Title
Human Resources Department recommending the Board:
1) Adopt and authorize the Chair to sign Resolution 245-2018 approving the negotiated Letter of Agreement (LOA) to the Memorandum of Understanding (MOU) between the County of El Dorado and the El Dorado County Employees’ Association, Local 1, representing employees in the General (GE), Professional (PL) and Supervisory (SU) Bargaining Units;
2) Authorize the Chair to sign said LOA, noting the LOA will be effective the first full pay period following Union ratification and Board of Supervisors adoption of the LOA; and
3) Direct the Human Resources Department and the Auditor-Controller's Office to administer and implement the LOA provisions.
FUNDING: General Fund and other funds.
Body
DISCUSSION / BACKGROUND
The County of El Dorado (County) and El Dorado County Employees’ Association, Local 1 (Local 1), representing employees in the GE, PL, and SU Bargaining Units, have an executed MOU for the period of July 1, 2017 to June 30, 2020. The MOU provides for Local 1 and County to reopen negotiations on the implementation of the County’s Wage and Compensation Study and/or reopen on wages effective July 1 of 2018 and 2019, and to negotiate longevity pay within year two (2) and/or year three (3) of the MOU term.
In accordance with the MOU, and pursuant to the Meyers-Milias-Brown Act (Government Code sections 3500 et seq.), representatives of the County and Local 1 have met and conferred in good faith. County and Local 1 jointly prepared a LOA reflecting agreed revisions to certain terms and conditions. Subject to the provisions in the LOA, those revised terms and conditions with a County cost impact are summarized below, along with the estimated annual cost.
1. Effective the first full pay period following Board of Supervisors adoption of this LOA, base wages for benchmark job classifications and classifications tied to those benchmarks increased as necessary to bring to approximately 10.0% (+/- 1%) behind the market median utilized by the County based on the results of the 2018 benchmarks survey update, provided, however, that each classification shall receive at least a 1% base wage increase - estimated cost: $2,892,124;
2. Effective the first full pay period following Board of Supervisors adoption of this LOA, County will provide a $2,400.00 per person lump sum payment, minus applicable payroll deductions, for those current employees (limited term or regular) who were limited term employees represented by this Unit when the Board of Supervisors adopted the July 1, 2017 to June 30, 2020 MOU, and who did not previously receive a one-time payment during the term of this MOU - estimated one-time cost: $31,200;
3. Effective the first full pay period in July 2019, the County will increase base wages for benchmark job classifications and classifications tied to those benchmarks to approximately 8.0% (+/- 1%) behind the market median utilized by the County based on the results of the 2018 comparable agency survey - estimated cost: $739,257.
Other Terms and Conditions which are recommended for update, and which have little or unknown direct cost impact include, but are not limited to:
• Modification of existing Longevity Pay language, which would provide for cost savings beginning in fiscal year 2020-21:
1) Eliminate longevity for employees who separate and who are subsequently re-employed (new employees hired on or after December 19, 2017, are already ineligible for longevity pay under the current MOU);
2) Provide the first longevity pay tier for employees hired on or before December 18, 2017 who do not yet receive longevity pay, once they complete the required period of service, but discontinue eligibility for any further longevity advancement thereafter; and
3) Continue longevity pay for employees hired on or before December 18, 2017 and who currently receive longevity pay, but after the first day of the pay period including June 30, 2020, discontinue eligibility for advancement into further longevity tiers.
• Removal of contracting out language; default to requirements under the law.
• Modification of existing Tahoe Differential language for County-wide consistency.
• Modification of existing Boot Allowance language for County-wide consistency.
• Modification of existing Uniform Allowance language for County-wide consistency.
• Modification of existing consolidated employee health insurance premium rate EDC Administration Fee language to provide operational flexibility in the classifications used to perform benefit administration and associated benefit program management duties. This modification will not result in any cost change.
• Clarification that the compensation for holidays worked provides for both the premium pay and the observed holiday pay.
The LOA shall become of full force and effect upon approval and adoption by the Board of Supervisors and shall remain in effect until modified by a successor MOU. Nothing contained in the LOA shall be applied on a retroactive basis unless specifically stated.
ALTERNATIVES
N/A
PRIOR BOARD ACTION
This LOA amends the MOU adopted by the Board of Supervisors on December 19, 2017, Resolution 083-2014, Legistar item 17-1358.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
El Dorado County Employees’ Association Local #1
CAO RECOMMENDATION / COMMENTS
It is recommended that the Board approve this item.
FINANCIAL IMPACT
The maximum combined annual fiscal impact of the LOA is estimated at $3,662,581. A portion of the employees in the Local 1 are employed in non-General Funded departments; therefore a portion of the cost increase will be covered by non-General Fund dollars. In addition, certain positions in classifications otherwise represented by Local 1 are designated as Confidential. Base wages for such unrepresented Confidential positions will increase commensurate with the same classifications represented by Local 1 at an estimated cost for the first year at $25,557. The estimated cost for the second year is $4,127. No budget amendment is recommended at this time. The impact to departmental FY 2018-19 budgets will be evaluated through the year and budget transfers will be prepared for any departments which do not have sufficient appropriations or savings to offset the cost in FY 2018-19.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) The Clerk will obtain the signature of the Chair on the Resolution; and,
2) Human Resources will provide the Clerk with three (3) original LOAs for the Chair to sign upon ratification by EDCEA, Local 1; and
3) The Clerk will return two (2) copies of the Resolution and two (2) original LOAs to Misty Garcia in Human Resources once fully executed by the Chair, and retain one (1) fully executed agreement for the Board.
STRATEGIC PLAN COMPONENT
Good Governance
CONTACT
Tameka Usher, Director of Human Resources