HomeMy WebLinkAbout10 - Tentative Agreement with the NBEL10-1
NEWPORT BEACH
City Council Staff Report
COUNCIL STAFF REPORT
CITY OF
January 26, 2016
Agenda Item No. 10
ABSTRACT:
The Memorandum of Understanding (MOU) between the City of Newport Beach and the
Newport Beach Employees League (NBEL) expired on July 1, 2015. NBEL is
represented by the Orange County Employees Association. On December 7, 2015,
representatives from the City and NBEL began meeting and conferring in good faith
regarding wages, benefits and other terms and conditions of employment. Following
City Council approval on January 12, 2016, a Tentative Agreement was reached. In
furtherance of the City Council’s goal to provide greater transparency in the negotiations
process, the Tentative Agreement and its associated costs are presented to afford the
public the opportunity to review and comment. The final MOU for this unit will be
presented for City Council consideration at the February 9, 2016, regular meeting.
RECOMMENDATION:
Receive and consider the Tentative Agreement between the City of Newport Beach and
the Newport Beach Employees League.
FUNDING REQUIREMENTS:
There is no action required to fund the Tentative Agreement at this time. The estimated
cost of the contract with NBEL is provided in Attachment B. The cost to implement the
terms of the first year of the contract is estimated to be $397,765.
TO:HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:Dave Kiff, City Manager - 949-644-3001,
dkiff@newportbeachca.gov
Barbara J. Salvini, Human Resources Director
949-644-3259, bsalvini@newportbeachca.gov
PREPARED BY:Barbara J. Salvini, Human Resources Director
PHONE:949-644-3259
TITLE:Tentative Agreement with the Newport Beach Employees
League
Tentative Agreement with the Newport Beach Employees League
January 26, 2016
Page 2
10-2
DISCUSSION:
The Newport Beach Employees League (NBEL) is an exclusively recognized bargaining
unit and represents 115 miscellaneous, non-safety employees in general services and
utilities occupations. The City was represented by Barbara J. Salvini, Human
Resources Director, Maggie Williams-Dalgart, Senior Human Resources Analyst and
Steffen Catron, Field Superintendent II. The NBEL was represented by Dave Ichikawa,
President, Chris Auger, Vice President, Mike Auger, Secretary, Matt Aman, Treasurer
and Chief Spokesperson and OCEA Senior Employee Relations Representative Jamie
Newton. Negotiations meetings began in December 2015. Following City Council
approval on January 12, 2016, a Tentative Agreement was reached.
Several topics were discussed during negotiations, including wage adjustments,
retirement costs and associated pension contributions, healthcare and potential
legislative impacts to healthcare (Affordable Care Act). The parties recognized and
agreed to promote the City Council’s goal of sharing pension costs, and the NBEL
members agreed to contribute an additional .65 percent toward the pension benefit for a
total employee contribution of 13 percent effective January 2016. Miscellaneous
employee groups were among the City’s first groups to share in pension costs and have
been increasing their contribution since 2012. This contribution amount is one of the
highest among Orange County agencies and provides significant long term savings
while also addressing growing pension costs.
The Memoranda of Understanding between the City and NBEL includes the following
major provisions:
Term of three and one-half years, from July 1, 2015, through December 31, 2018
Additional employee contributions to the PERS pension benefit
o January 1, 2016, employees contribute an additional .65 percent, for a total
employee pick up of 13 percent
Wage adjustments
o January 1, 2016 - 2.65%
o January 1, 2017 - 2.65%
o January 1, 2018 - 2.65%
Increases to the cafeteria benefit, which is used to purchase medical, dental or
vision insurance
Tentative Agreement with the Newport Beach Employees League
January 26, 2016
Page 3
10-3
o January 1, 2016, an additional $51 per month for a total benefit of $1,600
o January 1, 2017, an additional $50 per month for a total benefit of $1,650
o January 1, 2018, an additional $75 per month for a total benefit of $1,725
Reductions to the cafeteria benefit for employees who opt-out of medical coverage
o January 1, 2016, reduction to $1,200 per month
o January 1, 2017, reduction to $1,100 per month
o January 1, 2018, reduction to $1,000 per month
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
A one-time, non PERSable payment of $2,300 for all members, effective following
MOU adoption
Changes to the Certificate Pay program, eliminating or “sunsetting” certain
certificates and adding newer and current industry certificates (will be included in
MOU)
A change to the Bereavement Leave policy to include employee stepparents and
stepchildren
Modifications to the standby pay to make it uniform throughout the unit and to clarify
its application
Changes to the Grievance policy to remove certain procedural steps and provide for
the City Manager as the final decision
The estimated cost of the Tentative Agreement with NBEL for FY2015-16 and future
years is included in Attachment B. All costs are projected through FY2018-19 and are
itemized by salary, supplemental pays, fringe benefits, pension, and employee offsets.
The employee offsets, which include the additional employee contribution towards
pension and the reduction in the cafeteria allowance, provides a combined estimated
savings of $285,462 over the term of the NBEL contract.
A proposed draft version of the MOU between the City and NBEL is included with this
report (Attachment C; MOU revisions noted in italics). Following City Council review of
the Tentative Agreement with NBEL, and ratification by the unit members, a final
version of the successor MOU will be presented to the City Council at its February 9,
2016, regular meeting.
Tentative Agreement with the Newport Beach Employees League
January 26, 2016
Page 4
10-4
During the sunshining period, the costing information and proposed revisions to the
MOU will be posted on the City’s website.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (“CEQA”) pursuant to Sections 15060(c)(2) (the activity will
not result in a direct or reasonably foreseeable indirect physical change in the
environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378)
of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it
has no potential for resulting in physical change to the environment, directly or
indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
A. Tentative Agreement Between the City of Newport Beach and the Newport
Beach Employees League
B. Estimated Cost of 3 ½ Year Contract with NBEL
C. Draft MOU between City and NBEL
10-5
10-6
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1/26/16 10-7
1
Newport Beach Employees League 2015-18
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF NEWPORT BEACH
AND
NEWPORT BEACH EMPLOYEES LEAGUE
This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is
entered into with reference to the following:
PREAMBLE
1. The NEWPORT BEACH EMPLOYEES LEAGUE ("NBEL"), 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. NBEL representatives and City representatives have reached agreement as to
wages, hours and other terms and conditions of employment for the period from
July 1, 2015 through December 31, 2018 and this agreement has been
embodied in this MOU.
3. This MOU, upon approval by NBEL 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.
SECTION 1. – General Provisions
A. Recognition
City hereby confirms its prior certification of NBEL as the recognized employee
organization for the employees in the Construction and Maintenance Unit, and
agrees to meet and confer and otherwise deal exclusively with NBEL on all
matters within the scope of representative pertaining to said employees as
authorized by law.
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 July 1, 2015. This MOU shall remain in full
force and effect until December 31, 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.
ATTACHMENT C
10-8
2
Newport Beach Employees League 2015-18
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. Four NBEL officers designated by the NBEL shall collectively be granted
an annual maximum of 150 hours paid release time, for the conduct of
NBEL business. Such time shall be exclusive of actual time spent in
collective bargaining and shall be scheduled at the discretion of the NBEL
officer. Every effort will be made to schedule this time to avoid
interference with City operations.
2. Release time designees shall be identified annually and notice shall be
provided to the City. Release time incurred shall be reported regularly in
the form and manner prescribed by the City.
3. Activities performed on release time shall include representation of
members in rights disputes; preparation for collective bargaining activities,
and distribution of NBEL written communication in the work place.
4. Each January, the City will examine the number of Release Time hours
the Association used the preceding year. If the Association used in
excess of 75% of the hours normally granted (150), the Association will be
granted an additional 30 hours for that year.
D. Employee Data and Access
In January and July of each year, the City shall provide NBEL with a list of all unit
members, including name, department, and job title. Information concerning the
NBEL prepared by the NBEL will be provided to new field employees at the time
of orientation. NBEL officials shall be entitled to solicit membership from field
employees who are not members or who are new City employees assigned to a
field department.
E. Scope
1. All present written rules and current established practices and employees'
rights, privileges and benefits that are within the scope of representation
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shall remain in full force and effect during the term of this MOU unless
specifically amended by the provisions of this MOU.
2. 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.
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 the Employer-Employee
Relations Resolution No. 2001-50. Management Rights include, but are
not limited to, the following:
(a) the determination of the purposes and functions of City
Departments;
(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
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; and
(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.
F. Conclusiveness
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With the exception of a separate MOU covering retirement issues, 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.
As provided in the Employer-Employee Relations Resolution No. 2001-50, the
City shall determine the manner in which City services are to be provided,
including whether the City should provide services directly or contract out work,
including work that is currently being performed by Association members. In the
event the City introduces a plan to outsource services currently being performed
by Association members to achieve greater efficiency and/or cost savings, and
upon request by the Association, the City shall meet and confer with Association
representatives to discuss the impacts of the City’s decision to contract out work.
The City shall retain sole authority to decide whether or not to contract out work,
including work that is currently being performed by Association members. This
provision shall not limit the City’s authority to enter into such an agreement for
any City services.
G. Modifications
Any agreement, understanding, 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.
The parties have determined certain contract provisions may be outdated or
inconsistent with policy, charter, or Federal, State or local law. Effective during
the term of the MOU City and Association representatives will review the contract
document with the intent of proposing simplified and appropriate language,
content and formatting.
No changes to the MOU shall be effective unless approved by the City Council.
H. Agency Shop
1. Unit employees, by majority vote, have elected for an Agency Shop
provision.
2. The Association shall comply with all statutory and legal
requirements regarding agency shop, should it be approved
through the election process. This will include all requisite
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procedures for appeals, record-keeping, establishment of the
service fee amount; designating acceptable charities pursuant to
Section 3502.5 of the Government Code, etc.
3. Complying with agency shop provisions shall not be a condition of
employment. Enforcement shall be the responsibility of the
Association; utilizing appropriate civil procedures. The City will
cooperate with Association efforts to achieve enforcement.
4. The collection of Association dues and/or service fees shall
continue to be handled through the payroll deduction process.
5. NBEL agree to defend, indemnify and hold harmless the City for its
action pursuant to this section.
SECTION 2. – Compensation
A. Salary
Base salary increases for all NBEL represented classifications shall be as
follows and as specified in Exhibit A:
Effective the pay period that includes January 1, 2016, base salaries will
be increased by 2.65%.
Effective the pay period that includes January 1, 2017, base salaries will
be increased by 2.65%.
Effective the pay period that includes January 1, 2018, base salaries will
be increased by 2.65%.
B. Overtime
1. Definitions
(a) 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 - beginning at 0001 on Saturday
and ending at midnight the following Friday (or as otherwise
designated by the City Manager).
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(b) Incidental Overtime - Incidental overtime is any extension of the
basic work shift of less than 1/10 of an hour that is non-recurrent.
(c) 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.
2. Compensation
Overtime for all non-exempt employees shall be paid at one-and-one-half
(1-1/2) times the employee’s regular rate of pay. Reporting of overtime on
payroll forms will be as prescribed by the Finance Director. Incidental
overtime is not compensable.
3. Overtime Pay Calculations During Week Including Holiday(s)
For the purpose of calculating overtime, holidays and pre-scheduled
vacation or flex leave occurring during the regular work week will count as
time worked. The floating holiday is excluded from this provision.
C. Standby Duty
1. Defined
(a) To be ready to respond immediately to calls for service;
(b) To be reachable by telephone;
(c) To remain within a specified distance from his/her work
station; and
(d) To refrain from activities which might impair the employee's
ability to perform his/her assigned duties.
2. Compensation
(a) Standby duty compensation for all unit employees shall be
capped at eight dollars ($8.00) per hour. Standby pay will not
be piggybacked with any other paid time, such as call-back,
scheduled or unscheduled overtime, or if working a
scheduled shift.
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D. Call-Back Duty
1. Defined
Call-back duty requires the employee to respond to a request to return to
his/her work station after the normal work shift has been completed and
the employee has left his/her normal work station. Those periods of
overtime which had been scheduled by the Department Director prior to
the end of the normal work shift are not considered call-back duty.
2. Compensation
All personnel on call-back duty eligible for overtime pay shall be
guaranteed two (2) hours pay, or pay for one-and-one-half (1-1/2) times
the number of hours worked, whichever is greater.
E. Accumulation of Compensatory Time Off
City employees represented by the NBEL may receive compensatory time
off, in lieu of cash, as compensation for overtime hours worked.
Compensatory time shall be calculated at the rate of one and one half
hours for each hour of overtime worked beyond the 40 hour limit of the
work week. Compensatory time is to be granted only when the employer
and the employee agree that the application of "Comp Time" is a desirable
substitute for the payment of cash for overtime. Call-back time may be
converted to comp time with supervisor approval.
Employees may accumulate up to eighty (80) hours of Compensatory
Time. Any hours in excess of eighty (80) will be paid off. Accumulation in
excess of the eighty (80) hours may be approved at the discretion of the
Department Director.
F. Night Shift Differential
The City agrees to pay $1.00 per hour night shift differential for Employees
working a regularly scheduled work shift of which four or more hours are
worked between the hours of 5p.m. and 5a.m. Overtime worked as an
extension of an assigned day shift shall not qualify an employee for night shift
differential. The differential pay is paid only for hours actually worked.
In accordance with this provision, City agrees to pay $.50 per hour night shift
differential to automotive shop mechanics for hours worked after 5:00 p.m.
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G. Acting Pay
NBEL employees will be eligible to receive "acting pay" only after completing
80 consecutive hours in the higher classification. Acting pay is 107.5% of the
employee's base pay rate.
Once the minimum hours requirement has been satisfied, acting pay will be
granted for all hours worked above 40 hours beginning with the 41st hour
worked in the higher classification.
H. Certification Pay
Payment for State or governing body certifications will be made on a bi-
weekly basis for League represented employees holding a valid and current
certification in areas indicated below. Employees may submit proof of valid
certificates, including renewals, upon completion. The bi-weekly payment for
such eligible certificates will begin the first pay period following department
approval. All amounts listed below reflect the annual benefit for the specified
certificate:
1. Water or Wastewater Operator
Grade I $110
Grade II $350
Grade III $450
Grade IV $650
Grade V $800
2. Backflow Certification - $220
3. Qualified Applicator Certificate - $110 for each category, up to a maximum
of $330.
4. Fire Mechanic State Level I - $110
5. Fire Mechanic State Level II - $220
6. Fire Mechanic III - $400
7. Certified Arborist - $110
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8. ASE Certification - $55 each and $220 for possessing a current ASE
Master Truck Technician and $220 for possessing a current ASE Master
Automobile Technician certification.
9. Commercial Driver License, Class A - $220
10. Commercial Driver License, Class B - $165
11. Public Works Certificates* I and II $300
(*18-20 Jr. College units each)
12. Water Utility Science Certificate - $300
13. Cross Connection Specialist - $110
14. Crane Certification - $110, annually
15. Forklift Trainer - $300 annually (2 employees, max)
The maximum certificate pay benefit for unit members shall be $5,000
annually.
The City will continue its practice of reimbursing employees for the following:
1) application, testing, and certification fees for successfully completing
certification examinations for the above listed certificates, and 2) required
physicals when employees obtain/renew required Class A or B Drivers
Licenses.
I. Court Time
Employees who are required to appear in Court during their off-duty hours in
connection with City business shall receive overtime compensation for the
number of hours they spend in court, with a minimum of two (2) hours of such
compensation.
J. One-Time Payment
Effective following City Council adoption of this 2015-2018 MOU, or as soon
thereafter as reasonably practicable, currently employed unit members will
receive a one-time payment of $2,300. The parties agree that this one-time
payment does not meet the criteria under California Code of Regulations
571(b) as reportable compensation for retirement purposes.
SECTION 3. - Leaves
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A. Flex Leave
1. Effective the pay period including January 1, 2013, all unit members shall
accrue Flex leave at the following rates:
Years of Continuous
Service
Hrs Accrued per
Pay Period
Annual
hours
Maximum
Allowable
Balance (hours)
1 but less than 5 6.00 156.00 468.00
5 but less than 9 6.61 171.86 515.58
9 but less than 12 7.23 187.98 563.94
12 but less than 16 8.15 211.90 635.70
16 but less than 20 8.77 228.02 684.06
20 but less than 25 9.38 243.88 731.64
25 and over 10.00 260.00 780.00
Members shall accrue three (3) months of flex leave upon completion of
three (3) months of continuous employment with the City of Newport
Beach, provided however, this amount shall be reduced by any flex leave
time advanced during the first three (3) months of employment.
2. Limit on Accumulation
Employees may accrue flex leave up to an accumulated total equal to
seventy eight (78) times the member’s bi-weekly accrual rate. Any paid
leave earned in excess of this level will be paid on an hour for hour basis
in cash (spill over pay) at the employee’s hourly rate of pay. Members
hired prior to July 1, 1996 shall be paid for earned flex leave in excess of
the maximum permitted accrual at the member’s hourly rate of pay
provided that they have utilized at least eighty (80) hours of flex leave the
previous calendar year. Employees who have not utilized the required
amount of leave the prior calendar year shall not be eligible to accrue time
above the maximum accrual limit.
Employees first hired, or rehired by the City subsequent to July 1, 1996
shall not be eligible for flex leave spill over pay and shall not be entitled to
accrue flex leave in excess of the flex leave accrual threshold.
3. Method of Use
Flex leave may not be taken in excess of that actually accrued and in no
case, except for illness, may it be taken prior to the completion of an
employee's initial probationary period.
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The Department Director shall approve all requests for flex leave taking
into consideration the needs of the Department, and whenever possible
the seniority and wishes of the employee. Flex leave may be granted on
an hourly basis.
B. Vacation Leave
This section applies only to those Regular Full-time Employees hired on or
before January 1, 1990 and who have elected not to enroll in the Flex Leave
program.
1. Basis for Accrual/Full-Time Employees
Employees entitled to vacation leave-with-pay shall accrue such leave
based on years of continuous service and the number of hours in a normal
work week for the position to which they are assigned in accordance with
the following schedule:
Years of Accrual per pay
Continuous period hrs
Service
0 but less than 5 3.38
5 but less than 9 3.99
9 but less than 12 4.61
12 but less than 16 5.22
16 but less than 20 5.84
20 but less than 25 6.46
25 and over 7.07
2. Limit on Accumulation
Accrual of vacation days in excess of those earned for two years of
continuous service is not permitted past December 31st of each year with
the following exception: with approval of the Department Director, an
employee may accrue vacation days in excess of the two-year limit
provided all such excess accumulation is taken by March 31st of the
following year.
3. Method of Use
Vacation may not be taken in excess of that actually accrued. The
Department Director shall schedule and approve all vacation leaves for
employees taking into consideration the needs of the Department, and
whenever possible, the seniority and wishes of the employee. Vacation
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leave may be granted on an hourly basis. Any fraction over an hour shall
be charged to the next full hour.
C. Sick Leave
This section applies only to those Regular Full-time Employees hired on or
before January 1, 1990 and who have elected not to enroll in the Flex Leave
program.
1. Basis for accrual
Full-time, regular employees shall accrue sick leave based on the number
of hours in a normal work week for the position to which they are assigned
in accordance with the following schedules:
Normal Work Week :40 hours
Service Time Monthly Accrual
0-1 year 4 hours
1-2 years 5 hours
2-3 years 6 hours
3-4 years 7 hours
4+ 8 hours
2. Method of Use
(a) General
Sick leave may not be taken in excess of that actually accrued.
Sick leave may be granted on an hourly basis.
(b) Approval
Sick leave may be granted only at the discretion of or with the
approval of the Department Director and as defined in the
Employee Policy Manual.
3. Sick Leave Conversion
Employees who at the end of the calendar year have an accrued level of
sick leave equal to or greater than the full value of 50 months of accrued
sick leave, and who have used six or less days of sick leave during that
calendar year will be permitted (only once per year) to convert up to six (6)
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days of sick leave to either salary or paid vacation at the value of 50%
(maximum value of 3 days per year). Eligible sick leave days converted to
cash shall be at the employee's option. Eligible sick leave days converted
to paid vacation shall require the approval of the Department Director.
D. Holiday Leave
1. Subject to the provisions herein, the following days shall be observed as
paid holidays by all unit members. For each designated holiday, except
the Floating Holiday, members shall receive an equivalent number of
hours of paid flex leave or equivalent pay.
Independence Day July 4
Labor Day 1st Monday in Sept.
Veteran's Day November 11
Thanksgiving Day 4th Thurs. in November
Friday following Thanksgiving
Christmas Eve Last 1/2 of working day
Christmas Day December 25
New Year's Eve Last 1/2 of working day
New Year's Day January 1
Washington's Birthday 3rd Monday in February
Memorial Day Last Monday in May
Martin Luther King Day 3rd Monday in January
Floating Holiday July 1st - 1 day
Effective the pay period including January 1, 2013 holidays will be paid
based on the employee’s regular work day schedule. For example, if an
employee is on a 9/80 schedule and the holiday is observed on a day that
the employee is regularly scheduled to work 9 hours, the employee is
entitled to receive 9 hours of holiday pay. However, if an employee is on a
9/80 schedule and the holiday is observed on a day that the employee is
regularly scheduled to work 8 hours, the employee is entitled to receive 8
hours of holiday pay. Employees will receive 8 hours of holiday pay
annually for the Floating Holiday.
Holidays listed above (except the floating holiday) occurring on a Saturday
shall be observed the preceding Friday. Holidays occurring on a Sunday
shall be observed the following Monday. (Half day holidays shall be
observed prior to the observed holiday).
2. Holiday Pay Eligibility
Following are the limitations on eligibility for Holiday Pay:
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(a) Holiday Pay will be paid only to employees who work their
scheduled day before and scheduled day after a holiday, or are on
authorized leave (e.g. approved vacation, or sick leave, that has
been approved by the Department Director).
(b) Newly hired employees will be eligible to receive full pay for
scheduled holidays, without a waiting period.
E. Bereavement Leave
Bereavement leave shall be defined as “the necessary absence from duty by an
employee having a regular or probationary appointment because of the death or
terminal illness in his/her immediate family.” Unit members shall be entitled to
forty (40) hours of bereavement leave per calendar year per incident (terminal
illness followed by death is considered one incident). Bereavement leave shall be
administered in accordance with the provisions of the Employee Policy Manual.
Leave hours need not be used consecutively, but should occur in proximate time
to the occurrence. For the purposes of this section, immediate family shall mean
an employee’s father, mother, stepfather, stepmother, brother, sister,
spouse/domestic partner, child, stepchild, grandparents and the employee’s
spouse’s/domestic partner’s father, mother, brother, sister, child and
grandparents. The provisions of this Section shall not diminish or reduce any
rights a member may have pursuant to applicable provisions of State or Federal
law. An employee requesting bereavement leave shall notify his/her supervisor
as soon as possible of the need to take leave.
F. 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. Hours sold
back will be subject to the Retiree Health Savings Plan Part C contributions, per
Section 4 (E), Retiree Medical. For the term of this MOU the Association has
elected Part C contributions for Flex/Vacation at 0%.
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 Benefits Information Committee has been
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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. In addition to
the contribution amounts listed below, the City shall contribute the
minimum CalPERS participating employer’s contribution towards medical
insurance for employees enrolled in a CalPERS medical plan, per
Government Code Section 22892. 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
Employees League will cooperate in pursuing additional optional benefits
to be available through the Cafeteria Plan.
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.
The parties recognize that from July 1, 2015 through December 31, 2015
the City has contributed the PERS minimum contribution amount and
$1,549 per month towards the Cafeteria Plan.
Effective the first pay issue in January 2016, the City will contribute the
PERS minimum contribution amount and $1,600 per month towards the
Cafeteria Plan.
Effective the first pay issue in January 2017, the City will contribute the
PERS minimum contribution amount and $1,650 per month towards the
Cafeteria Plan.
Effective the first pay issue in January 2018, the City will contribute the
PERS minimum contribution amount and $1,725 per month towards the
Cafeteria Plan.
NBEL members who do not 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.
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Effective January 1, 2016, or as soon thereafter is practicable following
MOU adoption, the maximum cafeteria allowance provided to employees
who execute an opt-out agreement is $1,200.
Effective the pay period that includes January 1, 2017, the maximum
cafeteria allowance provided to employees who execute an opt-out
agreement is $1,100.
Effective the first pay period that includes January 1, 2018, the maximum
cafeteria allowance provided to employees who execute an opt-out
agreement is $1,000.
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 comparable vision plan shall be maintained as part of the
City's health plan offerings as agreed upon by the Benefits Information
Committee.
5. Healthcare Reform
The parties recognize that certain State and Federal laws, programs and
regulations, including the Affordable Care Act, may impact future medical
plan offerings. Effective July 2017, either party may request to reopen
Section 4,A,(2) regarding medical insurance for the purpose of discussing
alternative approaches and proposals to providing healthcare coverage.
In addition, should State or Federal laws concerning taxation of healthcare
benefits change, the parties agree to meet and discuss the impact of such
change.
B. Additional Health 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. An Association member may request that
medical, child care and other eligible expenses be paid or reimbursed by
the Section 125 Plan out of the employee’s account. The taxable salary of
the employee will be reduced by the amount designated by the employee
for reimbursable expenses.
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2. Disability Insurance
The City shall provide 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.
Concurrent with the commencement of this program, employees assumed
responsibility for the payment of the disability insurance cost in the amount
of one (1%) percent of base salary. Simultaneously, the City increased
base wages by one (1%) 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 terminates from City employment.
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. Retirement Formula
The City contracts with PERS to provide retirement benefits for its
employees. Pursuant to prior agreements and state mandated reform, the
City has implemented first, second and third tier retirement benefits:
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Tier 1: For employees hired by the City on or before November 23, 2012,
the retirement formula shall be the 2.5% @ 55 calculated on the basis of
the best/single highest year.
Tier 2: For employees first hired by the City between November 24 and
December 31, 2012, or hired on or after January 1, 2013 and are current
members of the retirement system, as defined in Public Employees
Pension Reform Act, the retirement formula shall be 2% @ 60 calculated
on the average 36 highest month’s salary.
Tier 3: For employees first hired by the City on or after January 1, 2013,
and who do not meet the Tier 2 criteria, the retirement formula shall be
2.0%@62 calculated on the average 36 highest month’s salary.
2. Employee Contributions
The Association has agreed to share in the rising cost of pension
obligations. Under the terms of this MOU, unit members will contribute
additional amounts toward the PERS retirement benefit, to the extent
permissible by law. Should any provision be deemed invalid, the City and
Association agree to meet for the purpose of renegotiating employee
retirement contributions. At the conclusion of this contract employees in
each Tier will contribute 13% of pensionable pay toward the retirement
benefit.
Employee retirement contributions that are in addition to the normal PERS
Member Contribution shall be calculated on base pay, special pays, and
other pays normally reported as “PERSable” compensation, and will be
made on a pre-tax basis through payroll deduction, to the extent allowable
by the government tax code. It is recognized that these payments will not
be reported to PERS as contributions toward either the Member or
Employer rate, as provided under GC Section 20516(f).
Under a separate agreement, and ratified via a contract amendment with
CalPERS in 2008, the modified normal member contribution for Tier 1
employees is 10.42% of pensionable compensation.
The parties recognize that from July 1, 2015 through December 31, 2015,
NBEL members have been paying, in addition to the member contribution,
a portion of the Employer rate under a 20516(f) cost sharing agreement.
The normal Member rate and the cost sharing rate vary by Tier. However,
the combined contribution rate for each Tier equals 12.35% of
pensionable compensation, as provided in a prior agreement.
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Tier 1 and Tier 2 Employees: Effective the pay period including January
1, 2016, Tier 1 and Tier 2 employees shall contribute an additional .65% of
pensionable compensation toward retirement costs pursuant to
Government Code Section 20516 (f), for a total of 13%.
Tier 3 Employees: The minimum statutory employee contribution for
employees in Tier 3 is subject to the provisions of the Public Employees
Pension Reform Act of 2012 (PEPRA) and equals 50% of the “total normal
cost”. Effective the pay period including January 1, 2016, in addition to
the statutorily required 50% contribution of total normal costs, Tier 3
employees shall make an additional contribution toward retirement
pursuant to Government Code Section 20516(f), such that the total
employee contribution equals 13%.
In the event pension reform is modified by State or Federal legislation,
resulting in changes to previously negotiated terms, the parties agree to
meet and confer to discuss subsequent changes to the contract.
The City contracts with PERS for the 4th Level 1959 Survivors Insurance
Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military
Service Credit, 2% Cost of Living Adjustment and the pre-retirement
option settlement 2 death benefit (Section 21548).
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, 2006.
b. Category 2 - Active employees hired prior to January 1, 2006, whose
age plus years of service as of January 1, 2006 was less than 50 (46 for
public safety employees).
c. Category 3 - Active employees hired prior to January 1, 2006, whose
age plus years of service was 50 or greater (46 for public safety
employees) as of January 1, 2006.
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d. Category 4 - Employees who retired from the City prior to January 1,
2006, and were participating in the previous retiree medical program.
2. Program Structure
This is an Integral Part Trust (IPT) Retiree Health Savings (RHS) Program
(formerly the Medical Expense Reimbursement Program “MERP”).
a. For employees in Category 1, the program is structured as follows:
Each employee will have an individual RHS account 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): 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 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 RHS, on a pre-tax basis. The
remaining 50% would be paid in cash as taxable income. Individual
employees would not have the option to deviate from this breakout.
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The Association has decided to participate in Part C contributions at the
level of zero percent (0%) Flex/Vacation and zero percent (0%) 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. Additionally, the purpose
and focus of these changes should be toward long-term, trend type
adjustments. Due to IRS restrictions regarding “constructive receipt,” the
City will impose restrictions against frequent spikes or drops that appear to
be tailored toward satisfying the desires of a group of imminent retirees.
Spillover pay is not eligible for Part C contributions.
Nothing in this section restricts taking leave for time off purposes.
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 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 RHS Employee Account each pay period. Eligibility for Part B
contributions is set at five years of vested City employment. At that time,
the City will credit the first five years’ worth of Part B contributions into the
Employee Account (interest does not accrue during that period). Thereafter,
contributions are made bi-weekly. Part C deposits, if any, will be made at
the time of employment separation.
Each Employee has a right to reimbursement of medical expenses (as
defined below) from the Plan until the Employee Account balance is zero.
This right is triggered upon separation. If an employee leaves the City prior
to five years employment, only the Part A contributions and Part C leave
settlement contributions, if any, will be in the RHS Employee Account. Such
an employee will not be entitled to any Part B contributions. 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
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such cases, the employee will receive exactly five years’ worth of Part B
contributions, using the employee’s age and compensation at the time of
separation for calculation purposes. This amount will be deposited into the
employee’s RHS account at the time of separation.
Distributions from RHS Employee Accounts are restricted to use for health
insurance and medical care expenses after separation, as defined by the
Internal Revenue Code Section 213(d) (as explained in IRS Publication
502), and specified in the Plan Document. In accordance with current IRS
regulations and practices, this generally includes premiums for medical
insurance, dental insurance, vision insurance, supplemental medical
insurance, long term care insurance, and miscellaneous medical expenses
not covered by insurance for the employee and his or her spouse and legal
dependents – again only as permitted by IRS Publication 502. Qualification
for dependency status will be determined by guidelines in IRC 152. If used
for these purposes, distributions from the RHS accounts will not be taxable.
Cash withdrawal for any other purpose is prohibited. Under recent IRS
Revenue Ruling 2005-24, any balance remaining in the Employee Account
after the death of the employee and his or her spouse and/or other
authorized dependents (if any) must be forfeited. That particular RHS
Employee Account will be closed, and any remaining funds will become
general assets of the plan.
The parties agree that the City’s Part B contributions during active
employment constitute the minimum 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 $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.
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c. For employees in Category 3, the program is the same as for those in
Category 2, with the following exception:
For employees in this category, the City will make no Part B contributions
while the employees are still in the active work force. Instead, the City will
contribute $400 per month into each of their RHS accounts after they retire
from the City, to continue as long as the employee or spouse is still living.
Each employee will contribute a flat $100 per month to the plan for the
duration of their employment to partially offset part of this expense to the
City. The maximum benefit provided by the City after retirement is $4,800
per year, accruing at the rate of $400 per month. There is no cash out
option for these funds, and they may not be spent in advance of receipt.
Employees in this category will also receive an additional one-time City
contribution of $75 per month for every month they contributed to the
previous plan prior to January 1, 2006, up to a maximum of 15 years (180
months). This contribution will be made to the RHS account at the time of
retirement, and only if the employee retires from the City. No interest will be
earned in the interim.
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 RHS 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.
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.
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4. Value of Benefit
For all purposes, including compensation comparisons, the Retiree Medical
Program shall be valued at 1% of salary on which PERS retirement is based (Part
A); plus .25% of other compensation (Part B).
F. Tuition Reimbursement
NBEL members attending accredited community colleges, colleges, trade
schools or universities, or recognized professional organizations or agencies,
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, seminars, or professional development programs. Maximum tuition
reimbursement for employees shall be $1,500 per fiscal year Reimbursement is
contingent upon the successful completion of the course. Successful completion
means a grade of "C" or better for undergraduate courses and a grade of "B" or
better for graduate courses.
All claims for tuition reimbursement require the approval of the Human
Resources Director or designee.
SECTION 5. Miscellaneous/Working Conditions
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.
DEFINITIONS
1. "Layoffs" or "Laid Off" shall mean the non-disciplinary termination or
employment.
2. "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 the current Classification or any
Classification within the Series, subject to the following:
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(a) Credit shall be given only for continuous service subsequent to the
most recent appointment to permanent status in the Classification
or Series; and
(b) Seniority shall include time spent on industrial leave, military leave,
and leave of absence without pay, but shall not include time spent
on any other authorized or unauthorized leave of absence.
3. "Classification" shall mean one or more full time positions identical or
similar in duties not including part-time, seasonal or temporary positions.
Classifications within a Series shall be ranked according to pay (lowest
ranking, lowest pay).
4. "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 and more supervisory responsibilities
for subordinates. The City Manager shall determine those classifications
following a meet and consult process which constitute a Series.
5. "Bumping Rights", "Bumping" or "Bump" shall mean (1) the right of an
employee, based upon seniority within a series to bump into a lower
ranking classification within the same series, (2) to be followed by, an
employee being permitted to bump into a classification within a different
series. The latter bumping shall be based upon unit wide seniority and
shall be limited to a classification in which the employee previously held
regular status.
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.
PROCEDURE
The General Services Division within the Municipal Operations Department will
select employees for layoff by straight seniority department wide. This means
department management has total control of position elimination and personnel
reassignment within ranks, but the layoffs shall be on a straight forward "last
hired-first fired" basis.
The layoff system for the Utilities Division shall operate the same department-
wide seniority as does the General Services Division, with the exception of the
Electrical and Telecommunications sections. Because of the highly specialized
skills and training of the personnel in these sections, these sections shall be
treated as unique and individual unto themselves.
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In the event the City Manager determines to reduce the number of employees
within a classification, the following procedures are applicable:
1. Temporary and probationary employees within any classification shall, in
that order, be laid off before permanent employees.
2. Employees within a classification shall be laid off in inverse order of
seniority.
3. 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.
4. 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
following the Department Director's consideration of established
performance evaluations.
REEMPLOYMENT
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 expire in 18 months. 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 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, first class postage prepaid, 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.
SEVERANCE
If an employee is laid off from their job with the City, for economic reasons, the
City will grant severance pay in an amount equal to one week of pay for every full
year of continuous employment service to the City of Newport Beach up to ten
(10) weeks of pay.
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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 Personnel Resolution.
B. Non-Discrimination
City and NBEL agree that there will be no discrimination by either party or by any
of their agents against any employee because of his/her membership or non-
membership in NBEL, or because of his/her race, creed, color, national origin,
religious belief, political affiliation, sex, sexual orientation, gender identity or age.
C. Promotional Preference
Where no less than two (2) unit members achieve top three ranking on a certified
eligible list, selection to the position shall be made with preference given to the
unit members so qualified. The Human Resources Department shall be
responsible for insuring that a position vacancy announcement for all available
City positions be distributed in a manner that reasonably assures unit members
access to the announcements. The Human Resources Department shall oversee
all testing procedures.
Any employee who has achieved "regular status" may request assignment to any
lateral or lower classification, and that employee may be transferred into that
classification without competitive testing if both of the following conditions have
been satisfied:
1. The employee meets the minimum qualifications of the classification; and,
2. The Department Director approves of the transfer.
D. 9/80 Scheduling Plan
The City agrees to maintain flex-scheduling where it is currently in place in the
Municipal Operations Department. The Building Maintenance, Parks
Maintenance, and Beach Maintenance crews will be placed on the 5/40 schedule
including the Memorial Day and Labor Day weekends, or any portion of time
between these Holidays at the discretion of the General Services Director. The
City reserves the right to amend the program as needed to mitigate any
operational problems which may arise due to budgetary cutbacks, personnel cuts
or shortages, service level complaints, or any other operational reason. Should
an operational problem involving service reductions or increases in cost
materialize, the Department Director will notify the Association and the
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employees affected work group of the problem in writing, supported with cause.
The Association and/or the employees of the affected work group, will in turn
have up to ten (10) working days to respond and schedule a meeting with the
Department Director. The purpose of the meeting is to propose a solution to the
problem. The Department Director will consider the proposed solution and
respond, in writing, within five (5) working days. If the Department Director and
the work group disagree on the solution, the Association and/or employees of the
affected work group will have up to five (5) working days to appeal the
Department Director's decision to the City Manager, who will consider both sides
of the issue and resolve the dispute, in a written decision within ten (10) days
after the aforementioned meeting.
In January 2011, the 9/80 flex-schedule was modified as follows: employees
were provided the option of alternating Fridays off only. Employees on a 9/80
schedule with alternating Mondays or any other day off converted to Fridays off
beginning in January 2011. To ensure effective coverage, employees on the
9/80 schedule were divided into groups A or B, with equal numbers of staff as
much as possible, including management and supervisory staff, off on alternating
Fridays. To ensure ongoing compliance with Fair Labor Standards Act, and to
maintain organizational efficiency, deviations from established flex days, if legally
permitted, will be considered on a case-by-case basis.
E. Labor Management Committee
Committees shall meet on an as needed basis; names of participating unit
members shall be announced to management no less than 5 work days before
the scheduled meeting; cancellation for cause shall be rendered by the canceling
party no less than 48 hours prior to the scheduled meeting; canceled meetings
shall be rescheduled to take place within 5 working days of the canceled
meeting; committees shall be departmental; they may be combined in the
interests of efficiency with other such committees; City participants shall include
appropriate department or division heads outside the unit; the purpose of the
committees shall be to resolve conflict and exchange information; a unit staff
person may attend meetings; meetings shall be scheduled to last no less than
one hour; grievances in process shall not be subject to resolution in meetings;
matters properly dealt with in negotiations may be discussed but no agreements
shall be effected on same in committee. Meetings shall be on work time.
F. Discipline - Notice of Intent
1. Employees who are to be the subject of substantial punitive discipline for
any misconduct or negligence shall be entitled to prior written notice of
intent to discipline at least seven (7) calendar days prior to the imposition
of the actual penalty. This written notice shall contain a description of the
event or conduct which justifies the imposition of discipline. The notice
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shall also include the specific form of a discipline intended, and the
employee shall be offered the opportunity to a hearing before their
Department Director prior to the imposition of the penalty.
This procedure will only be applied in cases of substantial punitive
discipline. It shall be understood that a disciplinary penalty equal to an
unpaid suspension of three (3) days or greater shall be substantial. All
other discipline resulting in less than a three (3) day suspension will be
considered non-substantial and will not be subject to the aforementioned
procedure.
This understanding is not intended to in any way reduce the rights of
employees to due process. Employees who have become the subject to
discipline and who believe that the penalty is not justified shall have
access to the grievance process as established in the Employee-Employer
Resolution2001-50.
G. Grievance Procedure
Step 1: A grievance may be filed by any employee on his/her own behalf, or
jointly by a group of employees, or by a Recognized Employee Organization.
A grievance shall be brought to the attention of the immediate supervisor for
discussion within ten (10) business days of when the grievance arose. If the
Employee is not satisfied with the decision reached through the informal
discussion or if extenuating circumstances exist, the Employee shall have the
right to file a formal grievance in accordance with Step 2 of this section.
Grievances not presented within the time period shall be considered resolved.
The supervisor shall meet with the grievant to settle grievance and give a written
answer to the grievant within seven (7) business days from receipt of the
grievance by the supervisor. When the immediate supervisor is also the
department head the grievance shall be presented in Step 2.
Step 2: If the employee is not in agreement with the decision rendered in Step 1,
an employee shall have the right to present a formal grievance to the Department
Director within ten (10) business days after the discussion in Step 1. The right to
file a grievance petition shall be waived in the event the Employee fails to file a
formal grievance within ten (10) business days after the occurrence of the
incident that forms the basis of the grievance. All formal grievances shall be
submitted on the form prescribed by the Human Resources Director and no
formal grievance shall be accepted until the form is complete. The formal
grievance shall contain a clear, concise statement of the grievance, the facts
upon which the grievance is based, the rule, regulation or policy the interpretation
of which is involved in the grievance, and the specific remedy or remedies sought
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by the grievant. The Department Director should render a written decision within
ten (10) business days after receipt of the formal grievance.
Step 3: If the formal grievance has not been satisfactorily adjusted in Step 2, it
may be appealed to the City Manager within ten (10) business days after the
Employee receives the decision. The City Manager may accept or reject the
decision of the Department Director and shall render a written decision within ten
(10) business days after conducting a grievance hearing. The decision of the City
Manager shall be final and conclusive. If mutually agreeable, a meeting may be
conducted involving all affected parties at any step in the grievance procedure
prior to a decision. The City Manager may delegate uninvolved Department
Directors to act on behalf of the City Manager to provide findings and
recommendations. The findings and recommendations of the uninvolved
Department Directors are advisory only and the City Manager’s decision shall be
final.
Time Limits: Grievances shall be processed from one step to the next within the
time limit indicated for each step. Time limits shall be strictly enforced. Any time
limits established can be waived or extended only by mutual agreement
confirmed in writing. Any grievance not carried to the next step by the Employee
within the prescribed time limit shall be deemed resolved upon the basis of the
previous decision.
Additionally, the City and NBEL agree to expand the grievance procedure as it
relates to performance evaluations and written reprimands, permitting them to be
appealed to the 3rd step of the grievance procedure.
H. Probationary Period
Newly hired employees shall serve a twelve (12) month probationary period. The
probationary period for promoted employees shall be six (6) months.
Newly hired employees shall become eligible for their first step increase after
twelve (12) months. All other City rules regarding step increases shall remain
unchanged.
I. Failure of Probation
1. New Probation
An employee on new probation may be released at the sole discretion of
the City at any time without right of appeal or hearing, except as provided
in Subsection 3, below.
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2. Promotional Probation
(a) An employee on promotional probation may be failed at any time
without right of appeal or hearing, except as provided in Subsection
3, below, and except that failing an employee on promotional
probation must not be arbitrary, capricious or unreasonable.
(b) An employee who fails promotional probation shall receive a
performance evaluation stating the reason for failure of promotional
probation.
(c) When an employee fails his or her promotional probation, the
employee shall have the right to return to his or her former class
provided the employee was not in the previous class for the
purpose of training for a promotion to a higher class. When an
employee is returned to his or her former class, the employee shall
serve the remainder of any uncompleted probationary period in the
former class.
(d) If the employee's former class has been deleted or abolished, the
employee shall have the right to return to a class in his or her
former occupational series closest to, but no higher than, the salary
range of the class which the employee occupied immediately prior
to promotion and shall serve the remainder of any probationary
period not completed in the former class.
3. Probationary Release
An employee who alleges that his or her probationary release was based
on discrimination by the City, may submit a grievance within ten (10) days
after receipt of the Notice of Failure of Probation.
J. Accident Reporting
The City will require that all traffic collisions involving City vehicles shall be
reviewed by the traffic division supervisor of the Newport Beach Police
Department to prevent any unnecessary reports from being forwarded to the
DMV. Also, the vehicle accident review board will evaluate the supervisor's field
report prior to making its preventable/non-preventable determination.
K. Injury Prevention Program (IPP)
Until such time as the Injury Prevention Program (IPP) is fully developed the
following understandings apply:
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1. The City will indemnify and hold harmless from civil and criminal
prosecution NBEL members for any liability which might arise out of the
City's IPP (mandated by SB198). Once the program has been fully
developed and implemented, the IPP will come into full force and effect.
2. The City will take into consideration the adequacy of training prior to
issuing discipline or depreciated performance evaluations to employees
who have been determined to be in non-compliance to the City's IPP.
3. The City agrees to identify, at the beginning of each department's IPP the
individuals who are ultimately responsible for the administration of the
plan.
4. The City agrees to incorporate representatives of the NBEL on the IPP
safety committees in all departments where the NBEL has representation
obligations.
5. The City agrees to include representatives from the NBEL in a meet and
consult role, as part of the process which will be employed for the
incorporation of changes in the IPP.
L. Safety Shoes
The present policy and practices regarding the supply and maintenance of safety
shoes shall remain in place except for the following changes as they apply to the
accelerated wear provisions.
If the soles of the safety shoes wear out within a year, the employee should
present the shoes to his/her supervisor. If the supervisor agrees that the soles
are worn out, he will authorize the employee to purchase a new pair of shoes at
City expense. If the supervisor judges that the uppers are in good condition, he
will authorize the employee to have the shoes resoled at City expense.
M. Uniforms
It shall be understood by the NBEL and its members that employees who report
for work either "out of uniform" or in "dirty" or "otherwise substandard" uniforms
will be sent home without additional prior notice and without pay. Such incidents
shall further be documented and regularly repeated violations of the uniform
standards will subject the employee to progressive discipline up to and including
dismissal for negligence and/or misconduct.
Employees represented by the NBEL will be permitted to wear specified and
approved shorts as part of the City approved optional uniform. The shorts must
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be dark blue in color, the inseam must be no less than 4 and 1/2 inches after
shrinkage. They must be worn in combination with the standard City uniform shirt
of the optional (golf style) City uniform shirt, and they must be worn with either
white or blue socks. The optional uniform shall be considered proper and
acceptable year round. Department Directors may make individual exceptions to
this optional uniform agreement through the establishment of Departmental
Policy in the interest of reasonable safety considerations.
As permissible by law, the City shall report as pensionable compensation the
value of provided uniforms at $95 annually in accordance with PERS
requirements.
N. Voluntary Training Program
The Department shall, when the need for additional or replacement individuals
possessing a commercial driver’s license is anticipated, establish a voluntary
training program that will allow employees to qualify for the license.
O. In-Service Supervisory and Safety Training
The City will continue its program of providing supervisory and motivational
training for Supervisors and Crew Chiefs. The program, will if possible, be
expanded to include non-supervisory personnel wherever practical. The
equipment operator training program will continue on an as needed basis.
Course subject matter may include, but not limited to: interpersonal working
relationships, public service, performance evaluation techniques, employee
counseling and discipline, harassment avoidance, defensive driving, substance
abuse, skills and safety methods and procedures, and wellness.
P. Clean-Up Time
When necessary, each employee shall be permitted up to fifteen (15) minutes of
paid City time at the end of each work shift to perform work related job site and
personal clean-up and to put away tools and equipment. The amount of clean-up
time shall be limited to the actual needs of the employee.
Q. Rest Periods
Employees shall be allowed rest period of fifteen (15) minutes during each four
(4) consecutive hours of work.
Such rest periods shall be scheduled in accordance with the requirements of the
Department, but in no case shall rest periods be scheduled within one (1) hours
of the beginning of the ending of a work shift or lunch period. The City may
designate the location or locations at which rest periods may be taken.
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Rest periods shall be considered hours worked and employees may be required
to perform duties, if necessary.
R. Service Awards
For the purposes of determining service awards, if an employee has been
employed by the City on more than one occasion, non-consecutive time will be
considered as part of total service. Prior to system implementation, an employee
is required to individually notify the awards committee of all of the service time.
S. Employee Handbook
There will be a consolidation of documents to be given to each employee. This
consolidation will be comprised of the Employee Policy Manual, related
Departmental Rules and Regulations; Employee/Employer Resolutions and a
copy of this Memorandum of Understanding. More information may be included.
T. Direct Deposit
All newly hired employees shall participate in the payroll direct deposit system.
U. Salary on Reclassification
The City will amend its Employee Policy Manual to provide for a minimum salary
increase of five (5%) percent upon reclassification (not to exceed the maximum of
the new salary range).
V. Duration
The terms of this MOU are to remain in full force and effect from the first pay
period of fiscal year 2015-16 through the pay period that includes December 31,
2018. Proposals for the succeeding MOU must be submitted ninety days prior to
the expiration of the MOU (October 2, 2018), in accordance with Section 18,
Timetable for Submission of Requests of the Employer-Employee Relations
Resolution.
W. Separability
Should any part of this MOU or any provision herein contained be rendered or
declared invalid, by reason of any existing or subsequently enacted Legislation,
or by decree of a Court of competent jurisdiction, such invalidation of such part or
portion of this MOU shall not invalidate the remaining portion hereto, and same
shall remain in full force and effect; provided, however, that should provisions of
this MOU relating to any schedule adjustment be declared invalid, City agrees to
ATTACHMENT C
10-41
35
Newport Beach Employees League 2015-18
provide alternative benefits agreeable to NBEL, to employees, which will cause
such employees to receive the same amount of money as they would have
received had such provision not been declared invalid.
Signatures are on the next page.
ATTACHMENT C
10-42
10-43
EXHIBIT A
2.65%
Position Title Minimum Maximum Minimum Maximum2
Automotive Parts Buyer $24.46 $34.45 $4,239.99 $5,971.22
Beach Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76
Concrete Finisher $24.81 $34.88 $4,300.49 $6,045.95
Concrete Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Concrete Supervisor $32.01 $45.07 $5,547.75 $7,812.76
Equipment Maint Supervisor $33.64 $47.33 $5,830.66 $8,204.20
Equipment Mechanic I $21.70 $30.50 $3,761.37 $5,286.20
Equipment Mechanic II $25.09 $35.32 $4,348.53 $6,122.46
Equipment Mechanic, Sr $27.66 $38.96 $4,795.12 $6,752.32
Equipment Operator I $22.48 $31.68 $3,896.59 $5,490.82
Equipment Operator II $23.65 $33.27 $4,099.43 $5,766.60
Facilities Maint Spvsr $32.01 $45.07 $5,547.75 $7,812.76
Facilities Maint Tech $24.81 $34.88 $4,300.49 $6,045.95
Facilities Maint Wrkr II $20.42 $28.71 $3,538.96 $4,976.61
Facilities Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Groundsworker I $19.81 $27.88 $3,433.98 $4,832.49
Groundsworker II $21.82 $30.74 $3,782.72 $5,328.90
M & O Specialist $27.66 $38.96 $4,795.12 $6,752.32
Maintenance Worker I $20.42 $28.71 $3,538.96 $4,976.61
Maintenance Worker II $21.43 $30.16 $3,715.11 $5,227.49
Park Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Park Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76
Senior Services Van Driver $19.67 $27.68 $3,409.07 $4,798.68
Storm Drain/St Swp Supr $32.01 $45.07 $5,547.75 $7,812.76
Street Maint Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Street Maint Supervisor $32.01 $45.07 $5,547.75 $7,812.76
Strm Drn/St. Swp Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Utilities Crew Chief $27.66 $38.96 $4,795.12 $6,752.32
Utilities SCADA Coordinator $29.67 $41.76 $5,142.08 $7,238.06
Utilities Specialist $22.93 $32.27 $3,974.88 $5,594.01
Utilities Specialist, Sr.$24.65 $34.69 $4,272.02 $6,012.14
Utilities Supervisor $32.01 $45.07 $5,547.75 $7,812.76
Water Production Operator $29.06 $40.89 $5,037.10 $7,086.82
Water Production Supervisor $33.64 $47.33 $5,830.66 $8,204.20
Water Quality Coordinator $32.01 $45.07 $5,547.75 $7,812.76
37
Newport Beach Employees League
Represented Classifications and Pay Rates
Effective January 1, 2016 - 2.65% adjustment
Hourly Pay Rate Monthly Pay Rate
ATTACHMENT C
10-44
2.65%
Position Title Minimum Maximum Minimum Maximum2
Automotive Parts Buyer $25.11 $35.36 $4,352.09 $6,129.57
Beach Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15
Concrete Finisher $25.47 $35.80 $4,414.36 $6,206.08
Concrete Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Concrete Supervisor $32.86 $46.26 $5,695.43 $8,019.15
Equipment Maint Supervisor $34.53 $48.58 $5,985.45 $8,421.27
Equipment Mechanic I $22.28 $31.31 $3,861.01 $5,426.76
Equipment Mechanic II $25.75 $36.26 $4,464.18 $6,284.37
Equipment Mechanic, Sr $28.39 $39.99 $4,921.45 $6,932.02
Equipment Operator I $23.08 $32.52 $3,999.79 $5,636.72
Equipment Operator II $24.28 $34.15 $4,207.97 $5,919.62
Facilities Maint Spvsr $32.86 $46.26 $5,695.43 $8,019.15
Facilities Maint Tech $25.47 $35.80 $4,414.36 $6,206.08
Facilities Maint Wrkr II $20.96 $29.47 $3,633.26 $5,108.27
Facilities Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Groundsworker I $20.33 $28.62 $3,524.73 $4,960.60
Groundsworker II $22.40 $31.55 $3,882.36 $5,469.47
M & O Specialist $28.39 $39.99 $4,921.45 $6,932.02
Maintenance Worker I $20.96 $29.47 $3,633.26 $5,108.27
Maintenance Worker II $22.00 $30.96 $3,812.97 $5,366.27
Park Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Park Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15
Senior Services Van Driver $20.19 $28.41 $3,499.82 $4,925.01
Storm Drain/St Swp Supr $32.86 $46.26 $5,695.43 $8,019.15
Street Maint Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Street Maint Supervisor $32.86 $46.26 $5,695.43 $8,019.15
Strm Drn/St. Swp Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Utilities Crew Chief $28.39 $39.99 $4,921.45 $6,932.02
Utilities SCADA Coordinator $30.46 $42.87 $5,279.08 $7,430.22
Utilities Specialist $23.54 $33.13 $4,079.86 $5,741.69
Utilities Specialist, Sr.$25.30 $35.61 $4,385.89 $6,172.28
Utilities Supervisor $32.86 $46.26 $5,695.43 $8,019.15
Water Production Operator $29.83 $41.97 $5,170.55 $7,275.42
Water Production Supervisor $34.53 $48.58 $5,985.45 $8,421.27
Water Quality Coordinator $32.86 $46.26 $5,695.43 $8,019.15
38
Newport Beach Employees League
Represented Classifications and Pay Rates
Effective January 1, 2017 - 2.65% Adjustment
Hourly Pay Rate Monthly Pay Rate
ATTACHMENT C
10-45
2.65%
Position Title Minimum Maximum Minimum Maximum2
Automotive Parts Buyer $25.78 $36.30 $4,467.74 $6,291.49
Beach Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89
Concrete Finisher $26.14 $36.75 $4,531.79 $6,369.77
Concrete Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Concrete Supervisor $33.73 $47.49 $5,846.67 $8,230.89
Equipment Maint Supervisor $35.45 $49.87 $6,143.81 $8,643.68
Equipment Mechanic I $22.87 $32.14 $3,964.21 $5,570.88
Equipment Mechanic II $26.43 $37.22 $4,581.61 $6,451.62
Equipment Mechanic, Sr $29.14 $41.05 $5,051.34 $7,115.29
Equipment Operator I $23.69 $33.38 $4,106.55 $5,786.18
Equipment Operator II $24.92 $35.05 $4,320.06 $6,076.20
Facilities Maint Spvsr $33.73 $47.49 $5,846.67 $8,230.89
Facilities Maint Tech $26.14 $36.75 $4,531.79 $6,369.77
Facilities Maint Wrkr II $21.52 $30.25 $3,729.34 $5,243.50
Facilities Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Groundsworker I $20.87 $29.38 $3,617.25 $5,092.26
Groundsworker II $22.99 $32.39 $3,985.56 $5,613.59
M & O Specialist $29.14 $41.05 $5,051.34 $7,115.29
Maintenance Worker I $21.52 $30.25 $3,729.34 $5,243.50
Maintenance Worker II $22.58 $31.78 $3,914.39 $5,508.61
Park Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Park Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89
Senior Services Van Driver $20.73 $29.16 $3,592.34 $5,054.90
Storm Drain/St Swp Supr $33.73 $47.49 $5,846.67 $8,230.89
Street Maint Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Street Maint Supervisor $33.73 $47.49 $5,846.67 $8,230.89
Strm Drn/St. Swp Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Utilities Crew Chief $29.14 $41.05 $5,051.34 $7,115.29
Utilities SCADA Coordinator $31.27 $44.01 $5,419.65 $7,627.72
Utilities Specialist $24.16 $34.01 $4,188.39 $5,894.71
Utilities Specialist, Sr.$25.97 $36.55 $4,501.54 $6,335.97
Utilities Supervisor $33.73 $47.49 $5,846.67 $8,230.89
Water Production Operator $30.62 $43.08 $5,307.55 $7,467.58
Water Production Supervisor $35.45 $49.87 $6,143.81 $8,643.68
Water Quality Coordinator $33.73 $47.49 $5,846.67 $8,230.89
39
Newport Beach Employees League
Represented Classifications and Pay Rates
Effective January 1, 2018 - 2.65% Adjustment
Hourly Pay Rate Monthly Pay Rate
ATTACHMENT C
10-46