MEETING DATE:
JUNE 14, 2016
SUBJECT:
Title
RESOLUTION NO. 2016-8210 - MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF SAN MARCOS AND THE SAN MARCOS SUPERVISORS’ ASSOCIATION
Body
Recommendation
Recommendation
ADOPT a resolution approving a Memorandum of Understanding (MOU) with the San Marcos Supervisors’ Association (SMSA) for the period of July 1, 2016 through June 30, 2019 to replace the existing MOU that expires on June 30, 2016.
Body
Board or Commission Action
Not applicable
Relevant Council Strategic Theme
Good Governance
Relevant Department Goal
Customer Service
Introduction
Representatives of the San Marcos Supervisors’ Association and management have reached agreement regarding wages, hours and other terms and conditions of employment for the three year period of July 1, 2016 through June 30, 2019. The Association is comprised of 16 members which represents 6.72% of the total number of City of San Marcos employees.
Discussion
The major provisions of this agreement are as follows:
Salary Range Adjustment:
Effective July 1, 2016, the employee compensation ranges will increase by two percent.
In order to ensure that the City’s pay ranges remain competitive with the market, structure movement % increase, effective July 1, 2017 and July 1, 2018, will be based on the average of the Bureau of Labor Statistics Cost of Employment Index for State and Local Government and the World at Work average salary structure adjustment Western Region, but no less than 1.5% as long as fiscally prudent and possible.
Group Health Insurance Premium: Employees will continue to share the premium cost of group health insurance by contributing 10% of the premium cost for the plan they select. During the course of the contract, any increase in group health insurance premiums in excess of 10%, per year, will be shared equally between the employer and the employee.
Employee Benefit Allocation Program (EBAP): Effective January 1, 2017, January 1, 2018 and January 1, 2019 the EBAP allocation will be $1,300. The existing EBAP amount is $1050.
Longevity merit stipends: Effective July 1, 2016, employees will be eligible for a one time stipend, equivalent to 1.5% of salary at ten years of service and a onetime stipend equivalent to 2.5% of salary at fifteen years of service. The average number of years of service in the Supervisors’ association is 17.75 years. This aligns the benefits afforded the Supervisors’ association more closely with the unrepresented employees, Classified Miscellaneous and fire/safety employees.
Tuition Reimbursement: Effective July 1, 2016, a total tuition reimbursement pool of $10,000 will be available for employees to utilize in the pursuit of additional, applicable education. Employees will need to attend a class that will benefit the City and receive a passing grade of C or better in order to be eligible for reimbursement.
9/80 Work Schedule: The 9/80 work schedule will continue until otherwise negotiated.
Additional Stipends: Additional stipend pays for certifications that add value to the city, such as Arborist, Fire Mechanic, QSP, QSD, HVAC, notary public and Project Management Professional will be issued with the first paycheck in December each year.
Fiscal Impact
The City-wide fiscal impact of salary and benefit increase for the San Marcos Supervisors’ Employees’ Association is estimated to be $53,522 for FY 2016-17. Most of these costs are associated with the General Fund and represent .08% of the total projected General Fund operating budget of $69.3 million for FY 2016-17. This increase represents less than .16% of total General Fund salary and benefits. Similar costs are expected for the FY 2017-18 and FY 2018-19 contact years.
Attachment(s)
Memorandum of Understanding
Resolution No. 2016-XXXX
Prepared by: Michelle Miller, Human Resources / Risk Director
Approved by: Jack Griffin, City Manager