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Home My WebLink AboutAgenda Report - June 19, 2019 H-01AGENDA ITEM H-l Crry or Lool Gou rrrcu ComMU NtcATtoN TM AGENDA TITLE: MEETING DATE: SUBMITTED BY: Adopt Resolution Approving the Statement of Benefits between the City of Lodi and Lodi Fire Mid-Managementforthe Period July 1,2019 through June30,2022 June 19,2019 Human Resources Manager RECOMMENDED AGTION: Adopt resolution approving the Statement of Benefits between the City of Lodi and Lodi Fire Mid-Management for the period July 1, 2019 through June 30,2022. BAGKGROUND INFORMATION: Representatives from the City and Lodi Fire Mid-Management (LFMM) have reached a tentative agreement on a new Statement of Benefit (SOB), subject to the approval of Council. A redline strikeout version of the SOB is attached for Council review and approval. A summary of the key changes to the SOB are as follows: o The term of the SOB shall be from July 1,2019 through June 30, 2022.. Four and one quarter percent (4.25Yo) salary adjustment July 1 , 2019, three percent (3.0%) salary adjustment July 1 ,2020, and three percent (3%) salary adjustment July 1 ,2021.. Maintaina29o/o salary differential between top step Fire Captain and top Step Battalion Chief based on defined salary and benefit factors for each position, after all agreed upon salary adjustments have been made effective July 1't of each year of the contract. Provides for education incentives to be paid upon completion of coursework rather than issuance of the certificate through California State Fire Training.o Clarification of leaves of absence and family sick leave to provide consistency between the Lodi Professional Firefighters (LPF) MOU and LFMM SOB. LFMM continues to partner with the City to maintain a high level of service at a reasonable cost to the community. Both the City and LFMM recognize the need to offer competitive salary and benefit packages to attract and retain talented employees. Both also recognize the need for the City to maintain its financial health. ln comparison to agencies listed in Article I of the statement of benefits, LFMM are compensated below the average and median for comparable positions in other agencies. The modest increases offered in this agreement bring those employees closer to both average and median and it is anticipated will keep them near this midpoint throughout the term of the contract. The agreement strikes a balance by providing enhanced salary to LFMM members at a reasonable cost to the City. Staff recommends that the Council approve the SOB between the City and LFMM. APPROVED: Manager FISCAL IMPACT FUNDING AVAILABLE Attachment The total long term annual cost of the proposed agreement is $170,000. The total cost of the term of the agreement is $350,000 as shown below. Fiscal Year 2019120 $ 65,000 Fiscal Year 2020121 $115,000 Fiscal Year 2021122 $170,000 Total Cost (3 years)$350,000 Staff anticipates that budget adjustments for these increases will be needed at Mid Year Fiscal Year 2019120. Vacancy savings are the first source for funding the increases for this and future employee contract changes in the coming Fiscal Year. These savings have been significant in the past three years allowing the City to build up substantial reserves. lt is anticipated that some reserves may be used to finance salary increases. Staff will first seek to prioritize Pension Stabilization Reserves held at PARS to pay eligible pension costs in order to preserve locally held economic and catastrophic reserves should actual reserves be needed. Staff will seek Council input prior to any use of reserves. Post, Human Resources Manager Andrew Keys,puty City Manager RESOLUTTON NO. 2019-120 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING THE STATEMENT OF BENEFITS WITH LODI FIRE MID-MANAGEMENT EFFECTIVE JULY 1,2019 THROUGH JUNE 30,2022 WHEREAS, representatives from the City and Lodi Fire Mid-Management (LFMM) have bargained in good faith and reached a tentativè agreement on a successor Statement of Benefits; and WHEREAS, it is recommended that Council approve revisions to the Statement of Benefits with LFMM to include the following: . Term: July 1 , 2019 to June 3Q, 2022.. Four and one quarter percent (4.25o/o) salary adjustment July 1 , 2019, three percent (3.0%) salary adjustment July 1 , 2020, and three percent (3%) salary adjustment July 1 ,2021.. Maintain a20o/o salary differential between top step Fire Captain and top Step Battalion Chief based on defined salary and benefit factors for each position, after all agreed upon salary adjustments have been made effective July 1st of each year of the contract.. Provides for education incentives to be paid upon completion of coursework rather than issuance of the certificate through Cálifornia State Fire Training.. Clar.ification of leaves of absence and family sick leave to provide consistency between the Lodi Professional Firefighters (LPF) Memorandum of Understanding and LFMM Statement of Benefits. NOW, THEREFORE, BE lT RESOLVED that the Lodi City Council does hereby approve the attached Statement of Benefits (Exhibit A) between City of Lodi and Lodi Fire Mid-Management, effective July 1 , 2019 through June 30, 2022. Date: June 19,2019 I hereby certify that Resolution No. 2019-120 was passed and adopted by the Lodi City Council in a regular meeting held June 19,2019, by the following vote: AYES: COUNCIL MEMBERS - Johnson, Kuehne, Mounce, and Nakanishi NOES: COUNCIL MEMBERS - None ABSENT: COUNCIL MEMBERS - Mayor Chandler ABSTAIN: COUNCIL MEMBERS - None NIFER 2019-120 City Clerk FERRAIOLO CITY OF LODI LODI FIRE MID-MANAGEMENT (LFMM) STATEMENT OF BENEFITS JULY 1, 2019 – JUNE 30, 2022 FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 2 Contents ARTICLE I - SALARY ............................................................................................................................................... 3 ARTICLE II - DEFERRED COMPENSATION ........................................................................................................ 3 ARTICLE III - FLEXIBLE SPENDING ACCOUNT ............................................................................................... 4 ARTICLE IV – BILINGUAL ....................................................................................................................................... 4 ARTICLE V - EDUCATION INCENTIVE ............................................................................................................... 4 ARTICLE VI – JURY DUTY ....................................................................................................................................... 5 ARTICLE VII - LONGEVITY PAY.......................................................................................................................... 6 ARTICLE VIII - OVERTIME .................................................................................................................................... 6 ARTICLE IX – CATASTROPHIC LEAVE ................................................................................................................. 7 ARTICLE X - RETIREMENT .................................................................................................................................... 7 ARTICLE XI - VACATION LEAVE .......................................................................................................................... 9 ARTICLE XII - ADMINISTRATIVE LEAVE ......................................................................................................... 9 ARTICLE XIII - HOLIDAYS .................................................................................................................................. 10 ARTICLE XIV – LEAVE OF ABSENCE .................................................................................................................. 10 ARTICLE XV - SICK LEAVE ................................................................................................................................ 10 ARTICLE XVI - SICK LEAVE CONVERSION .................................................................................................... 11 ARTICLE XVII - SURVIVORS BENEFITS............................................................................................................ 12 ARTICLE XVIII - EXECUTIVE PHYSICAL EXAMINATION ............................................................................ 12 ARTICLE XIX - MEDICAL INSURANCE ............................................................................................................ 13 ARTICLE XX - DENTAL INSURANCE ................................................................................................................ 13 ARTICLE XXI - VISION INSURANCE ................................................................................................................. 13 ARTICLE XXII - LIFE INSURANCE .................................................................................................................... 14 ARTICLE XXIII - CHIROPRACTIC INSURANCE ............................................................................................... 14 ARTICLE XXIV - UNIFORM ALLOWANCE ........................................................................................................ 14 ARTICLE XXV - TUITION REIMBURSEMENT ................................................................................................. 14 ARTICLE XXVI - 56-HOUR WORK WEEK ......................................................................................................... 14 ARTICLE XXVII - PERSONAL LIABILITY ......................................................................................................... 15 ARTICLE XXVIII - GRIEVANCE PROCEDURE .................................................................................................... 15 ARTICLE XXIX - DISCIPLINARY PROCEDURE .................................................................................................. 16 ARTICLE XXX –CITY RIGHTS ............................................................................................................................... 19 ARTICLE XXXI – DEPARTMENT SANCTIONED TEAMS .................................................................................. 19 ARTICLE XXXII – COMPLETE AGREEMENT ...................................................................................................... 20 ARTICLE XXXIII – SEVERABILITY ...................................................................................................................... 20 Schedule A – Salary Schedules ................................................................................................................................... 21 FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 3 FIRE MID-MANAGEMENT CLASSIFICATIONS Deputy Fire Chief Fire Battalion Chief ARTICLE I - SALARY 1.1 Effective August 27, 2018, the City shall increase the salary ranges by three percent (3%) in exchange for a CalPERS cost sharing agreement pursuant to California Government Code §20516; whereby Fire Mid-Management employees agree to pay three percent (3%) of the employer’s normal pension cost of CalPERS. The parties agree that should the parties negotiate the elimination of the three percent (3%) cost-sharing by the employee, the corresponding three percent (3%) salary adjustment is subject to reduction, elimination or change through the negotiation process. 1.2 Effective with the first full pay period following Council approval of the Statement of Benefits, employees in this bargaining unit will receive a four and one-fourth percent (4.25%) cost of living adjustment. Effective with the first full pay period in J uly 2020 and July 2021 employees will receive a three percent (3%) cost of living adjustment. 1.3 As of July 1, 2019, and each July 1 in which the contract is in effect, the City will maintain a 20% salary differential between top step Fire Captain and top Step Battalion Chief. This differential will be calculated based on the following factors using the salaries to be in effect as of July 1 when factoring in any negotiated salary adjustments including those to be effective on July 1. For the comparison, the Battalion Chief working a 112 hour shift schedule will be used. Fire Captain Fire Battalion Chief Top Step Base Salary (after any increase due July 1 in the respective year) Top Step Base Salary (after any increase due July 1 in the respective year) Technical Team Incentive EMT Incentive FLSA Pay Cash Value of 120 hours Admin Leave at base salary Driver/Operator Incentive If after performing the calculation a 20% or greater separation already exists, no further adjustments will be made. If after performing the calculation a separation of less than 20% exists, the salary tables for all positions in the bargaining group will be adjusted upward by the percentage necessary to get to a 20% differential. 1.3 The City of Lodi and the Fire Mid-Management group agree that the term of this agreement is July 1, 2019 to June 30, 2022. ARTICLE II - DEFERRED COMPENSATION 2.1 Employees may participate in the City's Deferred Compensation Plan. 2.2 The City matches up to a maximum of 3.0% of base salary. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 4 ARTICLE III - FLEXIBLE SPENDING ACCOUNT 3.1 Employees shall have the option of participating in the Flexible Spending Account (Section 125 Plan). Employees may elect to participate in; a. Pre-tax Premium b. Medical Flexible Spending Account c. Dependent Care Flexible Spending Account 3.2 Elections for the calendar year will be made each December, or if a change in family status occurs. Effective in plan year 2018, the Medical Flexible Spending Account (FSA) will include a carryover provision which allows an active participant to automaticall y carryover up to $500 to the new plan year. However, amounts over $500 would be forfeited after the final filing date, if left unclaimed. ARTICLE IV – BILINGUAL 4.1 Employees shall have the same bilingual incentive as set forth in the LPF MOU. ARTICLE V - EDUCATION INCENTIVE 5.1 Education incentives will be available to eligible employees for specified degrees, certifications, and licenses. Associate of Arts Degree - $50.00 per month if the: a) AA Degree is in Fire Science or related field; b) AA Degree is in a non-related field with a Fire Science Certificate from an accredited institution; or c) Employee has AA Degree and is actively pursuing a Bachelor of Arts degree. Or: Bachelor of Arts Degree - $100.00 per month. 5.2 If an employee possesses a BA degree, he/she will receive a maximum of $100.00 under Section 5.2. This incentive in this subsection 5.2 is limited to employees hired prior to March 16, 2012. 5.3 Emergency Medical Technician $200.00 per month 5.4 Employees will receive education incentive pay upon completion of the required coursework for the following professional certifications through California State Fire Training: Chief Fire Officer* 100.00 per month Company Officer* 50.00 per month Fire Investigator 12.50 per month FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 5 Instructor Level III* 25.00 per month Fire Inspector I* 25.00 per month Community Risk Officer* 12.50 per month *Certification title changes made by California State Fire Training 5.5 Employees shall receive a maximum of $250.00 per month for incentives listed in subsection 5.4. However, an additional $25.00 per month may be earned if the employee possesses a Hazardous Materials Specialist/Technician Certificate. 5.6 Persons possessing the aforementioned requirements shall not receive the incentive pay until such time as evidence of completion is produced. Incentive pay shall be retroactive to the final course completion date up to a maximum of six (6) months from the date Human Resources received the required documentation. ARTICLE VI – JURY DUTY 6.1 All full-time regular employees are granted jury duty leave with pay. Any employee who is summoned to attend any court during the time regularly required for his employment for the purpose of jury service shall be entitled, while so engaged and actually se rving, to his regular compensation in addition to any jury duty compensation. 6.2 No employee shall be granted jury duty leave with pay in which such employee will be testifying in behalf of oneself or as a witness in a court of law. 6.3 An employee serving on jury duty, who is not required to be in attendance at such jury duty for more than one half of the employee's normal working day is expected to return to his regular work assignment for the balance of the day. An employee seated on a jury shall not be scheduled for regular work during the twelve hours preceding the scheduled time for jury duty. 6.4 If an employee covered by this Agreement is required by subpoena to appear in court or to give a deposition as a result of an action taken within the scope of employment with the City, that employee shall receive his full pay while so doing, with no loss of time if he/she is on regular duty. If the employee is not on duty, the City agrees to compensate that employee at one and one-half times his/her regular rate of pay, for the time spent in any appearance as required by this Article. The employee shall demand a witness fee and shall reimburse same to the City. As a prerequisite for payment to off-duty employees, the Fire Chief or his designee must be notified in writing of the off-duty appearance within seventy-two hours after the employee is subpoenaed or otherwise notified of the required court appearance. The employee shall demand a witness fee and shall reimburse the same to the City. 6.5 Voluntary Grand Jury service such as that service in San Joaquin County, is not covered by Jury Duty leave. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 6 ARTICLE VII - LONGEVITY PAY 7.1 After completing ten years of service with the Lodi Fire Department, employees shall receive an annual longevity pay in the 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 Fire Department. Employees who have completed twenty years of service with the Lodi Fire Department will receive longevity pay in the amount of $3,000 in November of the year following completion of twenty full years of service and each year thereafter. For the purposes of this article, all employees who as of October 31st 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 Fire Department) shall receive the longevity pay associated with their years of service with the Lodi Fire Department. The incentive in Article VII is limited to employees hired prior to March 16, 2012. ARTICLE VIII - OVERTIME 8.1 Due to the fact that the classifications in this bargaining unit are deemed exempt from the overtime requirements of the Fair Labor Standards Act (FLSA), the following special provisions for the payment of overtime will apply. Employees shall be compensated for overtime at the time and one-half rate for time worked due to emergencies. Overtime for Fire non-shift employees is based on a 40 hour work week. Overtime for Fire shift employees is based upon a 56 hour work week. Emergencies shall be determined by the appropriate department head and include but are not limited to such events as:  Major storm damage requiring the dispatching of additional crews;  The necessity to cover scheduled shifts;  Direct supervision of crews assigned to work during normal days off to accommodate the public;  Break down of equipment and/or systems requiring the presence of the mid- manager in order to restore service. 8.2 Overtime pay shall not be paid for the following:  Staff meetings;  Special projects;  Conferences and seminars - except as noted below;  Appearances before City Council and commissions;  Public information presentations;  Activities involved with the completion of normal activities or programs such as budgets, inventory, annual financial closings, labor negotiations, and recreation programs. 8.3 All overtime must be approved by the department head. Any deviations from these guidelines must be approved in advance by the department head and the City Manager. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 7 8.4 Employees may accrue compensatory time in lieu of overtime pay. The accrual rate for compensatory time shall be one and one-half hours for each hour worked. 8.5 No more than one hundred forty-four (144) hours of compensatory time may be carried on the books at any time. Bargaining unit members shall be allowed to cash out up to a maximum of 144 hours of earned compensatory time off twice per year, in April and October. 8.6 Upon separation, the employee will be paid at the employee’s current hourly rate or the average of the last three years, whichever is higher for the remaining compensatory balance. 8.7 Upon promotion into a Mid-Management position all previously accrued compensatory time must be paid or used prior to the promotion. 8.8 Deputy Fire Chief is considered an exempt classification not subject to any of the exceptions for overtime specified in this section. However, for the purposes of and in recognition of San Joaquin County Strike Team Agreements, the Deputy Fire Chief and Battalion Chiefs will be allowed to participate in Strike Team Operations and be eligible for overtime as provided for in said agreements. ARTICLE IX – CATASTROPHIC LEAVE 9.1 Members of this bargaining group shall be covered by and subject to the Citywide Catastrophic Leave Policy set forth in the City’s current Administrative Policy Manual. ARTICLE X - RETIREMENT 10.1 The City of Lodi provides retirement benefits through the Public Employees Retirement System (PERS). Employees shall receive the following retirement benefits. The following plan is available to employees hired prior to December 22, 2012 and deemed to be “classic” employees by PERS:  Safety 3% @ 50 plan  1957 Survivors Benefit  1959 Survivors Benefit -3rd Level  Employee shall pay the full employee share of retirement costs (maximum of 9%) as calculated by PERS in its annual actuarial valuation  Credit for Unused Sick Leave  Military Service Credit as Public Service  Single Highest Year FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 8 10.2 Employees hired after December 22, 2012 and deemed to be “classic” employees by PERS shall have the following retirement benefit:  Safety 3% @ 55 plan  1957 Survivors Benefit  1959 Survivors Benefit -3rd Level  Employee shall pay the full employee share of retirement costs (maximum of 9%) as calculated by PERS in its annual actuarial valuation  Credit for Unused Sick Leave  Military Service Credit as Public Service  Average of three highest consecutive years 10.3 City agrees to provide the following retirement program for employees deemed to be “new” employees by PERS under the Public Employee’s Pension Reform Act of 2013 (PEPRA):  Safety 2.7% @ 57 plan  1957 Survivors Benefit  1959 Survivors Benefit – 3rd Level  Average of three highest consecutive years  Credit for Unused Sick Leave  Military Service Credit as Public Service  Employee shall pay the full employee share of retirement costs as calculated by PERS in its annual actuarial valuation 10.4 To the extent permitted by PERS law, the parties intend the following items to be considered PERSable compensation:  Salary  Department sanctioned teams  Education/certification incentives  Uniform allowance  Longevity pay  Bilingual pay  Holiday pay  FLSA pay 10.5 Each employee in this unit shall pay three percent (3%) towards the employer’s share of CalPERS normal pension cost (cost-sharing). FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 9 ARTICLE XI - VACATION LEAVE 11.1 Employees shall receive the following vacation benefits: Employee’s assigned to a forty (40) hour work week: Beginning with: Date of Hire: 3.08 hours per pay period 6th year 4.62 hours per pay period 12th year 5.23 hours per pay period 15th year 6.16 hours per pay period 21st year 6.47 hours per pay period 22nd year 6.78 hours per pay period 23rd year 7.09 hours per pay period 24th year 7.40 hours per pay period 25th year 7.71 hours per pay period Employee’s assigned to Shift work (56 hour work week): Beginning with: Date of Hire: 5.54 hours per pay period 6th year 8.31 hours per pay period 15th year 11.08 hours per pay period 21st year 11.65 hours per pay period 22nd year 12.20 hours per pay period 23rd year 12.76 hours per pay period 24th year 13.32 hours per pay period 25th year/above 13.88 hours per pay period Vacation leave shall be used in increments of not less than quarter hours. Maximum vacation accrual (carry over) shall follow the City’s Vacation Leave Policy. 11.2 Members shall have the option of cashing out any vacation time in excess of 2 tours, or 80 hours for those who work a 40-hour workweek. Members may request a cash-out of vacation at any time. Balances will be paid in the employee’s regularly scheduled paycheck. A request to cash out vacation time must be in writing and submitted to the Finance Division. ARTICLE XII - ADMINISTRATIVE LEAVE 12.1 Employees will be given 80 hours of administrative leave (or 120 hours for shift personnel) per calendar year. Leave shall be taken in increments of not less than quarter hours. Balances must be used prior to December 30 or they will be lost. 12.2 New employees or employees becoming eligible due to a promotion receive administrative leave on a prorated basis, with six point six seven (6.67) hours granted for each full calendar month remaining in the calendar year with a maximum of 80 hours . Shift employees will be granted 10 hours leave for each full calendar month remaining in the calendar year with a maximum of 120 hours. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 10 12.3 Employees separating mid-year will receive a cash pay out for unused Administrative Leave on a prorated basis in accordance with this section. 12.4 Employees are eligible to cash out all of their current Administrative Leave balance in any calendar year. A request to cash out Administrative Leave must be in writing and submitted to the Finance Division. ARTICLE XIII - HOLIDAYS 13.1 Effective January 2004, employees shall receive either 108 hours (non-shift) or 156 hours of holiday leave. In January of each year, every member’s holiday account will be credited with the appropriate number of holiday hours. Employees hired mid-year or terminating mid-year shall have holiday hours credited or deducted at the rate of 6.0 hours for shift employees and 4.15 hours for non-shift employees per pay period. 13. 2 Holiday hours shall be taken in increments of not less than quarter hours and may not be carried into the following calendar year. Each year, the pay period in which December 1 falls, employees will be paid for the unused holidays at the straight-time rate. ARTICLE XIV – LEAVE OF ABSENCE 14.1 The City and Fire Mid-Management mutually agree that inability to return to work after an employee's sick leave has been exhausted shall be considered an urgent and substantial reason for the granting of a leave of absence in accordance with the Leave of Absence policy in the City of Lodi Administrative Policy Manual. 14.2 The City interprets this Section as providing that the conditions under which an employee shall be restored to employment on the termination of leave of absence shall be stated as clearly as possible at the time by the City in conjunction with the granting of the leave of absence. The City reaffirms its policy that an employee's status as a regular full-time employee is not impaired by such leave of absence. 14.3 Employees who are placed in a Leave Without Pay status following the expiration of sick leave, vacation, or compensatory time off, such that the employee is no longer in a pay status shall not receive employer paid employment benefits. However, if the leave is for medical reasons the medical insurance will be carried for three months at the City's expense. Other health benefits may be continued at the employee's expense. 14.4 Medical leave shall be in accordance with the Family Medical Leave Act (FMLA), the California Family Rights Act (CFRA), or Pregnancy Disability Leave (PDL) and/or other applicable state and federal laws. ARTICLE XV - SICK LEAVE 15.1 Sick Leave is earned at the rate of 3.70 hours per pay period for employees working a 40 hour work week and 5.54 hours for shift (56 hour work week) employees. There is no limit on the amount that can be accumulated. Total sick leave accrued is 12 days per year. Sick leave shall be taken in increments of not less than quarter hours. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 11 15.2 Employee’s requesting an absence to care for an immediate family member are authorized to use up to 72 hours of accumulated sick leave. Generally no more than 120 hours of family sick leave shall be approved in one calendar year. An immediate family member is defined as: child (including biological, adopted or foster child, step-child, legal ward or a child to whom the employee stands in loco parentis, regardless of age or dependency status), parents (including biological, adoptive or foster parent, step-parent or legal guardian of an employee or the employee’s spouse or registered domestic partner, or a person who stood in loco parentis when the employee was a minor child), spouse or domestic partner, grandparent, grandchild, or sibling (pursuant to definition of immediate family under AB 1522) ARTICLE XVI - SICK LEAVE CONVERSION 16.1 Employees hired prior to December 6, 1995, after 10 years with the City and only upon retirement, may convert their accumulated sick leave time to medical insurance premiums under the following options: OPTION #1 - "Bank" The number of accumulated hours shall be reduced by 16-2/3% and the remaining balance converted into days. The days are then multiplied by the current monthly premium being paid for the employee and, if applicable, his/her dependents. Fifty percent of that dollar amount will be placed into a "bank" to be used for medical insurance premiums for the employee, and if applicable, his/her dependents. For each year of employment over 10 years, 2.5% will be added to the 50% used in determining "bank" amount. Total premiums shall be paid from the Bank until its depletion, at which time the conversion benefit stops. Employees may also use their banks money to purchase Dental and/or Vision Insurance at the current premiums until their bank is depleted. OPTION #2 - "Conversion" The number of accumulated hours shall be multiplied by 50% and converted to days. The City shall pay one month's premium for employee and dependents for each day after conversion. For each year of employment in excess of 10 years, 2.5% shall be added to the 50% before conversion. The amount of premium paid shall be the same as the premium paid by the City at the time of retirement, subject to the cap shown in Section 19.1. Any differences created by an increase in premiums must be paid for by the employee. OPTION #3 – “Service Credit” A retiring employee will be able to convert unused sick leave to service credit for CalPERS retirement purposes. 16.2 Employees hired after December 6, 1995 will not have the option of converting unused sick leave time into medical insurance premiums as referenced in OPTION 1-2. The only option available to these employees is OPTION #3 “Service Credit”. If an individual previously qualified for the sick leave conversion option while in the United Professional FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 12 Firefighters unit, they will retain their eligibility if promoted to Fire Mid-Management with an effective date of December 6, 1995. 16.3 In the event an active employee dies before retirement and that employee is vested in the Sick Leave Conversion program (10 years) the surviving dependents have an interest in one-half (1/2) the value of the bank as calculated in section 16.1. 16.4 The City shall allow a surviving dependent of a retiree enrolled in the Sick Leave Conversion program to purchase medical insurance at the employee only premium for the same period as if the retiree had not died. 16.5 A retiree or surviving dependent, upon expiration of City-paid coverage, if any, has the option of purchasing at the prevailing rate additional medical insurance for an unlimited amount of time. 16.6 Out of area retirees may receive reimbursement for medical insurance premiums up to the City's liability as specified in Section 16.1; Option #2. 16.7 Only one City of Lodi employee may carry dependent coverage for another City employee, therefore, upon retirement the employee may re-enroll as an individual into the health plan in order to take advantage of the Sick Leave Conversion program. 16.8 A retiree or surviving dependent may purchase dental and vision insurance at the City group rate through the Sick Leave Conversion Bank option. ARTICLE XVII - SURVIVORS BENEFITS 17.1 The City shall pay in accordance with 16.1 for health and dental benefits described in this MOU for the Surviving spouse and any minor children of any member of the Fire Mid- Management group who is killed or dies during the performance of official duties. Premiums will continue to be paid by the City until such time such time as the surviving spouse is covered by other insurance or remarries, and for dependen t children of the member killed in the line of duty until such time as either: a. the children become adults, or b. the children are covered under other alternative medical coverage provided by and through the surviving spouse or the person who he/she remarries. ARTICLE XVIII - EXECUTIVE PHYSICAL EXAMINATION 18.1 Employees may elect to receive an executive physical examination in accordance with the provisions of the City’s medical insurance plan to include any and all of the following procedures as applicable and as deemed necessary by the employee's physician:  A complete office examination  An executive blood panel  Urinalysis  Mammogram  Pap smear  Chest X-ray  EKG (resting) FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 13 18.2 Employees shall be reimbursed for costs not covered by the medical insurance for the procedures referenced in this section. Any additional tests judged necessary shall be the responsibility of the employee. Employees must submit all related receipts, attached to a claim voucher, to the Finance Department for reimbursement. ARTICLE XIX - MEDICAL INSURANCE 19.1 All employees are offered medical insurance for themselves and dependents through Cal PERS-Medical Plans. City shall pay 100% premium for the employee’s family category (Family, Employee+1, Single) for the lowest cost PERS HMO available in Lodi’s geographical area (excluding Porac) as of January 1, 2014. If Employee selects a higher cost plan, Employee will pay the difference as a payroll deduction. If an employee elects not to be covered by medical insurance through the City of Lodi, an additional $692.81 per month for family or $532.92 for employee + 1 dependent will be added to either the employee’s deferred compensation account or cash. A single employee who can show proof of group insurance will be eligible for $305.22. In order to qualify for this provision, proof of group insurance must be provided to the City. Effective January 1, 2018, the City’s contributions to the premiums for medical insurance coverage will be capped at the following rates and employees will be responsible for premium costs in excess of this amount: Single $690.20 Employee + 1 $1,380.39 Family $1,794.51 19.2 Only one City of Lodi employee may carry dependent coverage for another City employee. Co-payments incurred due to the loss of dual coverage will be reimbursed by the City of Lodi on a quarterly basis. ARTICLE XX - DENTAL INSURANCE 20.1 Employees are provided fully paid family dental insurance. 20.2 Maximum benefits are $1,000 for each family member enrolled into the dental plan, per calendar year. There is a $25 deductible plus co-insurance features. ARTICLE XXI - VISION INSURANCE 21.1 The City shall provide and pay for a vision care plan underwritten by VSP or comparable vision care plan. Such comparable vision care plan shall be the same as the plan offered to mid and executive management employees in the City. The plan shall have a $25 deductible, shall provide annual examinations and lenses. Frames are available every two years. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 14 ARTICLE XXII - LIFE INSURANCE 22.1 Employees are provided with term life and accidental death/dismemberment insurance at a benefit rate of $25,000. This benefit decreases after age 70 on a sliding scale, depending on age. 22.2 Employees are provided with $100,000 of accident insurance while traveling on City business outside the City limits. Spouses are only covered while accompanying the City employee on City business, or while conducting business on behalf of the City. 22.3 Employees are also provided with a $25,000 accidental death policy in the event of death resulting from a line-of-duty injury. ARTICLE XXIII - CHIROPRACTIC INSURANCE 23.1 Chiropractic services may be received by employees and dependents through a chiropractic insurance plan. Plan will allow up to a maximum of 40 visits per calendar year. Co-payments for services are $10.00. 23.2 The City shall pay the full costs of premiums for the employee and dependent(s) during the life of this agreement. ARTICLE XXIV - UNIFORM ALLOWANCE 24.1 The uniform allowance shall be $950.00 per year, paid quarterly, as part of the last bi- weekly paycheck in the months of March, June, September, and December. ARTICLE XXV - TUITION REIMBURSEMENT 25.1 Tuition Reimbursement shall follow the City’s Tuition Reimbursement Policy. 25.2 Training Reimbursement In addition to the City policy, individuals enrolling in courses offered by recognized professional organizations which are not accredited through a college or university shall be eligible for up to a maximum of $300 per fiscal year, to be paid upon the satisfactory completion of course work. Any expenses are subject to the approval of the Fire Chief. ARTICLE XXVI - 56-HOUR WORK WEEK 26.1 The work schedule will be a schedule of “56 hours per week” with two on-duty shifts in six 24-hour periods. For purposes of the FLSA, it is mutually understood the City has declared a 24 day work cycle 26.2 If an employee assigned to a 56-hour work week schedule terminates his/her employment in the middle of a two week payroll cycle, the employee’s pay for that cycle shall be computed by multiplying the number of days between the first day of the payroll cycle and the last shift worked by eight (8) hours or the number of actually worked in that payroll cycle, whichever is greater. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 15 26.3 It is agreed that if the work schedule of a Fire Mid-Management employee is a 40-hour week, then all holiday, vacation, and sick leave benefits are based on a 40 -hour week rather than a 56-hour week. 26.4 In order to convert the hours for employees that move from a 40 hour work week to a 56- hour work week or from a 56-hour work week to a 40 hour work week, the following formulas will be applied: For conversion from 40 to 56 hours Multiply by 1.4 For conversion from 56 to 40 hours Multiply by 0.7143 Thereafter, accruals shall be earned based on the assigned work schedule. ARTICLE XXVII - PERSONAL LIABILITY 27.1 Employees shall be indemnified and held harmless by the City against all costs, legal expenses, and liability arising out of decisions made in their capacity for the City of Lodi and/or from any cause of action for property damage, or damages for personal injury, including death, sustained by person(s) as a result of a decision made in their capacity, except that: a. The City is not required to but may provide for the defense of an action or proceeding brought against an employee or former employee if the City determines that: 1. The act or omissions was not within the scope of their employment; or 2. They acted or failed to act because of actual fraud, corruption, or actual malice; or 3. The defense of the action or proceeding by the City would create a conflict of interest between the City and the employee or former employee. b. The City is not required to but may pay any claim of judgment for punitive or exemplary damages under the following circumstances: 1. The judgment is based on an act or omission of an employee or former employee acting within the course and scope of their employment as an employee of the City. 2. At the time of the act giving rise to the liability, the employee or former employee acted, or failed to act, in good faith, without actual malice and in the apparent best interests of the City. 3. Payment of the claim of judgment would be in the best interests of the City. ARTICLE XXVIII - GRIEVANCE PROCEDURE 28.1 Disputes involving the following subjects shall be determined by the Grievance Procedures established herein: a. Interpretation or application of any of the benefits listed herein. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 16 b. Disputes as to whether a matter is proper subject for the Grievance Procedure. c. Disputes which may be of a “class action” nature filed on behalf of the employees or the City. 28.2 Class action Grievances shall be submitted in writing to the City Manager or vice versa. 28.3 STEP ONE Discussion between the employee and the immediate supervisor, who will answer within 15 work days. This step shall be taken within 30 days of the date of the action complained of, or the date the grievant became aware of the incident which is the basis of the grievance. 28.4 STEP TWO If a grievance is not resolved in the initial step, then Step Two shall be a discussion between the employee, and the Department Head who shall answer within fifteen work days. This step shall be taken within fifteen work days of the date of the immediate Supervisor’s answer in Step One. 28.5 STEP THREE If a grievance is not resolved in Step Two, Step Three shall be the presentation of the grievance, in writing, by the employee 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. Step Three shall be taken within fifteen work days of the date of the answer in Step Two. 28.6 STEP FOUR If a grievance is not resolved by the City Manager or designee, mediation may be requested (and the City will enter into) by the Fire Mid-Management group, upon which costs will be equally borne between the City and the LFMM. ARTICLE XXIX - DISCIPLINARY PROCEDURE 29.1 Persons Authorized to Take Disciplinary Action: Employee discipline may be initiated by the City department head for cause against any employee under his/her supervision. Disciplinary actions in the form of termination or discharge shall be subject to final approval from the City Manager. 29.2 Notice (except in the case of oral or written reprimand): Notice of Intended Disciplinary Action shall be prepared in writing by the department head proposing the discipline and shall be served on the employee in person or by registered or certified mail. Notice shall be served prior to the action becoming effective; however, where circumstances require immediate removal of the employee from the workplace, notice shall be provided within two (2) working days from the date the employee is removed from the workplace. Employees so removed shall be placed on paid leave pending imposition of discipline. A copy of the Notice of Intended Disciplinary Action shall also be filed with the Human FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 17 Resources Director. The written Notice of Intended Disciplinary Action shall contain the following information: 1. The specific type of disciplinary action; 2. The effective date of the action; 3. The specific reason(s) or cause(s) for the actions; 4. Notice that the employee may inspect copies of all materials upon which the action is based, and 5. Notice that the employee has the right to respond orally or in writing within ten (1 0) days to the department head initiating the disciplinary action. No hearing before the City Manager is available to review oral or written reprimands. An employee who responds orally or in writing to the department head shall be entitled to meet in an informal conference with the department head and shall be given the opportunity to rebut the charges against him/her or to state any mitigating circumstances. In the case of oral or written reprimand, the department head’s decision shall be final. In the case of discharge, demotion, suspension, or reduction in pay, the department head or other City designee shall hear and consider the facts presented by the employee and shall thereafter submit a written recommendation to the City Manager to either impose, rescind or modify the proposed disciplinary action. The recommended proposed disciplinary action shall also be served on the employee. The recommendation shall contain: 6. The specific type of disciplinary action; 7. The specific reason(s) or cause(s) for the actions; 29.3 Final Notice of Disciplinary Action: Following review of the department head’s recommendation and the determination by the City Manager, the City Manager shall prepare a Final Notice of Disciplinary Action, advising the employee of the action to be taken, its effective date, and the employee’s appeal rights. 1. Disciplinary action shall become effective on the date stated in the Final Notice of Disciplinary Action, unless the date is otherwise extended by the City Manager. 2. The City Manager shall file a copy of the Final Notice of Disciplinary Action with the Human Resources Director. The Final Notice of Disciplinary Action shall be delivered personally to the employee or shall be sent by registered or certified mail. 29.4 Appeal of Disciplinary Action: In the event of a demotion, suspension or dismissal, and the affected employee is not satisfied with the decision rendered by the City Manager, the employee may appeal the decision. The employee may appeal disciplinary decisions by filing a written appeal with the Human Resources Director within fifteen (15) work days following service of the Final Notice of Disciplinary Action. The written appeal shall contain a written reply to the charges against the employee and written request for an appeal hearing. The employee shall submit a copy of the appeal to the City Manager. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 18 29.5 If an employee submits an appeal, the City shall refer the case to a neutral hearing officer selected through the California State Mediation and Conciliation Services to hear the appeal and submit an advisory decision to the City Manager. Selection of the hearing officer shall be made by the parties’ mutually selecting a list of 7 neutral hearing officers from the office of the California State Mediation and Conciliation Services. Absent mutual agreement on a name on the list, the parties will strike names from the list for final selection of the hearing officer. The selected hearing officer shall adhere to the following standard of review and hearing procedures: 1. The appeal hearing shall be informal and strict rules of evidence shall not apply. 2. The parties will have the right to present and cross-examine witnesses, issue opening and closing statements, and file written closing briefs. Witness testimony shall be under oath or affirmation. 3. The hearing officer may exclude testimony or evidence which he/she determines irrelevant or unduly repetitious. 4. Attendance at the appeal hearing shall be limited to those determined by the hearing officer to have a direct connection with the appeal. Witnesses normally would be present at the hearing only while testifying and should be permitted to testify only in the presence of the employee or his/her representatives and the City’s representatives. 5. The appeal hearing will be held on the City’s premises. 6. In conducting the appeal, the hearing officer’s authority/jurisdiction shall be limited to reviewing the factual basis supporting the discipline and determining that the factual basis was reached honestly, after a fair, appropriate and procedurally correct investigation and for reasons that were not arbitrary, discriminatory or pretextual. Should the hearing officer, conducting the review specified above, affirm the factual basis for the discipline decision, he/she may not substitute his/her judgment for that of management’s as to the level of discipline imposed. Should the hearing officer not affirm the factual basis for the discipline, the normal remedy will be to remand the matter to the decision level where the error occurred for reevaluation and/or correction consistent with the hearing officer’s findings. In such a case, the hearing officer will have the authority to retain jurisdiction over the appeal to ensure compliance with the remand decision. 7. The cost of the hearing officer shall be borne by the City. The parties will share equally the cost of the court reporter and each side will bear their respective costs of representation. 29.6 Any decision of the City Manager shall be final and binding. 29.7 Judicial review of any decision rendered under this section shall be governed by Code of Civil Procedure section 1094.5 FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 19 ARTICLE XXX –CITY RIGHTS 30.1 It is further understood and agree between the parties that nothing contained in this statement of benefits shall be construed to waive or reduce any rights of the City, which include but are not limited to, the exclusive rights to:  Determine the mission of its constituent departments, commissions, and boards  Set standards of service  Determine the procedures and standards of selection for employment  Direct its employees  Maintain the efficiency of governmental operations  Determine the methods, means, and personnel by which government operations are conducted  Take all necessary actions to carry out its mission in emergencies  Exercise complete control and discretion and the technology of performing its work. City Rights also include the right to determine the procedures and standards of selection for promotion, to relieve employees from duty because of lack of work or other legitimate reasons, to make and enforce standards of conduct and discipline, and to determine the content of job classifications. ARTICLE XXXI – DEPARTMENT SANCTIONED TEAMS 31.1 It is the intent of the City to develop specialized teams to address a variety of special hazards and provide specialized services to the department or community. When a team is established, minimum standards for inclusion and retention as a team member shall be developed and ratified by the Fire Chief. Any member of the department who becomes a member of a recognized specialized team, shall receive a 2.5% salary increase for as long as he/she meets the minimum entry level requirements and maintains a minimum level of participation as outlined in the team membership requirements. Each employee of the department can only receive 2.5% of salary for team membership, regardless of the number of teams the employee belongs to. 31.2 Existing members of the Hazardous Materials Team shall remain members of the team and shall continue to receive the 2.5% salary increase. The three members of the department who meet the minimum requirements for inclusion on the Hazardous Material Team shall be able to join the team and receive the 2.5% salary increase upon ratification of this contract. However, no additional team members shall be assigned to the Hazardous Material Team until the membership falls below 12 members. There shall be a six month period for the team to develop acceptable performance standards for maintaining his/her membership on the team. 31.3 The development of new teams shall require the submittal of minimum entry level and performance criteria for maintenance of membership to the Fire Chief prior to the development of the team. The Fire Chief shall have the sole discretion as to the appropriate number of members per specialized team. The department shall make every FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 20 effort to develop a cadre of specialized teams to adequately address the needs of its members. 31.4 Effective March 5, 2012, the 2.5% salary increase resulting from membership in the above sanctioned teams was incorporated into base salary and the incentive pay was eliminated. Each member of the department shall be a member of a sanctioned team and the scope and nature of the teams shall remain as detailed in this Article. ARTICLE XXXII – COMPLETE AGREEMENT 32.1 The parties acknowledge that during the negotiations which resulted in this SOB, each had the unlimited right and opportunity to make demands and proposals with respect to any subject matter not removed by law from the scope of negotiations, and that the understandings arrived at by the parties after the exercise of that right and opportunity are set forth in this SOB. Any other prior existing understanding or agreements by the parties, whether formal or informal, regarding such matters are hereby superseded or terminated in their entirety. ARTICLE XXXIII – SEVERABILITY 33.1 In the event any provision of this SOB is found by a court of competent jurisdiction to be invalid, all other provisions shall be severable and shall continue in full force and effect. FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 21 SCHEDULE A – SALARY SCHEDULES Effective July 1, 2019 Job Title Job Code Step 0 Step 1 Step 2 Step 3 Step 4 Fire Battalion Chief - 80 6100 $ 104,585.98 $ 109,815.23 $ 114,816.26 $ 121,071.26 $ 127,124.85 Fire Battalion Chief - 112 6101 $ 104,585.98 $ 109,815.23 $ 114,816.26 $ 121,071.26 $ 127,124.85 Deputy Fire Chief 6120 $ 125,503.09 $ 131,778.16 $ 138,367.06 $ 145,285.46 $ 152,549.73 Effective July 1, 2020 Job Title Job Code Step 0 Step 1 Step 2 Step 3 Step 4 Fire Battalion Chief - 80 6100 $ 107,723.56 $ 113,109.69 $ 118,260.75 $ 124,703.40 $ 130,938.59 Fire Battalion Chief - 112 6101 $ 107,723.56 $ 113,109.69 $ 118,260.75 $ 124,703.40 $ 130,938.59 Deputy Fire Chief 6120 $ 129,268.19 $ 135,731.51 $ 142,518.08 $ 149,644.02 $ 157,126.23 Effective July 1, 2021 Job Title Job Code Step 0 Step 1 Step 2 Step 3 Step 4 Fire Battalion Chief - 80 6100 $ 110,955.26 $ 116,502.98 $ 121,808.57 $ 128,444.50 $ 134,866.75 Fire Battalion Chief - 112 6101 $ 110,955.26 $ 116,502.98 $ 121,808.57 $ 128,444.50 $ 134,866.75 Deputy Fire Chief 6120 $ 133,146.23 $ 139,803.45 $ 146,793.62 $ 154,133.34 $ 161,840.01 FIRE MID-MANAGEMENT – STATEMENT OF BENEFITS 22 CITY OF LODI LODI CITY FIRE MID-MANAGEMENT. A MUNICIPAL CORPORATION Stephen Schwabauer Ron Penix City Manager Representative Date: Date: Andrew Keys Brad Doell Deputy City Manager Representative Date: Date: Adele Post Human Resources Manager APPROVED AS TO FORM: Janice D. Magdich City Attorney ATTEST: _____________________________________________ Jennifer M. Ferraiolo City Clerk