HomeMy WebLinkAboutCity Council Resolution 19-039 compensation for Unrepresented employeesRESOLUTION NO. 19-039
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SARATOGA
APPROVING COMPENSATION AND TERMS OF EMPLOYMENT FOR
UNREPRESENTED EMPLOYEES
WHEREAS, certain City job classifications are unrepresented, which means incumbents do
not engage in collective bargaining with the City on matters related to wages, benefits and other
terms and conditions of employment; and
WHEREAS, Unrepresented Employees are those employees in unrepresented job
classifications who after successful completion of the City's mandatory 12-month probationary
period (if applicable), become regular, benefited full-time employees; and
WHEREAS, Unrepresented Employees are subject to the City's Personnel Rules and Policies
adopted by the City Council and are subject to the terms in this Resolution (except as modified by
subsequent personnel rules and policies and resolutions, if any, applicable to such an unrepresented,
regular, full-time employee); and
WHEREAS, this Council finds that the compensation and terms ofemployment attached
(Exhibit A) to this Resolution are fair and proper and in the best interest of the City; and
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saratoga the
compensation and terms of employment attached to said Resolution for Unrepresented
Employees is hereby adopted, becomes effective on July 1, 2019, and supersede the terms in
Resolution No. 17-002.
The above and foregoing resolution was passed and adopted by the Saratoga City Council at a regular
meeting held on the 19''' day of June 2019, by the following vote:
AYES: Mayor E. Manny Cappello, Vice Mayor Howard Miller, Council Members Rishi Kumar,
Mary -Lynne Bernald, Yan Zhao
NOES:
ABSENT:
ABSTAIN:
DATE:
Deb' 'ie Bretschneider,Zity
Clerk
E. Manny Cappello, Mayor
CITY OF SARATOGA
UNREPRESENTED CLASSIFICATIONS
COMPENSATION AND TERMS OF EMPLOYMENT
I. INTRODUCTION
This Resolution establishes the compensation and other terms for benefited regular full-time
unrepresented job classifications that are not included in a collective bargaining agreement, memorandum
of understanding, or employment contract.
Unrepresented classifications are subject to the City's Personnel Rules and Policies adopted by the City
Council and are subject to the terms in this Resolution (except as modified by subsequent personnel
rules and policies and resolutions, if any, applicable to such an unrepresented, regular, full-time
employee).
The terms in this document, once adopted by the City Council, supersede the terms in Resolution 17-002.
II. UNREPRESENTED JOB CLASSIFICATIONS
Assistant City Manager
Chief Building Official
City Clerk
Community Development Director
Finance and Administrative Services Director
Finance Manager
Human Resources Manager
Human Resources Technician
Parks Division Manager
Public Information Officer
Public Works Director
Streets and Fleets Division Manager
Any other job classification determined not appropriate to be included in a represented
bargaining unit.
III. COST OF LIVING ADJUSTMENT
Each employee shall receive an annual cost -of -living adjustment of no less than one percent (1.0%)
and no greater than the following annual maximum, as based upon the annual average for the 12-
month period of January to December of the U.S. Department of Labor, Bureau of Labor Statistics,
"All Urban Consumers (CPI-U)" for the "San Francisco -Oakland -Hayward" region.
Maximum caps of 3.87% on July 1, 2019, 3.13% on July 1, 2020, 3.00% on July 1, 2021, and 3.00%
on July 1, 2022. For each subsequent year, each employee shall receive an annual cost -of -living adjustment
of no less than one percent (1.0%) and no greater than two and one-half percent (2.5%) as based upon the
annual average for the 12 month period of January to December of the U.S. Department of Labor, Bureau
of Labor Statistics, "All Urban Consumers (CPI-U)" for the "San Francisco -Oakland -Hayward" region.
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For each subsequent year (starting July 1, 2023), if the annual average falls below one percent
(1.0%), each employee shall nevertheless receive a minimum one percent (1.0%) cost -of -living
adjustment; if the above Index increases above two and one-half percent (2.5%), each classification
shall nevertheless receive a maximum two and one-half percent (2.5%) cost -of -living adjustment.
IV. EMPLOYEE BENEFITS
A. Health and Dental Premium Contributions
Effective January 1, 2016, the City will provide a monthly health insurance contribution for each
employee's selected level of coverage as follows in the chart below:
Employee
Employee Plus One
Employee Plus Two (Family)
$800.00
$1,600.00
$2,080.00
The City's monthly health insurance contribution will be adjusted annually as follows.
1. Prior to the beginning of the CalPERS open enrollment period, the City will compare the
average monthly cost of all plans offered in the next calendar year for each level of coverage
(Employee, Employee + 1, and Employee +2) with the current year average monthly costs for
each level of coverage. The average will be calculated by adding the cost for each plan at the
same level of coverage and then dividing by the number of plans.
2. If the average cost for a level of coverage in the next calendar year will exceed the average
cost for the same level in the current year, then the City's monthly contribution for that level
of coverage will be increased by 50% of the difference of the two yearly averages.
3. If the average cost for a level of coverage in the next calendar year is below the average cost
for the same level in the current year, then the City monthly contribution for that level of
coverage will not change.
The adjusted City contribution for each level of coverage for the next calendar year will be
provided to the employees prior to the beginning of the open enrollment period and become
effective on January 1 of each year.
Examples:
(1)
The 2016 (base year) City monthly contribution for the family level of coverage is $2,080
and the average cost of all plans at the family level offered in 2017 will be $2,366. The
City's monthly contribution will be increased to $2,168 ($2,366 - $2,190 = $176, 50% of
the $176 difference = an increase of $88). The employee would pay the balance of $88 for
the plan selected.
(2) The 2017 average monthly contribution for the family level of coverage is $2,168 and the
average cost of all plans at the family level offered in 2018 will be $2,554. The City's
monthly contribution for 2018 would be increased from $2,168 (the 2017 rate) to $2,262
($2,554 - $2,366 = $188, 50% of the $188 difference = an increase of $94). The employee
would pay the balance of $94 for the plan selected.
If an employee selects a health insurance plan with a monthly premium above the City
contribution, the employee will pay the amount above the City contribution as a pre-tax payroll
deduction.
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Based on this formula, effective January 1, 2019, the City will provide a monthly health insurance
contribution for each employee's selected level of coverage as follows in the chart below:
Employee
Employee
Employee Plus
Plus One
Two (Family)
$816.00
$1,632.00
$2,122.00
The City contributes 100% of the dental premium for regular, full-time employees.
B. Health and Dental -In-Lieu Payments
An employee who completes and submits required documents (1) to prove that the employee has
other health insurance coverage and (2) to waive City -provided health insurance coverage will
receive a payment per month of $400.00 as additional taxable wages.
The employee must complete and submit any required documents and provide proof of other health
insurance coverage during open enrollment (in or around October) to be eligible for the cash -in -
lieu payment beginning the following January 1.
Only qualifying events as defined by law allow employees to make a change to their health, dental,
and/or in -lieu enrollment elections during the year (outside of the annual open enrollment period).
Any employee who declines to accept coverage in the Dental Plan, evidenced by signing a waiver
form, shall receive a monthly in -lieu payment of $25.00.
C. Deferred Compensation (457 Plan)
The City provides employees the opportunity to contribute toward an IRS Section 457 deferred
compensation plan. Employees may contribute an amount up to a federally mandated maximum per
calendar year on a pre-tax basis.
For unrepresented employees that are not at -will, the City will contribute $50.00 per month to the
employee's 457 Plan, which does not require the employee match that amount. In addition, for
unrepresented employees that are not at -will, the City will contribute up to $100.00 per month to the
employee's 457 Plan, matching the employee's contribution of up to $100.00.
V. PTO CASH -OUT OPTION
A PTO Cash -Out Option will not be made other than at the time of termination, except for the optional
PTO cash -out plan described as follows:
If an employee has used the required minimum of 80 accrued hours of PTO and/or administrative leave in
the prior fiscal year, the employee is eligible to cash out up to a maximum of 200 accrued hours of PTO
per fiscal year on approximately September 1 and/or March 1. An employee must maintain a minimum
balance of 200 hours of accrued PTO after the cash out.
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VI. ADMINISTRATIVE LEAVE
Administrative Leave is compensated time off given to regular, full-time exempt employees of the
City. This leave shall be taken in a manner consistent with Paid Time Off (PTO). Use of
administrative leave is a privilege and is provided in recognition that City business often requires
exempt employees to devote whatever hours are necessary, irrespective of a regular scheduled
workweek, to fulfill the obligations of the job.
The number of Administrative Leave hours granted to an exempt position are twenty (20), forty (40),
or sixty-five (65) and is based on the level of responsibility of the position within the organization
and the expectation of the incumbent in the position to observe their regular work schedule and
perform further hours needed to satisfactorily execute the duties and responsibilities of their
positions. The number of Administrative Leave hours granted to exempt positions are determined
by the City Manager at the time the exempt classification and job description is established, because
of a reclassification, or before a vacant classification is re -filled.
Sixty-five (65) hours of Administrative Leave is granted to the following exempt classifications:
Assistant City Manager
Chief Building Official
City Clerk
Community Development Director
Finance and Administrative Services Director
Finance Manager
Human Resources Manager
Parks Division Manager
Public Information Officer
Public Works Director
Streets and Fleets Division Manager
Administrative leave cannot be carried over from year to year and must be used by June 30th of the
fiscal year in which it was provided. Administrative Leave must be exhausted prior to using PTO.
VII. RETIREMENT (PERS)
The City is a contracting agency of the California Public Employees Retirement System (PERS). Regular
employees become members immediately upon employment and become vested after five years of full-
time service.
Tier 1: Ca1PERS Retirement Plan of 2%(a,55 for Employees Hired Before July 1, 2011: The City, through
its contract with PERS, provides for retirement benefits for any employee hired before July 1, 2011 as
defined by the 2%@55 retirement plan formula (contract effective date: September 1, 1999). The City's
2%@55 contract with PERS includes Government Code 20042 — the final compensation is the average
full-time monthly pay rate for the highest 12 consecutive months.
As of July 1, 2011, each employee covered by the 2%@55 retirement plan formula will pay 7% of the
employee's compensation on a pre-tax basis for the employee's 7% fixed share of the Ca1PERS defined
benefit retirement program.
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Tier 2: Ca1PERS Retirement Plan of 2%@60 for Employees Hired July 1, 2011 Through December 31,
2012:
Each employee covered by the 2%@60 plan will pay 7% of the employee's compensation on a pre-tax
basis.
New Hire Ca1PERS Retirement Plan For Employee Hired January 1, 2013 and After: Any employee
hired on or after January 1, 2013, who does not meet the exceptions as specified in state law to be a
"classic" member of PERS, will receive the following 3rd tier retirement option:
a) A retirement plan of 2% at 62 as required by state law (PEPRA).
b) Each employee will pay on a pre-tax basis 100% of the employee's contribution as determined by
PERS toward the Ca1PERS 2%@62 retirement plan.
An employee hired after January 1, 2013 who meets an exception under state law to be a "classic"
member of PERS will receive the second tier plan of 2% at 60 noted above.
VIII. 7-STEP SALARY RANGE TABLE
An employee who has received a cumulative rating of "meets expectations" or greater during the fiscal
year employee performance evaluation will be eligible to receive a pay increase of five percent (5%) (1
step) above their existing pay while progressing from Step 1 to Step 5.
The employee shall advance to Step 6 after four (4) additional years of service in the same classification
at step 5.
The employee shall advance to Step 7, the top of the range, after another additional four (4) years of service
in the same classification at step 6.
IX. WORKING CONDITIONS
The City operates on a 9/80 work schedule determined by the City Manager where a full-time work
week, constitutes forty (40) hours within seven consecutive 24 hour days, also defined as one hundred
sixty-eight (168) hours. Employees on a 9/80 schedule are scheduled to work 8 nine hour days, 1 eight
hour day, and have one day off every two weeks. An employee's workweek begins in the middle of
the employee's 8 hour day and the employee's day off is on the same day of the week in the
following week. For example, the standard 9/80 work schedule is as follows:
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Sunday
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
off
off
9
9
9
9
4 (end)
4 (start)
off
9
9
9
9
off (end)
off
off (start)
off
9
9
9
9
4 (end)
off
4 (start)
off
9
9
9
9
off (end)
off
off (start)
The City Manager has discretion to require Unrepresented employees to work a schedule different
from the standard 9/80 schedule including a schedule that is not 9/80. Fridays when the City is not
open for business are referenced as "off -Fridays."
The work period (pay period) is the period encompassing two consecutive workweeks.
A holiday furlough will exist whereby the City operations are closed from December 24 through January
1 of every year. Two furlough days shall be compensated as a regular day's salary. To be paid for a
furlough day, an employee must be on paid status the week of the furlough with the City. All part-time
employees and employees on short-term disability shall receive furlough pay on a pro-rata basis.
For any remaining furlough days, employees shall utilize their available balances (earned paid time off
or earned compensatory time), if applicable. Employees that utilize unpaid leave due to an insufficient
leave balance shall maintain regular benefit status. Employees may not utilize unpaid leave prior to
exhausting their available balances, except with prior written authorization signed by the City Manager.
X. AT -WILL EMPLOYEE BENEFITS
The following positions are at -will and serve at the pleasure of the City Manager:
Assistant City Manager
Community Development Director
Finance and Administrative Services Director
Public Works Director
A. Severance
Should the City Manager choose to terminate an at -will employee, the following severance provisions
apply and will be made available to the employee if the separated employees signs and agrees to be
bound by a written general release agreeing not to sue and waiving claims and recovery against the
City and all City representatives and agents.
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Starting on the one-year anniversary of the date of hire, employee shall be eligible for a general release
agreement with (A) a severance payment equal to three (3) month's salary; and (B) Health Insurance
and Dental Insurance benefits specified in this agreement for a three (3) month period after termination.
The severance payment and continuation of benefits listed above shall be increased by one (1) month
for each year on the employee's anniversary date up to a maximum of six (6) months' severance pay
and benefits.
At the discretion of the employee whose employment has been terminated, the severance payment shall
be paid either in a lump sum, or in bi-weekly payments, beginning within ten (10) days of the effective
date of termination or within ten (10) days of the effective date of the signed general release, whichever
is later. If an employee selects bi-weekly payments, the employee may later choose to receive a lump
sum payment for the balance of the monthly severance payments. The change from bi-weekly
payments to a lump sum payment for the balance will be processed as soon as reasonably feasible and
by no later than two weeks after the employee chooses to change to a lump sum payment for the
balance. The severance payment shall be based on the employee's then monthly salary.
Severance benefits will be provided as follows:
Health Insurance: The employee must enroll in COBRA, directly through their existing health
plan provider, for extended health insurance. The employee must pay the health insurance premium
directly to his/her provider and submit a copy of the premium invoice and proof of payment to the
City for reimbursement.
Dental Insurance: The City is able to directly enroll the employee in COBRA, through the City's
carrier, for extended dental insurance. The employee must contact the Human Resources Division
and complete any requested documents to activate acceptance of COBRA for dental insurance.
The Human Resources Division will provide to the employee a letter detailing all of the above
instructions, and providing the necessary paperwork in a timely fashion, sufficient to ensure that the
employee does not become ineligible for continued coverage.
B. Deferred Compensation (457 Plan)
The City will match at -will employee contributions to a deferred compensation account up to a
maximum of $250.00 per month.
C. Car Allowance
Each at -will employee shall receive a monthly $275.00 car allowance.
857183.1
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