HomeMy WebLinkAboutApprove for introduction Ordinance No. 4116 adding Huntingto Dept. ID City Attorney's Office Page 1 of 2
Meeting Date:7/17/2017
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� ? CITY OF HUNTINGTON BEACH
REQUEST FOR. CITY COUNCIL ACTION
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MEETING DATE: 7/17/2017
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Michael E. Gates, City Attorney
PREPARED BY: Ken Domer, Assistant City Manager
SUBJECT: Approve for introduction Ordinance No. 4116, adding Huntington Beach
Municipal Code (HBMC) Chapter 2.71 and repealing Chapter 2.70 relating to
transparency in labor negotiations
Statement of Issue:
The City Council adopted Ordinance No. 4078 on December 7, 2015, to incorporate increased
transparency in labor negotiations. The Ordinance, which became effective on January 7, 2016,
codified several transparency items including the posting of rejected proposals and counter-
proposals, costing reports, and set forth a process in which to adopt a Memorandum of j
Understanding with an affected employee bargaining unit (Association). This item approves for
introduction Ordinance No. 4116, which upon its effective date, will repeal Ordinance No. 4078 in its
entirety and replace it with an amended Transparency Ordinance set forth as Chapter 2.71.
Financial Impact:
Not applicable.
Recommended Action:
Approve for introduction Ordinance No. 4116, "An Ordinance of the City of Huntington Beach
Repealing Chapter 2.70 Relating to Openness in Labor Negotiations and Replacing with Ordinance
No. 4116, Chapter 2.71 Relating to Openness in Labor Negotiations."
Alternative Action(s):
Do not approve and direct the City Attorney to make changes.
Analysis:
On September 21, 2015, the City Council directed the City Attorney to draft a transparency in labor
negotiations ordinance that incorporated five (5) components as listed on a Councilmember item
submitted by Council Members Peterson and Posey. The City Attorney drafted Ordinance No.
4078 which was approved for introduction on November 16, 2015, adopted on December 7, 2015,
and enacted as of January 7, 2016.
Over the course of the last 18 months, the City has successfully operated under Ordinance No.
4078 and concluded Memorandums of Understanding with seven (7) of its employee bargaining
units. However, two associations filed Unfair Practice Charges (UPC) with the Public Employment
Relations Board (PERB) and one association filed a lawsuit in Superior Court. The two Unfair
Practice Charges and single lawsuit alleged, in part, that the City violated the Meyers-Milias-Brown
Act which regulates public employment practices.
HB -251- Item 16. - 1
Dept. ID City Attorney's Office Page 2 of 2
Meeting Date: 7/17/2017
Through a mediated settlement conference with one association, the City agreed to amend the
Transparency in Labor Negotiations Ordinance along the following manner:
• Delete Section 2.70.070 (d) which required all compensation increases to be effective no
earlier than the beginning of the first full pay period following City Council adoption.
• Amend Section 2.70.040 (a) to create the concept of "rounds" thereby providing
simultaneous disclosure of rejected proposals/counter-proposals.
• Clarify that the City's proposal and/or counter-proposal is to be posted online.
• Add Section 2.70.050 (c) to provide an Association a process in which to meet with the City
to discuss the methodology for costing proposals. Any such meeting shall not unduly delay
the reasonable progression of the meet and confer process.
In addition, based on the practical application of the transparency ordinance since it was first
enacted, Section 2.70.050 (a) was amended to ensure that cost reports for a specific round are not
posted prior to the actual round being posted. This amendment ensures that costing reports are
completed within the required 20-day timeframe, but only posted after the conclusion of a defined
round.
These new changes, along with all other parts of Chapter 2.70, will become, upon the effective
date, a new Chapter 2.71 and Chapter 2.70 as promulgated by Ordinance No. 4078, will be
repealed.
Environmental Status:
Not applicable.
Strategic Plan Goal:
Enhance and Maintain City Service Delivery
Attachment(s):
1. Ordinance No. 4116, "An Ordinance of the City of Huntington Beach Repealing Chapter
2.70 Relating to Openness in Labor Negotiations and Replacing with Ordinance No. 4116,
Chapter 2.71 Relating to Openness in Labor Negotiations"
2. Ordinance No. 4116 Legislative Draft
Item 16. - 2 HB -252-
Esparza, Patty
From: Estanislau, Robin
Sent: Monday, July 31, 2017 1:50 PM
To: Warren, Michele
Cc: Wilson, Fred; Gates, Michael; Vigliotta, Mike; Esparza, Patty
Subject: RE: Ordinance No. 4116
Hi,
We will pull the item from the agenda. G
Robin
From: Warren, Michele
Sent: Monday, July 31, 2017 11:22 AM
To: Gates, Michael; Vigliotta, Mike
Cc: Wilson, Fred; Estanislau, Robin
Subject. Ordinance No. 4116
Greetings,
I am respectfully requesting that the introduction and adoption process for Ordinance No.
4116 be placed into suspense (indefinitely) until the City can complete the required meet
and confer process with HBFA, MEO, POA and PMA, regarding same.
Thank you.
M.
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ORDINANCE NO. 4116
AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH,,"`
REPEALING CHAPTER 2.70 RELATING TO OPENNESS IN'
LABOR NEGOTIATIONS AND REPLACING WITH ORDINANCE`NO. 4116,
CHAPTER 2.71 RELATING TO OPENNESS IN LABOR NEGOTIATIONS
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WHEREAS, the City Council of the City of Huntington Beach finds that the process of
conducting transparent and open labor negotiations is essential to good government; and
The City of Huntington Beach is a Charter City; and f'
The California Constitution provides Charter Cities the direct power and "plenary
authority" to determine the compensation of their officers and employees. (Cal. Const., Article
XI, § 5, subds., (a), (b), and (b)(4)); and
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The California Constitution provides Charter Cities the direct power and authority to
make and enforce all Ordinances and regulations'in respect to municipal affairs. (Cal. Const.,
Article XI, § 5, subds., (a)); and
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The California Constitution provides that Charter Cities' authority with respect to
municipal affairs shall supersede all lawsjinconsistent therewith. (Cal. Const., Article XI, § 5,
subds., (a)); and
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The City, through coordinates and concerted efforts since June of 2015, has met and
conferred with each of the City's recognized collective bargaining units regarding the terms and
details of Ordinance No. 4078 and amendments thereto; and
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Government Code Section 3500 (Meyers-Milias-Brown Act, hereinafter as "the Act")
provides in pertinent part that the purpose and intent of the Act is "to strengthen merit, civil
service and other methods/of administering employer-employee relations through the
establishment of uniforrzi and orderly methods of communication between employees and the
public agencies by which they are employed"; and
Consistent wjitth the foregoing authorities, the City Council finds that the Labor
Negotiations between the City and its employees regarding bargained for wages, hours, and other
terms and conditions of employment, will benefit from an informed and knowledgeable public;
and
The City Council finds that the collective bargaining by the City and its employees will
be enhanced when done in the presence of an informed public.
NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby
ordain as follows:
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17-5853/161721/MV 1 }}
ORDINANCE NO. 4116
SECTION 1. The Huntington Beach Municipal Code, Chapter 2.70, entitled Openness
in Labor Negotiations," is hereby repealed and replaced in its entirety to read as follows:
Chapter 2.71 —OPENNESS IN LABOR NEGOTIATIONS
2.71.010 Applicability
This Chapter shall apply to all Labor Negotiations between the City and a City-
recognized collective bargaining unit(s) (hereinafter"Association") in the
securing of a labor agreements in the form of Memorandums/of Understanding
("MOU") or amendments thereto including negotiated "side letters" with the City
relating to and/or having a material relationship to wages;,/hours, and terms and
conditions of employment that are within the scope of bargaining.
Any discussions, meet and confers, negotiations, and/or other communications
between the City and Association(s) regarding proposed changes to wages, hours,
and/or any other terms or conditions of employment within the scope of'
bargaining may also be referred to in this Ordinance as "Labor Negotiations."
2.71.020 Pre-Negotiation, Meet and Conf L Ground Rules
The City affirms its obligation to meet �nd confer in good faith with each of its
recognized Associations regarding all matters within the scope of representation,
including mandatory subjects of bargaining, in accord with California
Government Code Sections 3504 and 3505.
The City Manager and/or his or her designee(s) shall meet with each of the City's
Associations regarding any and all ground rules for upcoming Labor Negotiations
prior to the commencement of Labor Negotiations, as defined by this Chapter.
2.71.030 Negotiator
A. Where an independent negotiator is deemed not necessary by the City Council for
a particular Labor Negotiation, the City Manager or designee will act as the lead
negotiator("designated negotiator") on behalf of the City. No designee may be a
member of/an association.
B. An independent negotiator may be appointed by the City Council to lead the City
in Labor Negotiations. If an independent negotiator is deemed necessary by the
City/Council, he or she shall: (1) not be an employee of the City; (2) not be a
member of the public pension plan that covers City employees; and (3) have a
demonstrated expertise in negotiating labor and employment agreements on
/behalf of municipalities.
17-5853/161721/MV 2 , '
ORDINANCE NO. 4116
C. The City Council may designate one or more executive or management level
employees to assist the designated or independent negotiator as deem'
appropriate.
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D. The City Council shall report out to the public the identity of the'designated or
independent negotiator for each Labor Negotiation upon designation.
2.71.040 Negotiation Disclosures to Public /f
A. After the first submitted proposal and counter-proposal have been made by both
the City and the Association, the subsequent written proposals shall be
simultaneously reported to the public by the City/Council. The method of
reporting shall be by"rounds," defined as the written exchange of a proposal and
counter-proposal. The subject written proposals shall be made public 24 hours
after accepting or rejecting a counter-propsal by posting them on a designated
area of the City's website. This section shall not mandate publication of City
Council-directed future proposals andjdr the analytical thought process utilized by
the City Council in Labor Negotiations.
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B. No verbal or written reports or p bblications to the public regarding offers and
counter-offers waive the attorney-client privileges that attach to closed session.
All other information communicated during closed session, excluding published
offers and counter-offers, will remain subject to and covered by the privilege. By
passing the Ordinance codified in this chapter, the City Council does not waive
this privilege of confidentiality.
2.71.050 Cost of Proposals and Labor Agreements
A. Except for the first proposal and counter-proposal made, the Chief Financial
Officer shall cause to be prepared a report determining the fiscal impacts
attributed to each term and condition of employment of each subsequent written
proposal resulting from Labor Negotiations, using the current MOUs as a
baseline/These cost reports will be presented for review by the City Council, the
affected association, and the general public within 20 days after said proposal is
made;�or after a round as defined in 2.70.040 (a) is concluded, whichever is later.
B. The Chief Financial Officer shall also cause to be prepared a report determining
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the fiscal impacts attributed to each term and condition of employment in the
final, tentatively agreed upon labor agreement resulting from Labor Negotiations,
which is reduced to writing in the form of an MOU between the City and the
Association. This cost report will be presented for review by the City Council, the
affected association, and the general public at Least 30 days prior to the final
MOU being acted upon by City Council. l
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17-5853/161721/MV 3
ORDINANCE NO. 4116
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C. The City will meet with the Association upon request to discuss the methodology
for costing proposals and labor agreements. A meeting may serve to explain the
basis for costing, try to resolve a dispute regarding costing methodology, or
discuss the results of costing. Any such meeting(s) shall not unduly delay the
reasonable progression of the meet and confer process.
2.71.060 Council Member Disclosures
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Each City Council member shall disclose both during closed sessions and publicly in
open sessions, the identity of any and all association representatives with whom the City
Council member has had any verbal, written, electronic or other communication(s)
regarding a subject matter of pending labor negotiations.
2.71.070 Adoption of Memorandum of Understanding
A. A proposed MOU shall be introduced at the City Council not more than 30 days
after the initial City Council consideration and tentative approval.
B. At each City Council meeting, the proposed MOU shall be agendized as an
administrative item.
C. The rendering of a final City Council determination regarding adoption of an
MOU shall only be undertaken after the matter has been heard at a minimum of
two open City Council meetings, wherein the public has had the opportunity to
review and comment on the matter.
SECTION 2. Inconsistencies'/Any provision of the Huntington Beach Municipal
Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of
such inconsistencies and or further,ishereby repealed or modified to the extent necessary to
affect the provisions of this Ordinance.
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SECTION 3. Severability. If any provision or clause of this Ordinance or the
application thereof to any person or circumstances is held to be unconstitutional or otherwise
invalid by any court of competent jurisdiction, such invalidity shall not affect other provisions or
clauses or applications of this Ordinance, which can be implemented without the invalid
provision, clause or application; and to this end, the provisions of this Ordinance are declared to
be severable.
SECTION 4. This Ordinance shall become effective 30 days after its adoption.
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17-5 85 3/161721/MV 4
ORDINANCE NO. 4116
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the day of , 2017.
Mayor
ATTEST:
City Clerk
APPROVED AS TO FORM:
City Attor ' y
t
REVIE APPROVED:
Fi0vanager
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17-5853/161721/MV 5
LEGISLATIVE DRAFT
HBMC Chapter 2.70 RESERVED
This ehapter- all labor-negotiations between the City and ---,�-fiized eolleetive
Memorandums of Under-standing " / "side
the Git�'Fejating to and/of having a material relationship to waQPq i
Any diseussions, meet and eonfer-s, negotiations, and/or-other-eomm-imie-ation-s between the C*
as "labof negotia4ions.'(;0i 8 12,115)
The City Manager-an&of:designee(s)shall meet wit4e.AA of-the Gity's asseeiations r-egar-din
ground ,•..les for, g 1.bof negotiations prior-t..the,. .mot of these l..l.o
negotiations, /
A. Alher-eantiidependent negetiatsF is emed nets- reeessaf:-by the,Ceuneii foFa
f3aftieul.,-labor at:..tio the ( :t„ AR/ .o dog: .moo will aet as the lead . et:.,t....
("designated n et:..t.�J") m behalf Af the Cit., No ,de .be member-of
rr.v" o
B. An independent negat'.4--r-
/ , be appointed by the CiPy,Getmeil te lead the City in
labef negotiations. if an ifidependent negotiateF is deemed neeessary,by the City
//.
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he
she shall: (1\not be . .AIL-- Ft4.e! :t„• (2)fiet be- . member,file publie p
.,. �....,,. /,,.,.. .,..,.....e�..r �.7-- — u.c ci-c�� vc-oc-cc-iirc-n-rvci--vr�-rc-r�crvrrc-�cn��rr
oan that eover-s City l�
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and employmento0 0C. The Cily Couneil Tay designate ene or-FAer-e e�keetitive or-management le
,
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employees ... assist ... /6e,..5........ v. ...uvYe..ue..t uvsv..uw. as deemed appropfiate.
D. The City .,....,.:1 shl. ll. a ei4 out to the publie the :.emity of the designated ..
independentted 1 h„v fteget:.,�.�f f;. . eh late negotiation upen designation. (4078 1 2/1 G)
A. Aftef the fifst submitted offer-and eounter- offer-hm,e been made,the City Geuneil shall
peg INgeii designated area of the Gity's website. This seetion shall-„vti-r""rranda-e
I i��r7 ,J
1 „b,ieution of City! euvil a ;«evted.fut„ e p als and/or the . el„t;e.l tle,,.ht pFeeess
u� !''utilized by the City e,.ne;l in labor-.,egot;et;ens
B. No N,ef:bal OFA,r-it4efi FePOAS OF publieations to the publie fegar-ding -'L P.AwmuQr-
of,eFS waive the .tte fne„ el;ent privileges that ett..el, to elese,l —11— nil
/
remain subjeet to and eevered by the privilege. By passiflg the ifi thiS
ehapte« the Gil ,Ge.,..eil ,lees .,et waive this p „lege f eoafident;-Al;t/. (nn'74 1 7n c)
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labor negotiations, s the stif-ent MOUs as-a baseline.These eest r ,;1,�:-be
presented f:,«« ,by the Gilt,
Coune;l the ag eted .. ;. '.,tion and the g «.,l ..ub4 e
within 20 days aflef said proposal is made,
B. The Tl;«eete«of G':,,.,. �Ishall .,Is„ ,. _t,. 1.-- «,,,1 „«t,aete«m:,-.:.,g the 4s,.,,1
upon later agreement« .,lting f;.efn late«. .et:�t:e.� .,hieh is«edueed to writing
in the
form ef an N40U between the City and the ass-ainfinn. This eest r-epef4 will be pr-esefited fe
review by the City >the aff-eeted >
pfiE)«te the f;..el N40 1 being eete,7 upon by!?//—;t„!'oune;l /An'74 12A G\
Ceel, Gil !''e.,ne:l m mbe«shall ,l;-.ele-.e L.etL ,1..«;n elese,l sessionsand publ;el„in open
member-has had an),ver-bal sessions, the identity of any and all assoqi/�ion repfesentatives with whem the City Goufie4
etrp
> >
.,tte«of labor-., et;..ti '7Q 17/1 G\
. e ,ons !�nj
A. A proposed N40U
f
initial Cit !`e.,„e:l e �s;,de« t;e., and tentative . 1
after-
the ...u.w �..ay �.vurcvrrve ••••« ,
B. Ate eh City!`e,,.,zl .�,eet;l q the « e.l MO lesh shall be dined
....,�.,.. ".., ..� .............s, �...,�,.vpv� c-agcin,;zccr-as--mi
administrative item.
C. The rendering of., final Git..!`oune;l dete,-.ti.;.-,.,tion regarding adept;e., of an ) 40U
shall only be a ..t 1 aftef the matter-L been L a tminimumeftwo open Git.
Do All eempefisation inefeases shall be eff-eetive no ear-lieF than the beginning of the fifst
4;,11 p period following City Catme;l adept:e. (4078 124 G)
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Chanter 2.71 —OPENNESS IN LABOR NEGOTIATIONS
2.71.010 Definition and Applicability
This Chanter shall apply to all Labor Negotiations between the Cit/and a
City-recognized collective bargaining unit(s) (hereinafter"Association"1
in the securing of a labor agreements in the form of Memorandums of
Understanding ("MOU") or amendments thereto including negotiated
"side letters" with the City relating to and/or having a material relationship
to wages, hours, and terms and conditions of employment that are within
the scope of bargaining.
i�
Any discussions, meet and confers, negotiations, and/or other
communications between the City and Association(s) regarding proposed
changes to wages, hours, and/or any other terms,or conditions of
employment within the scope of bargaining may also be referred to in this
Ordinance as "Labor Negotiations."
2.71.020 Pre-Negotiation, Meet and Confer on Ground Rules
The City affirms its obligation to meet/and confer in good faith with each
of its recognized Associations regarding all matters within the scope of
representation, including mandatory, subjects of bargaining, in accord with
California Government Code Sections 3504 and 3505.
1'
The City Manager and/or his or her designee(s) shall meet with each of the
City's Associations regardink any and all ground rules for upcoming
Labor Negotiations prior to/the commencement of Labor Negotiations, as
defined by this Chapter.
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2.71.030 Ne otiatorff
A. Where an independent negotiator is deemed not necessary by the City
Council for a particular Labor Negotiation, the City Manager or designee
will act as the lead negotiator("designated negotiator") on behalf of the
City. NAo designee may be a member of an association.
B. An independent negotiator may be appointed by the City Council to lead
the.,'City in Labor Negotiations. If an independent negotiator is deemed
necessary by the City Council, he or she shall: (1) not be an employee of
the City; (2) not be a member of the public pension plan that covers City
employees; and (3) have a demonstrated expertise in negotiating labor and
employment agreements on behalf of municipalities.
A. The City Council may designate one or more executive or management
level employees to assist the designated or independent negotiator as
deemed appropriate.
B. The City Council shall report out to the public the identity of the/
designated or independent negotiator for each Labor Negotiation upon
designation.
2.71.040 Negotiation Disclosures to Public /
A. After the first submitted proposal and counter-proposal.-have been made by
both the City and the Association, the subsequent written proposals shall
be simultaneously reported to the public by the City.Council. The method
of reporting shall be by "rounds," defined as the written exchange of a
proposal and counter-proposal. The subject written proposals shall be
made public 24 hours after accepting or rejectins a counter-proposal by
posting them on a designated area of the City's website. This section shall
not mandate publication of City Council-directed future proposals and/or
the analytical thought process utilized by the City Council in Labor
Negotiations. �}
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B. No verbal or written reports or publications to the public regarding offers
and counter-offers waive the attorney'client privileges that attach to closed
session. All other information communicated during closed session
excluding published offers and counter-offers, will remain subject to and
covered by the privilege. By passing the Ordinance codified in this
chapter, the City Council does.not waive this privilege of confidentiality.
2.71.050 Cost of Proposals and Labor Agreements
Except for the first proposal and.counter-proposal made. the Chief Financial
Officer shall cause to be prepared a report determining the fiscal impacts
attributed to each term and condition of employment of each subsequent written
proposal resulting from Labor Negotiations, using the current MOUs as a
baseline. These cost reportsAvill be presented for review by the City Council. the
affected association, and the general public within 20 days after said proposal is
made, or after a round as defined in 2.70.040 (a) is concluded, whichever is later.
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A. The Chief Financial Officer shall also cause to be prepared a report
determining the fiscal impacts attributed to each term and condition of
employment in the final, tentatively agreed upon labor agreement resulting
from Labor Negotiations, which is reduced to writing in the form of an
MOU between the City and the Association. This cost report will be
presented for review by the City Council, the affected association. and the
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general public at least 30 days prior to the final MOU being acted upon by
City Council.
C. The City will meet with the Association upon request to discuss the
methodology for costing proposals and labor agreements. A meeting may
serve to explain the basis for costing, try to resolve a dispute regarding
costing methodology, or discuss the results of costing. Any such
meeting(s) shall not unduly delay the reasonable progression of the meet
and confer process.
2.71.060 Council Member Disclosures
Each City Council member shall disclose both during closed sessions and publicly
in open sessions, the identity of any and all association representatives with whom
the City Council member has had any verbal,,written, electronic or other
communication(s) regarding a subject matter of pending labor negotiations.
2.71.070 Adoption of Memorandum,of Understanding
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A proposed MOU shall be introduced at the City Council not more than 30 days
after the initial City Council consideration and tentative approval.
A. At each City Council meeting, the proposed MOU shall be agendized as
an administrative item.
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B. The rendering of a"^final City Council determination regarding adoption of
an MOU shall only be undertaken after the matter has been heard at a
minimum of two open City Council meetings, wherein the public has had
the opportunity to review and comment on the matter.
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