HomeMy WebLinkAboutAgenda Report - January 16, 2008 E-09ir
AGENDA ITEM Cf
CITY OF LODI
COUNCIL COMMUNICATION
TM
AGENDA TITLE: Adopt Resolution Amending Memorandum of Understanding between the City of
Lodi and the Police Officers Association of Lodi for the Period of October 9, 2007
through October 8, 2011
MEETING DATE: January 16,2008
PREPARED BY: Deputy City Manager
RECOMMENDED ACTION: Adopt resolution amending Memorandum of Understanding
between the City of Lodi and the Lodi Police Officers Organization
for the period of October 9, 2007 through October 8, 2011.
BACKGROUND INFORMATION: The Memorandum of Understanding (MOU) between the City of
Lodi and the Police Officers Association of Lodi (POAL) expired on
October 8, 2007. As directed by City Council through the City
Manager, representatives from the POAL, City staff, and an outside
negotiator (Bill Avery from Avery and Associates) began negotiations for the purpose of amending the
MOU. The recommended elements of the MOU (as included in the attached tentative agreement, marked
Exhibit A) are as follows:
• The first year of the MOU includes no Cost of Living Adjustments or any other salary modifications.
• Effective October 9, 2008, employees of the POAL shall receive a minimum salary increase of 10%
plus an amount that shall be a net percentage that is derived by comparing the salary of Sergeants
with Police Officers that will maintain a 20% differential between the top steps of the two positions.
• Salary adjustments on October 9, 2009 and October 9, 2010, shall be based on maintaining a 20%
differential between Sergeants salaries (as surveyed) and Police Officers salaries. If General Fund
revenues do not increase by at least 1 % between the fiscal years preceding the dates of these
adjustments, then POAL and the City of Lodi will reopen negotiations with regard to salary and
benefits.
• The Performance Incentive Bonus (PI B) will be changed to a loyalty incentive, which will be based on
the number of years of service (either 10 years or 20 years) and the amounts to be received will
remain the same $1,500 at 10 years and $3,000 at 20 years.
• The amount of compensatory time to be carried on the books will be adjusted to be no more than 240
hours instead of the current amount of 100 hours.
• Medical fringe benefits for employees opting out of the agreed upon heath benefit program will be
adjusted to 1/2 of the health insurance benefit being paid into the employee's deferred compensation
account.
• Negotiations regarding health insurance contributions shall be opened if the PORAC trust becomes
available.
• All other elements of the MOU remain unchanged.
APPROVED:
RW ng, City Manager
Adopt Reso/udon Amending Memorandum of Understanding between the City of Lodi and the
Police Officers Association of Lodi for the Period of October 9, 2007 through October8, 2011
January 16, 2008
Page Two
These terms include paying the bargaining unit employees based on market conditions and at the same
time gives the City of Lodi an opportunity to re -negotiate should its financial condition change
dramatically. Although General Fund revenues have not increased by less than 1 % at any time over the
last few years, staff is recommending that this escape clause be included in order to allow for the
possibilityof revenue declines in the last three years of the MOU.
FISCAL IMPACT: The current year salary modifications as recommended would impact the
General Fund by approximately $400,000 per year. In subsequent years,
the impact would vary depending on the results of total compensation
surveys to be completed in those years. If revenues do not materialize,
then the fiscal impact would vary depending on renegotiated terms in
subsequent years.
FUNDING AVAILABLE: The increase of $400,000 to salary and benefits will not occur until fiscal
year 2008-09. Upon City Council approval, the 2008-09 budget would
incorporatethis increase.
es R. Krueger, Deputy City Manager
JRK
Attachments
Police Officers Association of Lodi
Article I -Salary and Term
Article 1.1
Effective October 9,2008 employees shall receive increases of 10.0%
Article 1.2
Effective October 9,2 00 8 employees shall receive an additional percentage (in addition
to the amount determined by applying Article 1.1) shall be determined by comparing the
Police Officer's salary with the salary for Sergeant's salary (as surveyed and compared to
salaries of comparable agencies) as of October 9,2008 and reducing the amount (as
calculated for the Sergeant position) by 20%. (City to provide side letter explaining
calculationsto occur onthis date).
Article 1.3
Effective October 9,2009 employees shall receive an amount that shall be determinedby
comparing the Police Officer's salary with the salary for Sergeants salary (as surveyed
and compared to salaries of comparable agencies) as of October 9,2009 and reducing the
amount (as calculated for the Sergeant position) by 20%. If General Fund Revenues do
not increase by at least 1 % (using audited revenues for the year ended June 30,2008 in
comparison with audited revenues for the year ended June 30, 2009) , then POAL and the
City of Lodi will reopen negotiations with regard to salary and benefits.
Effective October 9,2010 employees shall receive an amount that shall be determined by
comparing the Police Officer's salary with the salary for Sergeants salary (as surveyed
and compared to salaries of comparable agencies) as of October 9, 20 10 and reducing the
amount (as calculated for the Sergeant position) by 20%. If General Fund Revenues do
not increase by at least 1% (using audited revenues for the year ended June 30,2009 in
comparison with audited revenues for the year ended June 30,2010) ,then POAL and the
City of Lodi will reopen negotiations with regard to salary and benefits.
Article XIV (replace Performance Incentive Bonus with the following)
Additional Compensation/Loyalty Program
After completing ten years of service with the Lodi Police Department, employees will
receive an annual loyalty compensation amount of $1,500 in November of the year
following completion of ten years of service and each year thereafter until completing
twenty years of service with the Lodi Police Department. Employees who have
completed twenty years of service with the Lodi Police Department will receive an
annual loyalty compensation amount of $3,000 on November of the year following
completion of twenty years of service and each year thereafter.
For purposes of this article, all employees who as of October 31" meet the service level
requirements (either ten full years or twenty full years from the first day of the month in
which they started their employment with the City of Lodi Police Department) will
receive the loyalty awards associated with their years of service with the Lodi Police
Department.
Article V (5.2)
No more than 490 240 hours of compensatory time may be carried on the books at any
time.
Article 34.1
Increase the medical fringe benefit for employees opting out of the agreed upon health
benefit to '/2 of the benefit's cost paid to the employee's deferred compensation account.
Article 34.X
Reopen negotiations when PORAC trust becomes available.
Article 41.1
Increase ABT account to 800 hours
Article LII -Term
The terms and conditions of this MOU shall continue in effect during the term of this
MOU. The City of Lodi and POAL agree that the term is October 9,2007 through
October 8.201 1
This Tentative Agreement only represents the tentative agreement of the negotiating
parties. In order for it to become binding and effective it must first be approved by the
Lodi City Council and the membership of the POAL.
FOAL THE CITY OF LODI, a municipal
corporation
Sierra Sxucia, Police Corporal
y: r
I Krueger, Deputy City Manager
Dean Gualco, Humor Resources Manager
Calculation of Police Officer's Salaries in relation to Sergeant's salaries
As of October 9,2008, October 9,2009 and October 9,2010 Police Officer's salaries will
be calculated based upon a survey that compares the median of the total compensation for
the nine comparative cities to the City of Lodi Police Lieutenant's salaries and then the
following calculations will be used to arrive at an adjustment to the salaries of Police
Officers:
1) The median for the highest step salary for lieutenants of the nine comparable
cities shall be compared to the highest step lieutenant's salary of Lodi.
2) The amount as established in step 2 shall be divided by 1.20 to establish the salary
for sergeants.
3) The: amount as established in step 3 shall be divided by 1.20 to establish the salary
for police officers.
4) As of October 9, 2008, the increase in Police officers salaries as established in
step 4 shall he no less than 10%.
5) At salary adjustment dates subsequent to October 9, 2008, steps 1-3 shall be used
and there will be no minimum adjustment as stipulated in step 4.
RESOLUTION NO. 2008-06
A RESOLUTION OF THE LODI CITY COUNCIL
AMENDING THE MEMORANOUM OF UNDERSTANDING
WITH THE POLICE OFFICERS ASSOCIATION OF LODI
WHEREAS, representatives from the City of Lodi and Police Officers Association
of Lodi (POAL) have bargained in good faith for the purpose of amending certain articles
of the Memorandum of Understanding (MOU).
NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council that it does
hereby amend the MOU as follows:
Article I -Salary
1.1 Removed and replaced as follows:
Effective October 9, 2008, employees shall receive increases of 10.0%.
1.2 Removed and replaced as follows:
Effective October 9, 2008, employees shall receive an additional percentage (in
addition to the amount determined by applying Article 1.1) that shall be
determined by comparing the Police Officer's salary with the salary for
Sergeant's salary (as surveyed and compared to salaries of comparable
agencies) as of October 9, 2008, and reducing the amount (as calculated for the
Sergeant position) by 20%.
1.3 Removed and replaced as follows:
Effective October 9, 2009, employees shall receive an amount that shall be
determined by comparing the Police Officer's salary with the salary for Sergeants
salary (as surveyed and compared to salaries of comparable agencies) as of
October 9, 2009, and reducing the amount (as calculated for the Sergeant
position) by 20%. If General Fund Revenues do not increase by at least 1 %
(using audited revenues for the year ended June 30, 2008, in comparison with
audited revenues for the year ended June 30, 2009), then POAL and the City of
Lodi will reopen negotiations with regard to salary and benefits.
1.4 Added:
Effective October 9, 2010, employees shall receive an amount that shall be
determined by comparing the Police Officer's salary with the salary for Sergeants
salary (as surveyed and compared to salaries of comparable agencies) as of
October 9, 2010, and reducing the amount (as calculated for the Sergeant
position) by 20%. If General Fund Revenues do not increase by at least 1%
(using audited revenues for the year ended June 30, 2009, in comparison with
audited revenues for the year ended June 30, 2010), then POAL and the City of
Lodi will reopen negotiations with regard to salary and benefits.
Article XVI PerformanGInsentuve Bonus Additional Compensation/Loyalty
Program
Remove and replace as follows:
After completing 10 years of service with the Lodi Police Department, employees
will receive an annual loyalty compensation amount of $1,500 in November of
the year following completion of 10 years of service and each year thereafter
until completing 20 years of service with the Lodi Police Department. Employees
who have completed 20 years of service with the Lodi Police Department will
receive an annual loyalty compensation amount of $3,000 on November of the
year following completion of 20 years of service and each year thereafter.
For purposes of this article, all employees who as of October 31St meet the
service level requirements (either 10 full years or 20 full years from the first day
of the month in which they started their employment with the City of Lodi Police
Department) will receive the loyalty awards associated with their years of service
with the Lodi Police Department.
Article V Compensatory Time
5.2 is amended as follows:
No more than 4-A9 240 hours of compensatory time may be carried on the books
at any time.
Article XXXIV
34.1 is amended as follows:
If an employee elects not to be covered by medical insurance, an additional $4-99
amount will be added to the employee's deferred compensation account to equal
one-half of the medical insurance premium that would have been paid by the City
of Lodi (had insurance coverage been provided to the employee).
Article XLI Association Time
41.1
The amount of association time that may be contributed by members is
amended to a maximum of 800 hours.
Article LII -Term
52.1 is removed and replaced as follows:
The terms and conditions of this MOU shall continue in effect during the term of
this MOU. The City of Lodi and POAL agree that the term is October 9, 2007
through October 8, 2011.
Date: January 16,2008
hereby certify that Resolution No. 2008-06 was passed and adopted by the Lodi
City Council in a regular meeting held January 16, 2008, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Katzakian, and
Mayor Mounce
NOES: COUNCIL MEMBERS — Hitchcock
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
RANDI JOHL
City Clerk
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