To: MAYOR AND CITY COUNCIL
From: DIANE STRICKFADEN, DIRECTOR OF HUMAN RESOURCES
TITLE
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DISCUSSION AND POSSIBLE ACTION REGARDING APPROVAL OF A SUCCESSOR MEMORANDUM OF UNDERSTANDING WITH THE REDONDO BEACH CITY EMPLOYEES’ ASSOCIATION FROM JANUARY 1, 2021 THROUGH DECEMBER 31, 2023
ADOPT BY TITLE ONLY RESOLUTION NO. CC-2101-002, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF REDONDO BEACH AND THE REDONDO BEACH CITY EMPLOYEES’ ASSOCIATION FROM JANUARY 1, 2021 THROUGH DECEMBER 31, 2023;
ADOPT BY 4/5 VOTE AND BY TITLE ONLY RESOLUTION NO. CC-2101-003, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, APPROPRIATING $102,965 FROM THE UNASSIGNED GENERAL FUND BALANCE FOR THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF REDONDO BEACH AND THE REDONDO BEACH CITY EMPLOYEES’ ASSOCIATION
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EXECUTIVE SUMMARY
City representatives and members of the Redondo Beach City Employees’ Association (CEA) have met and conferred in good faith, and have reached a three year agreement for a successor Memorandum of Understanding, for the period from January 1, 2021 through December 31, 2023.
The attached agreement will provide members with all the same terms and conditions of employment as the existing agreement, with the exception of the following:
1) A $500 one-time "signing bonus" for each active member upon adoption of the MOU;
2) In January 2021 and 2022, increases to monthly City health insurance contributions, which in 2022 will them to the same level as the safety groups;
3) In January 2022, a 1% base salary increase;
4) In January 2023, a 2% base salary increase;
5) Addition of three “holiday closures” (additional paid holidays off on December 22, 27 and 28 in December 2021, 2022 and 2023.
The projected cost of the agreement for this fiscal year is $102,965. The CEA has 80 active employees and represents many various job classifications such as Building Inspector, Emergency Services Dispatcher, Payroll Technician and Library Clerk.
BACKGROUND
City and CEA representatives have engaged in good faith negotiations to prepare this successor MOU. The previous MOU between the City and the CEA was a one year contract with a term from January 1, 2020 through December 31, 2020. The previous agreement provided a one-time payment of $2500 to each active member of CEA along with three additional holidays in December 2020, known as the “holiday closure”. That MOU expired on December 31, 2020.
This successor MOU, if approved, will maintain the existing terms and conditions of employment, with the following changes:
Term: Three years, from January 1, 2021 through December 31, 2023
Salaries: Represented employees will receive a one-time signing bonus of $500 upon adoption of the MOU. In addition, in the first full pay period of January 2022, employees will receive a 1% base salary increase. In the first full pay period of January 2023, employees will receive a 2% base salary increase.
Health Contributions: In January 2021, represented employees will receive a $200 per month increase to their monthly health insurance contributions, for employee, employee plus one and family coverages. In January 2022, employees will receive additional increases to bring their coverage to the same level as the City’s safety bargaining units. These increases are offset by a cap placed on “cash in lieu” payments for those members who opt out of the plan.
Holiday Closures: Employees will receive three additional paid holidays each year (on December 22, 27, and 28), in 2021, 2022 and 2023. City Hall offices will be closed on these days, as has occurred several times over the past few years.
The provisions in this MOU were approved by the CEA Board and ratified by the bargaining unit on December 21, 2020.
The CEA currently has 80 active employees and represents many various job classifications such as Building Inspector, Emergency Services Dispatcher, Payroll Technician and Library Clerk.
COORDINATION
This report was prepared by the Human Resources Department. The resolutions were approved as to form by the City Attorney’s Office.
FISCAL IMPACT
The annualized costs of the agreement are as follows:
Year One: $165,930
Year Two: $194,238
Year Three and ongoing: $339,254
The fiscal year 2020-21 cost of the agreement is $102,965 and is to be funded from available and unallocated General Fund balance, and requires a 4/5ths budget appropriation per the attached resolution.
APPROVED BY:
Joe Hoefgen, City Manager
ATTACHMENTS
Resolutions and MOU