HomeMy WebLinkAboutAgenda Report - August 1, 2007 E-17AGENDA ITEM fW 1#1
i% CITY OF LODI
NW COUNCIL COMMUNICATION
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AGENDA TITLE: Approve Resolution amending Memorandum of Understanding between the City of
Lodi and the Lodi Police Mid -Management Organization for the period July 1, 2007
through September 30, 2011.
MEETING DATE: August 1,2007
PREPARED BY: Deputy City Manager
RECOMMENDED ACTION: Approve Resolution
between the City of
Organization for the
2011.
amending Memorandum of Understanding
Lodi and the Lodi Police Mid -Management
period July 1, 2007 through September 30,
BACKGROUND INFORMATION: The Memorandum of Understanding (MOU) between the City of
Lodi and the Lodi Police Mid -Management Organization (LPMO)
expired on June 30, 2007. The MOU was extended from July 1,
2006 for one year through June 30, 2007 with no Cost of Living Adjustments or any other salary
modifications. Prior to the expiration of the MOU, representatives from the LPMO, City staff and an
outside negotiator (Bill Avery from Avery and Associates) began negotiations for the purpose of
extending the MOU for another four years. The recommended elements of the MOU (as included in the
attached tentative agreement, Exhibit A) are as follows:
• A salary survey was conducted, which included total compensation (salary, Public
Employee Retirement System -employee contributions, health insurance premiums
paid by employer, education incentives, certification pay, longevity pay and deferred
compensation contributions by employer), for 15 cities as previously agreed upon in
the current MOU. The survey results show that the LPMO is 11.7% below the median
total compensation of the 15 comparative cities.
• Effective July 1, 2007 the Police Lieutenant Salary would be adjusted by 11.7% and
will be used as the benchmark for the Police Captain and Sergeant salary that will be
20% and 20% below (respectively) the Lieutenant's salary range.
• Salary adjustments on July 1,2008, July 1,2009 and July 1,2010 will be based on the
results of salary surveys to be based on the total compensation amounts of the 15
cities as of July 1st of each year as calculated on July 309'.
• If City of Lodi General Fund revenues do not increase by at least 1% in any of the
years starting after July 15t 2007, then the salary and benefits adjustments will be
based on negotiations between the City of Lodi and LPMO.
• All other elements of the MOU remain unchanged.
APPROVED: / --),
Blai W , City Manager
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
possibility of 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 $200,000 per year. In subsequent years, the impactwould vary depending on the
results cf total compensation surveys to be completed in those years and if revenues do not materialize,
then the fiscal impact would vary in depending on renegotiated terms.
FUNDING AVAILABLE: The increase of $200,000 to salary and benefits are available in the General
Fund; and if the modification to the MOU is approved, there would be an adjustment to the various
accounts in the Police Department budget to implement the needed adjustments to the 2007-08 budget.
09(nes. R. Krueger, Deputy City Manager
Attachments
RESOLUTION NO. 2007-159
A RESOLUTION OF THE LODI CITY
COUNCIL APPROVING MEMORANDUM OF
UNDERSTANDINGWITH THE LODI POLICE
MID -MANAGEMENT ORGANIZATION
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
approve the Memorandum of Understanding between the City of Lodi and the Lodi
Police Mid -Management Organization for the period July 1, 2007 through September 30,
2011, as shown on Exhibit attached hereto; and
BE IT FURTHER RESOLVED that the City Manager is hereby authorized to
execute the Memorandum of Understanding on behalf of the City of Lodi.
Dated: July 18, 2007
hereby certify that Resolution No. 2007-159 was passed and adopted by the
City Council of the City of Lodi in a regular meeting held July 18, 2007, by the following
vote:
AYES: COUNCIL MEMBERS — Hansen, Katzakian, Mounce, and
MayorJohnson
NOES: COUNCIL MEMBERS— Hitchcock
ABSENT: COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS— None
R NDI JOHL
City Clerk
2007-159
Tentative Agreement
Article I -Salary and Term
Article 1.1
The City of Lodi. and the LPMO mutually agree the Lieutenant position is the benchmark
position for all members of this bargainingunit for determining employee's
compensation.
Article 1.2
The Lieutenants salary increases will be calculated using the following formula
The City of Lodi and LPMO shall establish a salary survey to include the following areas
of comparison:
Salary
PERS employee contribution paid by employer
Health Care Contributions paid by employer
Education Incentives
POST CertificatePay
Longevity Pay
Deferred Compensation Contributions
Effective July 1,2007, once the survey is complete the LPMO and the City of Lodi will
calcul the�e�-6f median -will h
—
Lieutenants salary increases. Each year's survey called for herein will he based on July
1. st numbers calculated as o f July 31",
Article 1.3
Sergeant's salary increases will be calculated by dividing the Lieutenants salary by 1.20,
creating a 20% separation between Lieutenant and Sergeant.
Article 1.4
Captain's salary increases will be calculated by multiplying the Lieutenants salary by
1.20, creating a 20% separation between Lieutenant and Capti an,
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Article 1.5
July 1", 2007 a salary survey will be conducted using the formula in section 1.2. Salaries
will be increased effective July 1" 2007 based on the survey. (Notwithstanding any
changes occing afterthe date of this Tentative Agreement, the first year increase will
equal 11.7% for Lieutenants. Captains and Sergeants will be calculated as provided in
Amcle 1.3 and 1 A.)
Article 1.6
July 1" 2008 a salary survey will be conducted using the formula in section 1.2. If City of
Lodi General Fund Revenues increase by I% or more (using audited revenues for the
year ended June 30,2006 in comparison with audited revenues for the year ended June
30,2007) ,then salaries will be increased effective July V 2008, based on the survey. If
General Fund Revenues do not increase by at least 11/6, then LPMO and the City of Lodi
will reopen negotiations with regard to salary and benefits.
Article 1.7
July 1" 2009 a salary survey will be conducted using the formula in section 1.2. If City of
Lodi General Fund Revenues increase by 1 % or more (using audited revenues for the
year ended June 3 0,2 007 in comparison with audited revenues for the year ended June
30, 2008) , then salaries will be increased effective July I" 2009, based on the survey. If
General Fund Revenues do not increase by at least 10/0, then LPMO and the City of Lodi
will reopen negotiations with regard to salary and benefits.
Article 1.8
July 1" 20 10 a salary survey will be conducted using the formula in section 1.2. If City o f
Lodi General Fund Revenues increase by 1% or more (using audited revenues for the
year ended June 30,2008 in comparison with audited revenues for the year ended ,Tune
3012009) . tlen salaries will be increased effective July 1" 2009, based on the survey. If
General Fund Revenues do not increase by at least 1 %, then LPMO and the City of Lodi
will reopen negotiations with regard to salary and benefits.
Article 1.9
The terms and conditions of this MOU shall continue in effect during the term of t3iis
MOU. The City of Lodi and LPMO agree that the term is July 1$% 2007 through
September 30,201 1
Article 1.10
77
The City of Lodi and the LPMO agree to commence negotiations no later than (3) Months
prior to expiration of the MOU or three months prior to July I" 2008 if City revenues uw
not increase by at least 1 % (as per Article 1.6) and three months prior to July 1" 2009 if
City revenues do not increase by at least 1 % (as per Article 1.7) and three months prior to
July ] " 2010 if City revenues do not increase by at least 1 % (as per Article 1.8).
Article 1.11
The City of Lodi and the LPMO agree that the salary survey cities shall be as follows:
Chico
Clovis
Davis
F airfi eld
Manteca
Merced
Modesto
Redding
Roseville
Stockton
Tracy
Turlock
Vacaville
Visalia
Woodland
Article 1.12 —
LPMO will dismiss, and pursue no further administrative or legal action regarding, its
gnevsnce filed in 2007 under its MOU dated July 12006 -June 30,2007 concerning the
Lodi M id Management Association's grant of a 4% COLA and whether that action
triggered LPMO's "Me Too" clause.
Article 1.13
Except as modified herein, all other terms of the MOU shall be the same as those for the
LPMO MOU effective July 31,2003 -June 30,2007.
Article 1.14
Article 35.4 of the LPMO MOU effective July 31,2003 -June 30,2007 shall be amended
to read as follows:
7%
If a grievance is not resolved in Step One, Step two shall be the presentation of
the gnevance by the Association Representative, in writing, to the City Manager
who shall answer, in writing, within fifteen work days of receipt of the grievance,
the City Manager's decision shall be final and binding regarding the City's
Administrative Process.
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 LPMO.
LPMO
THE CITY OF ICDI, a municipal
corporation
f
By:
By: es Krueger, Deputy City Manager
Lance Hayden, President
APPROVED AS TO FORM:
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