Title
Human Resources recommending the Board consider the following:
1) Adopt Resolution 230-2014 adopting the negotiated Memorandum of Understanding (MOU) between the County of El Dorado and the Operating Engineers Local Union No. 3 Corrections Unit for the period covering January 1, 2014 through December 31, 2016;
2) Approve and authorize the Chair to sign said MOU, noting the MOU would be effective first full pay period following Association ratification and the Board's adoption of the MOU; and
3) Direct Human Resources and the Auditor-Controller's Office to administer and implement the MOU provisions.
FUNDING: General Fund.
Body
BUDGET SUMMARY: |
|
|
Total Estimated Cost |
|
$1,400,000 |
|
|
|
Funding |
|
|
Budgeted |
$0 |
|
New Funding |
$ |
|
Savings |
$700,000 |
FY 14-15 Cost Estimate |
Other |
$ |
|
Total Funding Available |
$700,000 |
|
Change To Net County Cost |
|
$0 |
Fiscal Impact/Change to Net County Cost
Funding is not included in the FY 2014-15 budget. The assumption is that the Sheriff's office should be able to find savings in the FY 2014-15 budget to cover the cost of the increase. Additional funding of $700,000 will be included in the FY 2015-16 and 2016-2017 budget. It is important to note that the Sheriff's salaries and benefits budget was already reduced by $1.5M due to the forced 3% salary savings that all General Fund departments were asked to absorb. The addition of this $700,000 will result in required savings of $2.2M in FY 2014-15.
The MOU provides changes to wages, hours, and other terms and conditions of employment, including but not limited to:
1. A 2% Cost of Living Adjustment (COLA) increase for the Operating Engineers Local Union No. 3 Corrections Unit classifications and a 3% Equity adjustment for a total of a 5% wage adjustment retroactive to the pay period including January 1, 2014, a 2% Cost of Living Adjustment (COLA) increase for the Operating Engineers Local Union No. 3 Corrections Unit classifications and a 3% Equity adjustment for a total of a 5% wage adjustment effective the pay period including January 1, 2015, and a 2% Cost of Living Adjustment (COLA) increase for the Operating Engineers Local Union No. 3 Corrections Unit classifications and a 3% Equity adjustment for a total of a 5% wage adjustment effective the pay period including January 1, 2016. This represents a 15% wage adjustment over three years.
2. The MOU provides provisions that the County will adhere to the Public Employees' Pension Reform Act (PEPRA) of 2013.
3. The result of the COLA and Equity over three years is a total wage increase of 15%. The total fiscal impact over three years for Operating Engineers Local Union No. 3 Corrections Unit classifications is approximately $1,400,000.
4. Employees in Tier 1 and Tier 2 of the Operating Engineers Local Union No. 3 Corrections Unit classification retirement plans shall pay the full 9% employee CalPERS contribution effective the third full pay period following Board of Supervisors adoption of the MOU. As an off set, the Operating Engineers Local Union No. 3 Corrections Unit classifications shall receive an additional 3.75% base wage increase.
Background
The previous Memorandum of Understanding between the County of El Dorado and the Operating Engineers Local Union No. 3 Corrections Unit, under Resolution No. 187-2011 expired December 31, 2013, and the County representatives are now bringing the negotiated and fully executed successor Memorandum of Understanding for the period covering January 1, 2014 through December 31, 2016 that is attached and incorporated herein to the Board of Supervisors for final approval.
Reason for Recommendation
Compliance with Meyers-Milias-Brown Act, Gov Code 3500 et seq.
Clerk of the Board Follow Up Actions
1) The Clerk will obtain the signature of the Chair on the Resolution.
2) Human Resources will provide the Clerk with three (3) original MOU's for the Chair to sign upon ratification by the Operating Engineers Local Union No. 3 Corrections Unit.
Contact
Pamela Knorr, Director of Human Resources
Concurrences
County Counsel and Risk Management