2013 2:00:00 PM

Monday, July 8, 2013 2:00 PM
City Council Chambers, Legislative Building, 745 Fourth St, Sparks, NV

General Business: 6.10

Title: Consideration, discussion, and possible approval of the Bargaining Agreement between the City of Sparks and the Operating Engineers, Local 3, Nonsupervisory Unit for the period July 1, 2012 through June 30, 2015.

Petitioner/Presenter: Shaun D. Carey, City Manager/Stephen Driscoll, Assistant City Manager

Recommendation: : That the City Council approve of the Bargaining Agreement between the City of Sparks and the Operating Engineers, Local 3, Supervisory Unit for the period July 1, 2012 through June 30, 2015

Financial Impact: See Attached

Business Impact (Per NRS 237):
A Business Impact Statement is not required because this is not a rule.

Agenda Item Brief: Consideration, discussion, and possible approval of the Bargaining Agreement between the City of Sparks and the Operating Engineers, Local 3, Nonsupervisory Unit for the period July 1, 2012 through June 30, 2015.

Background: The Bargaining Agreement between the City of Sparks and the Operating Engineers, Local 3, Nonsupervisory Unit expired on June 30, 2012. The City and the Bargaining Unit participated in active negotiations from early 2012, and reached a tentative agreement. Both the City Negotiating Team and the Bargaining Unit have approved this agreement, and the Bargaining Unit has affirmatively ratified the agreement.

Analysis: Changes to the Bargaining Agreement are as follows: SECTION 15 RETIREMENT The retirement rights of the Employees are as provided by the statutes of the State of Nevada. The City will pay 100% of the Employee's contribution to the Retirement System. Add New Language: Prospectively at July 1, 2013, re-instate the base wage amount of 1.125% representing the previous 50/50 sharing of the PERS contribution increases incurred in 2011, effective the first full pay period following July 1, 2013. Delete Old Language: Effective for PERS contribution rate increases/decreases after June 30, 2011, the City and Employee will equally (50/50) split future PERS contribution rate increases/decreases. Note: the effect of this amendment is a 1.125% salary reduction effective with the pay period beginning July 18, 2011 based on a 2.25% projected PERS contribution rate increase approved by Nevada PERS. SECTION 16 PAY RATES AND RESOLUTIONS A. PAY RATES - The pay rates set forth in Appendix A are gross compensation for full time service in the several classes. No person in the classified service shall be paid at a rate above the maximum or below the minimum in the range to which the position class is assigned. Add New Language: Prospectively at July 1, 2013, re-instate the previous wage concession of 6.0% effective the first full pay period following July 1, 2013. Effective upon ratification and approvals, the city proposes to increase the employees’ wage and wage-related benefits in one-half percentage (½%) increments up to a maximum of four percent (4.0%) in exchange for permanent health cost reductions, which promote personal and plan accountability and reduction in wasteful spending in the overall Group Health Plan implemented no later than January 1, 2014. OE3 NS bargaining unit members will receive their prorated share of the savings which will be converted to wages including wage-driven benefits. Effective upon ratification and approvals, pay increases will be based on City Council approval of Group Health Plan Committee Plan change recommendations. The dollars savings from the Group Health Plan to be converted to salary and wages amounts based on projections developed by the Group Health Plan Committee’s consultant. Delete Old Language: There shall be a six percent (6%) “across the board” salary reduction to salary tables (Appendix A) and employee salaries in effect June 30, 2011 prior to the PERS adjustment addressed in Section 15 effective the pay period beginning July 4, 2011. This salary reduction is in addition to the PERS adjustment in Section 15. SECTION 19 OVERTIME AND COMPENSATORY TIME D. OVERTIME ASSIGNMENT Add New Language: 2. Emergency Communications Dispatchers/Specialist Overtime: A) When an Employee(s) calls in sick for their shift, overtime shall be offered as follows: 1st – Employee(s) on shift from Communication Dispatchers 2nd – Employee(s) on shift from Communication Supervisors 3rd – Employee(s) on-coming shift from Communication Dispatchers 4th – Employee(s) on-coming shift from Communication Supervisors 5th – Employee(s) off shift from Communication Dispatchers 6th – Employee(s) off shift from Communication Supervisors 7th – Employee with the lowest seniority from Communication Dispatchers B) All sign-up overtime, including Special Events, will be offered by seniority. There is a three (3) day limit to “bump” a lower seniority Employee from the sign-up. Delete Old Language: 2. Emergency Communications Dispatchers/Specialists Overtime: When an Employee calls in sick for their shift, overtime shall be offered to the on-duty personnel by seniority, then to the oncoming shift by seniority and lastly to off-duty personnel by seniority. If no Employee wants the overtime, the Employee with the least amount of seniority on duty will be required to work and the Employee with the least amount of seniority coming on-duty will be required to work the overtime. All sign-up overtime, including Special Events, will be offered by seniority. There is a three (3) day limit to “bump” a lower seniority Employee from the sign-up. SECTION 20 EMPLOYEE LONGEVITY PAY Add New Language: D. COMPUTATION AND PAYMENT OF LONGEVITY PAY - The longevity pay shall be computed from the longevity date through November 16th of the year being paid. For the purposes of computation, a longevity date prior to the 16th of a month shall cause that month to be counted as a month of employment. Longevity pay for all Employees shall be paid no later than the Wednesday prior to Thanksgiving. Special Note: Any Employee whose anniversary date falls between November 16th and November 30th shall be given service credit to November 30th for the first year of this calculation period. Delete Old Language: D. COMPUTATION AND PAYMENT OF LONGEVITY PAY - The longevity pay shall be computed from the longevity date through November 30th of the year being paid. For the purposes of computation, a longevity date prior to the 16th of a month shall cause that month to be counted as a month of employment. Longevity pay for all Employees shall be paid on the first Wednesday following November 30. ARTICLE 21 GROUP HEALTH AND LIFE INSURANCE Delete Obsolete Language: B. CITY EMPLOYEE SHARE OF PREMIUMS 1. The City shall pay the entire premium for group health and life insurance for each Employee and for the Employee’s eligible dependents for Employees hired on or before June 30, 2006 (this provision to pay health insurance coverage was in lieu of a four point five percent (4.5%) salary increase during the 1983-84 contract period). For Employees hired on and after July 1, 2006 the City shall pay the entire premium for group health and life insurance for each Employee and seventy five percent (75%) of the then existing premiums (health/dental/vision/life) for the Employee’s eligible dependents enrolled in the City’s plan and Employees shall pay twenty five percent (25%) of the then existing monthly insurance premium (health/dental/vision/life) via automatic payroll deduction for their eligible dependents. In return for this amendment there will be an eleven hundred ($1,100) increase to base salary applied to each classification covered by this Agreement effective the first day of the first full pay period following July 1, 2006. This salary increase will be applied to the salary table in effect June 30, 2006 before any salary increase is implemented pursuant to Section 16. D. GROUP HEALTH PLAN BENEFITS COMMITTEE. 5. Splitting Insurance Plan Savings a. Subject to City Insurance Committee implementing insurance plan changes (attached as Appendix C) per Section 21(D) on or after 1/1/06; b. The City splits savings generated by plan changes with active bargaining unit Employees on the City insurance plan and payroll at the time the bonus is paid in the form of a one-time bonus (not added to salary) for the period twelve (12) calendar months following implementation per current contract language; c. The total savings generated by the approved plan changes as determined by the City’s third party administrator are divided by two and then divided by total City FTEs on the City’s insurance plan employed by the City at the end of the twelve (12) calendar months; d. Additional onetime bonus (not added to salary) for future savings generated by Insurance Committee approved changes to benefit plan for periods twelve (12) calendar months following implementation by the City’s Insurance Committee per Section 21(D) during the term of this Agreement; e. The bonus paid at the beginning of third (3rd) month following the twelve (12) calendar months to allow for City calculation of the bonus; f. Splitting savings dependent on City Insurance Committee implementing proposed benefit plan changes City wide for all City Employees and bargaining units effective on or after 1/1/06. g. This section, D.5, expires June 30, 2008 and is of no further effect at the end of the term of this agreement Modification of Current Language: D. GROUP HEALTH PLAN BENEFITS COMMITTEE. 2. The Committee shall be comprised of five (5) voting members from the following groups: a. All Operating Engineers Unions* b. All Police Unions* c. IAFF (International Assoc. of Firefighters)* d. Confidential e. Management/Appointed * Represented, voting member organization In addition, one retired Employee will serve as a non-voting member to provide input on the effect of our changes upon retirees. ARTICLE 29 DURATION OF AGREEMENT Add New Language: This Agreement shall take effect from July 1, 2012, and shall continue in force until June 30, 2015, except as may otherwise be provided herein and in Section 21. IN WITNESS WHEREOF, the City of Sparks and the Operating Engineers Local No. 3 – Non-Supervisory Unit have caused these presents to be duly executed by their authorized Representatives this _____ day of ______________, 2013. Delete Old Language: This agreement shall take effect July 1, 2010 and shall continue in force until June 30, 2012, except as may otherwise be provided herein and in Section 21. There shall be an automatic reopener on written request by the City to negotiate over any adverse economic conditions or legislative actions impacting FY 2012 exceeding $750,000 in the General Fund. IN WITNESS WHEREOF, the City and the Union have caused these presents to be duly executed by their authorized Representatives this _____ day of ____________, 2009.

Alternatives: ALTERNATIVES 1. The Council may choose to approve the proposed bargaining agreement as outlined by staff. 2. The Council may choose not to approve the proposed bargaining agreement as outlined by staff. 3. The Council may choose not to approve the proposed bargaining agreement as outlined by staff and direct staff toward another alternative.

Recommended Motion: I move to approve the bargaining agreement between the City of Sparks and the Operating Engineers Local 3 Non-Supervisory Unit, for the contract period of July 1, 2012 through June 30, 2015.

Attached Files:

OE3 Non-Supervisory 2012-2015 final pending signatures.pdf

NRS 288 Fiscal Impact - Operating Engineerst.pdf

OE3 Non-Supervisory 2012-2015 reorg by Des with strikeouts.pdf

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