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HomeMy WebLinkAbout2007-04-11 Agenda Packet - Board Agenda Item # 18 & 19 w Memorandum To: Board of Directors From: Peter Holzmeister Date: April 11, 2007 Subject: New MOU with District Union employees Why this matter is before the Board: This matter involves approving amendments to the MOU between the District and IBEW Local 1245, the Union that represents District hourly waged employees. History: I have been negotiating the terms of a new MOU with the Union for the past several months. I have been assisted by Steve Hollabaugh and Nancy Waters. You will recall that the Union membership voted a few weeks ago to reject an earlier settlement package. Steve and Nancy and I got back with the Union bargaining committee and made a few changes to the package with assistance from a mediator, and it was then approved by the Union membership in a second vote. New information: Attached is a copy of the package that was ratified by the Union. Also attached is the current MOU that actually expired this past December 31, 2006. 1 would like the chance to discuss this entire matter with the Board in Closed Session prior to voting on it in Open Session. If the Board approves this new package, which I urge you to do; I would then ask you to consider adopting a resolution setting up a 401(a) plan. That item is also agendized for action after returning to open session. TDPUD/ Local Union 1245 Ratification Package � March 16, 2007 Sec 2.2 Non-discrimination: It is the policy of the District and the Union not to discriminate against any employee because of race, creed, color age, gender, handicap,-ow national origin, or sexual orientation. In addition, the District will not discriminate against an employee because of membership in the Union and neither the Union nor the employees they represent will discriminate against any employee because of non-affiliation with the Union. Sec 6.5 a Comp time e) Employees may elect to accrue and use up to twenty-f' uF f 22, thirty-two (32) hours per calendar year of compensatory time off. Such time shall accrue as hour for hour worked and remainder of overtime compensation shall be paid at the appropriate rate. Employees with accrued compensatory time off will be cashed out at the end of each calendar year. Example: 8 hours worked at the "double time rate" = 8 hours comp time and 8 hour straight time pay. 8 hours worked at the "time and one half rate" = 8 hours comp time and 4 hours straight time pay. All compensatory time taken must have prior approval by management. Compensatory time off will not be approved if overtime must be worked to cover it. f) Employees with less than ten (10) years of service may elect to accrue and use an additional sixteen (16) hours of compensation time in addition to the comptime provided for in Section 6.5 (e). After the employee reaches the ten (10) year anniversary date he/she will no longer accrue comptime under this section. Existing Section 6.5 (f) is renumbered to 6.5 (g). Sec 6.6 Rest Period (a) Any employee who has worked eight (S) sixteen ( 16) in any consecutive 24 hour period hours OF FHOFe at OWFtiffle FflteS hetWeLON the Fegtilff tjklittiH b will be entitled to a rest period of nine (9)consecutive hours. Sec 6.6 b, c, d remains unchanged I Sec 9.4 Bereavement Leave 1 Regular employees will be granted three (3) days bereavement leave with pay in the event of a death in their immediate families or to a member of the employee's immediate household at the time of death. Immediate family consists of an employee's or employee's spouse's or registered domestic partner's mother, father, brother, sister, son, daughter, step-child, half-brother, half-sister, foster parent or grandparent. In addition, such leave may be extended to cover the employee's step-parent, foster child, or grandchild Sec 10.2 Rates of Accrual: Rates of Accrual Number of Days Per Year (a) For the first five years of continuous service 10 (b) After completing five years of continuous service 15 (c) After completing ten years of continuous service 20 (d) After completing 2415 years of continuous service —-21 (e) After completing 22 20 years of continuous service 22 (f) After completing 23 years of continuous service 23 (g) After completing 24 years of continuous service 24 (h) After completing 25 years of continuous service 25 (i) After completing 30 years of continuous service 30 Sec 12.1 Definition of Personal Disability Leave: Personal Disability Leave means an authorized paid leave of absence which is granted to an employee who has actually become incapacitated and who is, thereby, unable to perform employee's regular duties and responsibilities. Such inability will have resulted from (1) personal illness or accident; or, (2) pregnancy. Personal Disability Leave is not applicable to industrial disability (otherwise provided for below) except to the extent of supplementing industrial disability leave up to 100% of an employee's regular straight- time earnings. Such application will be at the employee's option. Employees may use their Personal Disability Leave, up to a maximum of six (6) days in a calendar year, for paternity purposes, to tend to an ill spouse, or registered domestic partner, child, or parent. Employees can accumulate unused family sick leave not to exceed six (6) days Sec 19.2 (a) Group Medical Insurance Plan Including Drug Card Program: The District will pay 100% of the premiums for employees and dependents. The NRECA Preferred Provider Organization (PPO) plan agreed upon includes a $2,000/$4,000 out of pocket annual maximum for Out-of-Network charges, a $2004,1004€ $400680011200 deductible, utilization review/cost containment SHARE features, medical management provisions, generic drugs at $10.00, brand name I drugs at $15.00, mail service prescription drug program (co-payments for brand name mail order prescriptions at $20.00, generic mail order prescriptions at $10.00.) q? -Ct;-pay S 5 00-� t (P:-the prescription card plan is the MAC-4 (bagreed genefie Employees will need to pay fo their- it rev r t:3fis anti submit the C ar-emar-L r pts te aeeeunts payable f r r ..,t,.IF-SI .P.,t of the di ffer-en e (b) District will immediately notify Union of any notice of proposed changes provided from NRECA. District and Union agree to meet and discuss impacts of said changes to determine appropriate course of action. (c) District will reimburse employee and dependents for the first day medical management deductibles and the District will cover the 1% claims processing tee. hospital. The eepayment "Al be ,equal to that he pital's charge F, efle a„ t., at the st.,.,d rd rate for- a semi :..,,r, t��. ...,.., t7r..t dit .„�.,tieal .,,.,..,,,..,.ieHt ded .t;b les avid the n: ..sir; t u: the t. t; . The District will continue to fund medical insurance at the same level as their normal employment status up to thirteen (13)weeks of disability. Sec 19.2 g(4) District to provide a 401(a) or f'fatrO411-N} +�' ji.,.: with employer match of 100% up to 3% of employee'sbase wage. Sec 19.2 (1)Vision Plan: The District will provide as follows: The District will provide an annual benefit up to $400.00 per covered employee, registered domestic partner, or dependent. The benefit will be to cover the expenses of examination, lenses, frames or contact lenses when recommended by a physician or optometrist. Sec 19.2 (k) Post Retirement Medical and Dental Benefits: 3 I (1) The plan is the same as the current employees' medical plan. except for a $500 deductible per person compared to a -�_ deductible per person for employees. It is based on the ElectREcomp medical plan with $500 deductible per person. Percent of Premium Paid Years of Service by District 10 50% 11 55% 12 60% 13 65% 14 70% 15 75% 16 80% 17 85% 18 90% 19 95% 20 100% District will pay the same percentages listed above of the retiree and dependent medical and dental premiums beginning at the retiree's age 60 for future retired employees based on years and months of service at Truckee Donner. If a person retires earlier than age 60 the benefit will be reduced by 2% per year reduction in the benefit paid by the employer. For example, a person retiring at age 58 with 19 years of service would have 91% of the I retiree and dependent premiums paid by the District. d the 0 (2) The benefit paid by the District is capped as listed below: Monthly Caps Individual only $475 Spouse only $475 Child(ren) only $475 Spouse & child(ren) only $725 Medicare Rate $375 If the premiums increase above the monthly cap, the retiree will pay the difference between the new premium and their percent of benefit established upon retirement multiplied by the cap. Example:A person retiring at age 58 with 19 years of service Iwould have 91% of the retiree and dependent premiums paid by the District.-r 4h.- rti+frtrrp+ivarrt If initially the premium for individual only was S340, the retiree would pay 3.10— (91%x$340) = S30.60. If the premium increases to S400 S500 while the cap is$3-5N S4'5, the retiree would pay 4AW 500— (91%x SJJOS4?3) = S4-3N S6?.73. Sec 19.5 Tool Allowance a) Allowance: Notwithstanding the provisions of Section 11.1 of the agreement, the automotive mechanic is required to provide his own set of hand tools and boxes necessary to perform his job. The District will provide to the mechanic an allowance up to &5W $700 per annum, payable upon presentation of approved 4 invoices, for lost, misplaced, damaged or worn tools through normal wear or new tools which may be available to enhance the performance of his job. Hand tools acquired by the mechanic using this allowance will remain the property of the mechanic. Sec 20.4 Wages 0 o 1 I—$44 31140 COLA. Wages could o ower-or- 10 i Retroactive to 1/1/07 See attached wage schedule for 2007 and 2008. Year 2009: COLA floor 3%, ceiling of 4% tied to CPI-W. COLA will be determined based on an average of twelve (12') months from August to July. Example: For 2009 wages, the COLA will he haled on a 12 month average oJ'the Cf I W,frorn August ?007 to and including July 2008. Sec 20.6 Water Certificates Incentive for Water Certification: Employees within the water department (above the Tech in Training level) will receive $225.00 $300 per year per certification above what is required within their job description, limited to Water Department personnel only, 2 certificates per employee. This applies only to state treatment, distribution and cross connection specialist certifications. Paid in a lump sum in January each year Sec 12.2 Sick Leave IEligibility and Accrual: Full-time regular employees who have eempleted six (6�, will accrue unlimited personal disability leave from the date of hire at the rate of one(1) day per month for each month the employee remains in a pay status (12 days per year maximum). When an employee no longer is being compensated during the major portion of any month by regular pay, paid vacation, or any other form of paid leave, the employee no longer will accrue leave credit. Peter Holzmeister Patrick Waite General Manager, TDPUD IBEW 1245 Business Representative 5 All Hourly Rates are top of scale Current 2008 Number Current Proposed 2007 Hourly Percentage Hourly Percentage employees Hourly Rate Range Rate Increase Rate Increase Electric Department Planner Vacant 40.38 36 43.51 6.4% 46.10 5 95% Foreman 2 40.86 36 43.51 6.5% 46.10 5.95°% Lead/Substn. 1/Vacant 38.26 34 41.44 8.3% 43.91 5.96% Inspector 1 37.15 33 40.45 8.9% 42.86 5.96% Journeyman 4/2 vacant 37.15 33 40.45 8.9% 42.86 5.96% Apprentice 2 31.92 27 34.95 9.5% 37.03 5.95% Groundman 1 24.97 17 2T36 9 6% 28.99 5.96% Electrician 2 35.93 32 39.47 9 9% 41.82 5.95% Elec Tech 1 33.18 29 36.59 10.6% 38.88 5.97% Water Department Planner 1 36.88 33 40.45 9.7% 42.86 5.96% Foreman 2 33.55 31 38.53 14.8% 40.82 5.94% Lead 2 30.19 27 34.95 15.8% 37.03 5.95% Tech 5 28.70 24 32.47 13.1% 34.40 5 94% Tech-in-trng 2 27.13 20 29.45 8.6% 31.20 5 94% InspectorMltr Qua[ 1 33.55 31 38.53 14.8% 40.52 5 94% Inspector/Pipeline 0 30.19 27 34.95 15.3% 37.03 5.95% Contract Admin 1 25.38 21 30.19 19.0% 31.98 5 93% Support Svcs Dept. Mechanic 1 32.68 25 33.28 1.8% 35.26 5.95% Buyer 1 25.17 20 29.45 17.0% 31.20 5 94% Warehouse 1 24.44 14 25A4 4.1% 26.96 5.97% Facilities 1 24.44 14 25.44 4.1% 26.96 5.97% Asst Mechanic 1 25.09 17 27.36 9.0% 28.99 5.96% Power Supply Mapping Tech 1 26.42 20 29.45 11.5% 31.20 5.94% Admin Department Supervisors 3 27.92 21 30.19 8.1% 31.98 5.93% (Acctg,Billing,WO) Cust Svc Supvsr 1 25.38 17 2736 T8% 28.99 5.96% Senior Clerks 5 22.15 13 24.82 12.1% 26.30 5 96% CSR 2 19.90 8 21.98 10.5% 23.29 5.96% MR Coordinator 1 25.35 16 26.71 5.4% 28.30 5.95% Meter Reader 1 24.12 14 25.44 5.5% 26.96 5.97% Total Number of Employees 47 L II s ONNER z Public Utility District Resolution No. 2007 - XX Establishing and Defining a Money Purchase Plan WHEREAS, the District has employees rendering valuable services; and WHEREAS,the establishment of a money purchase retirement plan benefits employees by providing funds for retirement and funds for their beneficiaries in the event of death; and WHEREAS, the District desires that its money purchase retirement plan be administered by the ICMA Retirement Corporation and that the funds held in such plan be invested in the ICMA Retirement Trust,a trust established by public employers for the collective investment of funds held under their retirement and deferred compensation plans. NOW, THEREFORE, BE IT RESOLVED that the District hereby establishes a money purchase retirement plan in the form of: • The ICMA Retirement Corporation Governmental Money Purchase &Trust, pursuant to the specific provisions of the Adoption Agreement(executed copy attached hereto). The Plan shall be maintained for the exclusive benefit of eligible employees and their beneficiaries. BE IT FURTHER RESOLVED that the District hereby executes the Declaration of Trust of the ICMA Retirement Trust, and attached hereto,intending this execution to be operative with respect to any retirement or deferred compensation plan subsequently established by the District, if the assets of the plan are to be invested in the ICMA Retirement Trust. BE IT FURTHER RESOLVED that the District hereby agrees to serve as trustee under the Plan and to invest funds held under the Plan in the ICMA Retirement Trust. BE IT FURTHER RESOLVED that the Human Resources Administrator of the District shall be the coordinator for the Plan; shall receive reports, notices, etc., from the ICMA Retirement Corporation or the ICMA Retirement Trust; shall cast, on behalf of the District, any required votes under the ICMA Retirement Trust; may delegate any administrative duties relating to the Plan to appropriate departments. BE IT FURTHER RESOLVED that the District hereby authorizes the Human Resources Administrator to execute all necessary agreements with the ICMA Retirement Corporation incidental to the administration of the Plan. PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District on the 181h day of April 2007, by the following roll call vote: AYES: NOES: ABSENT: TRUCKEE DONNER PUBLIC UTILITY DISTRICT By Tim F. Taylor, President, Board of Directors ATTEST: Peter L. Holzmeister, District Clerk ICMA RETIREMENT CORPORATION GOVERNMENTAL MONEY PURCHASE PLAN & TRUST ADOPTION AGREEMENT PLAN NUMBER 10- 7629 The Employer hereby establishes a Money Purchase Plan and Trust to be known as Truckee Donner Public Utility District 401(a) Plan (the "Plan") in the form of the ICMA RC Governmental Money Purchase Plan and Trust. This Plan is an amendment and restatement of an existing defined contribution money purchase plan. x Yes No If yes, please specify the name of the defined contribution money purchase plan which this Plan hereby amends and restates: Truckee Donner Public Utility District 401(a) Plan I. Employer: Truckee Donner Public Utility District II. The Effective Date of the Plan shall be the first day of the Plan Year during which the Employer adopts the Plan, unless an alternate Effective Date is hereby specified: 01/01/2007 Ill. Plan Year will mean: (x) The twelve (12) consecutive month period which coincides with the limitation year. (See Section 5.03(g) of the Plan.) ( ) The twelve (12) consecutive month period commencing on and each anniversary thereof. IV. Normal Retirement Age shall be age 60 (not to exceed age 65). 1 V. ELIGIBILITY REQUIREMENTS: 1. The following group or groups of Employees are eligible to participate in the Plan: All Employees x All Full-Time Employees Salaried Employees Non-union Employees Management Employees Public Safety Employees General Employees Other (specify below) The group specified must correspond to a group of the same designation that is defined in the statutes, ordinances, rules, regulations, personnel manuals or other material in effect in the state or locality of the Employer. 2. The Employer hereby waives or reduces the requirement of a twelve (12) month Period of Service for participation. The required Period of Service shall be N/A (write N/A if an Employee is eligible to participate upon employment). If this waiver or reduction is elected, it shall apply to all Employees within the Covered Employment Classification. 3. A minimum age requirement is hereby specified for eligibility to participate. The minimum age requirement is N/A (not to exceed age 21. Write N/A if no minimum age is declared.) VI. CONTRIBUTION PROVISIONS — See Attachment 1. The Employer shall contribute as follows (choose one): ( ) Fixed Employer Contributions With Or Without Mandatory Participant Contributions. The Employer shall contribute on behalf of each Participant % of Earnings or $ for the Plan Year (subject to the limitations of Article V of the Plan). A Participant is required to contribute (subject to the limitations of Article V of the Plan) (i) % of Earnings, (ii) $ , or 2 (iii) a whole percentage of Earnings, as designated by the Employee in accordance with guidelines and procedures established by the Employer for the Plan Year as a condition of participation in the Plan. (Write "0" if no contribution is required.) If Participant Contributions are required under this option, a Participant shall not have the right to discontinue or vary the rate of such contributions after becoming a Plan Participant. The Employer hereby elects to "pick up" the Mandatory/Required Participant Contribution. Yes No [Note to Employer: Neither an IRS advisory letter nor a determination letter issued to an adopting Employer is a ruling by the Internal Revenue Service that Participant contributions that are picked up by the Employer are not includable in the Participant's gross income for federal income tax purposes. The Employer may seek such a ruling. Picked up contributions are excludable from the Participant's gross income under section 414(h)(2) of the Internal Revenue Code of 1986 only if they meet the requirements of Rev. Ruls. 81-35 and 81-36, 1981-1 C.B. 255, and 87-10, 1987-1 C.B. 136. Those requirements are (1) that the Employer must specify that the contributions, although designated as employee contributions, are being paid by the Employer in lieu of contributions by the employee; (2) the employee must not have the option of receiving the contributed amounts directly instead of having them paid by the Employer to the plan; and (3) the required specification of designated employee contributions must be completed before the period to which such contributions relate.] ( ) Fixed Employer Match of Participant Contributions. The Employer shall contribute on behalf of each Participant % of Earnings for the Plan Year (subject to the limitations of Article V of the Plan) for each Plan Year that such Participant has contributed % of Earnings or $ . Under this option, there is a single, fixed rate of Employer contributions, but a Participant may decline to make the required Participant contributions in any Plan Year, in which case no Employer contribution will be made on the Participant's behalf in that Plan Year. ( ) Variable Employer Match Of Participant Contributions. 3 The Employer shall contribute on behalf of each Participant an amount determined as follows (subject to the limitations of Article V of the Plan): % of the contributions made by the Participant for the Plan Year (not including Participant contributions exceeding % of Earnings or $_�; PLUS % of the contributions made by the Participant for the Plan Year in excess of those included in the above paragraph (but not including Participant contributions exceeding in the aggregate of Earnings or $ ). Employer Contributions on behalf of a Participant for a Plan Year shall not exceed $ or % of Earnings, whichever is more or less. 2. Each Participant may make a voluntary (unmatched), after-tax contribution, subject to the limitations of Section 4.05 and Article V of the Plan. Yes No 3. Employer contributions and Participant contributions shall be contributed to the Trust in accordance with the following payment schedule: VI I. EARNINGS Earnings, as defined under Section 2.09 of the Plan, shall include: (a) Overtime x Yes No (b) Bonuses x Yes No Vill. LIMITATION ON ALLOCATIONS If the Employer maintains or ever maintained another qualified plan in which any Participant in this Plan is (or was) a participant or could possibly become a participant, the Employer hereby agrees to limit contributions to all such plans as provided herein, if necessary in order to avoid excess contributions (as described in Sections 5.02 of the Plan). 4 1. If the Participant is covered under another qualified defined contribution plan maintained by the Employer, the provisions of Section 5.02(a) through (f) of the Plan will apply unless another method has been indicated below. ( ) Other Method. (Provide the method under which the plans will limit total Annual Additions to the Maximum Permissible Amount, and will properly reduce any excess amounts, in a manner that precludes Employer discretion.) 2. The limitation year is the following 12-consecutive month period: January 1 — December 31 IX. VESTING PROVISIONS The Employer hereby specifies the following vesting schedule, subject to (1) the minimum vesting requirements as noted and (2) the concurrence of the Plan Administrator. Years of Service Percent Completed Vesting Zero 100 % One % Two % Three % Four % Five % Six % Seven % Eight % Nine % Ten % X. Loans are permitted under the Plan, as provided in Article XIII: x Yes No XI. The Employer hereby attests that it is a unit of state or local government or an agency or instrumentality of one or more units of state or local government. XII. The Plan Administrator hereby agrees to inform the Employer of any amendments to the Plan made pursuant to Section 14.05 of the Plan or of the discontinuance or abandonment of the Plan. 5 XIII. The Employer hereby appoints the ICMA RC as the Plan Administrator pursuant to the terms and conditions of the ICMA RC GOVERNMENTAL MONEY PURCHASE PLAN & TRUST. The Employer hereby agrees to the provisions of the Plan and Trust. XIV. The Employer hereby acknowledges it understands that failure to properly fill out this Adoption Agreement may result in disqualification of the Plan. XV. An adopting Employer may rely on an advisory letter issued by the Internal Revenue Service as evidence that the Plan is qualified under section 401 of the Internal Revenue Code. In Witness Whereof, the Employer hereby causes this Agreement to be executed on this day of , 2006. EMPLOYER ICMA RC By: By: Title: Title: Attest: Attest: 6 'AGLI,PRIM CL I EN"I'SV11o71)\0I NIPP,AA4 DOC ATTACHMENT TO THE TRUCKEE DONNER PUBLIC UTILITY DISTRICT 401(A) PLAN GOVERNMENTAL MONEY PURCHASE PLAN AND TRUST ADOPTION AGREEMENT Section VI.I. Fixed Employer Contributions With Or Without Mandatory Participant Contributions. A. The Employer shall contribute on behalf of each Participant Up to 3% of Earnings for the Plan Year(subject to the limitations of Article V of the Plan). Mandatory Participant Contributions ❑ are required ❑ are not required to be eligible for this Employer Contribution. B. Notwithstanding Section 4.03 of the Plan, each Employee eligible to participate in the Plan shall be given the opportunity to irrevocably elect to participate in the Mandatory Participant Contribution portion of the Plan by electing to contribute 1% - 20% of the Employee's Earnings to the Plan for each Plan Year(subject to the limitations of Article V of the Plan. The Employer shall "pick-up" this contribution in accordance with Code section 414(h)(2). These contributions shall be accounted for in the Participant Contribution Account, and shall be nonforfeitable by the Participant at all times. Newly eligible employees shall be provided an election window of 60 days from the date of initial eligibility during which they may make the election to participate in the Mandatory Participant Contribution portion of the Plan. Participation in the Mandatory Participant Contribution portion of the Plan shall begin the first of the month following the end of the election window. If the employee does not make an election in the initial year of eligibility, the election to participate in the Mandatory Participant Contribution portion of the Plan El may ❑ may not be made in a later year. If a later election is allowed, an annual election window of 60 days shall be provided during which the election may be made. The election window shall run from November lst to December 30th . Participation in the Mandatory Participant Contribution portion of the Plan shall begin the first of the year following the year of the election. An Employee's election is irrevocable and shall remain in force until the Employee terminates employment or ceases to be eligible to participate in the Plan. In the event of re-employment to an eligible position, the Employee's original election will resume. In no event does the Employee have the option of receiving the pick-up contribution amount directly. Section VI.Z. Each Participant may make a voluntary (unmatched), after-tax contri- bution, subject to the limitations of Section 4.05 and Article V of the Plan. Yes x No Section VI.3 . Employer contributions and Participant contributions shall be contributed to the Trust in accordance with the following payment schedule: Ri-weekly Eligible Participant is defined as: x All Participants, Participants within_(insert number) years of Normal Retirement Age, or Other: (define class of Participants). Employer Signature Date Title: Attest: Accepted: ICMA Retirement Corporation By: Title: Attest: