The URL can be used to link to this page

Home My WebLink AboutC-1 Staff Report - Approved Side Letter APOACONSENT CALENDAR TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS FROM: ROBERT NEIUBER, INTERIM HUMAN RESOURCES DIRECTOR VIA: JAMES MAKSHANOFFrCITY MANAGER DATE: JULY 23, 2012 SUBJECT: APPROVE SIDE LETTER WITH AZUSA POLICE OFFICER ASSOCIATION DEFERRING THEIR AUGUST 1, 2012, SALARY INCREASE AND ADDING AN ADDITIONAL YEAR ONTO THEIR MEMORANDUM OF UNDERSTANDING RECOMMENDATION It is recommended that the City Council approve a side letter to the current Azusa Police Officer Association (APOA) Memorandum of Understanding (MOU) deferring their scheduled August 1, 2012, salary increase and adding an additional year onto the MOU. BACKGROUND The APOA and City staff have been in discussion and have agreed to a side letter deferring the APOA's approved August 1, 2012, salary increases and adding an additional year onto their MOU. This would affect all the Police Officers and Police Corporals except those retiring prior to the end of the 2013-2014 fiscal year. The APOA has taken this step in order to help the City address its current fiscal challenges. The side letter calls for the deferral of the August 1, 2012 pay increase outlined in their current MOU and postpones them until August 1, 2015. The scheduled salary increases and/or salary reopeners scheduled for August 1, 2013 and August 1, 2014 will occur as indicated in the approved MOU. The side letter also adds an additional year onto the current MOU extending the MOU until July 31, 2016. Finally the side letter clarifies that those employees who are eligible to retire and who indicate to staff that they will be retiring prior to the end of the 2014-2015 fiscal year will receive the scheduled increase so as to not have an adverse affect on their retirement calculations. s�eWO-( FISCAL IMPACT Finance estimates the General Fund savings of these changes to be between $145,000 and $117,000 for fiscal year 2012-13, depending on the number of Officers who indicate that they will be retiring. This savings was not calculated into the Fiscal Year 2012-2013 Budget projections previously provided to the Council. Attachments Side letter Resolution RESOLUTION NO. 12-058 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA APPROVING THE JULY 23, 2012 SIDE LETTER AGREEMENT TO THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY AND THE AZUSA POLICE OFFICER ASSOCIATION EFFECTIVE AUGUST 1, 2010 THROUGH JULY 31, 2015 WHEREAS, the City Council acknowledges the Azusa Police Officer 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 Police Officer Association (APOA), and WHEREAS, the APOA and City Staff have met and agreed to aside letter agreement (Agreement) deferring their August 1, 2012 salary increases and adding an additional year onto their current MOU, and WHEREAS, APOA 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 APOA, 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 23rd day of July, 2012. le.""ll lI '11J . seph R. tocha, Mayor AYES: COUNCILMEMBERS: GONZALES, CARRILLO, MACIAS, ROCHA NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: HANKS I HEREBY CERTIFY that the foregoing Resolution was duly passed by the City Council of the City of Azusa at a regular meeting thereof held on the 23`6 day of July. 2012. J era Mendoza, City Clerk f� SIDE LETTER OF AGREEMENT BETWEEN THE CITY OF AZUSA AND AZUSA POLICE OFFICERS ASSOCIATION REGARDING THE DEFERRAL OF COLA INCREASES The City of Azusa ("City") and the Azusa Police Officers Association ("APOA") have a Memorandum of Understanding ("MOU") that commenced on August 1, 2010 and is set to continue through and including July 31, 2015. The Parties now wish to enter into this Side Letter of Agreement to. memorialize the following changes agreed to by both sides: 1. Section 5.1 in the MOU shall be amended to read as follows: ...Effective August 1, 2011 each unit member will receive a salary increase in the base monthly salary of two and one-half percent (2.5%). Classification Range Ste 1 Step 2 Step 3 Step 4 Step 5 Step 6 Police Officer 6101 $5,632.47 $5,916.02 $6,214.51 $6,528.64 $6,859.29 $7,202.25 Police Corporal 6106 $5,914.09 $6,211.82 $6,525.24 $6,855.07 $7,202.25 $7,562.37 Effective August 1, 2012 each unit member will defer their two and one-half percent (2.5%) salary increase until August 1, 2015 as shown below. .Effective August 1, 2012 naGh unit member will FeGeive a salary salary Of tW19 Rd one half. narnont (2 5%- Effective August 1, 2013 each unit member will receive a salary increase in the base monthly salary of two and one-half percent (2.5%). Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Police Officer 6101 $5,773.28 $6,063.92 $6,369.88 � $6,688.37 $6,691.85 $7,030.77 $7,382.31 Police Corporal 6106 $6,061.94 $6,367.12 $7,026.44 $7,382.31 $7,751.43 1 Effective August 1, 2014 each unit member will receive a salary increase in the base monthly salary of three percent (3%). �. a_ . _� as � � ■a '.. Aa �� i i a Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Police Officer 6101 $5,946.48 $6,245.84 $6,560.98 $6,892.61 $7,241.69 $7,603.78 Police Corporal 6106 $6,243.80 $6,558.13 $6,889.02 $7,237.23 $7,603.78 $7 983.97 Effective August 1, 2015 each unit member will receive a salary increase in the base monthly salary of two and one-half percent (2.5%). Classification Range Step 1 Step 2 Step 3 Ste 4 Step 5 Step 6 Police Officer 6101 $6,095.14 $6,401.99 $6,725.00 $7,064.92 $7,422.74 $7,793.87 Police Corporal 6106 $6,399.90 $6,722.09 $7,061.25 $7,418.17 $7,793.87 $8,183.57 2. Section 5.1.1 shall be added as follows: 5.1.1 Expected Retirement Exception All delays in COLA adjustments set forth in Section 5.1 shall not apply to persons who are vested, of retirement age, and who in good faith self identify to the City, within ninety (90) days of execution of this Side Letter Agreement, that he or she expects to retire before the end of the 2015 contract year, or no later than July 31, 2015. 3 In exchange for these concessions, Section 1 of the MOU shall be amended to read as follows: The term of this Memorandum of Understanding (MOU) shall commence on August 1, 2010, and shall continue in full force and effect until July 31, 2016. 4. 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 pa FOR THE CITY: G� 2 City Manager Dated: -I ! q _ -Lo �-- FORT E AZUSA POLICE OFFICER ASSOCIATION: " 7T Dated: 7-1�—� 3