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HomeMy WebLinkAboutResolution No. 12-C52RESOLUTION NO. 12-052 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA APPROVING THE JULY 16, 2012 SIDE LETTER AGREEMENT TO THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY AND THE AZUSA MIDDLE MANAGEMENT ASSOCIATION EFFECTIVE AUGUST 1, 2010 THROUGH JULY 31, 2011 WHEREAS, the City Council acknowledges the Azusa Middle Management Association as the recognized employee organization representing those personnel occupying the positions identified in the Memorandum of Understanding (MOU) between the City and the Azusa Middle Management Association (AMMA), and WHEREAS, the AMMA and City Staff have met and agreed to a side letter agreement (Agreement) that includes permanent and temporary compensation reductions and continues their MOU until July 31, 2013, and WHEREAS, AMMA has taken this step to assist the City and during its current fiscal challenges, and WHEREAS, the Agreement outlining all aspects of this cost saving agreement between the City of Azusa and the AMMA, is attached. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Azusa does hereby approve the Agreement attached hereto and does direct the representatives of management to affix their signatures thereon. The City Clerk shall certify the passage of this Resolution. APPROVED AND PASSED this 16'h day of July, 2012. G tAr,,4 oseph R. Rocha, Mayor I HEREBY CERTIFY that the foregoing Resolution wash duly passed by the City Council of the City of Azusa at a regular meeting thereof held on the 16' day of July, 2012. AYES: COUNCILMEMBERS: GONZALES, MACIAS, HANKS, ROCHA NOES ABSENT: COUNCILMEMBERS:NONE SIDE LETTER OF AGREEMENT BETWEEN THE CITY OF AZUSA AND AZUSA MIDDLE MANAGEMET ASSOCIATION REGARDING THE CONTINUATION OF THEIR CURRENT MOU THROUGH JULY 31, 2013 WITH CERTAIN AGREED TO CHANGES The City of Azusa ("City") and the Azusa Middle Management Association ("AMMA") have a Memorandum of Understanding ("MOU") that commenced on August 1, 2010 and was set to end on July 31, 2011, The Parties now wish to enter into this Side Letter of Agreement to memorialize the following changes agreed to by both sides: 1. Section 1. in the MOU shall be amended to read as follows: The term of this Memorandum of Understanding (MOU) shall commence August 1, 2010 and shall continue in full force and effect until July 31, 2013. 2. Section 19. in the MOU shall be amended to read as follows: The City shall continue its contract with the California Public Employees' Retirement System (CaIPERS), at the"2% @ 55 full formula" plan. The City shall also maintain the increased level of the 1959 Survivor Benefit. The City shall continue to pay both the "employee" and "employer' share of the cost. Effective the first full pay period after July 16 2012 the employees agree to contribute 5% towards the "employer" share of the cost of the Ca1PERS retirement benefit. 3. Section 22. in the MOU shall be added to read as follows: 22. FURLOUGH The employees agree to three furlough days between the Christmas Day holiday and the New Years Day holiday as scheduled by the City. This will result in employees being placed in an authorized unpaid leave status Employees may use vacation floating holidays, administrative leave, or remain in an unpaid leave during this furlough period This addition to the MOU is effective July 16, 2012 and ends on July 31, 2013. 4. Section 20. in the MOU shall be amended to read as follows: The employees agree to a temporary suspension of Tuition Reimbursement from July 16 2012 to July 31 2013 Employees who have been utilizing the Tuition Reimbursement Program immediately prior to this suspension may continue to participate in the program No new participants will be considered until the end of this suspension. 5. Section 9.4. in the MOU shall be amended to read as follows: The employees agree to a temporary suspension of Deferred Compensation (City Paid) effective the first full pay period after July 16. 2012 through the pay period that includes July 31, 2013. No employees will receive the $150 City Paid benefit during this period. 6. Section 12. in the MOU shall be amended to read as follows: The employees agree to a temporary suspension of the Computer Loan Program from July 16, 2012 to July 31, 2013. All current loans and terms remain in place No new participants will be considered until the end of this suspension. 7. Section 11.5. in the MOU shall be amended to read as follows: Sick Leave shall not be construed as a right, which an employee may use at his or her discretion, but shall be allowed only in case of necessity or actual sickness or disability. Sick Leave must be exhausted before compensatory time off or Vacation Leave may be used for Sick Leave reasons. Employees agree that effective July 16, 2012, through July 31, 2013. the wellness bonus found in Section 11.5.2, the cash conversion found in Section 11.5.3.2 and the cash conversion found in Section 11.5.4.2 are temporarily suspended. No cash out of sick leave to current employees will be allowed during this temporary suspension. Employees may accrue above the 960 hour sick leave accrual can during this temporary suspension. 8. Section 11.6.1 and 11.6.2 in the MOU shall be amended to read as follows: 11.6.1. Required Usage and Carryover Leave will be credited on a "per -pay -period" basis. Employees shall be required to use one-half ('/�) of their annual Vacation accrual yearly. Employees shall be able to carry over Vacation accrual from one year to the next, cumulatively, up to a maximum of seventy-eight (78) times the then -current pay period rate of Vacation accrual. Future accrual which exceeds the aforementioned maximum, shall be paid to the employee as it is accrued. Employees agree that effective the first full pay period after July 16. 2012 through the pay period that includes July 31, 2013,the automatic payment of Vacation accrual above the maximum accrual amount is temporarily suspended. Employees may accrue above the maximum accrual cap during this temporary suspension. Commencing on August 1, 2010, if the employee's balance is at or above the maximum, any accrual in excess of the maximum shall be paid as.earned. In special cases where it has not been possible, due to work load or other factors, for the employee to use his or her Vacation before reaching a maximum, it shall be within the department head's authority to authorize cash payment in lieu of time off. Employees agree that effective the first full pay period after July 16, 2012 through the payperiod that includes July 31, 2013. the automatic payment of Vacation accrual above the maximum accrual amount is temporarily suspended as well as the department head's authority to authorize cash payments in lieu of time off. Employees may accrue above the maximum accrual cap during this temporary suspension. 2 11.6.2. Cash -In Policy Employees covered by this Memorandum of Understanding may convert Vacation time to cash with administrative approval. Employees agree that effective July 16, 2012, through July 31, 2013. the Cash -In Policy is temporarily suspended. The City Manaaer 9. Except as modified in this Side Letter of Agreement, the terms and conditions of the MOU shall remain in effect as provided therein. Signatures on next page FOR THE CITY: Manager Dated: FOR THE AZU)SA MIDDLE MANAGEMENT ASSOCIATION: t" Q 12 5 i -0 4,./.J Dated: 0"7/I z/l —