Reso 1419 05/2013RESOLUTION NO. 1419
RESOLUTION OF THE BOARD OF DIRECTORS OF THE
VALLECITOS WATER DISTRICT
AMENDING RULES, REGULATIONS AND PROCEDURES,
SALARY RANGES AND OTHER CONDITIONS OF
EMPLOYMENT FOR EMPLOYEES OF THE DISTRICT
FOR FISCAL YEAR 2013/14,2014/15, 2015/16
WHEREAS, the Board of Directors of the Vallecitos Water District (District) desires
to amend the Rules, Regulations and Procedures of the District for Salary Ranges and
other Conditions of Employment for Employees of the District;
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Vallecitos
Water District as follows:
SECTION 1: MEMORANDUM OF UNDERSTANDING.
The Board of Directors does hereby adopt the Memorandum of Understanding
between the Vallecitos Water District and the Vallecitos Water District Employees'
Association for Fiscal Years 2013/14, 2014/15, 2015/16 as agreed and signed on May 8,
2013, by the Employees Association Representative attached hereto as Exhibit "A" and
incorporated herein by reference.
PASSED, APPROVED AND ADOPTED by the Board of Directors of the Vallecitos
Water District at a regular meeting held on the 15th day of May, 2013 by the following roll
call vote:
AYES: EVANS, FERGUSON, MARTIN, POLTL, HERNANDEZ
NOES:
ABSTAIN:
ABSENT:
James rnandez, President
Board Directors
Vallecitos Water District
(' ATTES
Dennis O. Lamb, Secretary
Board of Directors
Vallecitos Water District
Resolution No. 1419 Exhibit "A" Paqe 1
MEMORANDUM OF UNDERSTANDING BETWEEN
THE VALLECITOS WATER DISTRICT
AND
THE VALLECITOS WATER DISTRICT EMPLOYEES' ASSOCIATION
COVERING THE EMPLOYEES' UNIT OF REPRESENTATION
FOR FY 2013/14, FY 2014/15, AND FY 2015/16
This Memorandum of Understanding (MOU) between the Vallecitos Water District (District)
and the Vallecitos Water District Employees Association (Association) is made after
meeting and conferring in good faith on wages, benefits and other terms and conditions of
employment that covers the employees in the general employees' unit of representation.
This Memorandum of Understanding constitutes a mutual recommendation to be submitted
to the District's Board of Directors and shall not be binding upon the parties' hereto in whole
or in part unless and until said Board of Directors formally approves said Memorandum of
Understanding.
IT IS AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS:
I. RENEGOTIATION: In accordance with Government Code Section 3505,
either party may initiate good faith negotiations of a successor Memorandum of
Understanding. Either party shall serve upon the other, no sooner than February 15, 2016,
its written request to commence negotiations, as well as its full and entire written proposal.
Upon receipt of such written notice and proposal, negotiation shall begin thereafter no later
than March 1. 2016,
II. COST OF LIVING SALARY ADJUSTMENT (COLA): The adjustment for
each fiscal year shall be based on the San Diego Consumer Price Index for All Urban
Consumers (CPI -U), or its successor document, for the preceding calendar year. The
COLA is based on the percent change in the CPI -U for the calendar year. District shall
provide a rollover of the percentage above the caps listed below, if invoked, from the
previous year to the following year of this MOU as long as the combined percentage does
not exceed the subsequent year's cap.
A. Fiscal Year 2012/13 Carryover: Upon approval of this MOU, and as part of the
first full pay period after the approval date, the District will provide a 1.2% COLA
increase in salary.
B. Fiscal Year 2013/14: Upon approval of this MOU, and as part of the first full
pay period after the approval date, the District shall provide a 1.5% COLA
increase in salary.
C. Fiscal Year 2014115: On or about March 2014 the District shall provide a COLA
increase in salary in an amount not to exceed 3.0% when the CPI -U information
becomes available.
D. Fiscal Year 2015/16: On or about March 2015 the District shall provide a COLA
increase in salary in an amount not to exceed 3.0% when the CPI -U information
becomes available.
III. HOLIDAY ADDITIONS: Holiday schedule addition /revisions: FY 2014/2015:
Resolution No. 1419 Exhibit "A"
6
During Fiscal Year 2014/15, District employees shall utilize one eight -hour floating
holiday for Friday, December 26, 2014, the day after Christmas, which will close the District's
offices to regular business.
During Fiscal Year 2014/15, the District shall provide one additional eight -hour floating
holiday on Friday, January 2, 2015, the day after New Year's Day, which will close the
GDistrict's offices to regular business.
IV. DISTRICT PAYMENT OF EMPLOYEES SHARE OF FICA: As of July 1, 2011,
the District pays two - thirds of the employees' portion of FICA as a benefit.
Fiscal Year 2013/14: Effective the first pay period in fiscal year 2013/2014, the
employee is responsible for two - thirds of employee related contributions to FICA.
Fiscal Year 2013/14: Effective the final pay period in fiscal year 2013/2014,
the employee is responsible for all employee related contributions to FICA.
V. BASE MEDICAL PREMIUM: Base Medical premiums will be provided at the
discretion of the District for all full time employees, spouse and legal dependents as shown in
Table 1 below.
The monthly premiums shown in Table 1, include an annual 7.5% escalation effective
January 1 of each year through June 30, 2016, and establish the monthly maximum the
District will pay on behalf of the employee, spouse and legal dependents. If premiums
increase beyond those established in Table 1, the employee shall be responsible for the
additional costs as a monthly payroll deduction.
The District may continue to provide access to other medical plans if the minimum
participation required for each plan is met. In the event the minimum participation is not met,
the District may no longer provide the plan and has no obligation to provide replacement
plans.
VI. OTHER POST EMPLOYEMENT BENEFITS (OPEB): Regular full -time
employees hired before July 1, 2013, with 5 continuous years of employment who are at least
50 years of age at the time of retirement (Qualified Employees) and their spouse shall be
eligible for the OPEB benefit.
Medical Premiums established in Section V, Table 1 shall apply to the OPEB benefit
and shall be paid until such time as the employee or spouse receives or becomes eligible for
other coverage, or are eligible for Medicare, but not beyond the age of 65.
Base Medical Premiums — Table 1
Calendar Year
2013
2014
2015
2016
Individual
$481
$518
$556
$598
Couple
$953
$1,024
$1,102
$1,184
Family
$1,344
$1,444
$1,553
$1,670
The monthly premiums shown in Table 1, include an annual 7.5% escalation effective
January 1 of each year through June 30, 2016, and establish the monthly maximum the
District will pay on behalf of the employee, spouse and legal dependents. If premiums
increase beyond those established in Table 1, the employee shall be responsible for the
additional costs as a monthly payroll deduction.
The District may continue to provide access to other medical plans if the minimum
participation required for each plan is met. In the event the minimum participation is not met,
the District may no longer provide the plan and has no obligation to provide replacement
plans.
VI. OTHER POST EMPLOYEMENT BENEFITS (OPEB): Regular full -time
employees hired before July 1, 2013, with 5 continuous years of employment who are at least
50 years of age at the time of retirement (Qualified Employees) and their spouse shall be
eligible for the OPEB benefit.
Medical Premiums established in Section V, Table 1 shall apply to the OPEB benefit
and shall be paid until such time as the employee or spouse receives or becomes eligible for
other coverage, or are eligible for Medicare, but not beyond the age of 65.
Resolution No. 1419 Exhibit "A" Page 3
The percentage of the Medical Premium paid for a Qualified Employee that is hired
before July 1, 2013, will be provided OPEB retirement benefits in accordance with Table 2.
OPEB benefits for years five through ten shall be prorated on a yearly basis (approximately
10% per full year of service). Premiums for expenses beyond those noted in Section V,
Table 1 shall be collected monthly through a billing agent of the District. Failure to pay
additional premiums may result in termination of OPEB medical benefits provided by the
District.
In the event a Qualified Employee reaches the age of 65, the District will continue to
provide the spouse's OPEB benefit through provisions of the Comprehensive Omnibus
Budget Reconciliation Act (COBRA) for a maximum of three years; until they receive or are
eligible for other coverage; remarry, or are eligible for Medicare, but not beyond the age of
65. Premium payments shall be in accordance with Table 2.
In the event a Qualified Employee dies, the District will continue to provide the
surviving spouse's OPEB benefit by providing coverage through provisions of the Association
of California Water Agencies (ACWA) surviving spouse benefit for a maximum of three years;
until they receive or are eligible for other coverage; remarry, or are eligible for Medicare, but
not beyond the age of 65. Premium payments shall be in accordance with Table 2.
Table 2 (Percentage of OPEB Premium Pa ment
Years of Service
Employee
Spouse
<5 years
0%
0%
6 -10 years
50 -100%
50 -100%
VII. TERMINATION OF FUTURE OPEB BENEFITS: Upon execution of this
MOU, the District and the Vallecitos Employees Association expressly acknowledge
that the OPEB benefit will no longer be offered as a retirement benefit to employees
hired after July 1 2013.
VIII. PIERS CONTRIBUTION: Effective July 1, 2013, all employees hired before
January 1, 2013, shall be responsible for payment of one half (4 %) of the employee's share
of the PERS contribution. The District will provide a 3% salary increase (offset) at the
beginning of Fiscal Year 2013/2014.
IX. PUBLIC EMPLOYEE PENSION REFORM ACT ( PEPRA): All employees hired
on or after January 1, 2013, are subject to compliance with PEPRA. New employees who
are considered "new members" under PEPRA are required to be enrolled in the 2% at age 62
retirement plan and contribute 50% of the total normal cost rate as determined annually by
CaIPERS. New employees who are considered "classic members" under PEPRA will be
enrolled in the 3% at age 60 benefit retirement plan and contribute the same amount as
employees hired before January 1, 2013.
X. BEREAVEMENT LEAVE: The bereavement leave policy is hereby modified:
"With prior approval, and at the discretion of the General Manager, full -time employees
are eligible to take up to five (5) working days per year paid bereavement leave in the event
of the death of a member of the employees' immediate family. For the purposes of this
benefit, immediate family includes: employee's spouse, child, registered domestic partner,
Resolution No. 1419 Exhibit "A" Page 4
stepchild, parent, stepparent, legal guardian, grandparent, grandchild, brother, sister,
stepbrother, stepsister, and the mother /father of spouse or registered domestic partner."
"With prior approval, and at the discretion of the General Manager, an employee may
be allowed to use sick leave, compensatory time off, or vacation time for the purpose of
supplementing bereavement leave."
XI. CLASSIFICATION AND COMPENSATION STUDY: The District will complete
i a Classification and Compensation Study prior to March 2016, with the goal of being
completed prior to and utilized during good faith negotiations of a successor Memorandum of
Understanding. The salary recommendations for the class and comp study will be based on
103% of the market average.
XII. CONTRACT OPENER /RENEGOTIATION: Both parties agree, in the event of a
severe or potentially crippling financial situation, to re -open the MOU at the request of either
party to consider modification or revision of any provision of this MOU.
IN WITNESS WHEREOF, the parties have caused their authorized representatives to
execute this Memorandum of Understanding this 15th day of May, 2013.
-graden McCrory Date
Employees Association Representative
Dennis O. Lamb ate
Employee Relations Officer
VALLECITOS WATER DISTRICT