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CC Resolution 12778RESOLUTION NO. 12778 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AMENDING THE COMPENSATION AND WORKING CONDITIONS FOR CLASSIFIED AND NON -MANAGEMENT EMPLOYEES REPRESENTED BY CARPENTERS UNION, LOCAL 405 WHEREAS, Title 2, Section 2.12.030(7) of the Campbell Municipal Code requires the City Manager to prepare and submit an annual salary plan to the City Council for its approval; and WHEREAS, A Memorandum of Understanding ("MOU") for salaries, benefits and working conditions was approved and executed by the authorized representatives of the City and the Carpenters Union, Local 405 ("Union"); and WHEREAS, the City and the Union commenced negotiations for a successor MOU on April 15, 2021; and WHEREAS, on August 9, 2021, the City declared and notified the Union that the parties' negotiations had reached impasse as defined by City Resolution 6647; and WHEREAS, on August 20, 2021, the parties conducted an impasse meeting in accordance with City Resolution 6647 but did not resolve the impasse issues; and WHEREAS, as of September 10, 2021, all applicable mediation and factfinding procedures pertaining to the parties' impasse had been exhausted and/or waived by the parties; and WHEREAS, on September 16, 2021, the City issued to the Union the City's last, best and final offer, a copy of which is attached to this Resolution as Attachment A; and WHEREAS, on October 5, 2021, the Union responded to the City's last, best and final offer with proposed terms and conditions that substantially exceed the City's offer; and WHEREAS, the City Council is authorized under California Government Code section 3505.7 to implement the provisions of the City's last, best and final offer. NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Campbell does hereby approve and implement the provisions of the City's Last, Best and Final Offer, set forth in Attachment A, attached hereto and made a part hereof. PASSED AND ADOPTED this 20TH day of October, 2021, by the following roll call vote. AYES: Councilmembers NOES: Councilmembers ABSENT: Councilmembers ATTEST: , 5 (-Q -j--D e� Dusty Christopherson, City Clerk Bybee, Landry, Resnikoff, Gibbons Lopez None yPp OVED: li beth "Liz" Gi ons, Mayor ATTACHMENT A TO CITY COUNCIL RESOLUTION NO. 12778 City of Campbell and Carpenters Union, Local 405 — 2021 Labor Negotiations - City's Last, Best and Final Offer: 1. Salary: 3% salary increase effective the first pay period following Council adoption of the terms of this last, best and final offer. 2. Health and Welfare Benefits: Revise the parties' MOU, Article IV — Compensation, Section D. Health and Welfare Benefits, as follows: Health and Welfare Benefit Program Medical Insurance Benefit: The City's maximum monthly contribution for each eligible bargaining unit member for the purchase of medical insurance will be equal to the minimum monthly employer contribution required under the Public Employees Medical and Hospital Care Act (PEMHCA). The City's contribution will come out of the amount the City currently contributes to employees as part of the Cafeteria Plan Allowance, provided below. The cost of the City's participation in CalPERS will not require the City to expend additional funds toward health insurance beyond what is already provided through the Cafeteria Plan Allowance. Any cost increase to the minimum monthly employer contribution required under PEMCHA will be borne by employees. 1. Cafeteria Plan Allowance Bargaining unit members electing medical coverage in the City's plans will receive a health flex allowance and shall purchase such coverage through the City's Cafeteria Plan. Effective January 1, 2022, the monthly Cafeteria Plan Allowance will be based on selected level of coverage, as follows: Employee Only Coverage: $879 Employee Plus One Coverage: $1,757 Employee Plus Family: $2,285 Employees who elect a medical insurance plan with a lower monthly premium than the amount of the City's medical contribution may apply their unused contribution amount toward other benefit options that are available under the Cafeteria Plan, such as flexible spending accounts for out-of- pocket medical expenses and dependent care, accident insurance, cancer insurance, heart and stroke insurance, long term care insurance, and life insurance benefits. Employees who do not spend all their Cafeteria Plan Allowance on Cafeteria Plan benefits will not receive any cash benefit. Employees who elect Cafeteria Plan benefit options that exceed the City's monthly Cafeteria Plan Allowance will be responsible for paying the overage through salary redirections. 2. Conditional Opt -Out Employees who at initial enrollment or during the annual open enrollment period, complete an affidavit and provide proof of other minimum essential coverage for themselves and their qualified dependents (tax family) that is not qualified health plan coverage under an exchange/marketplace or an individual plan, will be allowed to waive medical coverage for themselves and their qualified dependents (tax family). The monthly conditional opt -out incentive is: $750. The conditional opt -out incentive shall be paid in cash (taxable income) to the employee. The employee must notify the City within 30 days of the loss of other minimum essential coverage. The conditional opt -out payment shall no longer be payable, if the employee and family members cease to be enrolled in other minimum essential coverage. 3. Overtime: Revise the parties' MOU, Article IV, Section N. as follows: "5.[new] In addition to the requirements of Article N., overtime for bargaining unit members will be paid in accordance with all applicable requirements of the Federal law, known as the Fair Labor Standards Act ("FLSA"). 4. Temporary Employees: The City will provide to the Union 30 days advance notice prior to utilizing temporary employees in the manner authorized by the parties' MOU. 5. Uniform Allowance: The annual uniform allowance for the bargaining unit is increased by the amount of $50.00. Except as modified by the express provisions of the City's last, best and final offer herein, all existing terms and conditions of employment provided by the parties' MOU will remain in effect unless and until changed by a successor bargaining agreement or through the statutorily required impasse process.