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SR-01-14-2014-3Oi it a r City of .Santa monlea, City Council Meeting: January 14, 2014 Agenda Item: 3 -0 To: Mayor and City Council From: Donna C. Peter, Director of Human Resources Subject: Memorandum of Understanding with California Teamsters Local 911 Public, Professional & Medical Employees Union Recommended Action Staff recommends that the City Council adopt the attached Resolution authorizing the City Manager to execute an individual Memorandum of Understanding (MOU) with the California Teamsters Local 911 Public, Professional & Medical Employees Union. (Teamsters) Executive Summary Negotiations for a successor MOU for the newly established bargaining unit of California Teamsters Local 911 Public, Professional & Medical Employees Union resulted in a new agreement. The total cost of the negotiated changes is approximately $297,221 for Fiscal Year 2013 -2014. The budget impact of these changes was included in the General Fund FY 2013 -14 through FY 2017 -18 Five Year Financial Forecast. FY 2013- 15 appropriations for all funds will be included in the FY 2013 -14 Mid -Year Budget for Council approval. Discussion On September 5, 2013 a group of employees who previously were members of the Municipal Employees' Association (MEA) voted to change bargaining units and to be represented by the Teamsters. Per the requirements in Ordinance 801 which governs employee relations, negotiations for a MOU for this newly recognized bargaining unit commenced. Based on those negotiations a tentative agreement was reached whereby the MEA MOU that was in existence as of June 30, 2013 would be rolled over and applied to employees now represented by the Teamster's. A 1% Cost of Living Adjustment (COLA) effective July 1, 2013 was negotiated, which is consistent with what the majority of other bargaining groups received. Because of the required procedures 1 dictated by Ordinance 801 and the creation of a separate and new bargaining unit, negotiations could not commence until after the September 5th vote that established Teamster's as the new representative therefore the timing of this agreement is distinctly different from that of the other employee associations. The ratification of the tentative agreement took place December 5, 2013. A one -year agreement was negotiated with the Teamsters. The negotiated agreement will expire June 30, 2014 Financial Impacts & Budget Actions The total cost of the negotiated changes contained in the new agreement is approximately $297,221 for FY2013 -2014. The budget impact of these changes was included in the General Fund FY 2013 -14 through FY 2017 -18 Five Year Financial Forecast. FY 2013 -15 appropriations for all funds will be included in the FY 2013 -14 Mid -Year Budget for Council approval. Prepared by: Donna C. Peter, Director of Human Resources Approved: Forwarded to Council: Donna C. Peter Rod Gould J Director of Human Resources City Manager Attachments: A. Resolution FA City Council Meeting: January 14, 2014 Santa Monica, California RESOLUTION NUMBER (CCS) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AUTHORIZING THE CITY MANAGER TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE CALIFORNIA TEAMSTERS LOCAL 911 PUBLIC, PROFESSIONAL & MEDICAL EMPLOYEES UNION WHEREAS, the City administration and representatives of the California Teamsters Local 911 Public, Professional & Medical Employees Union have met and conferred under the terms of Ordinance No. 801 (CCS) and have reached agreement on wages, hours and other terms and conditions of employment; and WHEREAS, Section 2.06 of Ordinance No. 801 (CCS) of the City of Santa Monica requires preparation of a written Memorandum of Understanding between representatives of the City and the recognized employee organization if an agreement can be reached; and WHEREAS, Section 2.06 of Ordinance No. 801 (CCS) further provides that any such Memorandum of Understanding shall not be binding unless and until presented to the City Council for determination; and WHEREAS, the purpose of the Memorandum of Understanding is to promote and provide harmonious relations, cooperation, and understanding between the City E and the California Teamsters Local 911 Public, Professional & Medical Employees Union; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. The City Council of the City of Santa Monica does hereby approve and authorize the City Manager to execute an individual Memorandum of Understanding with the California Teamsters Local 911 Public, Professional & Medical Employees Union (FY2013- 2014). SECTION 2. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: 2 Reference: Resolution No. 10795 (CCS) & Memorandum of Understanding (MOU) No. 9859 (CCS)