually agree that the additional six (6) hours pay does represent reasonable compensation for the additional tasks required. No employee shall work more than six (6) hours in performing Canine Officer duties without the express direction of their supervisor. L. Helicopter Pay Employees assigned to work as Helicopter Pilots shall receive additional compensation at the rate of Five Hundred ($500.00) Dollars per month in addition to any other compensation received. Effective the pay period beginning December 22, 2007, helicopter pay will be increased to Six Hundred ($600.00) Dollars per month. M. Matron Pay Any female non -sworn employees assigned matron duties shall receive one (1) hour straight time pay for each shift matron duties are performed. N. Minimum Call Back The following shall determine the type of compensation for the overtime worked: a. Court (two hour minimum). b. Call Out - off duty personnel called out for a special assignment (two hour minimum). C. Payment shall not be made for employees required to return to work to correct work errors. 13 d. Call back shall be paid employees regular work physically return to work. O. Bilingual Pay only for hours not contiguous to the schedule when they are required to Employees certified as bilingual (Spanish) shall be eligible to receive Two Hundred ($200.00) Dollars per month in bilingual pay. The existing certification process will confirm that employees are fluent at the street conversational level in speaking, reading and writing Spanish. Employees certified shall receive bilingual pay the first full pay period following certification. Additional languages may be certified for compensation pursuant to this section by the Chief of Police. P. Certification Pay Unit employees in Mechanic classification shall be eligible for annual certification pay as follows: 1. Smog License - $250.00 2. Fire Mechanic State Level I - $100.00 3. Fire Mechanic State Level II - $200.00 4. ASE Certification - $25.00 per certification up to a maximum of eight (8) and $100.00 for possessing a current ASE Master Truck Technician and $100.00 for possessing a current ASE Master Automobile Technician certification. 5. Commercial Drivers License, Class A - $100.00 6. Commercial Drivers License, Class B - $75.00 Q. Uniform Allowance. The City reports to PERS a uniform allowance amount of $1,100 per year for sworn officers; $118.56 per year for non -sworn personnel. SECTION 3. —Leaves A. Flex Leave 14 1. NBPA members shall accrue (prospectively) flex leave based on the greater of their total continuous years of full -time service with the City of Newport Beach, or their total full -time employment as a sworn law enforcement officer, including up to a maximum of six months time employed as a police recruit or similar classification in a police training academy. NBPA members shall accrue Flex leave at the following rates: Years of Con't. Service: 1 but less than 5 5 but less than 9 9 but less than 12 12 but less than 16 16 but less than 20 20 but less than 25 25 and over Adjusted Accrual Per Pay Period: 5.85 6.46 7.08 7.70 8.31 8.92 9.54 2. NBPA and the City acknowledge that employees assigned the 9/81 work schedule accrue one (1) additional hour per pay period in addition to the accrual levels set forth above. 3. The Flex leave program shall be administered as follows: a. NBPA members shall not accrue flex leave until continuously employed by the Newport Beach Police Department for a period of six (6) months provided, however, if a member on the flex leave program becomes sick during the first six months of employment, the City will advance up to thirteen (13) pay periods of paid leave time for use by the member to recover from illness. In the event the City advances paid leave time and the employee is terminated or resigns before completing six months of continuous employment, the member's final check shall be reduced by an amount equal to the number of flex leave hours advanced multiplied by the member's hourly rate of pay. b. NBPA members shall accrue thirteen pay periods of flex leave immediately upon completion of six (6) months continuous employment with the Newport Beach Police Department, provided however, this amount shall be reduced by any flex leave time advanced during the first six months of employment. 15 C. Members employed by the City prior to initiation of the flex leave program have had then current accrued vacation time converted to flex leave on an hour for hour basis with then current sick leave placed in a bank to be used as provided in Section 11.2 of the City of Newport Beach Employee Policy Manual. Members entitled to use sick leave pursuant to Section 11.2A of the Employee Policy Manual must notify appropriate department personnel of their intention to access the sick leave bank and, in the absence of notification, absences will be charged to the member's flex leave account. Members who wish to convert an absence from flex leave to sick leave must submit a written request to the Chief of Police within twenty (20) days after the absence (20 days from the last absence in the event the member was continuously absent for more than one day) specifying the nature of the illness and the person notified of the intent to use sick leave, or the reasons for the failure to notify appropriate department personnel. The Chief of Police shall grant the request for conversion if the member submits a written statement signed by his or her attending physician confirming the illness and the Police Chief determines that the member's failure to notify appropriate departmental personnel was reasonable under the circumstances. d. NBPA members shall be entitled to accrue flex leave up to seventy (70) times the members bi- weekly flex leave accrual rate (Flex Leave Accrual Threshold). NBPA members first hired by the City prior to September 1, 1997, shall be paid for all flex leave that accrues in excess of the flex leave accrual threshold (Flex Leave Spillover Pay). Flex Leave Spillover Pay will be paid at the member's regular hourly rate of pay. Effective during the first pay period of January, 1998, NBPA members who have not utilized at least 80 hours of flex leave during the prior calendar year shall not accrue flex leave in excess of the Flex Leave Accrual Threshold and shall not be entitled to Flex Leave Spillover Pay. NBPA members first hired, or rehired by the City subsequent to September 1, 1997, 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. e. All requests for scheduled flex leave shall be submitted to appropriate department personnel. Flex leave may be granted on an hourly basis. In no event shall a member take or request flex leave in excess of the amount accrued. IV f. Members shall be paid for all accrued flex leave at their then current hourly rate of pay upon termination of the employment relationship. g. Should approved leave be canceled due to the needs of the City, a reasonable extension of time (up to 90 days) will be granted for employees to reschedule the leave without the loss of spillover or leave accrual. h. Employees actually working 2088 hours per year shall be credited with two hours holiday pay per quarter worked on the 12 hour schedule. B. Holiday Time NBPA members shall accrue holiday time at the rate of 96 hours per fiscal year (July 1 through June 30th), and at the rate of 3.7 hours per pay period. Option 1 (Default): Unless otherwise irrevocably elected by the employee, holiday compensation shall be paid in cash along with the employee's regular bi- weekly check, and will be reported to PERS as special compensation in addition to the employee's bi- weekly base salary. Option 2: Within 60 days of NBPA membership, NBPA members may irrevocably elect to have all or any portion of the 3.7 hours of accrued holiday compensation added to the member's flex leave bank on a bi- weekly basis in lieu of a cash payment. Once holiday time is accrued to the member's flex leave bank, all rules and opportunities concerning the flex leave program (described elsewhere in this MOU and in the Employee Policy Manual) will apply (e.g. usage, maximum balance, spillover, periodic payout, etc). Pay for any time taken from the flex leave bank, and any spillover pay or other payout for flex leave, will not be reported to PERS as special compensation. C. Leave Pay Off For the term of this agreement, NBPA members shall receive payment for any accrued leave upon termination at the rate of 109% of their base hourly rate. D. Bereavement Leave Bereavement Leave shall be defined as the necessary absence from duty by employee having regular or probationary appointment because of the 17 E. F9 G. death or terminal illness in his /her immediate family. NBPA members shall be entitled to forty (40) hours of bereavement leave per incident (terminal illness followed by death is considered one incident). Immediate family shall mean an employee's father, mother, brother, sister, wife, husband, child or grandparent, and the employee's spouse's father, mother, brother, sister, child or grandparent. Leave Sellback Twice annually, employees shall have the option of selling back, on an hour for hour basis, accrued flex or vacation leave. In no event shall the flex or vacation leave balance be reduced below one hundred and sixty (160) hours. Worker's Compensation Leave 1. Sworn Members Any NBPA member who is a sworn peace officer and incapacitated by reason of any injury or illness which has been determined to have arisen out of or in the course of his or her employment shall receive compensation in accordance with the provisions of Section 4850 et. seq. of the Labor Code of the State of California. 2. Non —sworn Members Any employee incapacitated by reason of any injury or illness which has been determined to have arisen out of or in the course of his or her employment shall receive, in addition to temporary disability compensation pursuant to the laws of the State of California, an additional sum which, when added to temporary disability payments, provides the injured employee with regular compensation. Regular compensation is defined as the salary for the position and step occupied by the employee on the date of the job — related illness or injury. Payment shall commence with the first day of approved absence and end with the termination of temporary disability, or the expiration of six (6) months, whichever occurs first. Scheduling of Medical Treatment for Industrial Injuries Time spent by an employee receiving medical attention during the employee's normal working hours is considered hours worked and compensable, when the City or it's representative schedules the appointment. 18 When an employee is temporarily totally disabled due to an industrial injury, and is unable to perform even limited duty in the workplace, all appointments, whether arranged by the City or the employees, shall be considered as occurring during normal working hours. The employee shall not be entitled to any additional compensation, regardless of the employee's regular work schedule or the type of compensation currently received, except as otherwise required by law. When an employee has been released to either full or limited duty and has returned to the workplace, time spent receiving ongoing medical treatment, such as physical therapy or follow -up visits that are not scheduled by the City, is not considered hours worked and therefore, is not compensable. To avoid disruption in the workplace, an employee shall schedule such appointments to occur during off duty hours whenever possible. In the event such scheduling is not available, employee may be allowed to attend an appointment during their regularly scheduled duty shift with prior supervisory approval. Regular recurring appointments (i.e., weekly physical therapy) must be scheduled off duty. SECTION 4. — Fringe Benefits A. Insurance 1, Benefits Information Committee City has established a Benefits Information Committee (BIC) composed of one representative from each employee association group 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 programs. The purpose of the BIC is to provide each employee group with information about health insurance /programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $974. In addition, the City shall contribute the minimum CalPERS participating employer's contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance /programs. The City and the Newport Police Employees 19 Association will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. 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. Effective the pay period beginning July 3, 2010, the City's contribution towards the Cafeteria Plan will increase to $1049 (plus the minimum CaIPERS participating employer's contribution). Effective the pay period beginning July 2, 2011, the City's contribution towards the Cafeteria Plan will increase to $1124 (plus the minimum CaIPERS participating employer's contribution). NBPA members who do not want to enroll in any medical plan offered by the City must provide evidence of group medical insurance coverage, and execute an opt -out agreement releasing the City from any responsibility or liability to provide medical insurance coverage on an annual basis. 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. 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. 5. Changes in Insurance Carriers and Coverages There shall be no change in Insurance carriers or coverages during the term of this agreement unless the City has given prior notice to the Association and, upon request, met and conferred. B. Additional I nsura nce/Prog rams 1. 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 20 2. 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 an 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. Disability Insurance The City shall provide disability insurance to following provisions: Weekly Benefit Maximum Benefit Minimum Benefit Waiting Period Short-term (STD) and Long -term (LTD) all regular full time employees with the 66.67% gross weekly wages $10,000 /month $50 30 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. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1.0 %) percent of base salary. Simultaneously, the City increased base wages by one (1.0 %) percent. 3. Life Insurance The City shall provide life insurance for all regular 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. This amount remains in effect until the employee retires from City employment. 21 C. Employee Assistance Program City shall provide an Employee Assistance Program (EAP) through a properly licensed provider. Association members and their family members may access the EAP subject to provider guidelines. D. The Retirement Benefit 1. The City shall pay towards each member's required PERS retirement contribution 9% of salary for sworn employees hired prior to July 6, 2010 and 7% for non —sworn employees. For safety employees hired after July 6, 2010 through December 31, 2011, the City will pay 3.5% of the member contribution. Such employees will be eligible to receive the 9% the beginning of their 6r" year of uninterrupted service. City payments pursuant to this Section shall be deemed to be member contributions under the Public Employees Retirement System and recoverable by the member as such in accordance with the rules and regulations promulgated by PERS. These amounts will be reported to PERS as special compensation for retirement purposes. 2. Non -Sworn Members a. Pursuant to a separate agreement, non - safety unit members have agreed to have 2.42% of the employer retirement cost added to the employee's rate pursuant to California Retirement Code Section 20516. Non - safety employees now pay 3.42% (2.42% employer and 1 % employee) on a pre -tax basis pursuant to IRS Code Section 414(h)(2). b. The City provides the Public Employees' Retirement System retirement formula of 2.5% at 55. 3. Sworn Members a. The City provides the Public Employees' Retirement System retirement formula of 3% at 50. b. Effective July 3, 2010 and and through December 31, 2011, all sworn unit employees will contribute 3.5% of base pay towards retirement costs. 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 affect the reporting of the 9% EPMC for employees hired before July 6, 2010 (Section 20636)(c)(4) of the California Government Code. 22 4. The City provides the PERS Level. 4 1959 Survivor Benefit for Miscellaneous and Safety members. 5. The City provides the death benefit (Section members. E. Retiree Medical Benefit 1. Background PERS pre- retirement option settlement 2 21548) for Miscellaneous and Safety 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, 2005. b. Category 2 - Active employees hired prior to January 1, 2005, whose age plus years of service as of January 1, 2005 was less than 50 (46 for public safety employees). c. Category 3 - Active employees hired prior to January 1, 2005, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2005. d. Category 4 - Employees who had already retired from the City prior to January 1, 2005, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Medical Expense Reimbursement Program Plan (MERP). a. For employees in Category 1, the program is structured as follows: Each employee will have an individual MERP account for bookkeeping purposes, called his or her "Employee Account." This account will accumulate contributions to be used for health care expense after separation. All contributions to the plan are either 23 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): $1.50 per month for each year of service plus year of age (updated every January 1sc based on status as of December 315` of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. 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, except that Safety members and Non - safety members within an Association may have different levels. 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 MERP, 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 contributions at the level of zero percent (0 %) for Flex/Vacation Leave and zero percent (0 %) for Sick Leave. This amount may be changed, on a go forward basis, as part of a future meet and confer process. However, the participation level must be the same for all employees within the Association except that Safety members and Non -safety members within an Association may have different levels. 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 24 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. Sick leave balances may also be included in the MERP Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation /flex leave participation, and thresholds must be separately identified by the Association. 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 MERP 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 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 MERP Employee Account. Such an employee will not be entitled to any Part 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 MERP account at the time of separation. 25 Distributions from MERP 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 MERP 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 MERP 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 CalPERS participating employer's contribution 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 MERP 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 MERP 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. Ki 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 MERP 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 $4,800.00 per year, accruing at the rate of $400.00 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 MERP account at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. d. For employees (retirees) in Category 4, the structure is very similar to the previous retiree medical program, except that there is no cost share requirement, and the $400 City contribution after retirement can be used for any IRS authorized purpose, not lust City insurance premiums. Effective July 1, 2006, a MERP account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. For existing NBPA retirees in this category, the $400 was increased to $450 effective July 1, 2006. The NBPA and Police Management Association have agreed to reimburse the City for half of the cost of this increase, on an ongoing basis. To that end, the City will invoice NBPA at the end of each quarter for half the actual cost of this increase during the previous three months. 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 27 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1 % of salary on which PIERS retirement is based (Part A); plus .25% of other compensation (Part B). F. Tuition Reimbursement NBPA members attending accredited community colleges, colleges, trade schools 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. Maximum tuition reimbursement for both sworn and non -sworn personnel shall be $1,200.00 per fiscal year. G. Physical Conditioning Equipment/Apparel City has acquired fitness equipment for use by members in maintaining physical fitness. City shall budget $5,000.00 per each calendar year for the maintenance, repair, improvement, or replacement of fitness equipment. Any purchase of new equipment shall be subject to the concurrence of the Department. All exercise facilities and equipment will be available to all members of the department. SECTION 5. — Miscellaneous Provisions A. Reductions in Force /Layoffs The provisions of this section shall apply 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. 1. Definitions FE 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 permanent status in their current Classification or any Classification within the Series, subject to the following: Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; ii. Seniority shall include time spent on industrial leave, military leave and leave of absence with pay, but shall not include time 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. "Series" shall mean two or more Classifications within a Department which require the performance of similar duties with the higher ranking Classification(s) characterized by the need for less supervision by superiors, more difficult assignments, more supervisory responsibilities for subordinates. The City Manager shall determine those Classifications which constitute a Series. 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. No employee shall have the right to Bump into a Classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. 2. Procedures In the event the City Manager determines to reduce the number of employees within a Classification, the following procedures are applicable: a. Temporary and probationary employees within any Classification shall, in that order, be laid off before permanent employees. 29 b. Employees within a Classification shall be laid off in inverse order of seniority; C. 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. An employee who has Bumping Rights shall notify the Department Director within three (3) 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), and accumulated sick leave to the extent permitted by the Employee Policy Manual. 4. Re- Employment Permanent 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 Personnel Director. 5. Severance Pay T Permanent 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. B. Work Schedules Nothing contained herein is intended to abridge management's right to schedule work to meet the Police Department's needs of providing services in an efficient and safe manner. Management recognizes its obligations under the Meyers - Milias -Brown Act to meet and confer before making any substantive changes to work schedules that impact an employee's conditions of employment. Substantive Work Schedule Modifications Newport Beach Police Department currently has available a variety of work schedules including 5/8, 3/12, 9/81 and 4/10 schedules. Except in the case of emergency, prior to moving any employee or group of employees from one work schedule to another (for example from a 9/81 to a 3/12 schedule), the Department shall notify, and upon request, meet and confer with the Association in advance of any schedule change. If an emergency prohibits meeting and conferring prior to the schedule change, the Department shall meet and confer with the Association as soon as is reasonably possible after the schedule change. 2. Non - Substantive Schedule Modifications In the event of any non - substantive change to an employee's work schedule (changes in starting times, days off, etc), Management agrees to give as much advance notice of said change as possible and to give due regard to the needs of the employees to make adjustments to their personal schedules and commitments related to the change in work schedules. 3. Transfers Transferring an employee to an assignment with a different work schedule shall not be considered a change to modified work schedules and shall not obligate Management to meet and confer over said change. C. Seniority Definition and Policy In order to clarify "seniority" practices, the following definition and policy for "seniority" determinations are adopted effective the date of this Agreement. "Seniority' position among members belonging to the same 31 classification and determined prior to the date of this Agreement shall not change, regardless of the method of determination. a. Unless otherwise specified, for purposes of employment practices and vacation selection in which "seniority" is a consideration, "seniority" is defined and determined as the period of time of continuous full time employment within a classification. b. Determination of seniority date upon promotion or demotion of full time employees: An employee promoted into any higher classification shall obtain their seniority date based upon their date of promotion, relative to others in the classification into which the employee promotes. ii. An employee who voluntarily or involuntarily demotes into any lower classification shall retain the oldest seniority date from any prior full time classification from which they promoted or to which they are re- classified. c. Part time employees have no seniority rights, and any full time employee who resigns their full time position and accepts a part time appointment shall forfeit any seniority, even upon re- appointment to a full time position. d. Nothing in this definition is intended to affect any other employment right or consideration that may be based upon total years of service, initial appointment date, or any other date of hire or change in employment status. e. In the event there is a conflict between members of a classification hired on the same day, seniority position shall be determined by order of hire based upon issuance of Employee ID numbers. f. For the class of police officer, seniority is determined based upon the date of appointment as a police officer, not date of hire as a police recruit. 2. Nothing contained herein is intended to abridge management's right to schedule employees to work or deny leave requests that management feels will interfere with the efficient running of the Police Department or present a safety hazard to employees or the community. The Department shall continue its practice of allowing employees to sign up for vacations, shifts and days off by seniority. The Department shall have the right to deviate from seniority in shift preference selection as l necessary to meet training needs, train probationers, separate employees, meet specialized qualification needs, and /or to correct experience imbalances in accordance with existing practice. In the event Management wishes to propose substantive changes to the existing practice of sign -up for vacations, shifts and days off by seniority, it shall give notice to the Association and meet and confer to seek mutually agreeable solutions and /or remedies. In the event that a mutually agreeable solution or remedy is not found, Management may deviate from the prior seniority criteria to the extent necessary to meet operational or safety needs. D. Grievance Procedure 1. Definition The term "grievance" means a dispute between NBPA or any member and the City regarding the interpretation or application of rules or regulations governing the terms and conditions of employment, any provision of the Employee Policy Manual, any provision of Resolution No. 7173, or this MOU. 2. Guidelines Any NBPA member may file a grievance without fear of retaliation or any adverse impact on any term or condition of employment. a. A grievance shall not be filed to establish new rules or regulations, change prevailing ordinances or resolutions, nor circumvent existing avenues of relief where appeal procedures have been prescribed. b. An employee may be self— represented or represented by one other person. C. An employee and any representative shall be given notice of the time and place of any grievance proceeding, the opportunity to be present at such proceedings, a copy of any written decision or communication to the employee concerning the proceedings, and any document directly relevant to the proceedings. d. All parties shall engage in good faith efforts to promptly resolve the grievance in an amicable manner. The time limit specified may be extended upon mutual agreement expressed in writing. e. The procedures in this MOU represent the sole and exclusive method of resolving grievances. 33 3. Procedure for NBPA Members Step 1 — The employee shall orally present the grievance to his or immediate supervisor within ten (10) working days after the member knew, or in the exercise of reasonable diligence should have known, the act or events upon which the grievance is based. The immediate supervisor shall conduct any appropriate investigation and meet with the employee no more than ten (10) working days after presentation of the grievance. The employee shall be given at least 24 hours notice of the meeting. The meeting shall be informal, and the employee may have a representative present. Any employee not satisfied with the decision of his or her immediate supervisor may proceed to Step 2. Step 2 — If an employee is dissatisfied with the decision of his or her immediate supervisor, the employee may proceed to Step 2 by submitting a written grievance to the supervising captain. Any employee dissatisfied with the decision of his or her immediate supervisor may submit a written grievance to the supervising Captain. The written grievance shall be filed within five (5) days following receipt of the immediate supervisor's decision. The written grievance must contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by the employee. The supervising Captain shall meet with the employee and any representative in an effort to resolve the grievance. The meeting shall be scheduled no more than ten (10) days following receipt of the appeal unless deferred by the consent of both parties. The Captain shall provide the employee with a written decision on the appeal within ten (10) working days after the meeting. Step 3 — Appeal to Chief of Police. Any employee dissatisfied with the decision of the supervising captain may proceed to Step 3 by submitting a written appeal to the Chief of Police. The written appeal must be filed with the Chief of Police within five (5) days following receipt of the supervising captain's decision. The written appeal must contain a complete statement of the matters at issue, the facts upon which a grievance is based, and the remedy requested by the employee. The Chief of Police shall meet with the employee and any representative in an effort to resolve the grievance. The meeting shall be informal and the discussion should focus on the issues raised by the grievance. The meeting shall be scheduled no more than ten (10) days following receipt of the appeal unless deferred by the consent of both parties. The Chief of Police shall provide the employee with a written decision on the appeal within ten (10) working days after the meeting. Step 4 — Appeal to City Manager. In the event the employee is dissatisfied with the decision of the Chief of Police, the employee may 9j proceed to Step 4 by submitting a written appeal of the decision to the City Manager. The written appeal must be filed within five (5) days following receipt of the Police Chiefs decision. The written appeal shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, the decisions of the supervising captain and Chief of Police, and the remedy requested by the employee. The City Manager shall meet with the employee and his or her representative in an effort to resolve the grievance and to receive any additional information the employee or department may have relative to the matter. The meeting shall be scheduled no more than ten (10) days following receipt of the appeal unless deferred by the consent of both parties. The City Manager shall provide the employee with a written decision within ten (10) working days after the meeting. The decision of the City Manager shall be final. 4. General Grievance A general grievance affecting more than one NBPA member may be filed by NBPA on behalf of the affected employees with the Chief of Police. The grievance shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by NBPA. The Chief of Police shall meet with NBPA representatives within ten (10) days following receipt of the grievance and provide a written decision on the grievance within ten (10) working days after the meeting. In the event NBPA is dissatisfied with the decision of the Chief of Police, it may appeal to the City Manager by following the procedures outlined in Step 4 of the procedure applicable to employees. In the event NBPA is dissatisfied with the decision of the City Manager, it may appeal the decision to the Civil Service Board by filing a written notice of appeal within fifteen (15) days after receipt of the decision. E. Pre - Hearing Briefs Each party is entitled to the other party's pre- hearing brief. F. Use of Tobacco Products All employees hired after January 1, 1999, shall not smoke or use any tobacco products at any time while on, or off duty. Employees shall be required to sign an agreement consistent with this section. Violation of this agreement will subject the employee to disciplinary action. Smoking an occasional celebration cigar (birth of a child, etc.) shall not be considered a violation of this policy. G. Direct Deposit All Unit employees shall participate in the City's Direct Deposit Program. 35 H. Compensation Study Should the City conduct a classification /compensation study involving any police department classifications, it will consult with the Association on all aspects of the study, including study design, implementation, and findings. Any compensation changes recommended by the study will be subject to the meet and confer process. Contract Negotiations The parties agree that, if NBPA submits preliminary requests for changes in wages, fringe benefits and other terms and conditions of employment earlier than 90 days prior to expiration of this MOU (as provided in Section 18. Timetable for Submission of Requests of the Employer - Employee Relations Resolution), the parties will begin negotiations promptly, with the objective of reaching agreement by December 31, 2011. Signatures are on the next page. C- ATTEST: m Executed this day of , 2010: Leilani Brown City Clerk APPROVED AS TO FORM: . 6uJht0t61ttorney NEWPORT BEACH POLICE ASSOCIATION m David Syvock, President CITY OF NEWPORT BEACH 0 37 Keith Curry, Mayor Attachment B RESOLUTION NO. 2010 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION WHEREAS, the City Council of the City of Newport Beach previously adopted Resolution No. 2001 -50, the "Employer- Employee Relations Resolution ", to promote improved relations and communication between the City of Newport Beach and its employee associations; and WHEREAS, the Memorandum of Understanding between the City of Newport Beach and the Newport Beach Police Management Association expired December 31, 2009; and WHEREAS, representatives from the City of Newport Beach and the Newport Beach Police Management Association have met and conferred in good faith and established terms and conditions under a successor Memorandum of Understanding; and WHEREAS, the City Council of the City of Newport Beach desires to adopt the Memorandum of Understanding between the City of Newport Beach and the Newport Beach Police Management Association: NOW, THEREFORE, the City Council of the City of Newport Beach does RESOLVE as follows: Section 1. Wages, hours, fringe benefits and other terms and conditions of employment of employees represented by the Newport Beach Police Management Association shall be provided in accordance with the provisions of the attached Memorandum of Understanding (Exhibit B). Section 2. The term of the Memorandum of Understanding shall be two years, commencing retroactively to January 1, 2010, and will remain in full force and effect through December 31. 2011. Adopted this day of 2010. ATTEST: City Clerk Mayor of the City of Newport Beach EXHIBIT B MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU ") is entered into with reference to the following: PREAMBLE 1. The Newport Beach Police Management Association ( "NBPMA "), a recognized employee organization, and the City of Newport Beach ( "City "), a municipal corporation and charter city, have been meeting and conferring, in good faith, with respect to wages, hours, fringe benefits and other terms and conditions of employment. 2. NBPMA representatives and City representatives have reached a tentative agreement as to wages, hours and other terms and conditions of employment for the period from January 1, 2010 to December 31, 2011 and this agreement has been embodied in this MOU. 3. This MOU, upon approval by NBPMA represents the total and complete understanding and agreement between the parties regarding all matters set forth herein. SECTION 1. — GENERAL PROVISIONS A. Recognition In accordance with the provisions of the Charter of the City of Newport Beach, the Meyers - Milias -Brown Act of the State of California and the provisions of the Employer /Employee Relations Resolution No. 2001 -50, the City acknowledges that NBPMA is the majority representative for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in the classifications listed in Exhibit A or as appropriately modified in accordance with the Employer /Employee Relations Resolution. All other classifications and positions not specifically included within Exhibit "A" are excluded from representation by NBPMA. B. Duration of Memorandum Except as specifically provided otherwise, any ordinance, resolution or action of the City Council necessary to implement this MOU shall be - 1 - considered effective as of January 1, 2010.. This MOU shall remain in full force and effect until December 31, 2011. Unless stated herein otherwise, the provisions of this MOU shall continue after the date of expiration of this MOU in the event the parties are meeting and conferring on a successor MOU. C. Release Time 1. NBPMA members shall be allowed to participate in the following activities during scheduled working hours without loss of pay ('Release Time "): a. Attendance at meetings, conferences, seminars or workshops related to matters within the scope of representation; b. To prepare for, travel to, and attend scheduled meetings between the City and NBPMA during the meet and confer process. C. To travel to and attend scheduled grievance and disciplinary hearings. d. To meet, for up to one hour, with their representative prior to a hearing described in (d) above. 2. City grants NBPMA 100 hours of Release Time per calendar year to engage in the activities described in subsection 1(a). NBPMA may accumulate up to 300 hours of City — provided Release Time. 3. City grants NBPMA members the right to engage in the activities described in subsections 1(b), (c), and (d) at any time without reduction to the Release Time granted in subsection 2. 4. NBPMA shall designate certain members as those members entitled to release time. In no event shall any one designate be entitled to use more than 100 hours of Release Time (exclusive of actual time spent meeting with City representatives on matters relating to the scope of representation), within any calendar year. Designates must give reasonable advance notice to, and obtain permission from, their supervisor prior to use of release time, or prior to adjusting work hours per subsection 4 (a). Requests for release time shall be granted by the supervisor unless there are specific circumstances that require the designate to remain on duty. Designates shall, to the maximum extent feasible, receive shift - 2 - assignments compatible with participation in the meet and confer process. a. Any NBPMA negotiating team member may request and shall (subject to the approval process above) be granted flex work hours on any scheduled workday during which the negotiating team member is to attend a meet and confer session. Employees may flex start/finish time up to two (2) hours. D. Scope 1. The terms and conditions of this MOU shall prevail over conflicting provisions of the Newport Beach City Charter, the ordinances, resolutions and policies of the City of Newport Beach, and federal and state statutes, rules and regulations which either specifically provide that agreements such as this prevail, confer rights which may be waived by any collective bargaining agreement, or are, pursuant to decisional or statutory law, superseded by the provisions of an agreement similar to this MOU. 2. All present written rules and current established practices and employees' 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. 3. 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. Management Rights include, but are not limited to, the following: a. The determination of the purposes and functions of the Police Department; b. The establishment of standards of service; C. To assign work to employees as deemed appropriate; d. The direction and supervision of its employees; e. The discipline of employees; f. The power to relieve employees from duty for lack of work or other legitimate reasons; - 3 - g. To maintain the efficiency of operations; h. To determine the methods, means and personnel by which Police Department operations are to be conducted; i. The right to take all necessary actions to fulfill the Department's responsibilities in the event of an emergency; j. The exercise of complete control and discretion over the manner of organization, and the appropriate technology, best suited to the performance of departmental functions. The practical consequences of a Management Rights decision on wages, hours, and other terms and conditions of employment shall be subject to the grievance procedures. E. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to request the other to meet and confer concerning any issue within the scope of representation except as expressly provided herein or by mutual agreement of the parties. No representative of either party has the authority to make, and none of the parties shall be bound by, any statement, representation or agreement reached prior to the execution of this MOU and not set forth herein. F. Modifications Any agreement, alteration, understanding, variation, or waiver or modification of any of the terms or provisions of this MOU shall not be binding upon the parties unless contained in a written document executed by authorized representatives of the parties. G. Bulletin Boards Space shall be provided on bulletin boards within the Police Department at their present location for the posting of notices and bulletins relating to NBPMA business, meetings, or events. All materials posted on bulletins boards shall indicate the name of the organization responsible. Material posted shall not contain personal attacks on any City official or employee, any material which constitutes harassment, discrimination or retaliation on the basis of race, gender, ethnicity, religion or other statutorily or - 4 - constitutionally impermissible basis, as well as any pornographic or obscene material. H. No Strike The parties recognize their mutual responsibility to provide the citizens of Newport Beach with uninterrupted municipal services and, therefore, for the term of this MOU, the parties agree not to conduct concerted strike, work slowdown, sick -out, withholding of services, or lockout activities. Savings If any provision of this MOU shall be held invalid by any court of competent jurisdiction, or if compliance with or enforcement of any provision shall be restrained by court action, or other established governmental administrative tribunal, the remainder of this MOU shall not be affected, and the parties shall enter into negotiations for the sole purpose of arriving at a mutually satisfactory replacement for such provision or provisions. J. Impasse In the event of an impasse (the failure to agree on a new MOU after the express term of the existing MOU has expired), the parties may agree on mediation pursuant to the procedure outlined in Section 16 of Resolution No. 2001 -50 or a successor resolution. SECTION 2. — COMPENSATION A. Salary Salaries shall remain unchanged for the term of this agreement. B. Code Seven /Duty Incentive Time The City and NBPMA have agreed to entitlement to compensation for duty incentive time and Code Seven time based upon implementation of the 9/80 work schedule (since modified to 3 -12, with concurrence of NBPMA) and a settlement agreement between the City and NBPMA. NBPMA and its members agree that the provisions and rules relative to entitlement to compensation for duty incentive time or Code Seven time survive the termination of this MOU, that the provisions of the settlement agreement are in full force and effect, and that no request for compensation for duty incentive time or Code Seven time at variance with the provisions of existing rules or the settlement agreement shall be made at any time in the future by NBPMA or any of its members. - 5 - C. Overtime 1. Employees shall be entitled to overtime compensation at the rate of time and one half for hours worked in excess of their regularly scheduled shift. Paid time off shall be considered time worked for overtime calculation purposes. 2. Overtime compensation shall be in the form of compensatory time off or pay at the election of the employee. Maximum compensatory time accrual shall be 120 hours. All overtime worked for employees at the CTO maximum shall be paid. The parties agree that the current practice of accruing and utilizing CTO is reasonable and shall continue for the term of this agreement. 3. Overtime Compensation - Court a. Compensation - Employees shall receive either compensatory time or paid time at their discretion. b. On -Call - Off -duty employees on call for court who have not been canceled prior to the scheduled standby time shall, whether extended or not, be compensated at a rate equal to the actual standby time, with a minimum of one (1) hour paid at time and one -half. c. Appearance - Off -duty employees who are required to appear in court shall be compensated for the actual time involved with a minimum of two (2) hours paid at time and one -half. Employees appearing in court after being on call the same day shall be compensated from the time listed on the subpoena until released by the court. d. Cancellation — Off -duty employees whose court appearance is cancelled with less than 12 hours notice shall receive a payment for one hour at the employee's regular rate of pay. 4. NBPMA members occupying the position of Captain shall not be entitled to compensatory time off or pay for overtime. City and NBPMA agree that the position of Captain is properly considered exempt from the overtime requirements of FLSA. However, NBPMA members occupying the position of Captain shall be eligible for up to 80 hours of administrative leave per calendar year. The precise amount of administrative leave granted each Captain shall be based upon the recommendation of the Police Chief and - 6 - approved by the City Manager. Administrative leave may not be carried forward from one calendar year to the next. 5. With the approval of the Division Commander, NBPMA members assigned to non -shift assignments may work certain holidays if they occur on regularly scheduled work days. D. Uniform Allowance The City will report to PERS a uniform allowance amount of $1,350 per year. E. Scholastic Achievement Pav Sworn NBPMA members are entitled to additional compensation contingent upon scholastic achievement ( "Scholastic Achievement Pay "). Sworn NBPMA members may apply for increases pursuant to this Section when eligible and scholastic achievement pay shall be included in the member's paycheck for the pay period immediately after approval by the Chief of Police. It is the responsibility of the NBPMA member to apply for Scholastic Achievement Pay. Approval of the member's application shall not be unreasonably withheld or delayed, and the member shall not be entitled to receive scholastic achievement pay prior to the date the application is approved even though the member may have been eligible prior to approval. Scholastic achievement pay is contingent upon years of service and the number of units and /or degrees received by the employee. Qualifying units and /or degrees must be awarded by accredited community colleges, state colleges or universities. Effective the pay period beginning January 20, 2007 (prospectively) Employees shall be eligible for Scholastic Achievement Pay based on their total full -time sworn law enforcement time, including up to a maximum of six months time employed as a police recruit or similar classification in a police training academy. The following is a schedule of monthly payments pursuant to the Scholastic Achievement Program: Years of Service: 60 Units: 90 Units: BA/BS MA/MS /JD: 2 1% 1% 1% 1% 3 2% 3% 5.5% 6.5% 4 2% 3% 5.5% 6.5% Effective June 23, 2007 Scholastic Achievement Pay will be modified as follows, regardless of years of service. - 7 - 60 Units: 90 Units: BA/BS MA/MS /JD: 2% 3% 7% 8.5% Educational incentive payments shall be made only for units /degrees above the minimum qualifications called out in the job descriptions. Individuals receiving pay in this category (minimum units /degrees) as of January 1999 shall retain the compensation, however. F. Special Leadership Compensation Individuals who have completed the California Post Supervisory Leadership Institute (SLI), Post Command College, or the FBI National Academy will receive an additional one (1 %) percent of base pay. G. Holiday Time NBPMA members shall accrue holiday time at the rate of 96 hours per fiscal year (July 1 through June 30th), and at the rate of 3.7 hours per pay period. Option 1 (Default): Unless otherwise irrevocably elected by the employee, holiday compensation shall be paid in cash along with the employee's regular bi- weekly check, and will be reported to PERS as special compensation in addition to the employee's bi- weekly base salary. Option 2: Within 60 days of NBPMA membership NBPMA members may irrevocably elect to have all or any portion of the 3.7 hours of accrued holiday compensation added to the member's flex leave bank on a bi- weekly basis in lieu of a cash payment Once holiday time is accrued to the member's flex leave bank, all rules and opportunities concerning the flex leave program (described elsewhere in this MOU and in the Employee Policy Manual) will apply (e.g. usage, maximum balance, spillover, periodic payout, etc). Pay for any time taken from the flex leave bank, and any spillover pay or other payout for flex leave, will not be reported to PERS as special compensation. H. Leave Pay -Off For the term of the agreement, NBPMA members shall receive payment for any accrued leave upon termination at the rate of 109% of their base hourly rate. July 4th - 8 - The Police Department has the discretion to schedule any of its employees to work a regular work day on July 4th, regardless of the day of the week or job assignment. This may include modifying work schedules and /or days off according to deployment needs. All Unit members who actually work July 4th will be compensated at their regular hourly rate, plus premium pay equal to 112 of the hours actually worked on that day. Employees will be provided their regular number of days off for the month of July (unless otherwise scheduled on an overtime basis), which will be selected /assigned according to the normal practices of their particular work unit. J. Bilingual Pav Effective the pay period beginning January 20, 2007, employees certified as bilingual (Spanish) shall be eligible to receive Two Hundred ($200.00) Dollars per month in bilingual pay. The existing certification process will confirm that employees are fluent at the street conversational level in speaking, reading and writing Spanish. Employees certified shall receive bilingual pay the first full pay period following certification. Additional languages may be certified for compensation pursuant to this Section by the Chief of Police. Section 3. - LEAVES A. Flex Leave Effective the pay period beginning January 6, 2007, NBPMA members shall accrue (prospectively) flex leave and receive longevity pay based on their total continuous years of full -time service with the City of Newport Beach, or their total full -time employment as a sworn law enforcement officer, including up to a maximum of six months time employed as a police recruit or similar classification in a police training academy. NBPMA members shall accrue Flex leave at the following rates: Adjusted Longevity Longevity Pay Years of Accrual Per Pay Increase Effective Continuous Service Pay Period Increase December 22.2007 1/2 but less than 5 5.23077 5 but less than 9 5.84616 9 but less than 12 6.46152 12 but less than 16 7.07696 .75% 16 but less than 20 7.07696 .77% 1.5% 20 but less than 25 7.07696 1.54% 2.25% 25 and over 7.07696 2.3% 3.0% - 9 - 2. NBPMA and the City acknowledge that employees assigned the 9/81 work schedule accrue one (1) additional hour per pay period in addition to the accrual levels set forth in subsections 1(a) and 1(b) above. 3. The Flex leave program shall be administered as follows: a. NBPMA members shall not accrue flex leave until continuously employed by the Newport Beach Police Department for a period of six (6) months provided, however, if a member on the flex leave program becomes sick during the first six months of employment, the City will advance up to thirteen (13) pay periods of paid leave time for use by the member to recover from illness. In the event the City advances paid leave time and the employee is terminated or resigns before completing six months of continuous employment, the member's final check shall be reduced by an amount equal to the number of flex leave hours advanced multiplied by the member's hourly rate of pay. b. NBPMA members shall accrue thirteen pay periods of flex leave immediately upon completion of six (6) months continuous employment with the Newport Beach Police Department, provided however, this amount shall be reduced by any flex leave time advanced during the first six months of employment. C. Members employed by the City prior to initiation of the flex leave program have had then current accrued vacation time converted to flex leave on an hour for hour basis with then current sick leave placed in a bank to be used as provided in Section 11.2 of the City of Newport Beach Employee Policy Manual. Members entitled to use sick leave pursuant to Section 11.2A of the Employee Policy Manual must notify appropriate department personnel of their intention to access the sick leave bank and, in the absence of notification, absences will be charged to the member's flex leave account. Members who wish to convert an absence from flex leave to sick leave must submit a written request to the Chief of Police within twenty (20) days after the absence (20 days from the last absence in the event the member was continuously absent for more than one day) specifying the nature of the illness and the person notified of the intent to use sick leave, or the reasons for the failure to notify appropriate department personnel. The Chief of Police shall - 10 - grant the request for conversion if the member submits a written statement signed by his or her attending physician confirming the illness and the Police Chief determines that the member's failure to notify appropriate departmental personnel was reasonable under the circumstances. d. NBPMA members shall be entitled to accrue flex leave up to seventy -eight (78) times the members bi- weekly flex leave accrual rate (Flex Leave Accrual Threshold). NBPMA members first hired by the City prior to July 1, 1996, shall be paid for all flex leave that accrues in excess of the flex leave accrual threshold (Flex Leave Spillover Pay). Flex Leave Spillover Pay will be paid at the member's regular hourly rate of pay. NBPMA members who have not utilized at least 80 hours of flex leave during the prior calendar year shall not accrue flex leave in excess of the Flex Leave Accrual Threshold and shall not be entitled to Flex Leave Spillover Pay. NBPMA members 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. e. All requests for scheduled flex leave shall be submitted to appropriate department personnel. Flex leave may be granted on an hourly basis. In no event shall a member take or request flex leave in excess of the amount accrued. f. Members shall be paid for all accrued flex leave at their then current hourly rate of pay upon termination of the employment relationship. B. Bereavement Leave Bereavement Leave shall be defined as the necessary absence from duty by an employee having regular or probationary appointment because of the death or terminal illness in his /her immediate family. NBPMA members shall be entitled to 40 hours of bereavement leave per incident (terminal illness followed by death is considered one incident). Immediate family shall mean an employee's father, mother, brother, sister, wife, husband, child, or grandparent, and the employee's spouse's father, mother, brother, sister, child or grandparent. - 11 - C. Workers Compensation Leave In accordance with Section 4850 of the Labor Code, unit employees shall be entitled to leave of absence while disabled without loss of salary for the period of the disability, not to exceed one year. D. Scheduling of Medical Treatment for Industrial Injuries 1. Time spent by an employee receiving medical attention during the employee's normal working hours is considered hours worked and compensable, when the City or its representative schedules the appointment. 2. When an employee is temporarily totally disabled due to an industrial injury, and is unable to perform even limited duty in the workplace, all appointments, whether arranged by the City or the employees, shall be considered as occurring during normal working hours. The employee shall not be entitled to any additional compensation, regardless of the employee's regular work schedule or the type of compensation currently received, except as otherwise required by law. 3. When an employee has been released to either full or limited duty and has returned to the workplace, time spent receiving ongoing medical treatment, such as physical therapy or follow -up visits that are not scheduled by the City, is not considered hours worked and therefore is not compensable. To avoid disruption in the workplace, an employee shall schedule such appointments to occur during off duty hours whenever possible. In the event such scheduling is not available, the employee may be allowed to attend an appointment during their regularly scheduled duty shift with prior supervisory approval. Regular recurring appointments (i.e., weekly physical therapy) must be scheduled off duty. SECTION 4. — FRINGE BENEFITS A. Health Insurance 1. Benefits Information Committee City has established a Medical /Dental Information Committee composed of one representative from each employee group and up to three City representatives. The Medical /Dental 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 - 12 - purpose of this Committee is to provide each employee group with information about health care issues and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance The City has implemented an IRS qualified Cafeteria Plan. The City contribution toward the Cafeteria Plan shall be $974. In addition, the City shall contribute the minimum CalPERS participating employer's contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan contributions towards the City's existing medical, dental and vision insurance /programs. The City and the Newport Beach Police Management Association will cooperate in pursuing additional optional benefits to be available through the Cafeteria Plan. Any unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. Employees shall be allowed to change coverage in accordance with plan rules and during regular open enrollment periods. Effective the pay period beginning July 3, 2010, the City's contribution towards the Cafeteria Plan will increase to $1049 (plus the minimum CaIPERS participating employer's contribution). Effective the pay period beginning July 2, 2011, the City's contribution towards the Cafeteria Plan will increase to $1124 (plus the minimum CaIPERS participating employer's contribution). NBPMA members who do not want to enroll in any medical plan offered by the City must provide evidence of group medical insurance coverage, and execute an opt -out agreement releasing the City from any responsibility or liability to provide medical insurance coverage on an annual basis. 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. 4. Vision Insurance - 13 - L'-1 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. Additional Insurance/ Programs 1. IRS Section 125 Flexible Spending Account Section 125 of the Internal Revenue Code authorizes an employee to reduce taxable income by City payment of allowable expenses such as childcare and medical expenses. City shall maintain a "reimbursable account program" in accordance with the provisions of Section 125 of the Internal Revenue Code, pursuant to which an NBPMA member may request that medical, child care and other eligible expenses be paid or reimbursed by the City out of the employee's account, with the base salary of the employee reduced by the amount designated by the employee to be placed into that account. The City's obligation to establish a reimbursable account program is contingent upon the City incurring no cost or potential liability relative to the plan or its administration. City shall cooperate to the fullest extent of the law provided; however, City may require the plan to contain provisions that authorize the administrator to pay allowable expenses only upon submittal of a demand from the City. Any "reduction" in salary pursuant to this Section and /or the Section 125 Plan established by the City, shall not affect any other provision of this MOU. 2. Disability Insurance The City shall provide Short-term (STD) and Long -term (LTD) disability insurance to all regular full time employees with the following provisions: Weekly Benefit 66.67% gross weekly wages Maximum Benefit $10,000 /month Minimum Benefit $50 Waiting Period 30 Calendar Days Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. - 14 - Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. Concurrent with the commencement of this program, employees assumed responsibility for the payment of the disability insurance cost in the amount of one (1.0 %) percent of base salary. Simultaneously, the City increased base wages by one (1.0 %) percent. C. Employee Assistance Program City shall provide an Employee Assistance Program through a properly licensed provider. NBPMA members and their family members may access the Employee Assistance Program at no cost subject to provider guidelines. D. Retirement Benefits 1. The City shall pay towards each member's required PERS retirement contribution 9% of salary for sworn employees hired prior to July 6, 2010. For sworn employees hired after July 6, 2010, the City will pay 3.5% of the member contribution. Such employees will be eligible to receive the 9% the beginning of their 6t" year of uninterrupted service. City payments pursuant to this Section shall be deemed to be member contributions under the Public Employees Retirement System and recoverable by the member as such in accordance with the rules and regulations promulgated by PERS. These amounts will be reported to PERS monthly as special compensation for retirement purposes. 2. The City provides the Public Employees' Retirement System retirement formula of 3% at 50 3. The City provides the PERS Level 4 1959 survivor's benefits for NBPMA members. 4. The City provides the PERS Pre - Retirement Option 2 Death Benefit (Section 21548) for NBPMA members. 5. Effective July 3, 2010 and through December 31, 2011, all sworn unit employees will contribute 3.5% of base pay towards retirement costs. 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 affect the reporting of the 9% EPMC for employees hired before July 6, 2010 (Section 20636)(c)(4) of the California Government Code. - 15 - E. Retiree Medical Benefit 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 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, 2005. b. Category 2 - Active employees hired prior to January 1, 2005, whose age plus years of service as of January 1, 2005 was less than 50 (46 for public safety employees). C. Category 3 - Active employees hired prior to January 1, 2005, whose age plus years of service was 50 or greater (46 for public safety employees) as of January 1, 2005. d. Category 4 - Employees who had already retired from the City prior to January 1, 2005, and were participating in the previous retiree medical program. 2. Program Structure. This is an Integral Part Trust (IPT) Medical Expense Reimbursement Program Plan (MERP). a. For employees in Category 1, the program is structured as follows: Each employee will have an individual MERP account for bookkeeping purposes, called his or her "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 - 16 - 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): $1.50 per month for each year of service plus year of age (updated every January 1st based on status as of December 31st of the prior year). Effective January 2008, this contribution will increase to $2.50 per month. 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 each 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 MERP, 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 ninety percent (90 %) of sick and flex leave. 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. - 17 - Spillover pay is not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. Sick leave balances may also be included in the MERP Part C contributions, but only to the extent and within all the numeric parameters specified in the Employee Policy Manual. Section 11.21 of the Manual contains a schedule which specifies the amount of sick leave that can be "cashed out," based on time of service. The manual also caps the number of hours that can be "cashed out" at 800, and specifies that sick leave hours are "cashed out" on a 2 for 1 basis (800 hours of sick leave are converted to 400 hours for cash purposes). Sick leave participation is a separate item from vacation /flex leave participation, and thresholds must be separately identified by the Association. Part A contributions may be included in PIERS compensation. Part B and Part C contributions will not be included in PIERS compensation. Part A contributions begin upon enrollment in the program and are credited to each MERP 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 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 MERP Employee Account. Such an employee will not be entitled to any Part 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 - 18 - purposes. This amount will be deposited into the employee's MERP account at the time of separation. Distributions from MERP 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 MERP 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 MERP 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 CalPERS participating employer's contribution 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 MERP 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 MERP 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 at the time of retirement, and only if the employee retires from the City and at the time of retirement. No interest will be earned in the interim. - 19 - 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 MERP 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 $4,800.00 per year, accruing at the rate of $400.00 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 MERP account at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. d. For employees (retirees) in Category 4, the structure is very similar to the previous retiree medical program, except that there is no cost share requirement, and the $400 City contribution after retirement can be used for any IRS authorized purpose, not just City insurance premiums. Effective July 1, 2006, a MERP account has been opened for each retiree in this category, and the City will contribute $400 per month to each account as long as the retiree or spouse remains living. For existing NBPMA retirees in this category, the $400 was increased to $450 effective July 1, 2006. The NBPMA and Police Employees Association have agreed to reimburse the City for half of the cost of this increase, on an ongoing basis. - 20 - To that end, the City will invoice NBPMA at the end of each quarter for half the actual cost of this increase during the previous three months. 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 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. 4. Value of Benefit For all purposes, including compensation comparisons, the Retiree Medical Program shall be valued at 1% salary on which PIERS retirement is based (Part A); plus .25% of other compensation (Part B). F. Tuition Reimbursement NBPMA members attending accredited community colleges; colleges, trade schools 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. Maximum tuition reimbursement shall be $1,200.00 per fiscal year. SECTION 5. — MISCELLANEOUS PROVISIONS A. Reductions in Force /Layoffs The provisions of this Section shall apply 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. 1. Definitions - 21 - 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 permanent status in their current Classification or any Classification within the Series, subject to the following: i. Credit shall be given only for continuous service subsequent to the most recent appointment to permanent status in the Classification or Series; ii. Seniority shall include time spent on industrial leave, military leave and leave of absence with pay, but shall not include time 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. "Series" shall mean two or more Classifications within a Department which require the performance of similar duties with the higher ranking Classification(s) characterized by the need for less supervision by superiors, more difficult assignments, more supervisory responsibilities for subordinates. The City Manager shall determine those Classifications which constitute a Series. 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. No employee shall have the right to bump into a Classification for which the employee does not possess the minimum qualifications such as specialized education, training or experience. 2. Procedures - 22 - In the event the City Manager determines to reduce the number of employees within a Classification, the following procedures are applicable: a. Temporary and probationary employees within any Classification shall, in that order, be laid off before permanent employees. b. Employees within a Classification shall be laid off in inverse order of seniority; C. 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. An employee who has Bumping Rights shall notify the Department Director within three (3) 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), and accumulated sick leave to the extent permitted by the Employee Policy Manual. 4. Re- Employment Permanent and probationary employees who are laid off shall be placed on a Department reemployment 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 - 23 - 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 reemployment list by sending written confirmation to the Human Resources Director. 5. Severance Pay Permanent 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. B. Schedule 1. Employees currently work a variety of alternative work schedules (some trial) as approved by the Chief of Police. They include 3/12 and 4/10. The basic work schedule shall be considered the 9/81 for the term of this MOU. Subject to the right to re—open as specified in this subparagraph, 9/81 shall be the standard work schedule for the term of this MOU. The 9/81 schedule will be structured to allow for 130 days off during the calendar year. NBPMA members shall be entitled to eleven (11) days off for ten months of the year and ten (10) days off during two months of the year. The Chief of Police shall determine the months during which NBPMA members shall receive ten days off. The Chief of Police shall also have the right to alter the work schedule of any NBPMA member assigned to any multi— agency or regional task force. Upon notice, the parties shall meet and confer, in good faith, regarding the appropriate work schedule(s) for NBPMA members. 2. City shall have the right to designate a 14 day or 28 day work period pursuant to Section 29 U.S.C. 507(k) ( "7 K Exemption "), provided, however, the 7 K Exemption shall not affect the City's obligation to pay overtime pursuant to provisions of this MOU including the provisions of Section 2C. 3. The parties agree that the following procedures are consistent with good police practices, provide each NBPMA member with ample time to perform all required duties, and comply with the Fair Labor Standards Act: a. All Patrol Supervisors are required to report to work 15 minutes early; - 24 - b. All Patrol Supervisors acknowledge and agree that normally, they are to leave at the end of their shift, that they shall not routinely perform duties beyond the end of their shift, that the 15 minutes allotted for briefing preparation is adequate, and they will comply with an order issued by the Chief of Police consistent with this MOU; C. The 15 minutes per shift shall be converted to compensatory time on a straight time basis and placed in a compensatory time off bank, which the member may use as flex leave, vacation leave or sick leave, but for which the member would not be paid at any time. C. Grievance Procedure 1. Definition. The term "grievance" means a dispute between NBPMA or any member and the City regarding the interpretation or application of rules or regulations governing the terms and conditions of employment, any provision of the Employee Policy Manual, any provision of Resolution No. 2001 -50, or this MOU. 2. Guidelines Any NBPMA member may file a grievance without fear of retaliation or any adverse impact on any term or condition of employment. a. A grievance shall not be filed to establish new rules or regulations, change prevailing ordinances or resolutions, nor circumvent existing avenues of relief where appeal procedures have been prescribed. b. A member may be self- represented or represented by one other person. C. A member and any representative shall be given notice of the time and place of any grievance proceeding, the opportunity to be present at such proceedings, a copy of any written decision or communication to the employee concerning the proceedings, and any document directly relevant to the proceedings. d. All parties shall engage in good faith efforts to promptly resolve the grievance in an amicable manner. The time limit - 25 - specified may be extended upon mutual agreement expressed in writing. e. The procedures in this MOU represent the sole and exclusive method of resolving grievances. 3. Procedure a. Steps NBPMA members occupying the position of Sergeant or Lieutenant shall present any grievance to the supervising Captain, and may appeal the decision of the supervising Captain to the Chief of Police and City Manager by complying with the procedures in this subsection. Any member occupying the position of Captain shall present any grievance to the Chief of Police, and may appeal the decision to the City Manager by following the procedures outlined in this subsection. The decision of the City Manager shall be final. b. Written Notice All grievances shall be submitted in writing. The grievance shall be submitted within ten (10) working days after the member knew, or in the exercise of reasonable diligence should have known, of the act or events upon which the grievance is based. The grievance shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by the member. All appeals shall be in writing and, in addition to the matters which must be stated in any grievance, shall specify the decision or decisions which form the basis of the appeal. Grievances and appeals shall be deemed submitted when personally delivered to the appropriate supervisor or the Chief of Police. C. Hearings /Meetings The appropriate supervisor, Chief of Police or City Manager shall meet with the member and any representative in an effort to resolve the grievance. The meeting shall be conducted within ten (10) working days after the appeal or grievance is served. The meeting shall be informal and the discussion should focus on the issues raised by the grievance. Written decisions on the grievance or appeal - 26 - shall be served on the employee within ten (10) working days after the meeting. 4. General Grievance A general grievance affecting more than one NBPMA member may be filed by NBPMA on behalf of the affected employees with the Chief of Police. The grievance shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by NBPMA. The Chief of Police shall meet with NBPMA representatives within ten (10) days following receipt of the grievance and provide a written decision on the grievance within ten (10) working days after the meeting. In the event NBPMA is dissatisfied with the decision of the Chief of Police, it may appeal to the City Manager by following the procedures outlined in Step 4 of the procedure applicable to employees. In the event NBPMA is dissatisfied with the decision of the City Manager, it may appeal the decision to the Civil Service Board by filing a written notice of appeal within fifteen (15) days after receipt of the decision. D. Direct Deposit All Unit employees shall participate in the City's Direct Deposit Program. E. Compensation Study Should the City conduct a classification /compensation study involving any police department classifications, it will consult with the Association on all aspects of the study, including study design, implementation, and findings. Any compensation changes recommended by the study will be subject to the meet and confer process. F. Contract Neaotiations The parties agree that, if NBPMA submits preliminary requests for changes in wages, fringe benefits and other terms and conditions of employment earlier than 90 days prior to expiration of this MOU (as provided in Section 18. Timetable for Submission of Requests of the Employer- Employee Relations Resolution), the parties will begin negotiations promptly, with the objective of reaching agreement by December 31, 2011. Signatures are on the next page. - 27 - Executed this day of 2010: NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION M Mark Hamilton, President CITY OF NEWPORT BEACH Keith Curry, Mayor ATTEST: Bv: Leilani Brown, City Clerk APPROVED AS TO FORM: �k - vi unt, tit ttorney Attachment C RESOLUTION NO. 2010 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE ASSOCIATION OF NEWPORT BEACH OCEAN LIFEGUARDS WHEREAS, the City Council of the City of Newport Beach previously adopted Resolution No. 2001 -50, the "Employer- Employee Relations Resolution ", to promote improved relations and communication between the City of Newport Beach and its employee associations; and WHEREAS, the Memorandum of Understanding between the City of Newport Beach and the Association of Newport Beach Ocean Lifeguards expired March 31, 2009; and WHEREAS, representatives from the City of Newport Beach and the Association of Newport Beach Ocean Lifeguards have met and conferred in good faith and established terms and conditions of employment under a successor Memorandum of Understanding; and WHEREAS, the City Council of the City of Newport Beach desires to adopt the Memorandum of Understanding between the City of Newport Beach and the Association of Newport Beach Ocean Lifeguards: NOW, THEREFORE, the City Council of the City of Newport Beach does RESOLVE as follows: Section 1. Wages, hours, fringe benefits and other terms and conditions of employment of employees represented by the Association of Newport Beach Ocean Lifeguards shall be provided in accordance with the provisions of the attached Memorandum of Understanding (Exhibit C). Section 2. The term of the Memorandum of Understanding shall be one year, commencing May 1, 2010, and will remain in full force and effect through April 30, 2011. Adopted this day of , 2010. ATTEST: City Clerk Mayor of the City of Newport Beach EXHIBIT C MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND THE ASSOCIATION OF NEWPORT BEACH OCEAN LIFEGUARDS This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU ") is entered into with reference to the following: PREAMBLE 1. The Association of Newport Beach Ocean Lifeguards ( "ANBOL" or "Association "), a recognized employee organization, and the City of Newport Beach ( "City "), a municipal corporation and charter city, have been meeting and conferring, in good faith, with respect to wages, hours, fringe benefits and other terms and conditions of employment. 2. Association representatives and City representatives have reached a tentative agreement on June 8, 2010 as to wages, hours and other terms and conditions of employment for the period from May 1, 2010 to April 30, 2011 and this tentative agreement has been embodied in this MOU. 3. This MOU, upon approval by the Association and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters within the scope of representation. Except as limited herein, the City retains all management rights as set forth in the Meyers - Milias -Brown Act and Resolution 2001 -50. SECTION 1. — General Provisions A. Recognition In accordance with the provisions of the Charter of the City of Newport Beach, the Meyers Milias Brown Act of the State of California and the provisions of the Employer /Employee Relations Resolution No. 2001 -50, the City acknowledges that the Association is the majority representative for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in those classifications of Lifeguard I, ll, and III, or as appropriately modified in accordance with the Employer /Employee Relations Resolution. All other classifications and positions are excluded from representation by the Association. Recognition is limited to employees who are active employees ( "Active Employee ") with job titles of Lifeguard I, II, and III who have worked in such positions for the City of Newport Beach during the most recent summer season (or the summer season the year preceding the most recent season if they took an approved leave of absence and missed the most recent year) and who have worked 240 cumulative hours. An Active Employee is an individual who has completed the Fire Department's re- certification class with the expectation of City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 2 of 7 working a minimum of 56 cumulative hours per calendar year. All other employees are excluded. B. Duration of Memorandum 1. Except as specifically provided otherwise, any ordinance, resolution or action of the City Council necessary to implement this MOU shall be considered effective as of May 1, 2010. This MOU shall remain in full force and effect until April 30, 2011, and the provisions of this MOU shall continue after the date of expiration of this MOU in the event the parties are meeting and conferring on a successor MOU. Negotiations for a successor agreement shall commence in January 2011. 2. The terms and conditions of this MOU shall prevail over conflicting provisions of the Newport Beach City Charter, the ordinances, resolutions and policies of the City of Newport Beach, and federal and state statutes, rules and regulations which either specifically provide that agreements such as this prevail, confer rights which may be waived by any collective bargaining agreement, or are, pursuant to decisional or statutory law, superseded by the provisions of an agreement similar to this MOU. C. Employee Data and Access Each April, the City shall provide Association a regular list of all unit members including name, contact info (including e-mail) and job title. For those members who specifically ask that their personal information not be given out, email contact information only will be provided. D. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the life of this MOU, neither party shall be compelled, and each party expressly waives its rights to request the other to meet and confer concerning any issue contained herein. E. Modifications Any agreement, alteration, understanding, variation, or waiver or modification of any of the terms or provisions of this MOU shall not be binding upon the parties unless contained in a written document executed by authorized representatives of the parties. City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 3 of 7 F. Savings Should any part of this MOU be rendered or declared illegal or invalid by legislation, decree of court of competent jurisdiction or other established governmental administrative tribunal, such invalidation shall not affect the remaining portions of this MOU. SECTION 2. — Compensation A. Pay for Time Worked 1. Salary Adjustments Base salaries shall remain unchanged for the term of this agreement. 2. Bi- Linqual Pay Employees certified as bilingual (Spanish) shall be eligible to receive fifty ($.50) cents per hour in bilingual pay. The certification process will confirm that employees are fluent at the street conversational level in speaking Spanish. Employees certified shall receive bilingual pay the first full pay period following certification. Additional languages may be certified for compensation pursuant to this section by the Fire Chief. 3. EMT Pay Employees who maintain certification as Emergency Medical Technicians ( "EMTs ") according to State of California regulations and Orange County EMS policy shall be eligible to receive fifty ($0.50) cents per hour worked in "EMT Pay." It is the employee's responsibility to have their current EMT Certification on file. Employees certified shall receive EMT Pay the first full pay period following certification. 4. Compensation for Overtime - Normal Overtime Normal overtime is defined as any scheduled hours worked in excess of the basic work week. For the purposes of this section, the basic work week is 40 hours, or as determined by the Department Director and approved by the City Manager which occurs between a fixed and regularly recurring period of 168 hours - 7 consecutive 24 hour periods. City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 4 of 7 Definition of Hours Worked - Hours worked are defined as hours which employees are required to be performing their regular duties or other duties assigned by the City. Compensation - Normal overtime for all non - exempt employees shall be paid at one - and - one -half (1 -1/2) times the hourly rate of the employee's bi- weekly salary rate. Reporting of overtime on payroll forms will be as prescribed by the Administrative Services Director. 5. Temporary Upgrading of Employees 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 classification. Employees temporarily assigned to Lifeguard II or Lifeguard III job classifications shall receive a five percent (5 %) pay differential over their regular rate of pay for all time worked in the higher classification, with a minimum of one hour required to receive the differential. SECTION 3. - Work Hours and Staffing A. Staffing During "A" level staffing, Monday through Friday, two patrols (one each in divisions 1 and 2) shall be staffed with two persons. Saturday and Sunday, four patrols (two each in divisions 1 and 2) shall be staffed with two persons. The staffing will consist of a unit operator and a mentored lifeguard. Staffing of the mentored lifeguard position will be placed on the regular schedule and staffed per Fire Department Policy, and will be eligible for temporary upgrade pay. Based on availability, Lifeguard Towers will be staffed with Lifeguard II qualified personnel during "C" level staffing. Lifeguard I personnel staffing Towers during "C" staffing will receive temporary upgrade pay. Upon request, declared at the beginning of each season, represented employees shall be scheduled for at least thirty-five (35) hours per week during "A" level staffing. Represented employees will, during all staffing levels, be paid two (2) hours of pay if their scheduled shift is canceled later than 4:00 p.m. the day before the work is scheduled. The shift is considered canceled when the City provides notice to the employee at the number designated by the employee. Once reporting to work, employees will be afforded the City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 5 of 7 opportunity to either work their scheduled shift or voluntarily leave work without pay if work is not available. SECTION 4. — Fringe Benefits A. Equipment Allotment Represented employees in the Association shall be paid One Hundred and Forty ($140.00) Dollars annually towards the purchase of UVA/UVB compliant sunglasses, sweat pants, full brimmed or ball cap style hat, equipment carrying bag, water proof watch and replacement and /or repair of any work related equipment. This payment will be made by the first full pay period in July of each season they are working. Sunglasses must be full coverage, have polarized lenses, and be worn whenever conditions warrant. B. Sunscreen Represented employees will be provided sunscreen and lip balm on an as- needed basis. C. Skin Cancer Screeninq Annual skin cancer examinations shall be provided for unit employees at a facility selected by the City. Employees who are scheduled to be screened off duty will be paid one (1) hour of compensation. D. Binoculars Represented employees shall be provided a pair of binoculars (minimum power 10 x 50) at the start of their careers with the City. Binoculars must be kept in good working order by the employee and must be brought to work for each Lifeguard Operations shift, which will be confirmed by inspection by the Division Supervisors. If the provided binoculars are lost or damaged, the employee shall replace them with a pair meeting the City's specifications. E. Other Equipment One pair of uniform trunks and two uniform shirts each season. One jacket per career, replaced when unserviceable. One pair swim fins, one mask and snorkel per career, replaced by City if lost or broken in the execution of work duties. City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 6 of 7 Gym Represented employees will be provided access to the City Gym. G. Parking Passes Represented employees will be provided one parking pass that does the following: • Allows "blue pole" parking year around. • Allows "all meter" parking June 15th to September 30th. H. Identification Card Upon request, represented employees who desire an Identification (ID) Card shall be provided with an official wallet -sized City of Newport Beach identification card. Other Benefits Not Guaranteed Employees represented by the Association of Newport Beach Ocean Lifeguards may, in the sole discretion of the City, be provided additional benefits /privileges. SECTION 5. - Miscellaneous A. Disciplinary Actions Represented employees are afforded the opportunity to seek internal resolution of any disciplinary actions having a financial impact on the employee. Represented employees may appeal any such actions to the Fire Chief within ten (10) calendar days of the disciplinary action. The Fire Chief will meet with the employee and a representative of their choosing within ten (10) calendar days of the appeal. If the matter continues to be unresolved, the employee may, within ten (10) calendar days, appeal to the City Manager. The City Manager will meet with the employee and their representative. Within ten (10) calendar days, the City Manager shall issue his /her decision. The decision of the City Manager shall be final. This is the only City appeal procedure for the term of this agreement. B. Orientation Association representatives will be allowed ten minutes at the end of training sessions to address newly hired trainees. City -ANBOL MOU May 1, 2010 through April 30, 2011 Page 7 of 7 C. Work Access ANBOL representatives shall have access to employees in the workplace through an ANBOL dedicated bulletin board in lifeguard headquarters. ANBOL representatives shall be allowed 10 minutes to address employees at every Lifeguard Recertification course during lunch breaks. Executed this ATTEST: A day of , 2010: ASSOCIATION OF NEWPORT BEACH OCEAN LIFEGUARDS M Josh Yocam, President CITY OF NEWPORT BEACH Is Keith Curry, Mayor Leilani Brown, City Clerk APPROVED AS TO FORM: Ir� Attorney Attachment D RESOLUTION NO. 2010 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ADOPTING EMPLOYER PAID MEMBER CONTRIBUTIONS TIME -IN -GRADE EXCEPTION WHEREAS, the City Council of the City of Newport Beach has elected to pay all or part of the normal member contributions to the California Public Employees' Retirement System (CaIPERS) pursuant to Government Code Section 20691, and applicable labor policies and agreements; and WHEREAS, the City Council of the City of Newport Beach may elect a Time -in -Grade Exception to said Employer Paid Member Contributions (EPMC) within a given group or class of employees as defined in Government Code Section 20636(e)(1) and as specifically authorized in Title 2, California Code of Regulations Section 569; WHEREAS, the City Council of the City of Newport Beach desires to implement a Time -in -Grade Exception and abide by the provisions of Title 2, California Code of Regulations Section 569; and WHEREAS, CalPERs reviewed the proposed Resolution and approved the terms of the Time -in -Grade Exception on June 7, 2010. NOW, THEREFORE, the City Council of the City of Newport Beach does RESOLVE as follows: Section 1. The City of Newport Beach shall implement a Time -in -Grade Exception to all safety employees of the Newport Beach Police Association (NBPA) and Newport Beach Police Management Association (NBPMA). Section 2. The City of Newport Beach elects to continue to pay 9% of the Employer Paid Member Contribution for all current safety employees of the Newport Beach Police Association and the Newport Beach Police Management Association. Section 3. The City of Newport Beach shall pay 3.5% of the Employer Paid Member Contribution for all safety employees in the Newport Beach Police Association and the Newport Beach Police Management Association hired after the date of adoption of this resolution. Section 4. Beginning the sixth (6th) year of uninterrupted service, employees described in Section 3 will be entitled to payment of EPMC on the same terms that apply to other safety employees in the unit. Adopted this day of , 2010. M ATTEST: City Clerk Mayor of the City of Newport Beach