Title
Adoption of Resolution Approving a Memorandum of Understanding (MOU) Between the Management and Confidential Employees Association (MCEA) and the City of Alameda for a Thirty-Six Month Term Commencing July 1, 2022 and Ending June 30, 2025. (Human Resources 10025060)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
The prior agreement with MCEA, representing approximately 100 City employees, expired on June 30, 2022. Negotiations between the City and MCEA commenced in April of 2022. Employee salary and benefits continue until a successor agreement is approved.
The revised Memorandum of Understanding (MOU) submitted for approval represents a thirty-six month agreement, commencing July 1, 2022 and ending June 30, 2025 and includes increases to base salary, COVID recognition pay, administrative leave, and increases to various reimbursements and premiums. Additionally the agreement includes an increase to the City’s medical contribution. Elements of the proposed MOU are summarized below.
MCEA members have ratified this agreement.
BACKGROUND
The City of Alameda (City) has nine labor groups and administers two compensation plans. This includes four Public Safety groups and five miscellaneous groups.
In 2020, the City reached an agreement on a contract extension with the International Association of Firefighters (IAFF) through December of 2023. This year, the City reached agreement with the Alameda Police Officers Association (APOA), Alameda Fire Chiefs Association (AFCA) and Alameda Police Management Association (APMA).
The agreements with the five miscellaneous groups and the two Compensation Plans expired in June of 2022. The City has now reached agreement with the Management and Confidential Employees Association (MCEA), the Alameda City Employees Association (ACEA), the Electric Utility Professionals of Alameda and the Police Officers Non-Sworn Association (PANS). City Council has approved the agreement with PANS and the other agreements are being presented to City Council. The City is currently meeting with the International Brotherhood of Electrical Workers (IBEW) group.
DISCUSSION
The proposed MOU provides salary increases as follows:
• Four and one half percent (4.5%) effective July 3, 2022 upon City Council approval;
• Three and one half percent (3.5%) effective the first full pay period following July 1, 2023; and
• Two and one half percent (2.5%) effective the first full pay period following July 1, 2024.
In addition to the salary increases, the MOU provides an increase the City’s monthly contribution for employee medical insurance for eligible employees through a contribution to the Flexible Benefit Amount. The MCEA medical contribution amount will increase by 50% of the increased cost of the CalPERS Kaiser Plan each year during the contract beginning, January 1, 2023. In the 2023 plan year, employees are able to choose from eight health plans, two of which will be fully covered at all levels of coverage by the City’s medical contribution amount.
The City agreed to provide 27 hours per fiscal year of Administrative Leave to exempt management employees in recognition of work performed outside of their normal work week. The 27 hours of Administrative Leave is not available for cash out and will be forfeited if unused.
The City and MCEA agreed to recognize the Juneteenth holiday, increasing the total number of authorized holidays from ten to eleven.
MCEA members who were required to report on-site during the COVID state of emergency and were employed with the City as of July 1, 2022, will be provided with a flat monthly payment of $200 a month beginning in July 2022 through June 2023 in recognition of employee’s work to maintain City services and functions during the COVID Emergency.
The City and MCEA also reached agreement to expand supervisory premium pay to include the City Attorney I and II and Deputy City I and II classifications; provide a 5% premium pay for employees with and using a CPA; provide reimbursement of $250 per fiscal year for employees required to wear safety boots; provide Commercial Driver’s License pay for employees required to maintain a commercial driver’s license; and in alignment with other bargaining units, to provide 1% matching for employees with one year of service and contributing at least .5% to a 457 account.
Finally, the City and MCEA agreed to meet and confer on policies covering remote work and GPS on City vehicles.
FINANCIAL IMPACT
The financial impact of implementing salary and other special pay changes agreed to in the MCEA MOU are described in the chart below.
COVID Pay will be funded through the Federal American Rescue Plan Act of 2021. The cost of increased healthcare premium contributions is expected to be approximately $16,000 annually. And the cost for other pays including boot allowance, CPA pay and the increase to education reimbursement is expected to be approximately $27,000 annually. It is anticipated that additional fiscal year costs will be included in future fiscal year budgets.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action is consistent with the Alameda Municipal Code.
ENVIRONMENTAL REVIEW
This action is exempt from the California Environmental Quality Act (CEQA) because it is not a project which has a potential for resulting in either a direct physical change in the environment, pursuant to Guideline section 15378.
CLIMATE IMPACT
There are no identifiable climate impacts or climate action opportunities associated with the subject of this report.
RECOMMENDATION
Adopt a resolution approving a Memorandum of Understanding (MOU) between the Management and Confidential Employees Association (MCEA) and the City of Alameda for a Thirty-Six Month Term Commencing July 1, 2022 and Ending June 30, 2025.
Respectfully submitted,
Jessica R. Romeo, Human Resources Director
Financial Impact section reviewed,
Margaret O’Brien, Finance Director
Exhibits:
1. Memorandum of Understanding between MCEA and the City of Alameda, July 1, 2022 through June 30, 2025 - Redline
2. Memorandum of Understanding between MCEA and the City of Alameda, July 1, 2022 through June 30, 2025 - Clean Copy
3. MCEA Salary Schedule, Effective July 3, 2022
cc: Erin Smith, City Manager