HomeMy WebLinkAbout05 - Adoption of Newport Beach Police Management Association Memorandum of Understanding aEwcoRr
CITY OF
NEWPORT BEACH
C9FO0.NP City Council Staff Report
October 13, 2015
Agenda Item No. 5
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Dave Kiff, City Manager - 949-644-3001,
dkiff@newportbeachca.gov
Terri L. Cassidy, Deputy City Manager/Human Resources Director
949-644-3303, tcassidy@newportbeachca.gov
PREPARED BY: Maggie Williams-Dalgart, Senior Human Resources Analyst
PHONE: 949-644-3337
TITLE: Adoption of Newport Beach Police Management Association
Memorandum of Understanding
ABSTRACT:
On September 22, 2015 the City Council considered the Tentative Agreement between
the City of Newport Beach and the Newport Beach Police Management Association
(NBPMA), a recognized employee organization, on the terms of a successor
Memorandum of Understanding (MOU) for the period January 1, 2015 through June 30,
2018. The proposed MOU includes changes to wages, benefits and other terms and
conditions of employment that are subjects of collective bargaining as required under
the Meyers-Milias-Brown Act, California Government Code sections 3500-3510. During
the "sunshine" period, prior to adopting the MOU, members of the public had an
opportunity to consider the terms of the contract. The complete MOU is presented for
City Council's approval/ratification (or rejection) and is the final step in the meet and
confer process, completing the agreement.
RECOMMENDATION:
Adopt Resolution No. 2015-80, A Resolution of the City Council of the City of Newport
Beach, California, Adopting the Memorandum of Understanding between the City of
Newport Beach and the Newport Beach Police Management Association for the period
January 1, 2015 through June 30, 2018.
FUNDING REQUIREMENTS:
A comprehensive estimate of the costs associated with the successor MOU was
provided with the Tentative Agreement on September 22, 2015, and is included with this
Adoption of Newport Beach Police Management MOU
October 13, 2015
Page 2
report as Attachment C. For FY2015-16, the cost to implement the terms of the contract
is $305,111 and the overall/total is estimated to be $1,425,138. Funding for the current
fiscal year has been approved in the FY2015-16 adopted budget.
DISCUSSION:
The Newport Beach Police Management Association represents 33 full-time police
management staff in the classifications of Police Sergeant, Police Lieutenant and Police
Captain (the Captain classification is not currently active or budgeted). Employees in
these positions are responsible for assisting the Police Chief in managing the
department's nearly 250 employees.
Representatives for the City and NBPMA began negotiations on April 1, 2015 on the
terms of a successor MOU to the one that expired on December 31, 2014. The City was
represented by Jon Holtzman of Renne Sloan Holtzman Sakai, Terri Cassidy, Deputy
City Manager/Human Resources Director, Jon Lewis, Deputy Police Chief, and Maggie
Williams-Dalgart, Senior Human Resources Analyst. The Newport Beach Police
Management Association was represented by Stuart Adams of Adams, Ferrone &
Ferrone, Police Sergeant Rachel Johnson, NBPMA President, Police Lieutenant Tom
Fischbacher, NBPMA Treasurer, and Police Lieutenant Steve Rasmussen, NBPMA
Representative. The parties met eight times before a Tentative Agreement was reached
on September 8, 2015.
In keeping with City Council's goal of sharing pension costs between the City and the
employees, contributions to the California Public Employees Retirement System
(PERS) was a main topic of discussion during negotiations, along with wage
adjustments and concerns over rising costs of healthcare. NBPMA representatives
understood the City's need to continue to address growing pension costs and agreed to
increase the employee contribution. At the expiration of the last contract, NBPMA
employees were paying 12.8 percent of their pay toward the pension benefit. That
amount will increase by 1.8 percent, so that by January 2016 NBPMA employees will be
paying 14.6 percent. This contribution rate is the highest of Orange County cities and of
the City's ten employee associations.
The Memorandum of Understanding between the City and NBPMA includes the
following major provisions:
• Term of three and one-half years, from January 1, 2015, through June 30, 2018
• Additional employee contributions to the PERS pension benefit
o January 1, 2015, employees contribute an additional .8 percent, for a total
employee pick-up of 13.6 percent
o January 1, 2016, employees contribute an additional 1.0 percent, for a total
employee pick-up of 14.6 percent
Adoption of Newport Beach Police Management MOU
October 13, 2015
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• Wage adjustments
o January 1, 2015 - 1.8%
o January 1, 2016 - 3.0%
o January 1, 2017 - 2.5%
o January 1, 2018 - 3.0%
• Increases to the cafeteria benefit, which is used to purchase medical, dental or
vision insurance
o July 1, 2015, an additional $100 per month for a total benefit of$1,424
o January 1, 2017, an additional $100 per month for a total benefit of$1,524
• A reduction of the cafeteria benefit from $1,249 to $1,000 per month for
employees who opt-out of medical coverage, effective January 1, 2016
• An agreement to reopen negotiations in July 2017 for the purpose of discussing
healthcare and cafeteria benefits due to changes or revisions in law, such as the
Affordable Care Act
• An increase of .62 hours per pay period (representing an increase of 16.12 hours
annually), toward the Flex Leave benefit (combined vacation and sick leave
bank) for employees with 12 or more years of service
• A change to the Bereavement Leave policy to include stepparents and
stepchildren, and an increase in minimum compensation for Court Standby pay
from 2 hours to 4 hours
The estimated cost of the agreement for FY2015-16 and future years is included in
Attachment C. All costs are itemized by salary, supplemental pays, fringe benefits,
pension, and employees offsets, projected through FY2017-18. The employee offsets,
which represent the additional employee pick-up towards pension, and the reduction in
the cafeteria allowance, provides an estimated $354,273 savings over the term of the
contract.
In accordance with NBPMA ratification procedures, the majority of members voted to
approve the new MOU. The agreement will not become effective, per Government Code
§3505.1, until the governing body, i.e., City Council, takes action to adopt it. If the City
Council approves adoption of the Memorandum of Understanding with the NBPMA,
Human Resources and Finance Department staff will work to implement the provisions
as soon as practicable. The proposed changes are noted in italics and the
comprehensive MOU and cost analysis of the complete contract, if approved, will be
published online.
Adoption of Newport Beach Police Management MOU
October 13, 2015
Page 4
As City Manager and Deputy City Manager/Human Resources Director, we thank the
NBPMA leadership for the collaborative and respectful way in which they approached
these negotiations and appreciate their willingness to come to the table and help
address the issue of pension reform. These are challenging times for city governments
and a strong partnership between the City and its bargaining units remains vital in
continuing to provide the community excellent services.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378)of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A— Resolution Adopting NBPMA MOU
Attachment B — NBPMA MOU
Attachment C — NBPMA Contract Costing
Attachment A
RESOLUTION NO. 2015-
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," pursuant to
the authority contained in the Meyers-Milias-Brown Act, Government Code §3500;
and
WHEREAS, the City of Newport Beach supports effective communication and
collaborative working relationships with its employee associations to promote
improved relations while balancing good management practices; and
WHEREAS, the City of Newport Beach previously entered into a
Memorandum of Understanding with the Newport Beach Police Management
Association, for the period January 1, 2012 through December 31, 2014; and
WHEREAS, representatives from the City of Newport Beach and
representatives from the Newport Beach Police Management Association met and
conferred in good faith and reached a Tentative Agreement on wages, benefits and
other terms and conditions of employment on September 8, 2015; and
WHEREAS, the City Council of the City of Newport Beach desires to replace
the Memorandum of Understanding between the City of Newport Beach and the
Newport Beach Police Management Association by adopting a successor
Memorandum of Understanding for the period January 1, 2015 through June 30,
2018.
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 for employees represented by the Newport Beach Police
Management Association shall be provided in accordance with the provisions of the
attached Memorandum of Understanding (Attachment B).
Section 2. The term of the Memorandum of Understanding shall be for
42 months, commencing January 1, 2015 and will remain in full force and effect
through June 30, 2018.
Section 3. The City's Salary Schedule shall be modified so as to be
consistent with this Resolution.
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Adopted this 13th day of October, 2015.
Edward D. Selich,
Mayor
ATTEST:
Leilani I. Brown
City Clerk
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Attachment 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" 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. 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, 2015 to June 30, 2018 and this tentative agreement
has been embodied in this MOU, which has been executed concurrently.
3. This MOU, upon approval by NBPMA 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.
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
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 NBPMA. Exhibit "A" is incorporated by
reference into this MOU.
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
considered effective as of January 1, 2015. This MOU shall remain in full
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force and effect until June 30, 2018, 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.
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 (1) hour, with their representative
prior to a hearing described in (c) above.
2. City grants NBPMA one hundred (100) hours of Release Time per
calendar year to engage in the activities described in subsection
1(a). NBPMA may accumulate up to three hundred (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 one hundred (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 assignments compatible with participation in
the meet and confer process.
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a. Any NBPMA 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.
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;
g. To maintain the efficiency of operations;
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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 Police
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 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 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
constitutionally impermissible basis, or any pornographic or obscene
material.
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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.
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 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 Adjustments — this MOU Period
Base salary increases for all NBPMA represented classifications shall be
as follows and as specified in Exhibit A:
Effective the pay period including January 1, 2015, base salaries will be
increased by 1.8%.
Effective the pay period including January 1, 2016, base salaries will be
increased by 3.0%.
Effective the pay period including January 1, 2017, base salaries will be
increased by 2.5%.
Effective the pay period including January 1, 2018, base salaries will be
increased by 3.0%.
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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
C. Overtime
1. Employees shall be entitled to overtime compensation at the rate of
time and one half (1.5) the regular rate of pay 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 one hundred twenty (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 (1.5) the employee's regular rate of pay.
c. Appearance - Off-duty employees who are required to appear in
court shall be compensated for the actual time involved with a
minimum of four (4) 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.
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d. Cancellation — Off-duty employees whose court appearance is
cancelled with less than twelve (12) hours notice shall receive a
payment for one (1) 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
eighty (80) hours of administrative leave per calendar year. The
precise amount of administrative leave granted each Captain shall
be based on the recommendation of the Police Chief and approved
by the City Manager. Administrative leave may not be carried
forward from one (1) 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
As permissible by law and subject to the provisions and limitations under
the Public Employees Retirement Law, including restrictions on reporting
uniform allowance as pensionable compensation for "non classic"members
hired after January 1, 2013, the City shall report the value of provided
uniforms at One Thousand Three Hundred Fifty Dollars ($1,350) per year,
in accordance with PERS requirements. The parties agree the reported
value of uniforms is intended to reflect clothing such as pants, shirts,
jackets, and related attire and excludes health and safety related
equipment.
E. Scholastic Achievement Pay
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 the number of
units and/or degrees received by the employee. Effective the pay period
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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 (6) months' time
employed as a police recruit or similar classification in a police training
academy. The Scholastic Achievement Pay schedule is as follows, and is
regardless of years of service:
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.
Any unit members hired on and after September 12, 2012 shall be
ineligible for any Scholastic Achievement Pay based upon having obtained
units only.
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 percent (1%) of base pay.
G. Holiday Time
NBPMA members shall accrue holiday time at the rate of ninety-six (96)
hours per fiscal year (July 1 through June 30th), and at the rate of three
point seven (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 sixty (60) days of NBPMA membership, NBPMA members
may irrevocably elect to have all or any portion of the three point seven (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
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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 one hundred percent
(100%) of their base hourly rate.
I. July 4tn
The Police Department has the discretion to schedule any of its employees
to work a regular work day on July 4`h, 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 4`h will be compensation at their regular hourly rate, plus premium pay
equal to half ('/z) 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 Pay
Employees certified as bilingual (Spanish) shall be eligible to receive Two
Hundred Dollars ($200) 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 and Longevity Pay
1. Effective the first pay period after July 1, 2012, NBPMA members
shall accrue (prospectively) flex leave and receive longevity pay
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 (6) months time employed as a police recruit or
similar classification in a police training academy. NBPMA
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members shall accrue Flex Leave and receive Longevity Pay at the
following rates:
Yrs of Service Accrual Per Maximum Longevity
Pay Period Accrual
Less than 5 5.69 443.82 0.00%
5 but less than 9 6.31 492.18 0.00%
9 but less than 12 6.92 539.76 0.00%
12 but less than 16 8.16 636.48 0.75%
16 but less than 20 8.16 636.48 1.50%
20 but less than 25 8.16 636.48 2.25%
25 or more 8.16 636.48 3.00%
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 three (3) months provided,
however, if a member on the flex leave program becomes
sick during the first three (3) months of employment, the City
will advance up to six (6) 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 three (3) 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 three (3) months of flex leave
upon completion of three (3) 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 three (3) 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
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the City of Newport Beach Employee Policy Manual.
Members entitled to use sick leave pursuant to 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. 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. Effective during the first pay period of January, 1998,
NBPMA members who have not utilized at least eighty (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.
Employees who have accrued in excess of seventy-eight
(78) times the member's bi-weekly accrual rate shall accrue
no additional time unless through use of time or any
authorized cash payment (including spillover pay), the
accrued hours decrease to less than seventy-eight (78)
times the bi-weekly accrual rate. Except for persons eligible
for Spillover Pay, in no case shall leave that would have
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been accrued in excess of the above limitations be earned
for cash conversion.
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 forty (40) hours of bereavement leave per
incident (terminal illness followed by death is considered one (1) incident).
Leave hours need not be used consecutively, but should occur in
proximate time to the occurrence. Immediate family shall mean an
employee's father, mother, stepfather, stepmother, brother, sister,
spouse/domestic partner, child, stepchild or grandparent, and the
employee's spouse/domestic partner's father, mother, brother, sister, child
or grandparent. An employee requesting bereavement leave shall notify
his/her supervisor as soon as possible of the need to take leave.
C. Worker's 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 (1) 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
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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,
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 Benefits Information Committee ("BIC")
composed of one representative from each employee association
group and up to three City representatives. The BIC 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 - City Contribution
The City has implemented an IRS qualified Cafeteria Plan. In
addition to the amounts listed below, 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
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coverages in accordance with plan rules and during regular open
enrollment periods.
• The parties recognize that from January 1, 2015 through June
26, 2015 the City has contributed $1,324 per month (plus the
PERS minimum contribution) toward the Cafeteria Plan.
• Effective the pay period that includes July 1, 2015 the City's
monthly contribution towards the Cafeteria Plan will increase by
$100 to $1,424.00 (plus the minimum CalPERS participating
employer contribution as outlined in Government Code §22892.)
• Effective the first pay issue in January 2017, the City's monthly
contribution towards the Cafeteria Plan will increase by $100 to
$1,524.00 (plus the minimum CaIPERS participating employer
contribution as outlined in Government Code §22892.)
On or before July 1, 2017, at the request of either party, the parties
shall meet and confer in good faith to discuss possible changes to
the medical benefit program, contribution levels, or other elements
of healthcare services as a result of the Affordable Healthcare Act
(CA) or changes in law, provided, however, that any changes to the
MOU only may occur by mutual agreement of the parties.
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.
Current employees electing to opt-out of City provided medical
coverage will be eligible to receive a maximum Cafeteria Allowance
of$1,274 per month. Effective the first pay issue in January 2016,
the opt-out Cafeteria Allowance will be $1,000 per month.
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 BIC.
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 BIC.
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B. Additional Insurance/Programs
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
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.
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 $15 (STD) and $100 (LTD)
Waiting Period 30 Calendar Days (STD)
180 Calendar Days (LTD)
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.
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Concurrent with the commencement of this program, employees
assumed responsibility for the payment of the disability insurance
cost in the amount of one percent (1%) of base salary.
Simultaneously, the City increased base wages by one percent
(1%).
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.
C. Employee Assistance Program
City shall provide an Employee Assistance Program ("EAP") through a
properly licensed provider. NBPMA members and their family members
may access the EAP at no cost subject to provider guidelines.
D. Retirement Benefits
1. Retirement Formula
The City contracts with the California Public Employees Retirement
System ("CalPERS"or "PERS') to provide retirement benefits for its
employees. Pursuant to prior agreements and state mandated
reform, the City has implemented first, second and third tier
retirement benefits as follows:
Tier i ("Legacy"): For employees hired by the City on or before
November 23, 2012, the retirement formula for safety members
shall be 3%@50, calculated on the basis of the highest consecutive
12 month period.
Tier 11 ("Classic"): For employees first hired by the City between
November 24 and December 31, 2012, or hired on or after January
1, 2013 and who are current members of the retirement system or a
reciprocal retirement system, as defined in Public Employees
Pension Reform Act (PEPRA), the retirement formula for safety
members shall be 3%@55, calculated on the basis of the highest
consecutive 36 month period.
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Tier Ill ("PEPRAI For employees first hired by the City on or after
January 1, 2013, and who do not meet the Tier 11 criteria, the safety
retirement formula shall be 2.7%@57, calculated on the basis of
the highest consecutive 36 month period.
2. Other Contract Provisions
The City's contract with PERS shall also provide for:
a. The military buy-back provisions pursuant to Section
20930.3 of the California Government Code and the highest
year benefit pursuant to California Government Code
Section 20042.
b. The Level 4 1959 Survivors Benefits.
C. The PERS pre-retirement option settlement 2 death benefit
(Section 21548) for miscellaneous and safety members.
3. Employee Contributions
Unit members shall contribute additional amounts toward the PERS
retirement benefit, to the extent permissible by law, as set forth below.
Employee retirement contributions that are in addition to the normal
PERS Member Contribution shall be calculated on base pay, special
pays, and other pays normally reported as pensionable
compensation, and will be made on a pre-tax basis through payroll
deduction provided under 414(h)(2).
Tiers I and ll:
Effective the pay period that includes January 1, 2015, NBPMA Tier I
and II safety members will contribute the full statutory member
contribution, equal to 9% of pensionable compensation, plus an
additional 4.6% of pensionable compensation toward retirement costs
as permitted under Government Code §20516(1), for a total
contribution of 13.6%.
Effective the pay period that includes January 1, 2016, NBPMA Tier I
and 11 safety members will contribute the full statutory member
contribution, equal to 9% of pensionable compensation, plus an
additional 5.6% of pensionable compensation toward retirement costs
as permitted under Government Code §20516(0, for a total
contribution of 14.6%.
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Tier lll:
The minimum statutory employee contribution for employees in Tier 111
is subject to the provisions of the Public Employees' Pension Reform
Act (PEPRA) and equals 50% of the 'total normal cost'as determined
by PERS. For FY15-16, the employee safety rate is 11.25% and is
subject to change based on annual PERS actuarial valuations.
Effective the pay period that includes January 1, 2015 Tier 111
members will contribute the required 11.25% member contribution. In
addition, Tier Ill members shall contribute 2.35% of pensionable
compensation toward retirement costs pursuant to Government Code
§ 20516(f), for a total contribution of 13.6%.
Effective the pay period that includes January 1, 2016, Tier 111
members will contribute the required 11.25% member contribution. In
addition, Tier 111 members shall contribute 3.35% of pensionable
compensation toward retirement costs pursuant to Government Code
§ 20516(17, for a total contribution of 14.6%.
In the event the member contribution rate for employees in Tier 111
shall become greater or less than 11.25%, the additional contribution
made by the employee under 20516(f) will be increased or decreased
accordingly so that the total employee contribution is the same
percentage contribution made by Tier I and 11 members.
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).
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C. Category 3 - Active employees hired prior to January 1,
2005, whose age plus years of service was fifty (50) or
greater (forty-six (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) Retirement Health Savings Plan
(RHS) (formerly the Medical Expense Reimbursement Program
Plan MERP).
a. For employees in Category 1, the program is structured as
follows:
Each employee will have an individual RHS account for
bookkeeping purposes, called his or her "Employee Account." This
account will accumulate contributions to be used for health care
expense after separation. All contributions to the plan are either
mandatory employee contributions or City paid employer
contributions, so they are not taxable to employees at the time of
deposit. Earnings from investment of funds in the account are not
taxable when posted to the account. Benefit payments are not
taxable when withdrawn, because the plan requires that all
distributions be spent for specified health care purposes.
Contributions will be in three parts.
Part A contributions (mandatory employee contributions): one
percent (1%) of Salary.
Part B contributions (employer contributions): One Dollar and Fifty
Cents ($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 Two Dollars and Fifty Cents ($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
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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 fifty percent (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 fifty percent (50%) of the amount that is
cashed out added to the RHS, on a pre-tax basis. The remaining
fifty percent (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 one
hundred percent (100%) for Sick Leave. This amount may be
changed, on a going 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. Additionally, the purpose
and focus of these changes should be toward long-term, trend type
adjustments. Due to IRS restrictions regarding "constructive
receipt," the City will impose restrictions against frequent spikes or
drops that appear to be tailored toward satisfying the desires of a
group of imminent retirees.
Spillover pay and Compensatory Time are no 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 RHS 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 Employee Policy 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 eight hundred (800), and specifies that sick
leave hours are "cashed out" on a two (2) for one (1) basis (eight
hundred (800) hours of sick leave are converted to four hundred
(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.
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Part A contributions begin upon enrollment in the program and are
credited to each RHS Employee Account each pay period.
Eligibility for Part B contributions is set at five (5) years of vested
City employment. At that time, the City will credit the first five (5)
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 (0). This right is triggered upon separation. If an
employee leaves the City prior to five (5) years employment, only
the Part A contributions and Part C leave settlement contributions,
if any, will be in the RHS Employee Account. Such an employee
will not be entitled to any Part B contributions. 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 (5)
years of employment. In such cases, the employee will receive
exactly five (5) years' worth of Part B contributions, using the
employee's age and compensation at the time of separation for
calculation purposes. This amount will be deposited into the
employee's RHS account at the time of separation.
Distributions from RHS Employee Accounts are restricted to use for
health insurance and medical care expenses after separation, as
defined by the Internal Revenue Code Section 213(d) (as explained
in IRS Publication 502), and specified in the Plan Document. In
accordance with current IRS regulations and practices, this
generally includes premiums for medical insurance, dental
insurance, vision insurance, supplemental medical insurance, long
term care insurance, and miscellaneous medical expenses not
covered by insurance for the employee and his or her spouse and
legal dependents — again only as permitted by IRS Publication 502.
Qualification for dependency status will be determined by
guidelines in IRC 152. If used for these purposes, distributions
from the RHS accounts will not be taxable. Cash withdrawal for
any other purpose is prohibited. Under recent IRS Revenue Ruling
2005-24, any balance remaining in the Employee Account after the
death of the employee and his or her spouse and/or other
authorized dependents (if any) must be forfeited. That particular
RHS Employee Account will be closed, and any remaining funds
will become general assets of the plan.
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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 RHS account.
b. For employees in Category 2, the program is the same as for
those in Category 1, with the following exception:
In addition to the new plan contributions listed above, current
employees who fully convert to the new plan will also receive a
one-time City contribution to their individual RHS accounts that
equates to One Hundred Dollars ($100) per month for every month
they contributed to the previous "defined benefit" plan, to a
maximum of fifteen (15) years (one hundred eighty (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 (5) 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 (5) 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 Four Hundred Dollars ($400) per
month into each of their RHS accounts after they retire from the
City, to continue as long as the employee or spouse is still living.
Each employee will contribute a flat One Hundred Dollars ($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 Four Thousand Eight
Hundred Dollars ($4,800) per year, accruing at the rate of Four
Hundred Dollars ($400) per month. There is no cash out option for
these funds, and they may not be spent in advance of receipt.
Employees in this category will also receive an additional one-time
City contribution of Seventy-Five Dollars ($75) per month for every
month they contributed to the previous plan prior to January 1,
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2006, up to a maximum of fifteen (15) years (one hundred eighty
(180) months). This contribution will be made to the RHS account
at the time of retirement, and only if the employee retires from the
City. No interest will be earned in the interim.
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 Four Hundred
Dollar ($400) City contribution after retirement can be used
for any IRS authorized purpose, not just City insurance
premiums.
Effective July 1, 2006, a RHS account has been opened for each
retiree in this category, and the City will contribute Four Hundred
Dollar ($400) per month to each account as long as the retiree or
spouse remains living.
For existing NBPMA retirees in this category, the Four Hundred
Dollar ($400) was increased to Four Hundred and Fifty Dollars
($450) effective July 1, 2006. The NBPMA has agreed to reimburse
the City for half of the cost of this increase, on an ongoing basis.
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 to the
investment actions taken by each employee, such as fees or
commissions for trades, will be paid by each employee.
The City's Deferred Compensation Committee, or its successor
committee, will have the authority to determine investment options
that will be available through the plan.
4. Value of Benefit
For all purposes, including compensation comparisons, the Retiree
Medical Program shall be valued at one percent (1%) of salary on
which PERS retirement is based (Part A); plus a quarter percent
(.25%) of other compensation (Part B).
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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. The maximum tuition
reimbursement shall be One Thousand Four Hundred Dollars ($1,400) 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
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
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temporary positions. Classifications within a Series shall be ranked
according to pay (lowest ranking, lowest pay).
d. "Series" shall mean two (2) 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.
b. Employees within a Classification shall be laid off in inverse order
of seniority;
C. An employee subject to layoff in one (1) 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 (2) 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
(1) 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
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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
Human Resources Director.
5. Severance Pay
Permanent employees who are laid off shall, as of the date of layoff,
receive one (1) week severance pay for each year of continuous service
with the City of Newport Beach, but in no case to exceed ten (10) weeks
of severance compensation.
B. Schedule
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.
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 one hundred and thirty (130)
days off during the calendar year. NBPMA members shall be entitled to
eleven (11) days off for ten (10) months of the year and ten (10) days off
during two (2) months of the year. The Chief of Police shall determine the
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months during which NBPMA members shall receive ten (10) 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 fourteen (14) day or twenty-eight
(28) day work period pursuant to Section 29 U.S.C. 507(k) ("7 K
Exemption"), provided, however, the 7k Exemption shall not affect the
City's obligation to pay overtime pursuant to provisions of this MOU.
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 fifteen (15)
minutes early;
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 fifteen (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 fifteen (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.
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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. An employee may be self—represented or represented by one (1)
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.
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
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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 shall be served on the employee within ten (10) working
days after the meeting.
4. General Grievance
A grievance affecting more than one (1) 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 fifteen (15) calendar days following receipt of the grievance and
provide a written decision on the grievance within fifteen (15) calendar
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
individual 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) calendar days after receipt of the
decision.
D. Direct Deposit
All Unit employees shall participate in the City's Direct Deposit Program.
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E. Contract Negotiations
The parties agree that, if NBPMA submits preliminary requests for changes in
wages, fringe benefits and other terms and conditions of employment earlier than
ninety (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 July 1, 2018.
Signatures are on the next page.
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Executed this day of 2015:
NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION
By:
Rachel Johnson, President
CITY OF NEWPORT BEACH
By:
Edward D. Selich, Mayor
ATTEST:
By:
Leilani Brown
City Clerk
APPROVED AS TOI FORM:
Aaron Harp, City Attorney IJ
Attachments: Exhibit "A" NBPMA Represented Classifications and Pay Rates
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EXHIBIT A
Newport Beach Police Management Association Represented Classifications*
and Pay Rates
January 1, 2015 - June 30, 2018
Represented Classification Hourly Pay Rate Monthly Pay Rate
Minimum Maximum Minimum Maximum
Effective January 1, 2015 (1.8% Adjustment)
Police Sergeant $43.40 $61.06 $7,522 $10,583
Police Lieutenant $51.02 $71.78 $8,843 $12,441
Effective January 1, 2016 (3.0% Adjustment)
Police Sergeant $44.70 $62.90 $7,748 $10,902
Police Lieutenant $52.55 $73.94 $9,108 $12,816
Effective January 1, 2017 (2.5% Adjustment)
Police Sergeant $45.82 $64.47 $7,942 $11,174
Police Lieutenant $53.86 $75.79 $9,335 $13,136
Effective January 1, 2018 (3.0% Adjustment)
Police Sergeant $47.19 $66.40 $8,179 $11,509
Police Lieutenant $55.48 $78.06 $9,616 $13,530
The City does not currently staff any postions at the Police Captain level, however the job classification remains
represented by NBPMA
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Attachment C
Estimated Cost of MOU with the Newport Beach Police Management Association 2015-2018
(representing 33 full-time management positions)
Pay Ranges(monthly)for NBPMA Represented Positions(reflects 1.8%salary adjustment 1/1115):
Police Sergeant $7,522-$10,583 (8 step range)
Police Lieutenant $8,843-$12,441 IS step range)
Existing Cost Projected Cost
Value of FY15-16 Budget Year 1(FY15-16) Year 2(FY16-17) Year 3(FY17-18) Costs as
Pay/Benefits Benefit• Base Base Base Total %of Total
Base Cost Pension Total Cost Pension Total Cost Pension Total Cost Pension Total Comp
Salary(increases:l.8%1/15;3.0%1/16;2.5%1/17;3.0%1/18) 4,205,673 2,372,168 6,577,841 177,774 107,027 284,801 259,266 156,089 415,355 382,190 230,093 612,283 1,312,439 15.72%
Supplemental Benefits -
Scholastic Pay(based an degree attainment) 6.26% 263,242 148,479 411,721 11,127 6,699 17,826 16,228 9,770 25,998 23,922 14,402 38,324 82,148 0.98%
Longevity(based on yrs of service) 1.55% 65,036 36,683 101,719 2,749 1,655 4,404 4,009 2,414 6,423 5,910 3,558 9,468 20,295 0.24%
Bilingual Pay(flat$amount) $200/mo 4,800 2,707 7,507 - - - - - - - - - - -
Holiday 4.55% 191,396 107,955 299,351 8,091 4,871 12,962 11,799 7,103 18,902 17,393 10,471 27,864 59,728 0.72%
Leadership Pay 1.00% 18,813 10,611 29,424 795 479 1,274 1,160 698 1,858 1,710 1,029 2,739 5,871 0.07%
Medicare(mandatory payment) 1.45% 68,860 - 68,860 2,908 - 2,908 4,241 - 4,241 6,251 - 6,251 13,400 0.16%
Compensated Absences(City funding of liability) 3.50% 147,197 147,197 6,222 6,222 9,074 9,074 13,377 13,377 28,673 0.34%
4,965,017 2,678,603 7,643,620 209,666 120,731 330,397 305,777 176,074 481,851 450,753 259,553 710,306 1,522,554 18.24%
Other City Paid Benefits
Cafeteria Plan(fixed cast) refer to MOU 573,333 - 573,333 36,000 - 36,000 54,000 - 54,000 72,000 - 72,000 162,000 1.94%
Employee Assistance Program(fixed cost) value if used 807 - 807 - - - - - - - - - - -
Value of Uniform(not paid as cash to employee) $112/mo 44,547 25,126 69,673 - - - - - - - - - - -
Smartphone(reimburse employee) $80/mo 22,202 - 22,202 - - - - - - - - - -
Life Insurance($50K max benefit;fixed cost) value if used 3,466 - 3,466 - - - - - - - - - - -
Retiree Health Savings Account(employer portion) 1.00% 33,660 - 33,660 -
678,015 25,126 703,141 36,000 - 36,000 54,000 - 54,000 72,000 - 72,000 162,000 1.94%
Increases to Flex Leave Accrual(.62 hrs/pay period) NA NA NA NA 30,580 - 30,580 31,742 - 31,742 32,535 - 32,535 94,857 1.14%
Total Compensation 5,643,032 2,703,730 8,346,762 276,246 120,731 396,977 391,519 176,074 567,593 555,288 259,553 $14,841 1,779,411 21.32%
Offset-Addl Employee Pick Up of PERS Pension Costs
(.8%on 1/15 and additional 1.0%on 1/16) NA - - - - (91,866) (91,866) - (102,661) (102,661) - (110,426) (110,426) (304,953) .3.65%
Offset-Reduction in the Cafeteria Allowance"Opt Out" NA NA NA NA (9,864) - (9,864) (19,728) - (19,728) (19,728) - (19,728) (49,320) -0.59%
Total Cost(Less Offset) 8,346,7 305,111 484,932
62 704,415 1,425,138 17.07%
%Increase Over Prior Years - Inc,over Yrl 52.4% Inc,over Yr2 51.5%
Represents the average benefit(not necessarily cast)provided to NBPMA members
10/13/2015
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