CC Resolution 13311 - Amending Compensation and Working Conditions for Classified Non-Management (CARP)1011 LIA 9 •1 al O-
HEREAS, the Northern California Carpenters Regional Council, the Carpenters 46
Northern California Counties Conference Board and their Affiliated Local Unions
(CARP) is a recognized employee organization representing employees; and
WHEREAS, the City of Campbell (City) City Council retains sole authority to enter into a
Memorandum of Understanding (MOU) with recognized employee organizations
representing employees; and
WHEREAS, the City is currently operating pursuant to a 3-year MOU with CARP, dated
August 16, 2022, that expires on June 30, 2025; and
WHEREAS, in the fall of 2024, in anticipation of a budget deficit for Fiscal Year
2025/2026, the City included on the local ballot a general half -cent sales tax known as
"Measure K" which Campbell voters passed on November 5, 2024; and
WHEREAS, on January 6, 2025, before the City and CARP could formally enter into
negotiations regarding terms and conditions of employment, the Silicon Valley Taxpayers'
Association and David H. Wolen (together, "SVTA") filed a lawsuit against the City
challenging the validity of Measure K; and
WHEREAS, as a result of the lawsuit, the tax revenue scheduled to be collected
beginning in April 2025 was required to be held in an escrow account pending the
outcome of the lawsuit; and, the City is not able to access the tax revenue unless and
until said lawsuit is resolved in the City's favor; and
WHEREAS, as of March 2025, the City was forecasted to face a budget deficit in Fiscal
Year 2025/2026 of $3.23 million; and
WHEREAS, the City and CARP have since met and conferred in good faith and worked
together to ensure the City does not increase its budget deficit, remains fiscally
responsible, and attempted to preserve permanent full-time positions; and
WHEREAS, on June 3, 2025, the City and CARP reached a tentative agreement by way
of a Side Letter Agreement providing as follows:
• The term of the current MOU between the City and CARP shall be extended from
June 30, 2025 to June 30, 2026.
• Should the above -referenced lawsuit resolve in the City's favor during the term of
the extension, resulting in the release of the escrow funds to the City, the parties
would commence successor MOU negotiations in accordance with State law.
• Effective January 1, 2026, the monthly Cafeteria Plan Allowance will be set at the
Kaiser Permanente Region 1 (Region 1) rates for 2026, at the employee's
selected level of coverage. The Parties further agree that the City's payment of
the 2026 Cafeteria Plan Allowance is subject to an eight percent (8%) cap on any
year -over -year increase to the Region I rates. This means that for plan year
2026, the City's payment of the Cafeteria Plan Allowance shall not increase by
more than eight percent (8%) over the City's payment for plan year 2025.
Employees who select a plan with rates higher than the City's Cafeteria Plan
Allowance will be required to make up the difference through salary redirection.
• Meet and confer discussions regarding increases to employee compensation
during or following the extension of the MOU may include a proposal that said
increases would be retroactive to July 1, 2025.
• Should the above -referenced lawsuit not result in the release of the escrow funds
during the term of the extension, the parties would meet to discuss the extension
prior to its expiration; and
WHEREAS, the City has satisfied its obligation under Government Code Section 3500,
et. seq., and the City's Employer -Employee Relations resolution 10016 to meet and
confer over the terms and conditions of employment contained in the recommended
Side Letter Agreement with CARP; and
WHEREAS, the Side Letter Agreement with CARP has been approved and executed
by the authorized representatives of CARP and City Council representatives; and
WHEREAS, the City Council desires to ratify and adopt the provisions included in the
Side Letter Agreement with CARP.
NOW, THEREFORE, BE IT RESOLVED, that the City of Campbell City Council does
hereby approve and ratify the Side Letter Agreement between the City and CARP,
attached hereto as Attachment A.
BE IT FURTHER RESOLVED, the City Manager and his delegates have the authority to
take any necessary administrative actions to implement the provisions of this resolution.
PASSED AND ADOPTED this 17 th day of June, 2025, by the following roll call vote:
AYES:
Councilmembers
NOES,
Councilmembers
ABSENT
Councilmembers
ATTEST.
Andrea ers, City Clerk
Bybee, Hines, Scozzola, Furtado, Lopez
None
None
APPROVED:
Sergio Lopez-1-Mayor