HomeMy WebLinkAboutAgenda Report - February 19, 2020 H-02AGENDA ITEM HmZ
CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt Resolution Approving Revisions to Compensation for Confidential General
Services Employees for the Period January 1, 2020 through December 31, 2022
MEETING DATE: February 19, 2020
SUBMITTED BY: Human Resources
RECOMMENDED ACTION: Adopt resolution approving revisions to compensation for
Confidential General Services employees for the period January 1,
2020 through December 31, 2022.
BACKGROUND INFORMATION: Confidential employees within the City are those employees who
are not represented by any bargaining group. These employees
perform work that requires a high level of skill and strict adherence
to standards of confidentiality to protect sensitive information
including information related to labor contract negotiations, legal matters and other employee related
issues within the City.
Confidential General Services employees are normally extended the same compensation and benefit
changes as those bargained for and agreed upon for represented employees. Negotiations with General
Services employees represented by AFSCME are on-going and a successor MOU has not been agreed
upon as of yet.
The City wishes to provide salary increases for the Confidential General Services without having to wait
for a successor MOU with AFSCME to be ratified. Should the agreements with AFSCME include
additional or enhanced benefits, staff will request that those benefit changes be extended to the
Confidential General Services employees respectively.
A summary of proposed changes to the compensation package for these employees is as follows:
• Salary increases of four percent (4%) effective January 13, 2020, 1% effective the first full pay period
in July 2020, and 5% effective the first full pay period in January 2021, and 2022.
■ PERS cost sharing agreement totaling an additional 3% pickup of the employer's share of the normal
cost as follows:
O 1 % first full pay period in July 2020
G 1 % first full pay period in January 2021
1 % first full pay period in January 2022
Lodi continues to face funding challenges over the next several years and must plan for them while
providing modest salary increases for employees who have collaborated with the City to ensure the fiscal
health of the City.
Staff recommends that the Council approve revisions to compensation for Confidential General Services
employees.
APPROVED:
Step ern Schwabauerrl City Manager
FISCAL IMPACT City wide, the total long term annual cost of the proposed agreement is
estimated to be $159,000. The total cost of the term of the agreement is
$275,000.
CITY WIDE COST ALL FUNDS
Calendar Year 2020 $ 16,800
Calendar Year 2021 $ 34,700
Calendar Year 2022 $ 70,000
Total Cost (3 Year)
$121,500
In the General Fund, total long term annual cost of the proposed agreement
is estimated to be $73,500. The total General Fund cost over the term of
the agreement is $127,000.
GENERAL FUND COST
Calendar Year 2020
$
10,000
Calendar Year 2021
$
20,400
Calendar Year 2022
$
41,700
$
72,100
Total Cost 3 Year)_
FUNDING AVAILABLE: Budget adjustments for these increases will be needed at Mid Year Fiscal
Year 2019/20. Vacancy savings are the first source for funding the
increases for this and future employee contract changes. These savings
have been significant in the past three years allowing the City to build up
substantial reserves. In Fiscal Year 2018/19, the General Fund ended the
year with over $1.5 million above its 16% fund balance reserve target.
Vacancy savings and these reserves will likely be necessary to finance a
portion of salary increases. Staff will first seek to prioritize Pension
Stabilization Reserves held at PARS or OPEB stabilization reserves held in
separate trust at CalPERS to pay eligible 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.
AcTele Post, Human Resources Manager
a4�'
Andrew Keys, 56puty City Manager
RESOLUTION NO. 2020-32
A RESOLUTION OF THE LODI CITY COUNCIL AMENDING SALARY
FOR THE CONFIDENTIAL GENERAL SERVICES EMPLOYEES
FOR THE PERIOD JANUARY 1, 2020 THROUGH DECEMBER 31, 2022
WHEREAS, Confidential employees are not represented by a bargaining union
or association; and
WHEREAS, confidential employees are highly trained professionals who handle
sensitive information pertaining to employee negotiations, litigation and other
employment related matters; and
WHEREAS, the City Council finds it in the best interest of the City to provide
salary increases for the Confidential General Services employees as their represented
counterparts have not finalized a successor Memorandum of Understanding.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
approve the following amendments to the compensation package for Confidential
General Services employees:
• 4% Salary Increase effective January 13, 2020; and
• 1 % Salary Increase the first full pay period in July 2020; and
• 5% Salary Increase the first full pay period in January 2021; and
• 5% Salary Increase the first full pay period in January 2022; and
• PERS cost sharing agreement totaling an additional 3% pickup of the employer's
share of the normal cost as follows:
o 1% first full pay period in July 2020
o 1% first full pay period in January 2021
o 1% first full pay period in January 2022
Dated: February 19, 2020
I hereby certify that Resolution No. 2020-32 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held February 19, 2020 by the following
vote:
AYES: COUNCIL MEMBERS — Chandler, Nakanishi, and Mayor Kuehne
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — Johnson and Mounce
ABSTAIN: COUNCIL MEMBERS — None
PAMELA M. FARRIS
Assistant City Clerk
2020-32