R-9665
RESOLUTION NUMBER 9665 (CCS)
(CITY COUNCil SERIES)
A RESOLUTION OF THE CITY COUNCil
OF THE CITY OF SANTA MONICA
AMENDING THE EXECUTIVE PAY PLAN
WHEREAS, the Executive Pay Plan resolution adopted by Resolution No. 8283
(CCS) has been in effect eight years and amended by Resolution No. 8470 (CCS),
Resolution No. 8835 (CCS), Resolution No. 8978 (CCS), Resolution No. 9105 (CCS),
Resolution No. 9139 (CCS), Resolution No. 9212 (CCS), Resolution No. 9405 (CCS), and
Resolution No. 9500, and
WHEREAS, certain of its provisions require modification to update compensation
and other terms and conditions of employment;
NOW, THEREFORE, THE CITY COUNCil OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOllOWS:
SECTION 1: The City Council does hereby modify the existing Executive Pay Plan
resolution which defines the wages, benefits and conditions of employment of the City's
Department Heads and those members of the Professional Staff of the City Manager's
Office who choose to represent themselves individually under Ordinance No. 801 (CCS).
-1-
SECTION 2: The Executive Pay Plan adopted by Resolution No. 8283 (CCS), as
amended by Resolution No. 8470 (CCS), Resolution No. 8835 (CCS), Resolution No. 8978
(CCS), Resolution No. 9105 (CCS), Resolution No. 9139 (CCS), Resolution No. 9212
(CCS) and Resolution No. 9405 (CCS), is re-adopted and incorporated herein by this
reference except as to new Section X, which is included below, and current Sections B, C,
J, N, 0, P and V which are amended to read as follows:
8. Julv 2000 WaQe Adiustments. Effective July 1,2000, each step of the salary
ranges established for positions covered herein shall be increased by two and four-tenths
percent (2.4%).
C. Retirement. The City is a contract memberofthe Public Employees' Retirement
System, and it is understood and agreed that such membership will be maintained and that
employee eligibility classification, contribution, and benefits are as prescribed in the
contract between the City and the Public Employees' Retirement System heretofore
approved by the City Council. The City shall continue to pay on behalf of each permanent
employee covered herein one-hundred (100) percent of the individual employee's share of
the required retirement contributions to PERS [seven (7) percent for miscellaneous
employees and nine (9) percent for safety employees of the employee's "compensation"
as defined by PERS legislation] for the term of this MOU.
These payments are not increases of salary and no salary range applicable to any of the
affected employees shall be changed or be deemed to have been changed by reason of
-2-
such payments; as a result, the City will not treat these payments as ordinary income and
thus, will not withhold Federal or State income tax therefrom. The City's practice will be to
report these payments as being those of the employees so that they will be credited to the
particular employee's individual account with PERS and upon termination will belong to the
employee.
It is agreed that if State and/or Federal procedures require reporting of these payments in
any other manner, the parties will abide by such requirements.
In addition, EPP shall have the option of having the City implement what is referred to as
the "PERS on PERS" option, whereby the City of Santa Monica, as allowed by Government
Code Section 20636(c)(4), would report to the Public Employees' Retirement System
(PERS) as compensation earnable the monetary value of normal contributions paid by the
City on behalf of each employee covered by this MOU (hereinafter referred to as the
EPMC) pursuant to the provisions of Section 20691 of the California Government Code,
as described above in this Section. In return, for employees covered herein, there shall be
deducted from the net income of each employee the added cost to the City resulting from
paying employer and employee retirement contributions on the EPMC, which is an amount
equal to the product obtained by multiplying the value of the EPMC by a percentage equal
to 7% plus the City's prescribed contribution rate to PERS (which is subject to annual
adjustment). If EPP elects to have the City implement the PERS on PERS option, as
indicated by written notification from EPP to the City, the PERS on PERS option will be
implemented as soon as it is possible to do so.
-3-
J. Health and Dental Insurance. Effective July 1,1994, the City agrees to pay up
to a maximum $475 per month towards the cost of medical insurance coverage for
employees and eligible dependents provided that employees covered herein participate in
the City-offered medical insurance programs. The cost of medical insurance coverage will
be set at the beginning of each medical plan year and will be a "composite" monthly
insurance premium derived by dividing the total monthly premium for all medical plans
offered by the City, except the PERS PORAC medical plans or any other PERS medical
plans, by the total number of employees enrolled in said medical plans as of the beginning
of the medical plan year. Any extra payment required to cover the cost of said medical
insurance plans shall be paid by the employee electing such coverage.
Effective July 1, 2001, the medical insurance provision for employees covered hereunder
is set forth in a separate Memorandum of Understanding (umbrella agreement) which
covers City bargaining units represented by the Coalition, which is comprised of the
following City bargaining units as of July 1,2001: Administrative Team Associates (AT A),
Management Team Associates (MTA), Municipal Employees Association (MEA), Public
Attorneys Union (PAU), Public Attorneys' Legal Support Staff Union (PALSSU),
Supervisory Team Associates (STA) and United Transportation Union (UTU). as well as
members of the Executive Pay Plan (EPP).
Dental insurance coverage shall be provided at no cost to employees and their eligible
dependents provided that employees covered herein participate in the City-offered dental
insurance programs.
-4-
N. Management Incentive. Fortheir normal duties and in recognition ofthe unique
responsibilities of their jobs, participants in the Executive Pay Plan shall receive one
hundred-seventy six (176) hours of management incentive pay per fiscal year. For
employees hired on or after July 1, 1991, the management incentive will be earned on a
quarterly basis, with one-quarter of the total allotment for the fiscal year accruing as of the
first day of each quarter of the fiscal year. For all other employees, the management
incentive pay shall accrue in total on the first day of the fiscal year.
Regardless of accrual method, the management incentive pay will be paid to all participants
on a quarterly basis, with each participant being paid forty-four (44) hours of management
incentive at the beginning of each quarter. The management incentive pay will be paid at
the participant's salary rate in effect at the beginning of each quarter. The City shall pay
all PERS contributions due on this compensation. For each participant, no more than one
hundred-seventy six (176) hours of management incentive pay will be reported to PERS
in any given twelve-month period.
The management incentive will not accrue from one fiscal year to another. No participant
in the Executive Pay Plan shall be entitled to take leave in lieu of management incentive
pay. Upon termination, the participant will be paid for any unpaid accrued management
incentive pay.
O. Vacation Leave. Participants in the Executive Pay Plan shall receive vacation
leave as provided in Section 2.04.560 of the Municipal Code, provided, however, thatthey
-5-
may accrue a maximum of three times their annual accrual rate. Accrual beyond three (3)
times the annual accrual rate, not to exceed a total of ten (10) additional days, shall be
accrued as administrative leave and shall not be subject to cash-out upon the separation
from City service of an employee covered herein. In addition, the City Manager may
authorize the accrual of vacation beyond these limits in individual cases where the
employee has been unable to use vacation due to work demands.
Each employee covered herein shall accrue vacation leave on the following basis:
1) Following completion of the first six (6) calendar months of completed
service, six (6) working days.
2) Thereafter, up to and including five (5) completed years of service, one (1)
working day for each completed calendar month of service.
3) Thereafter, up to an including ten (10) completed years of service, one and
one-quarter (1.25)working days for each completed calendaryearof service.
4) Thereafter, up to an including fifteen (15) completed years of service, one
and one-half (1.50) working days for each completed calendar year of
service.
-6-
5) Upon cpmpletion of fifteen (15) years of service and thereafter, one and
three-quarters (1.75) working days for each completed calendar month of
service.
At the City Manager's discretion, a new participant in the Executive Pay Plan, based on the
terms and conditions of the participant's previous employment. may be granted a vacation
accrual rate which exceeds that listed above, but not greater than one and three-quarters
(1.75) working days for each completed calendar month of service.
P. Sick Leave. Participants in the Executive Pay Plan shall earn sick leave as
follows:
1) Upon completion of the first six (6) calendar months of completed service, six
(6) days.
2) Thereafter, one (1) day per completed calendar month of service.
At the City Manager's discretion, a new participant in the Executive Pay Plan, based on the
terms and conditions ofthe participant's pervious employment, may be granted a lump sum
number of sick leave days upon his/her employment with the City of Santa Monica.
The use of sick leave shall be defined as in Section 2.04.570 of the Santa Monica Municipal
Code, hereby incorporated as if set forth in full herein, except as follows:
-7-
Sick leave shall be defined as absence from duty because of the employee's illness or
off-the-job injury, exposure of the employee to contagious disease as evidenced by
certification from an accepted medical authority, medical or dental appointments of the
employee or the employee's dependent children which could not be scheduled during
non-work hours, or illness or injury of the employee's spouse or children. Forthe purposes
of this section, an employee's domestic partner and the children of the employee's
domestic partner would be covered by this provision.
Participants in the Executive Pay Plan may elect annually, at the end of the fiscal year, to
receive a payoff for unused sick leave. Payment at the employee's base rate for the fiscal
year during which the sick leave was earned but not used shall be made only to employees
on the payroll as of June 30 of that fiscal year and shall be paid at the base salary rate in
effect as of June 30.
Annual sick leave payoffs under this Section for employees shall be made according to the
following schedule. providing there are enough sick days accrued in the employee's sick
leave bank to cover the payoff described below:
-8-
Less than 1 0 Years of Service
Sick Leave Days Used
In the Fiscal Year
Sick Leave Days Payable
At Fiscal Year End
2 or less 9
3 8
4 7
5 6
6 5
7 4
8 3
9 2
10 1
11 0
-9-
10 or More Years of Service
Sick Leave Days Used
In the Fiscal Year
Sick Leave Days Payable
At Fiscal Year End
2 or less 12
3 11
4 10
5 9
6 8
7 7
8 6
9 5
10 4
11 3
12 2
13 1
14 or more 0
-10-
V. JUry Duty. Employees covered herein, when duly called to serve on any jury and
when unable to be excused therefrom. shall receive the regular base compensation less
all jury fees received excluding mileage for the time required to be spent in court provided
that an individual employee will be paid for jury service only once every three (3) years, not
to exceed ten (10) days, and shall make every effort to cooperate with any request by the
City Managerto request a delay in jury service to accommodate important department work
in progress. Each employee receiving a notice to report for jury service shall immediately
notify the City Manager or his/her designee. Whenever daily jury duty scheduling permits,
employees shall return to their regular daily job assignment to complete their regular daily
work hours.
X. Workers' Comoensation Leave. Any employee covered herein who is receiving
disability payments under the "Workers' Compensation Act of California" (for on-the-job
injuries sustained while engaged in the performance of the duties of any such position)
shall receive from the City, during the first sixty (60) days of such disability absence,
payments in an amount equal to the difference between the disability payments received
under the Workers' Compensation Act and the employee's full salary. Such payments by
the City shall be made without any deduction from accrued sick leave benefits. The City's
obligation to make such payments shall not commence until the third day of such disability
absence.
SECTION 3: This Resolution shall go into effect as of July 1, 2000 and shall remain
in effect until modified or replaced by a future Resolution adopted by City Council.
-11-
SECTION 4: The City Clerk shall certify as to the adoption of this Resolution and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
(Labor\Mou\EPP .2000)
-12-
Adopted and approved this 12th of June, 2001.
~ /1//7 ~
/'~:,
Michael Feinstein
I, Maria M. Stewart, City Clerk of the City of Santa Monica, do hereby
certify that the foregoing Resolution No. 9665 (CCS) was duly adopted at a
meeting of the Santa Monica City Council held on the 12th of June, 2001, by the
following vote:
Ayes: Council members:
O'Connor, McKeown, Genser. Mayor
Feinstein
Noes: Council members:
None
Abstain: Council members:
None
Absent: Council members:
Holbrook, Katz, Mayor Pro Tern Bloom
ATTEST:
~ ( .
_~~~d/)
Maria M. Stewart, City Clerk -