SR 07-25-2023 5C
City Council
Report
City Council Meeting: July 25, 2023
Agenda Item: 5.C
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To: Mayor and City Council
From: Lori Gentles, Chief People Officer, Human Resources Department
Subject: Adoption of Resolution Accepting Confidential Unrepresented Employees Pay
Plan 2022
Recommended Action
Staff recommends that the City Council:
1. Adopt the proposed Resolution (Attachment A) accepting the Confidential
Unrepresented Employees (CUE) Pay Plan;
2. Adopt a finding of Categorical Exemption pursuant to Section 15324 of the
California Environmental Quality Act (CEQA) Guidelines
Summary
The Confidential Unrepresented Employees Pay Plan (“CUE”) covers employees who,
in the course of their job duties, have regular access to confidential information relating
to the City’s administration of employer-employee relations. The CUE Pay Plan
recognizes the contributions of these unrepresented employees while promoting and
providing harmonious relations, cooperation, and understanding between the City and
the CUE participants.
Discussion
The Confidential Unrepresented Employees Pay Plan includes job classifications in
the Finance and Human Resources Departments; employees who are participants of
the CUE Pay Plan are confidential employees who, in the course of their job duties,
have regular access to confidential information relating to the City’s administration of
employer-employee relations. As such, these job classifications are not represented
by any recognized bargaining unit in the City, but whose benefits of employment as
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set forth in the Pay Plan have historically been tied to the Memoranda of
Understanding of various recognized bargaining units.
In May 2021, employees who are participants of the CUE Pay Plan submitted a
formal petition for recognition in accordance with the City’s local employer-employee
relations rules, set forth in Santa Monica Municipal Code Chapter 2.05. The
Employee Relations Officer (i.e., the City Manager) determined pursuant to the policy
and standards set forth in Municipal Code section 2.04.090 that the proposed unit
was not an appropriate unit and denied the petition. The matter was appealed, and a
mediation was held before the State Mediation and Conciliation Service. As a result of
mediation and subsequent communications, the City and participants of CUE have
reached an agreement on a revised CUE Pay Plan, which now independently sets
forth those employees’ benefits of employment, and no longer ties such terms to the
Memoranda of Understanding of other bargaining units at the City.
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The substantive changes are outlined below:
• Term of Pay Plan: July 1, 2022, through June 30, 2025
• July 1, 2022 = 4.5% salary increase plus a one-time signing bonus of
$2,000, effective July 1, 2022, or the first pay period following Council
approval of the MOU, whichever is later.
• July 1, 2023 = 3% salary increase
• July 1, 2024 = 2% salary increase
• Allow for annual changes to the employee contributions for the 401(a) plan.
• Tuition Reimbursement increase from $2,500 per fiscal year to $2,750 per
fiscal year.
• Add Cesar Chavez and Juneteenth as paid holidays
• Add Confidential Premium of $165 per month for rank-and-file employees
• Add City Paid State Disability Insurance
• Restore Sick Leave Cash Out
Environmental Review
The changes to staff wages are categorically exempt pursuant to Section 15324 (Class
24 Regulations of Working Conditions) of the California Environmental Quality Act
(CEQA) Guidelines. Class 24 consists of actions taken by regulatory agencies to
regulate employee wages, hours of work, or working conditions where there will be no
demonstrable physical changes outside the place of work.
Financial Impacts and Budget Actions
The estimated cost of the changes contained in the CUE Pay Plan presented in this
report is approximately $240,000, which includes approximately $200,000 in ongoing
costs and $40,000 in one-time costs. These costs are included in the FY 2023-25
Biennial Budget, adopted by Council on June 27, 2023.
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Prepared By: Sarah Rebensdorf, Senior Human Resources Analyst
Approved
Forwarded to Council
Attachments:
A. CUE RESO 7.25.23 FINAL
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ATTACHMENT A
1
City Council Meeting: July 25, 2023 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 REVISE THE CONFIDENTIAL UNREPRESENTED
EMPLOYEES PAY PLAN
WHEREAS, on or about May 20, 2021, employees who are participants of the
Confidential Unrepresented Employees (“CUE”) Pay Plan submitted a petition for
recognition in accordance with Santa Monica Municipal Code section 2.05.030; and
WHEREAS, in accordance with Santa Monica Municipal Code section 2.05.090,
the Employee Relations Officer determined that the proposed unit was not an appropriate
unit; and
WHEREAS, in accordance with Santa Monica Municipal Code section 2.05.120,
employees who are participants of the CUE Pay Plan appealed the Employee Relations’
Officer’s determination and a mediation was held by the State Mediation and Conciliation
Service; and
WHEREAS, as a result of mediation and subsequent communications,
representatives of the City and employees who are participants of the CUE Pay Plan
reached an agreement on a revised CUE Pay Plan, which was presented to the City
Council of the City of Santa Monica on July 25, 2023, for consideration; and
5.C.a
Packet Pg. 991 Attachment: CUE RESO 7.25.23 FINAL [Revision 2] (5859 : CUE Pay Plan 2022)
ATTACHMENT A
2
WHEREAS, the purpose of the Pay Plan is to promote and provide harmonious
relations, cooperation, and understanding between the City and participants of the CUE
Pay Plan.
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 hereby approves and
authorizes the City Manager to execute a revised Confidential Unrepresented Employees
Pay Plan (FY2022-2025).
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:
_________________________
Douglas Sloan
City Attorney
5.C.a
Packet Pg. 992 Attachment: CUE RESO 7.25.23 FINAL [Revision 2] (5859 : CUE Pay Plan 2022)