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SR-603-002 (6) PE:MEA MOU stfrpt.2004-2005.bancroft.pms Santa Monica, California Council Meeting: February 22, 2005 TO: Mayor and City Council FROM: City Staff SUBJECT: Resolution Authorizing the City Manager to Execute a Memorandum of Understanding with the Municipal Employees Association INTRODUCTION This report requests that Council adopt the attached Resolution authorizing the City Manager to execute a Memorandum of Understanding (MOU) with the Municipal Employees Association. BACKGROUND The current Memorandum of Understanding (MOU) with the Municipal Employees Association (MEA) expired on June 30, 2004. Per the terms and conditions of that MOU, negotiations with MEA for a successor MOU commenced and resulted in a new agreement that has been ratified by the membership of MEA. This agreement is a one-year contract from July 1, 2004 through June 30, 2005. The agreement provides for a cost of living increase of 2.4% for FY2004-05; increases the amount of city-paid term life insurance coverage from $10,000 to $50,000 per employee; and makes minor non-economic changes. 1 BUDGET/FINANCIAL IMPACT The total cost of the new contract terms for FY2004-05 is $1,042,000. Provision was made in the FY2004-05 budget to accommodate the results of negotiations with bargaining units and no appropriation is necessary. RECOMMENDATION It is recommended that Council adopt the attached Resolution authorizing the City Manager to execute the new Memorandum of Understanding with the Municipal Employees Association. See Adopted Resolution No. 10020 (CCS) Prepared By: Karen Bancroft, Director of Human Resources (MEA MOU stfrpt.2004-2005) 2