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HomeMy WebLinkAboutCity Treasurer - Modify Pay and Certain Benefits for the Per CITY OF HUNTINGTON BEACH MEETING DATE: March 21, 2005 DEPARTMENT ID NUMBER: AS-05-005 Council/Agency Meeting Held: T Deferred/Continued to: r pproved ❑ Conditionally Approved ❑ Denied City Clerk's nature Council Meeting Date: March 21, 2005 Department ID Number: AS-05t005 CITY OF HUNTINGTON BEACH REQUEST FOR ACTION SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL SUBMITTED BY: SHARI L. FREIDENRICH, CITY TREASURE PREPARED BY: SHARI L. FREIDENRICH, CITY TREASU SUBJECT: ADOPT RESOLUTION TO MODIFY PAY AND CERTAIN BENEFITS FOR ELECTED CITY TREASURER ` r" Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: Should the Resolution that authorizes the salary and benefits for the City Treasurer be modified to be the same as proposed for Non-Associated (non-represented) employees of the City? Funding Source: Funding included in the fiscal year 2004/2005 and fiscal year 2005/2006 budget. Recommended Action: Adopt Resolution No. .MT-_L , a Resolution of the City Council of the City of Huntington Beach modifying pay and benefits for the period of January 1, 2005 through December 31, 2006 for the elected City Treasurer. Alternative Actions : Do not adopt the Resolution and maintain the current pay and benefits for the elected City Treasurer and direct staff accordingly. Analysis: The City Charter requires that the City Treasurer's pay and benefits be set by Resolution of the City Council. Proposed pay and benefits changes that affect the City Treasurer are the same as those proposed for Federal Labor Standards Act (FLSA) exempt non-represented employees in the capacity of Department Head for the City of Huntington Beach. F- GAHR\Elected Officials\City Treasurer Resolution 05-06.doc 1XI, 3/8/2005 5:14 P REQUEST FOR ACTION MEETING DATE: March 21, 2005 DEPARTMENT ID NUMBER: AS-05-005 Salary *4% salary increase effective 9/25/04 4% salary increase effective 9/24/05 *Retroactive lump sum applicable Health & Other Insurance Coverage - City (employer) health insurance premium contributions shall not increase for the period of this Resolution - Increase to dental (PPO plan)annual maximum benefit from $1,000 to $2,000 - Increase to Life and Accidental Death & Dismemberment Insurance coverage from $45,000 to $50,000 Leave Benefits - Increase holiday pay from 8 hours to either 9 or 10 hours when the holiday falls on an employee's scheduled day of work (based on a flexible work schedule) These and other benefit provisions are included in the Non-Associated Employees Pay and Benefits Resolution in Attachment#2. AttachmentW: City Clerk's Page Number No. Description 1. A Resolution modifying pay and benefits for 1/1/05 through 12/31/06 for the elected City Treasurer �-Os P,-3, D► s,-- Attachment A- Benefits for the elected City Treasurer Attachment B -Salaa for the elected City Treasurer 2. Non-Associated Em to ees Pay and Benefits Resolution RCA Author: Irma Youssefieh G_1HR1Elected Qfricials\City Treasurer Resolution 05-06,doc - 3/8/2005 5:14 PM ATTACHMENT # 1 RESOLUTION NO. 9 0 0 5-21 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH MODIFYING BENEFITS AND SALARY FOR 1/1/05 THROUGH 12/31/06 FOR THE ELECTED CITY TREASURER WHEREAS, the City Council of the City of Huntington Beach desires to establish the salary level and benefit changes for the elected City Treasurer for the period 1/1105 through 12/31/06, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Huntington Beach as follows: SECTION 1. Benefits for the elected City Treasurer shall be as reflected in Attachment "A" hereto. SECTION 2. The salary for the elected City Treasurer shall be set as reflected in Attachment "B"hereto. SECTION 3. Any existing provisions in conflict with the foregoing, whether by minute action or resolution of the City Council, are hereby repealed. SECTION 4. All benefits and salary ranges established herein shall continue at their highest levels until further modified by City Council action. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 21 t- day of March , 2005 Ar REVIEWED AND APPROVED: APPROVED AS TO FORM: ity Adm istrator Yty"Attormne INITIATED AND APPROVED: tit�rcasurer 04Reso/ireasurer 2004 Dec ATTACHMENT A ATTACHMENT "A" All benefits provided to non-associated officers, officials, and Federal Labor Standards Act (FLSA) exempt employees in the capacity of department head of the City shall be granted to the elected City Treasurer during the periods reflected herein. EATTACHMENT B ATTACHMENT "B" SALARY RANGE FOR CITY TREASURER Effective September 25, 2004 Salary Range A B C. D E 630 1 $50.491 $53.27 $56.20 -$59.291 $62.55 Effective September 24, 2005 Salary Range A B C D E 638 1 $52.541 $55.43 $58.48 $61.70 $65.09 ATTAC H M E N T #2 NON-ASSOCIATED EMPLOYEES PAY AND BENEFITS RESOLUTION TABLE OF CONTENTS EX I]BITA -NON-ASSOCLATED EMPLOYEES PAYAND BENEFITPROVISIONS 3 SECTION PAY 3 A. Salary Schedule 3 B. Direct Deposit 3 C. Education Reimbursement 3 D. Shorthand Skill Pay 4 E. Assigned Vehicle/Auto Allowance 4 1. Department Heads 4 2. Designated Division Heads 4 3_ Others 4 F. Bilingual Skill 4 G. Process Owner Assignment Pay 5 H. Acting Assignment 5 SECTION II—HOURS OF WORK/OVERTIME/TIME OFF S A. Designated FLSA Work Week 5 B. Compensatory Time/Administrative Leave/Executive Leave 6 C. Flexible and.Alternative Work Schedules 6 SECTION III—HEALTHAND OTHER INSURANCE BENEFITS 7 A. Health Insurance 7 1. Medical,Dental and Vision Insurance 7 2. City and Employee Paid Health Insurance 7 3. Medical Cash Out 10 4. Section 125 Plan I I B. Life and Accidental Death and Dismemberment Insurance 11 C. Long Term Disability Insurance 11 D. City Paid Physical Examinations 12 E. Miscellaneous 12 F. Retiree Medical Coverage for Retirees Not Eligible for the City Medical Retiree Subsidy 12 G. Post-65 Supplemental Medicare Coverage 13 H. Increase in Annual Maximum Benefit for Dental PPO Plan 13 SECTION IV--RETIREMENT 13 A. Benefits 13 1. Public Employees' Retirement System I3 2. Self-Funded Supplemental Retirement Benefit 13 3. Medical Insurance for Retirees 14 4. Health Savings Account for Post Retirement Health Insurance 14 5. Two Percent(21/o)at Age 55 Formula 14 6. Three Percent(3%)at Age 50 Formula 14 2005-06 NA Resolution Final 3-8-05 v1 i 1/28/04 11:33 AM 7. Pre-Retirement Optional Settlement 2 Death Benefit 14 8, Fourth Level of 1959 Survivor Benefits 14 B. Public Employees'Retirement System Reimbursement and Reporting 14 1. Employees' Contribution 14 SECTION V—LEAVE BENEFITS 15 A. General Leave 15 1. Accrual 15 2. Eligibility and Approval 15 3. Leave Benefit Entitlements 15 4. Conversion to Cash 15 B. Holidays and Pay Provisions 16 C. Sick Leave 17 1_ Accrual 17 2_ Credit 17 3. Usage 17 4_ Pay Off at Termination 17 D. Bereavement Leave 18 E. Voluntary Catastrophic Leave Donation Program 18 SECTION VI—RETIREE SUBSIDY MEDICAL PLAN 19 SECTION VH—RULES GOVERNING LAYOFF, RED UCTION IN LIEU OF LAYOFF AND RE-EMPLOYMENT 19 A. Part 1 -Layoff Procedures 19 1. General Provisions: 19 2, Service Credit: 19 3. Transfer or Reduction to Vacancies in Lieu of Layoff: 20 4. Order of Layoff: 21 5. Notification of Employees: 21 B. Part 2-Bumping Rights 22 I. Voluntary Reduction or Bumping in Lieu of Layoff: 22 2. Reinstatement/Reemployment Lists 22 3. Qualifications Appeal 23 4. Qualifications Appeal Hearing: 23 C. Part 3-Reemployment 23 1. Reemployment: 23 2. Status on Reemployment: 24 SECTION VIII-MISCELLANEOUS 25 A. Collection of Payroll Overpayments 25 B. Uniforms and CalPERS Reporting 25 EXHIBIT B-NON-ASSOCIATED SALARY SCHED ULE 26 EXHIBIT C-RETIREE MEDICAL PLAN 28 EXHIBIT D-9180 WORD SCHEDULE 33 EXHIBIT E- VOLUNTARY CA TASTROPHIC LEA VE DONATION 35 2005-06 NA Resolution Final 3-8-05 v1 ii EXHIBIT A NON-ASSOCIATED EMPLOYEE PAY AND BENEFIT PROVISIONS SECTION I — PAY A. Salary Schedule 1. Effective the first full pay period following City Council adoption of the Non- Associated Resolution, all current Non-Associated employees shall receive a four percent (4%) wage increase. 2. Effective the first full pay period following City Council adoption of the Non- Associated Resolution, all current Non-Associated employees shall receive a lump sum retroactive payment for the pay period beginning September 25, 2004 through the pay period ending date that includes the date of City Council adoption. This lump sum payment shall be calculated as follows: Employee's pay grade/step in effect on September 25, 2004 (per Exhibit A) multiplied by eighty (80) hours (bi-weekly), multiplied by the number of bi-weekly pay periods between September 25, 2004 and the date of City Council adoption, and multiplied by four percent (4%). 3. Effective September 24, 2005, all Non-Associated employees on payroll shall receive a four percent (4%)wage increase_ Effected classification titles are set forth in Exhibit B attached hereto and incorporated herein by this reference. B. Direct Deposit All Non-Associated employees are required to utilize direct deposit of payroll checks. C. Education Reimbursement Upon approval of the Department Head and the Human Resources Manager, permanent employees may be compensated for courses from accredited educational and vocational institutions. Tuition reimbursement shall be limited to job related courses or job related educational degree objectives and requires prior approval by the Department Head and Human Resources Manager. Education costs shall be reimbursed to permanent employees on the basis of a full refund for tuition, books, parking (if a required fee) and any other required fees upon presentation of receipts. However, the maximum reimbursement shall be not more than one thousand five hundred dollars ($1,500) in any fiscal year period. Reimbursements shall be made when the employee presents proof to the Human Resources Manager that he/she has successfully completed the course with a grade of "C" or better; or a "Pass" if taken for credit. 2005-06 NA Resolution Final 3-8-05 v1 3 1/28/04 1133 AM D. Shorthand Skill Pa Effective December 21, 2002 the city shall end shorthand skill pay. All employees receiving shorthand skill pay prior to December 21, 2002 shall continue to receive shorthand skill pay. Those employees receiving shorthand skill pay have successfully passed a shorthand skills test and receive additional compensation in the amount of forty-six dollars and fifteen cents ($46.15) per bi-weekly pay period_ Shorthand skills will not be required for positions classified as Executive Assistant, Administrative Assistant, and Administrative Secretary (Confidential). E. Assigned Vehicle/Auto Allowance 1. Department Heads Appointed Department Heads and the City Clerk, City Treasurer, and City Attorney shall have the option of an assigned city vehicle or an auto allowance in the amount of two hundred thirty dollars and seventy-seven cents ($230.77) per bi-weekly pay period plus reimbursement of out-of-town travel at the approved mileage rate. 2. Designated Division Heads Non-Associated employees who were Division Heads assigned a city vehicle as of July 2, 1983 shall have the option of an assigned city vehicle or an automobile allowance in the amount of one hundred sixty one dollars and fifty- four cents ($161.54) per bi-weekly pay period plus reimbursement for out-of- town travel at the approved mileage rate. Effective September 24, 2005, the auto allowance shall be increased to two hundred seven dollars and sixty-nine cents ($207.69) bi-weekly. 3. Others Non-Associated employees who are regularly required to travel to perform official city business, but do not have an assigned vehicle or automobile allowance, shall be provided with a vehicle for such business. F. Bilingual Skill Permanent employees who are required by their Department Head to use Spanish, Vietnamese, or Sign Language skills as part of their job assignment, shall be paid an additional five-percent (5%) of their base hourly rate in addition to their regular bi-weekly salary. Permanent employees may accept assignments utilizing bilingual skills in other languages on a short-term assignment with approval by the City Administrator. Such employees shall receive the additional five percent (5%) for every bi-weekly pay period that the assignment is in effect. In order to be eligible for said compensation, employee's language proficiency will be tested and certified by the Human Resources Manager or designee. The special pay shall be effective the first full pay period following certification as verified to the Department Head in writing by the Human Resources Manager or designee. 2005-06 NA Resolution Final 3-8-05 v1 4 G. Process Owner Assignment Pay Those employees performing assignments designated by the city as "process owner" assignments shall receive pay equal to ten percent (10%) of the employee's base hourly rate. Process owner assignments are designated by the employee's department head and approved by the City Administrator or designee. Designated employees are responsible for JD Edwards applications setup, design, troubleshooting and training. Process owners have system coordination responsibilities as distinguished from users of the system. H. Acting Assignment If a permanent employee is formally assigned to work in a higher classification on a temporary basis for greater than three (3) consecutive weeks, the employee shall be compensated at a rate which is at least five and one-half percent (5 1/2%) above their pay step, but such pay increase shall not be greater than ten percent (10%) and not to exceed the top step of the pay range for all hours worked in the higher classification. In the event a non-exempt employee is assigned to act in a classification that is exempt from overtime, the employee shall retain all special pays of their permanent non-exempt classification and shall receive compensation for hours worked over forty (40) hours in the designated Federal Labor Standards Act (FLSA) work week on a hour for hour basis. Such pay shall be paid to the employee or credited to compensatory time as approved by the Department Head or designee. In the event of a permanent promotion or transfer to an FLSA exempt classification, all compensatory time shall be cashed out prior to the promotion or transfer at the employee's current FLSA regular rate of pay in the non-exempt classification. Acting assignments are not intended to exceed six months, unless extraordinary circumstances warrant an extension as recommended and approved by the Human Resources Manager. Under no circumstances shall an acting assignment exceed one year nor shall it be considered a reclassification or a promotion. SECTION II — HOURS OF WORK/OVERTIME/TIME OFF A. Designated FLSA Work Week For payroll purposes, each non-exempt employee shall be assigned a designated FLSA work week for the calculation of overtime. This designated FLSA work week shall not change unless extraordinary circumstances require a change in the employee's regular work schedule due to operational need. A change in the designated FLSA workweek shall be recommended by the Department Head and approved by the Human Resources Manager. 2005-06 NA Resolution Final 3-8-05 v1 5 B. Com ensata Time/Administrative Leave/Executive Leave Non-Associated non-exempt employees shall receive overtime pay or compensatory time for hours worked over forty (40) hours in a designated work week at time and one half (1 Y2) of the employee's FLSA regular rate of pay. The employee's supervisor shall determine if employee receives overtime pay or compensatory time. The employee's supervisor shall approve the scheduling of compensatory time used. Once per fiscal year an employee may cash out up to sixty (60) hours of compensatory time. The employee shall give payroll two (2) weeks advance notice of their decision to exercise such option. Non-Associated exempt employees shall not be eligible for overtime compensation. Non-Associated exempt employees, other than department heads, shall be credited with forty (40) hours of administrative leave upon working forty(40) hours beyond their normal work schedule in each calendar year. Department heads may grant additional administrative leave to Non- Associated exempt employees who work more than seventy-five (75) hours of overtime per year. Exempt department heads shall be credited with eighty (80) hours of executive leave per year. C. Flexible and Alternative Work Schedules With supervisor and Department Head approval, Non-Associated Civic Center (city hall and police department) employees may flex regular scheduled start times between the hours of 7:00 a.m. to 9:00 a.m. Flex schedules shall not reduce service to the public, departmental effectiveness, productivity and/or efficiency as determined by the City Administrator or designee. All employees will be required to take a one-hour lunch break each work shift regardless of work schedule. Non-Associated Civic Center (city hall and police department) employees will have the option of working a 5/40 or 9/80 work schedule with supervisor and department head approval. In order to maintain service to the public, departmental effectiveness, productivity and/or efficiency a department head may assign an employee a different work schedule that is in compliance with the requirements of the Fair Labor Standards Act (FLSA)with City Administrator approval. 1. 5/40 Work Schedule The 5/40 work schedule shall be defined as working five (5) eight (8) hour days Monday through Friday each week with a one-hour lunch during each work shift, totaling a forty (40) hours work week. 2005-06 NA Resolution Final 3-8-05 v1 6 2. 9/80 Work Schedule The 9/80 work schedule, as outlined in Exhibit ❑, shall be defined as working nine (9) days for eighty (80) hours in a two week pay period by working eight (8) days at nine (9) hours per day and working one (1) day for eight (8) hours (Friday), with a one-hour lunch during each work shift, totaling forty (40) hours in each FLSA designated work week. The 9/80 work schedule shall not reduce service to the public, departmental effectiveness, productivity and/or efficiency as determined by the City Administrator or designee. SECTION III — HEALTH AND OTHER INSURANCE BENEFITS A. Health Insurance I. Medical, Dental and Vision Insurance The city shall continue to make available group medical, dental and vision benefits to all Non-Associated employees. 2. City and Employee Paid Health Insurance The City and the employee shall pay for health insurance premiums for employees and qualified dependent(s) effective the first of the month following the employee's hire date. The employee payroll deduction for premium contributions shall be deducted on a pre-tax basis. Such deductions shall be aligned with the effective date of coverage and the ending date of coverage upon employment separation. The employee's payroll deduction amount shall begin no later than the first full pay period following the effective date of coverage and pro-rated for coverage through the end of the month in which employment was separated. i. Monthly Health Premiums Employer Contribution and Employee Contribution - effective January 1, 2005 through December 31, 2005: Btu-ShieCd= Blue Shweld CSaiser Monthly BCue 5h,eld Permarrente High Opib High Opt ort Premturr HIbIO HMO EE. $410.16 $361.00 $277.54 $255.29 $898.25 $741.17 $607.79 $559.09 EE_+2'ovmo re $1,173.05 $967.93 $793.73 $735.25 2005-06 NA Resolution Final 3-8-05 v7 7 IJe�tcl Delta Month nta1 VSP V Premium: istvr� HMS EE` $47.75 $24.38 $23.13 EE ( $90.33 $41.46 $23.13 E + o :more $124.73 $63.40 $23.13 ii. _Employer Contribution The City "caps" its contribution for health and other insurance premiums as set forth in the charts below - effective January 1, 2005 through December 31, 2005: Monthly Bluehteld: Blue Sh«Id Kaiser Err ptOyer t Ilgti„Dptt4o Low�Opteon Blue Sl Held Permanent Coratrlbutlorl. . 9011 Cl PPS 807 tJ PPO. ..m O H pM E� $373.77 $373.77 $274.03 $274.03 -E 7 =,; $702.25 $702.25 $555.51 $555.51 �E 2 $851.34 $851.34 $720.18 $720.18 Menthly 13eita t]elta Contntion. F?P� M4 Em pber Irrtal Der3tal �lisao 1 $42.88 $23.00 $17.58 EE1*1 , $81.82 $39.11 $17.58 EE+ 2 Of rhbre $116.36 $59.81 $17.58 In no event shall the employee be entitled to the difference between the employer contribution and the premiums for health insurance plan(s) selected by the employee. iii. Employee Contributions The employee paid contributions translate to the following on a monthly basis - effective January 1, 2005 through December 31, 2005: Erns Isaee. 1-It h Bluehlell 81ue Shed Kaiser p O tlon how O tin Blue Shield 'Qrmanen p p HIO Hm Cdntr�butlon :9010 ppO 8Q72t] 'F'O $36.39 $0.00 $3.51 $0.00 EE,+ 1 $196.00 $38.92 $52.28 $3.58 EE or mnre;;3 $321.71 $116.59 $73.55 $15.07 2005-06 NA Resolution Final 3-8-05 v1 8 Morey Delta Delta VSP 1=rnplee Dental _,Dental Con nbut'Qrx (PPOj 4HMa) sivra E $4.87 $1.38 $5.55 $8.51 $2.35 $5.55 more: $8.37 $3.59 $5.55 The employee paid contributions translate to the following on a bi-weekly (per paycheck) basis - effective January 1, 2005 through December 31, 2005: Bl Weekly Blne Shield Blue $`W-Id laser Et> Eg ee H� 71.,t�on` how Blue Sh�el�: P'ermahe�tte p Y 0 poor► 1-1Al10 HME Coritrbion 901?Q.PPO_. 80120 PPO EE $16.79 $0.00 $1.62 $0.00 SEE 1 $90.46 $17.96 $24.13 $1.65 or:r-to �-; $148.48 $53.81 $33.95 $6.96 Bl weekly Delta Delta EmplQy�ee 17ental Dentbl I�4810n EE $2.25 $0.64 $2.56 { . .. ' $3.93 $1.08 $2.56 E&, 2 or.more; $3.86 $1.66 $2.56 2005-06 NA Resolution Final 3-&05 v1 9 iv. "Safety Member" Health Premiums — Employer Contribution Employees that are classified as "safety member" by the California Public Employees' Retirement System (CaIPERS) may have access to the medical plans offered by CaIPERS as contracted by the City. In accordance with eligibility provisions, the Police Chief and the Fire Chief may elect to enroll in the CaIPERS health insurance program offered by the City. The City's maximum monthly employer contributions for the CaIPERS health insurance program is set forth in the chart below. The amounts listed below include the mandated Public Employees' Medical and Hospital Care Act (PEMHCA) contribution. Effective January 1, 2005 through December 31, 2005: PERS PERSCARE PERSCHOICE PORAC PERS Delta Delta VSP 8S KAISER Dental Dental HMO (PPO) (HMO) Vision EE $274.03 $373.77 $373.77 $373.77 $274.03 $42.8811 $23.00 $17.58 EE + 1 $555.51 $70225 $702.25 $702.25 $555.51 $81.82 $39.11 $17.58 EE + 2 or $720.18 $851.34 $851.34 $851.34 $720.18 $116.36 $59.$1 $17.58 more The employee shall not be entitled to the difference between the employer contribution and the premiums for insurance plan(s) selected by the employee. v. Future Premiums The City "caps" its contributions toward monthly group medical, dental and vision plan premiums by category (EE, EE + 1, and EE + 2 or more) and plan at the year 2005 level. Until the City Council adopts a successor Non-Associated Resolution, the City's 2005 contribution caps will remain in place in 2006 and beyond, even if premium increases result in these additional costs being borne by the employee. 3. Medical Cash Out If an employee is covered by a medical program outside of a city provided program (evidence of which must be supplied to the Administrative Services Department Employee Benefits), they may elect to discontinue city medical coverage and receive ninety-two dollars and thirty-one cents ($92.31) bi-weekly to deposit into their Deferred Compensation account or any other pre-tax program offered by the city. 2005-06 NA Resolution Final 3-8-05 v1 10 4. Section 125 Plan This plan allows employees to use pre-tax salary to pay for regular childcare, adult dependent care and/or medical expenses. B. Life and Accidental Death and Dismemberment Insurance Each Non-Associated employee shall be provided with $50,000 life insurance and $50,000 accidental death and dismemberment insurance paid for by the city. Each employee shall have the option, at his/her own expense, to purchase additional amounts of life insurance and accidental death and dismemberment insurance to the extent provided by the city's current providers. Evidence of insurability is contingent upon total participation in additional amounts. C. Long Term DisabilityInsurance This program provides for each incident of illness or injury, a waiting period of thirty (30) calendar days during which the Non-Associated employee may use accumulated sick leave, general leave, compensatory time off, administrative leave, executive leave pay. Subsequent to the thirty (30) day waiting period, the employee will be covered by an insurance plan paid for by the city providing sixty-six and two-thirds percent (66 2/3%) of the first $12,500 of the employee's basic monthly earnings up to a maximum monthly benefit of $8,332.50. The maximum benefit period for disability due to injury or illness shall be to age sixty- five (65). Days and months refer to calendar days and months. Benefits under the plan are integrated with sick leave, Worker's Compensation, Social Security and other non-private program benefits to which the employee may be entitled. Disability is defined as: "The inability to perform all of the duties of regular occupation during two years and thereafter the inability to engage in any employment or occupation, for which he/she is fitted by reason of education, training or experience." Rehabilitation benefits are provided in the event the individual, due to disability, must engage in other occupation. Survivor's benefits continue the plan payment for three (3) months beyond death. A copy of the plan is on file in the Administrative Services Department. 2005-06 NA Resolution Final 3-&05 v1 11 D. City Paid Physical Examinations Non-Associated employees shall be provided, once every two years, with a city paid physical examination comparable to the current pre-placement class physical examination or reimbursed the amount authorized for said physical examination. No more than one-half of the eligible employees shall receive examinations in any one fiscal year. Said exam shall be comprehensive in nature and shall include: 1. A complete medical history, physical exam and review of results by physician. 2. Health testing including vision, hearing, breathing, chest x-ray and stress EKG. 3. Laboratory test including standard chemical test, blood count, HDL, urinalysis and stool test for blood. E. Miscellaneous When a Non-Associated employee is on a leave of absence without pay for reason of medical disability, the city shall maintain the city paid insurance premiums during the period the employee is in a non-pay status for the length of said leave, not to exceed twenty-four(24) months. F. Retiree Medical Coverage for Retirees Not Eligible for the City Medical Retiree Subsidy Plan Employees who retire from the City after January 1, 2004 and are granted a retirement allowance by the California Public Employees' Retirement System and are not eligible for the City's Retiree Subsidy Medical Plan may choose to participate in City sponsored medical insurance plans until the first of the month in which they turn age sixty-five (65). The retiree shall pay the full premium for City sponsored medical insurance for themselves and/or qualified dependents without any City subsidy. Employees who retire from the City and receive a retirement allowance from the California Public Employees' Retirement System and are not eligible for the City's Retiree Subsidy Medical Plan and choose not to participate in City sponsored medical insurance upon retirement permanently lose eligibility for this insurance. However, if a retiree who is not eligible for the City's Retiree Subsidy Medical Plan chooses not to participate in city sponsored medical insurance plans because the retiree has access to other group medical insurance, and subsequently loses eligibility for that group medical insurance, the retiree and their qualified dependents will have access to city sponsored medical insurance plans reinstated. 2005-06 NA Resolution Final 3-8-05 v1 12 Eligibility for Retiree Medical Coverage terminates the first of the month in which the retiree or qualified dependent turns age sixty-five (65). G. Post-65 Supplemental Medicare Coverage Retirees who are participating in the Retiree Subsidy Medical Plan as of January 1, 2004 and all future retirees who meet the criteria to participate in City sponsored medical insurance, with or without the Retiree Medical Subsidy Plan, may participate in City sponsored medical insurance plans that are supplemental to Medicare, after a contract is in place between the City and a health insurance provider. A retiree or qualified dependent must choose to participate in City sponsored medical insurance plans that are supplemental to Medicare beginning the first of the month in which the retiree or qualified dependent turns age sixty-five (65). The retiree shall pay the full premium to participate in City sponsored medical insurance plans that are supplemental to Medicare for themselves or qualified dependents without any City subsidy. Retirees or qualified dependents, upon turning age 65, who choose not to participate in City sponsored medical insurance plans that are supplemental to Medicare permanently lose eligibility for this insurance. H. Increase in Annual Maximum Benefit for Dental PPO Plan Effective January 1, 2005, the Dental PPO plan maximum annual benefit shall increase from $1,000 to $2,000. SECTION IV— RETIREMENT A. Benefits 1. Public Employees' Retirement System Non-Associated employees shall be entitled to retirement benefits appropriate to his/her class as defined in the contract between the Board of Administration, Public Employees' Retirement System and the City Council of the City of Huntington Beach. 2. Self-Funded Supplemental Retirement Benefit In the event a Non-Associated employee member elects Option #2 (Section 21456) or Option #3 (Section 21457) of the Public Employees' Retirement Law, the city shall pay the difference between such elected option and the unmodified allowance which the member would have received for his or her life alone. This payment shall be made only to the member (Non-Associated employee), shall be payable by the city during the life of the member, and upon that member's death, the city's obligation shall cease. Unless previously 2005-06 NA Resolution Final 3-8-05 v1 13 excluded by employment or resolution, eligibility for this benefit is limited to employees hired before December 27, 1997. 3. Medical Insurance for Retirees a. Upon retirement, whether service or disability connected, each Non Associated employee shall be entitled to cause self, spouse and dependents to participate fully in the city's group health insurance program at the equivalent of the city's group premium rate in accordance with the provisions specified by Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA). Such participation shall be at employee's expense and upon terms, conditions and restrictions currently in effect. b. As an alternative to the benefit described in paragraph IV.A.3.a above, the city will provide a financial contribution towards the cost of retiree medical premiums as described in Section VI. 4. Health Savinc#s Account for Post Retirement Health Insurance As soon as practicable, the City shall implement a qualified health savings account plan for the purpose of allowing employees to voluntarily fund post medical retirement health premiums. 5. Two Percent (2%) at Age 55 Formula Non-Associated employees classified as "miscellaneous" employees are covered by the two percent at age 55 formula (2% @ 55) as identified in Section 21354 of the California Government Code. 6. Three Percent 3%) at Age 50 Formula Non-Associated employees classified as "safety' employees are covered by the three percent at age 50 formula (3% @ 50) as identified in Section 21362.2 of the California Government Code. 7. Pre-Retirement Optional Settlement 2 Death Benefit Non-Associated employees shall be covered by the Pre-Retirement Optional Settlement 2 Death Benefit as identified in Section 21548 of the California Government Code when approved by the City Council. 8. Fourth Level of 1959 Survivor Benefits Non-Associated employees shall be covered by the Fourth Level of the 1959 Survivor Benefit as identified in Section 21574 of the California Government Code, B. Public Employees' Retirement System Reimbursement and Reporting 1. Employees' Contribution Non-Associated employees shall be reimbursed bi-weekly in an amount equal to 7% of the employee's base salary (9% for safety employees) as a pickup of the employee's contribution or portion of such contribution to the Public Employees' 2005-06 NA Resolution Final 3-8-05 v1 14 Retirement System (PERS). The above PERS pickup is not base salary but is done pursuant to Section 14(h)(2) of the Internal Revenue Code. SECTION V— LEAVE BENEFITS A. General Leave I. Accrual Employees will accrue General Leave at the accrual rates outlined below. General leave may be used for any purpose, including vacation, sick leave, and personal leave. General leave for non-associated employees shall be accrued as follows: Years of Service Annual General Biweekly General Leave Allowance Leave Allowance First through Fourth Year 176 hours 6.77 Fifth through Ninth Year 200 hours 7.69 Tenth through Fourteenth Year 224 hours 8.62 Fifteenth Year and Thereafter 256 hours 9.85 2. Eligibility and Approval General leave must be pre-approved except for illness, injury or family sickness, which may require a physician's statement for approval. General leave accrued time is to be computed from hiring date anniversary. Members shall not be permitted to take general leave in excess of actual time earned. Members shall not accrue general leave in excess of six hundred forty (640) hours. Employees may not use their general leave to advance their separation date on retirement or other separation from employment. 3. Leave Benefit Entitlements The City shall comply with all State and Federal leave benefit entitlement laws. An eligible employee on an approved leave shall be allowed to use applicable earned Sick Leave, General Leave, Compensatory Time, Administrative Leave or Executive Leave for serious and non-serious family or personal health issues. For more information on employee leave options contact the Human Resources Division. 4. Conversion to Cash a. Pay Off at Termination — An employee shall be paid for unused general leave upon termination of employment at which time such terminating employee shall receive compensation at their current salary rate for all unused, earned 2005-06 NA Resolution Final M-05 v1 15 general leave to which they are entitled up to and including the effective date of their termination. b. Conversion to Cash — Two times during each fiscal year, each permanent employee shall have the option to convert into a cash payment or deferred compensation up to a total of one hundred-twenty (120) of general leave benefits per fiscal year. The employee shall give payroll two (2) weeks advance notice of their decision to exercise such option. c. One Week Minimum Vacation Requirement The City Administrator may require certain positions which handle money or transfer funds to take a minimum of one week, (i.e., five consecutive work days) paid vacation each calendar year. d. Deferred Compensation Contribution at Time of Separation The value of any unused earned leave benefits may be transferred to deferred compensation at separation (including retirement), but only during the time that the employee is actively employed with the City. The latest opportunity for such transfer must be the pay period prior to the employee's last day of employment. B. Holidays and Pay Provisions 1. Permanent full-time Non-Associated employees shall receive the following legal holidays as of the first pay period following adoption of the Non- Associated Resolution paid in full per the employee's regularly scheduled work shift: (1) New Year's Day (January 1) (2) Martin Luther King Day (third Monday in January) (3) Presidents Day (third Monday in February) (4) Memorial Day (last Monday in May) (5) Independence Day (July 4) (6) Labor Day (first Monday in September) (7) Veteran's Day (November 11) (8) Thanksgiving Day (fourth Thursday in November) (9) The Friday after Thanksgiving (10) Christmas Day (December 25) 2. Any day declared by the President of the United States to be a national holiday or by the Governor of the State of California to be a state holiday and adopted as an employee holiday by the City Council of the City of Huntington Beach. 3. For Civic Center holiday closure purposes, holidays which fall on Sunday shall be observed the following Monday, and those falling on Saturday shall be observed the preceding Friday. 2005-06 NA Resolution Final 3-5-05 v1 16 4. A permanent half-time (1/2) or three quarter-time (314) Non-Associated employee shall have the holiday paid as time off with a pro-rated amount of four (4) or six (6) hours, respectively. 5. In the event a Non-Associated "non-exempt" employee is assigned to work on the day of the holiday recognized by the City, whether it is or is not the employee's regularly scheduled work day the employee shall have the holiday paid at the straight time rate unless FLSA overtime provisions apply. 6. In the event that a Non-Associated "exempt" employee is required to work on the holiday recognized by the City, the holiday hours shall be credited to the employee's general leave bank. Approval of this transaction shall be handled by the Department Head or designee in the payroll period that includes the holiday worked. 7. If a holiday falls on a Non-Associated employee's scheduled day off and with approval from the Department Head or designee, the employee may take another day off during the same work week as the holiday or opt to be credited with general leave the number of hours of the employee's regularly scheduled work shift. C. Sick Leave 1. Accrual — No employee shall accrue sick leave. 2. Credit — Employees assigned to Non-Associated shall carry forward their sick leave balance and shall no longer accrue sick leave credit. 3. Usage — Employees may use accrued sick leave for the same purposes for which it was used prior to December 25, 1999. Sick leave shall not be used to extend absences due to work related (industrial) injuries or illnesses, this provision shall be added to Personnel Rule 18.10. 4. Pay Off at Termination a. Non Associated employees with continuous service with the city since November 20, 1978 shall be entitled to the following sick leave payoff plan: At involuntary termination by reason of disability, or by death, or by retirement, employees shall be compensated at their then current rate of pay for seventy-five percent (75%) of all unused sick leave accumulated as of July 1, 1972, plus fifty percent (50%) of unused sick leave accumulated subsequent to July 1, 1972, up to a maximum of seven hundred and twenty hours (720) of unused, accumulated sick leave, except as provided in paragraph V.C.5.d below. Upon termination for any other reason, employees shall be compensated at their then current rate of pay for fifty percent (50%) of all unused 2005-06 NA Resolution Final 3-8-05 v1 17 accumulated sick leave, up to a maximum of 720 hours of such accumulated sick leave. b. Non-Associated employees hired after November 20, 1978 shall be entitled to the following sick leave payoff plan: Upon termination, all employees shall be paid, at their then current salary rate, for twenty-five percent (25%) of unused, earned sick leave to 480 hours accrued, and for thirty-five percent (35%) of all unused, earned sick leave in excess of 480 hours, but not to exceed 720 hours, except as provided in paragraph V.C.2.c below. c. Except as provided in paragraph V.C.5.d below, no Non-Associated employee shall be paid at termination for more than 720 hours of unused, accumulated sick lave. However, employees may utilize accumulated sick leave on the basis of "last in, first out," meaning that sick leave accumulated in excess of the maximum for payoff may be utilized first for sick leave, as defined in Personnel Rule 18-8. d. Non-Associated employees who had unused, accumulated sick leave in excess of 720 hours as of July 5, 1980, shall be compensated for such excess sick leave remaining on termination under the formulas described in paragraphs V.C.5.a and b above. In no event shall any employee be compensated upon termination for any accumulated sick leave in excess of the "cap" established by this paragraph (i.e., 720 hours plus the amount over 720 hours existing on July 5, 1980). Employees may continue to utilize sick leave accrued after that date in excess of such "cap" on a "last in, first out" basis. To the extent that any such "capped" amount of excess sick leave over 720 hours is utilized, the maximum compensaeee amount shall be correspondingly reduced. (Example: Employee had 1,000 hours accumulated. Six months after July 5, 1980, employee had accumulated another 48 hours. Employee is then sick for 120 hours. Employee's maximum sick leave "cap" for compensation at termination is now reduced by 72 hours to 928.) D. Bereavement Leave Employees shall be entitled to bereavement leave not to exceed twenty-four (24) hours in each instance of death in the immediate family. Immediate family is defined as father, mother, sister, brother, spouse, children, grandfather, grandmother, stepfather, stepmother, step grandfather, step grandmother, grandchildren, stepsisters, stepbrothers, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in-law, stepchildren, or wards of which the employee is the legal guardian. E. Voluntary Catastrophic Leave Donation Program Under certain conditions, an employee may donate leave time to another employee in need. The program is outlined in Exhibit E. 2005-06 NA Resolution Final 3-8-05 v1 18 SECTION VI — RETIREE SUBSIDY MEDICAL PLAN An employee who has retired from the city shall be entitled to participate in the city sponsored medical insurance plans in accordance with the Retiree Subsidy Medical Plan as outlined in Exhibit C. SECTION VII— RULES GOVERNING LAYOFF, REDUCTION IN LIEU OF LAYOFF AND RE-EMPLOYMENT The following procedures shall not apply to Department Heads and the Assistant City Administrator. A. Part 1 - Layoff Procedures 1. General Provisions. a. Whenever it is necessary because of lack of work or funds to reduce the staff of a city department, employees may be laid off pursuant to these rules. b. Whenever an employee is to be separated from the competitive service because the tasks assigned are to be eliminated or substantially changed due to management-initiated changes, including but not limited to automation or other technological changes, it is the policy of the city that steps be taken by the Human Resources Division on an interdepartmental basis to assist such employee in locating, preparing to qualify for, and being placed in other positions in the competitive service. This shall not be construed as a restriction on the city government in effecting economies or in making organizational or other changes to increase efficiency. c. A department .shall reduce staff by identifying which positions within the department are to be eliminated. d. The employee who has the least city-wide service credit in the class within the department shall have city-wide transfer rights in the class pursuant to Part 1., Section 3., Transfer or Reduction to Vacancies in Lieu of Layoffs, or within the occupational series pursuant to Part 2, Bumping Rights. e. If a deadline within this procedure falls on a day the City Hall is closed, the deadline shall be the next day City Hall is open. 2. Service Credit: a. Service credit means total time of full-time continuous service within the city at the time the layoff is initiated, including probation, paid leave or military leave. Permanent part-time employees earn service credit on a pro rats basis. 2005-06 NA Resolution Final 3-8-05 A 19 b. Except as required by law, leaves of absence without pay shall not earn service credit. c. As between two or more employees who have the same amount of service credit, the employee who has the least amount of service in class shall be deemed to be the least senior employee. 3. Transfer or Reduction to Vacancies in Lieu of Layoff: a. In lieu of layoff, a transfer within class shall be offered to an employee(s) with the least amount of service credit in the class designated for staff reduction within a department subject to the following: 1) The employee has the necessary qualifications to perform the duties of the position_ 2) The employee shall be given the opportunity, in order of service credit, to accept a transfer to a vacant position in the same class within the city, provided the employee has the necessary qualifications to perform the duties of the position. 3) If no position in the same class is vacant, the employee shall be given the opportunity, in order of service credit, to transfer to the position in the same class that is held by an incumbent in another department with the least amount of service credit whose position the employee has the necessary qualifications to perform. a) If an employee(s) is not eligible for transfer within the employee's class, the employee shall be offered, in order of service credit, a reduction to a vacant position in the next lower class within the city in the occupational series in lieu of layoff provided the employee has the necessary qualifications to perform the duties of the position. b) If the employee refuses to accept a transfer or reduction pursuant to A. or B., above, the employee shall be laid off. c) If the employee(s) in the class with the feast amount of service credit is in the position(s) to be eliminated or displaced by transfer, the employee shall be offered bumping rights, pursuant to Part 2. d) Any employee who takes a reduction to a position in a lower class within the occupational series in lieu of layoff shall be placed on the reinstatement/re-employment list(s) pursuant to Part 3., Re- employment. 2005-06 NA Resolution Final 3-8-05 vT 20 4. Order of Layoff: a. Prior to implementing a layoff, vacant positions that are authorized to be filled shall be identified by citywide occupational series. If the employee refuses to accept a position pursuant to Section 3., above, the employee shall be laid off. b. No promotional probationary employee or permanent employee within a class in the department shall be laid off until all temporary, non-permanent part- time and non-promotional probationary employees in the class are laid off. Permanent employees whose positions have been eliminated may exercise citywide bumping rights to a lower class in the occupational series pursuant to Part 2. c. When a position in a class andlor occupational series is eliminated, any employee in the class who is on authorized leave of absence or is holding a temporary acting position in another class shall be included for determining order of service credit and be subject to these layoff procedures as if the employee was in his or her permanent position. 5. Notification of Employees: a. The Human Resources Division shall give written notice of layoff to the employee by personal service or by sending it by certified mail to the last known mailing address at least fifteen (15) days prior to the effective date of the layoff. Normally notices will be served on employees personally at work. b. Layoff notices may be initially issued to all employees who may be subject to layoff as a result of employees exercising voluntary reduction/bumping rights. c. The notice of layoff shall include the reason for the layoff, the effective date of the layoff, the employee's hire date and the employee's service credit ranking. The notice shall also include the employee's right to bump the person in a lower class with the least service credit within the occupational series provided the employee possesses the necessary qualifications to successfully perform the duties in the lower class and the employee has more service credit than the incumbent in the lower class. d. The written layoff notice given to an employee shall include notice that he or she has seven (7) calendar days from the date of personal service, or date of delivery of mail if certified, to notify the Human Resources Manager in writing if the employee intends to exercise the employee's bumping rights, if any, pursuant to Part 2., Bumping Rights. e. Whenever practicable, any employee with the least amount of service credit in a lower class within an occupational series which is identified for work force reduction shall also be given written notice that such employee may be 2005-06 NA Resolution Final 3-8-05 A 21 bumped pursuant to Part 2. This notice shall include the items referred to in 3., above. f. If an employee disagrees with the city's computation of service credit or listed date of hire, the employee shall notify the Human Resources Manager as soon as possible but in no case later than five (a) calendar days after the personal service or certified mail delivery. Disputes regarding date of hire or service credit shall be jointly reviewed by the Human Resources Manager and the employee and/or the employee's representative as soon as possible, but in no case later than five (5) calendar days from the date the employee notifies the Human Resources Manager of the dispute. Within five (5) calendar days after the dispute is reviewed, the employee shall be notified in writing of the decision. B. Part 2 - Bumping Rights I. Voluntary Reduction or Bumping in Lieu of Layoff: a. A promotional probationary employee or permanent employee who receives a layoff notice may request a reduction to a position in a lower class within the occupational series provided the employee possesses the necessary qualifications to perform the duties of the position. b. Employees electing reduction under A. above, shall be reduced to a position authorized to be filled in a lower class within the employee's occupational series. The employee may reduce to a lower class in his/her occupational series by 1) filling a vacancy in that class, or 2) if no vacancy exists, displacing the employee in the class with the least service credit, whose position the employee has the necessary qualifications to perform. A displaced employee shall have bumping rights. c. An employee who receives a layoff notice must exercise bumping rights within seven (7) calendar days of receipt of the notice as specified in Part 1. Failure to respond within the time limit shall result in a reputable presumption that the employee does not intend to exercise any right of reduction or bumping to a lower class. The employee must carry the burden of proof to show that the employee's failure to respond within the time limits was reasonable. If the employee establishes that failure to respond within the time limit was reasonable, to the Human Resources Manager's satisfaction, the employee shall be pemnitted to exercise bumping rights but shall not be reinstated to a paid position until the employee to be bumped has vacated the position. If the employee disagrees with the Human Resources Manager's decision, the employee may appeal pursuant to the provisions of Sections 3 and 4 below. 2. Reinstatement/Re-employment Lists Any employee who takes a reduction to a position in a lower class within the occupational series in lieu of layoff shall be placed on the reinstate ment/re- employment list pursuant to Part 3- Re-employment 2005-06 NA Resolution Final 3-5-05 v1 22 3. Qualifications Appeal Any employee who is denied a reduction to a position in a lower class within the occupational series on the basis that the employee does not possess the necessary qualifications to successfully perform the duties of the lower position may appeal the decision. The appeal shall be filed with the Human Resources Manager within five (5) calendar days of the employee's receipt of written notice of the decision and reason(s) for denial. The employee's appeal shall be in writing and shall include supporting facts or documents supporting the appeal. 4. Qualifications Appeal Hearing: a. Upon receipt of an appeal, the Human Resources Manager shall contact a mediator from the California State Mediation and Conciliation Service to schedule a hearing within two (2) weeks after receipt of the appeal. If the California State Mediation and Conciliation Service is not available within that time frame, the parties shall mutually select a person who is available within the time frame. If the Califomia State Mediation and Conciliation Service and the person mutually selected are not available within the time frame, the parties shall select the earliest date either is available to conduct the hearing. The parties shall split the cost, if any, of the hearing officer. In addition, the parties shall meet within three (3) workdays to attempt to resolve the dispute. If the dispute remains unresolved, the parties shall endeavor in good faith to submit to the hearing officer a statement of all agreed upon facts relevant to the hearing. b. Appeal hearings shall be limited to two (2) hours, except as otherwise agreed by the parties or directed by the hearing officer. c. The hearing officer shall attempt to resolve the dispute by mutual agreement if possible. If no agreement is reached, the hearing officer shall render a decision at the conclusion of the hearing, which shall be final and binding. C. Part 3 — Re-Employment 1. Re-Employment: a. Employees who are laid off or reduced to avoid layoff shall have their names placed upon a re-employment list, for each class in the occupational series, in seniority order at or below the level of the class from which laid off or reduced. b. Names of persons placed on the re-employment lists shall remain on the list for two (2) years from the date of layoff or reduction. c. Vacancies shall be filled from the re-employment list for a class, starting at the top of the list, providing that the person meets the necessary qualifications for the position. 2005-06 NA Resolution Final 3-8-05 v1 23 d. Names of persons are to be removed from the re-employment fist for a class if on two (2) occasions they decline an offer of employment or on two (2) occasions fail to respond to offers of employment in a particular class within five (5) calendar days of receipt of written notice of an offer. Any employee who is dismissed from the city service for cause shall have his or her name removed from all re-employment lists. e. Re-employment lists shall be available affected employees upon reasonable request. f. Qualifications appeals involving re-employment rights shall be resolved in the same manner as that identified in Part 2., Section 4. 2. Status on Re-Employment: a. Persons re-employed from layoff within a two (2) year period from the date of layoff shall receive the following considerations and benefits: 1) Service credit held upon layoff shall be restored, but no credit shall be added for the period of layoff. 2) Prior service credit shall be counted toward sick leave and vacation accruals. 3) Employees may cash in sick leave upon layoff or at any time after layoff in the manner and amount set forth in existing Non-Associated employee benefit provisions. Sick leave shall be paid to an employee when the re- employment list(s) expire(s), if not previously paid. 4) Upon reinstatement the employee may have his or her sick leave re-credited by repayment to the city the cashed amount. Sick leave accumulation of less than 480 hours shall be restored upon re-employment. 5) The employee shall be returned to the salary step of the classification held at the time of the layoff and credited with the time previously served at that step prior to being laid off. 6) The probationary status of the employee shall resume if incomplete. b. Employees who have reduced to avoid layoff and are returned within two (2) years to their former class shall be placed at the salary step of the class they held at the time of reduction and have their merit increase eligibility date recalculated. 2005-06 NA Resolution Final 3-8-05 v1 24 SECTION VIII — MISCELLANEOUS A. Collection of Payroll Overpayments In the event that a payroll overpayment is discovered and verified, and considering all reasonable factors including the length of time that the overpayment was made and if and when the employee could have reasonably known about such overpayment, the City shall take action to collect from the employee the amount of overpayment(s). Such collection shall be processed by payroll deduction over a reasonable period of time considering the total amount of overpayment. In the event the employee separates from employment during the collection period, the final amount shall be deducted from the last payroll check of the employee. If applicable, the balance due from the employee shall be communicated upon employment separation if the last payroll check does not sufficiently cover the amount due the City. It shall be the responsibility of the employee and the City to periodically monitor the accuracy of compensation payments or reimbursements due to the possibility of a clerical oversight or error. The City reserves the right to also collect compensation overpayments caused by or the result of misinterpretation of a pay provision by non- authorized personnel. The interpretation of all pay provisions shall be administered by the City Administrator or designee and as adopted by the City Council. Unauthorized compensation payments shall not constitute a past practice (1103/05). B. Uniforms and CAPERS Reporting The City provides uniforms to active duty employees in the classifications of Police Chief and Fire Chief. These employees are required to wear a standard uniform for appearance, uniformity, and public recognition purposes. The City will report to the California Public Employees' Retirement System (CaIPERS) the average annual cost of uniforms as special compensation for each eligible employee in accordance with Title 2, California Code of Regulations, Section 571(a)(5). 2005-06 NA Resolution Final 3-8-05 v1 25 EXHIBIT B NON-ASSOCIATED SALARY SCHEDULE Effective September 25, 2004 Job Pay Type Description Grade A B C D E 0466 Administrative Secretary NA 421 $17.81 $18.79 $19.82 $20.91 $22.06 0279 Personnel Assistant 422 $17.89 $18.87 $19.91 $21.01 $22.17 0447 Payroll Technician 428 $18.43 $19.44 $20.51 $21.64 $22.83 0446 Senior Payroll Technician 447 $20.25 $21.36 $22.54 $23.78 $25.09 0278 Administrative Assistant 450 $20.57 $21.70 $22.89 $24.15 $25.48 0061 Executive Assistant 478 $23.65 $24.95 $26.32 $27.77 $29.30 0005 Admin Analyst NA 505 $27.06 $28.55 $30.121 $31.78 $33.53 0453 Personnel Analyst 507 $27.34 $28.84 $30.43 $32.10 $33.87 0443 Payroll Anal st 513 $28.17 $29.72 $31.35 $33.07 $34.89 0063 Admin Analyst Sr NA 533 $31.12 $32.83 $34.64 $36.55 $38.56 0064 IBudget Analyst Senior 533 $31.12 $32.83 $34.641 $36.55 $38.56 0464 Personnel Analyst Senior 533 $31.12 $32.83 $34.641 $36.55 $38.56 0062 Admin Analyst Principal NA 552 $34.22 $36.10 $38.091 $40.18 $42.39 0471 Community Relations Officer 552 $34.22 $36.10 $38.09 $40.18 $42.39 0060 Personnel Analyst Principal 552 $34.22 $36A 0 $38.09 $40.18 $42.39 0054 Risk Manager 584 $40.14 $42.35 $44.68 $47.14 $49.73 0012 Director of Org Effectiveness 600 $43.48 $45.87 $48.39 $51.05 $53.86 0006 Human Resources Manager 601 $43.70 $46.10 $48.641 $51.31 $54.13 0055 Finance Officer 605 $44.56 $47.01 $49.60 $52.32 $55.21 0484 Sr Deputy City Att /Liti ator 613 $46.38 $48.93 $51.62 $54.46 $57.46 0007 Director of Library Services 619 $47.78 $50.41 $53.18 $56.11 $59.20 0078 Assistant City Attorney 622 $48.51 $51.18 $54.00 $56.97 $60.10 0009 Director of Building &Safety 630 $50.49 $53.27 $56.20 $59.29 $62.55 0013 Director of Admin Services 637 $52.28 $55.16 $58.19 $61.39 $64.77 0014 Director of Community Services 637 $52.28 $55.16 $58.19 $61.39 $64.77 0008 Director of Econ Develo ment 637 $52.28 $55.16 $58.19 $61.39 $64.77 0479 Director of Info Services 637 $52.28 $55.16 $58.19 $61.39 $64.77 0021 Director of Planning 637 $52.28 $55.16 $58-191 $61.39 $64.77 0010 Director of Public Works 653 $56.63 $59.74 $63.03 $66.50 $70.16 EFire Chief 661 $58.93 $62.17 $65.59 $69.20 $73.01 Police Chief 661 $58.93 $62.17 $65.59 $69.20 $73.01 Assistant City Administrator 666 $60.43 $63.75 $67.26 $70.961 $74.86 2005-06 NA Resolution Final 3-8-05 v1 26 EXHIBIT B NON-ASSOCIATED SALARY SCHEDULE EFFECTIVE September 24, 2005 Pay Job Grade Type Description 9/25/05 A B C D E 0466 Administrative Secretary NA 429 $18.52 $19.54 $20.61 $21.74 $22.94 0279 Personnel Assistant 430 $18.61 $19.63 $20.711 $21.85 $23.05 0447 Payroll Technician 436 $19.19 $20.25 $21.36 $22.53 $23.77 0446 Senior Payroll Technician 455 $21.10 $22.26 $23.48 $24.77 $26.13 0278 Administrative Assistant 458 $21.41 $22.59 $23.83 $25.14 $26.52 0061 Executive Assistant 486 $24.62 $25.97 $27.40 $28.91 $30.50 0005 Admin Analyst NA 513 $28.17 $29.72 $31-351 $33.07 $34.89 0453 Personnel Analyst 515 $28.45 $30.01 $31.66 $33.40 $35.24 0443 Payroll Analyst 521 $29.33 $30.94 $32.64 $34.43 $36.32 0063 Admin Analyst Sr NA 541 $32.40 $34.18 $36.06 $38.04 $40.13 0064 Budget Analyst Senior 541 $32.40 $34.18 $36.06 $38.04 $40.13 0464 Personnel Analyst Senior 541 $32.40 $34.18 $36.061 $38.04 $40.13 0062 [Admin Analyst Principal NA 560 $35.61 $37.57 $39.641 $41.82 $44.12 0471 Community Relations Officer 560 $35.61 $37.57 $39.64 $41.82 $44.12 0060 Personnel Analyst Principal 560 $35.61 $37.57 $39.64 $41.82 $44.12 0054 Risk Manager 592 $41.77 $44.07 $46.49 $49.05 $51.75 0012 Director of Org Effectiveness 608 $45.24 $47.73 $50.36 $53.13 $56.05 0006 Human Resources Manager 609 $45.47 $47.97 $50.61 $53.39 $56.33 0055 Finance Officer 613 $46.38 $48.93 $51.621 $54.46 $57.46 0484 Sr Deputy City AttylLitigator 621 $48.27 $50.93 $53.73 $56.68 $59.80 0007 Director of Library Services 627 $49.73 $52.47 $55.36 $58.41 $61.62 0078 Assistant City Attorney 630 1 $50.49 $53.27 $56.20 $5929 $62.55 0009 Director of Building &Safety 638 $52.54 $55.43 $58.48 $61.70 $65.09 0013 Director of Admin Services 645 $54.42 $57.41 $60.57 $63.90 $67.41 0014 Director of Community Services 645 $54.42 $57.41 $60.57 $63.90 $67.41 0008 Director of Econ Development 645 $54.42 $57.41 $60.57 $63.90 $67.41 2005-06 NA Resolution Final 3-8-05 v1 27 EXHIBIT C RETIREE MEDICAL PLAN An employee who has retired from the city shall be entitled to participate in the city sponsored medical insurance plans and the city shall contribute toward monthly premiums for coverage in an amount as specified in accordance with this Plan, provided: A. At the time of retirement the employee has a minimum of ten (10) years of continuous full time city service or is granted an industrial disability retirement; and B. At the time of retirement, the employee is employed by the city; and C. Following official separation from the city, the employee is granted a retirement allowance by the California Public Employees' Retirement System. The city's obligation to pay the monthly premium as indicated shall be modified downward or cease during the lifetime of the retiree upon the occurrence of any one of the following: 1. On the first of the month in which a retiree or dependent reaches age 65 or on the date the retiree or dependent can first apply and become eligible, automatically or voluntarily, for medical coverage under Medicare (whether or not such application is made) the city's obligation to pay monthly premiums may be adjusted downward or eliminated. Benefit coverage at age 65 under the city's medical plans shall be governed by applicable plan document. 2. In the event of the death of any employee, whether retired or not, the amount of the retiree medical insurance subsidy benefit which the deceased employee was receiving at the time of his/her death would be eligible to receive if he/she were retired at the time of death, shall be paid on behalf of the spouse or family for a period not to exceed twelve (12) months. D. Schedule of Benefits 1. Minimum Eligibility for Benefits With the exception of an industrial disability retirement, eligibility for benefits begins after an employee has completed ten (10) years of continuous full time service with the City of Huntington Beach. Said service must be continuous unless prior service is reinstated at the time of his/her rehire in accordance with the city's Personnel Rules. 2005-06 NA Resolution Final M-05 A 28 2. Disability Retirees Industrial disability retirees with less than ten (10) years of service shall receive a maximum monthly payment toward the premium for health insurance of $121. Payments shalt be in accordance with the stipulations and conditions, which exist for all retirees. Payment shall not exceed dollar amount, which is equal to the full cost of premium for employee only. 3. Maximum Monthly Subsidy Payments Payment amounts may be reduced each month as dependent eligibility ceases due to death, divorce or loss of dependent child status. However, the amount shall not be reduced if such reduction would cause insufficient funds needed to pay the full premium for the employee and the remaining dependents. In the event no reduction occurs and the remaining benefit premium is not sufficient to pay the premium amount for the employee and the eligible dependents, said needed excess premium amount shall be paid by the employee. All retirees, including those retired as a result of disability whose number of years of service prior to retirement, exceeds ten (10) years of continuous full time service, shall be entitled to maximum monthly payment of premiums by the city for each year of completed city service as follows: Maximum Monthly Payment for Retirements After: Years of Service Su__-bsidy 10 $121 11 136 12 151 13 166 14 181 15 196 16 211 17 226 18 241 19 256 20 271 21 286 22 300 23 315 24 330 25 344 2005-06 NA Resolution Final 3-8-05 v1 29 MISCELLANEOUS PROVISIONS A. Eligibility: 1. The effective start-up date of the Retiree Subsidy Medical Plan for the various employee groups shall be the first of the month following retirement date. 2. A retiree may change plans, add dependents, etc., during annual open enrollment. The Administrative Services Department shall notify covered retirees of this opportunity each year. 3. Years of service computed for the Retiree Subsidy Medical Plan are actual years of completed service with the City of Huntington Beach. B. Benefits: 1. Retiree Subsidy Medical Plan includes Managed Health Network (MHN), Prescription Card System (PCS), Orange County Foundation for Medical Care (OCFMC) and Medical Stop Loss insurance. 2. City Plans are the primary payer for active employees age 65 and over, with Medicare the secondary payer. Retirees age 65 and over have no City Plan options and are eligible only for Medicare. 3. Premium payments are to be received at least one month in advance of the coverage period. C. Subsidies: 1. The subsidy payments will pay for: a. Retiree Subsidy Medical Plan. b. HMO. c. Part A of Medicare for those retirees not eligible for paid Part A. 2. Subsidy payments will not pay for: a. Part B Medicare. b. Regular City Employee Indemnity Plan. c. Any other employee benefit plan. d. Any other commercially available benefit plan. e. Medicare supplements 2005-06 NA Resolution Final 3-8-05 v1 30 D. Medicare: 1. All persons are eligible for Medicare coverage at age 65_ Those with sufficient credit quarters of Social Security will receive Part A of Medicare at no cost. Those without sufficient credited quarters are still eligible for Medicare at age 65, but will have to pay for Part A of Medicare if the individual elects to take Medicare. In all cases, Part B of Medicare is paid for by the participant. 2. When a retiree and his/her spouse are both 65 or over, and neither is eligible for paid Part A of Medicare, the subsidy shall pay for Part A for each of them or the maximum subsidy, whichever is less. 3. When a retiree at age 65 is eligible for paid Part A of Medicare and his/her spouse is not eligible for paid Part A, the spouse shall not receive subsidy. When a retiree at age 65 is not eligible for paid Part A of Medicare and his/her spouse who is also age 65 is eligible for paid Part A of Medicare, the subsidy shall be for the retiree's Part A only. E. Cancellation- 1. For retirees/dependents eligible for paid Part A of Medicare, the following cancellation provisions apply: a. Coverage for a retiree under the Retiree Subsidy Medical Plan will be eliminated on the first day of the month in which the retiree reaches age 65. If such retiree was covering dependents under the Plan, dependents will be eligible for COBRA continuation benefits effective as of the retiree's 65th birthday. b. Dependent coverage will be eliminated upon whichever of the following occasions comes first: 1) After 36 months of COBRA continuation coverage, or 2) When the covered dependent reaches age 65 in the event such dependent reaches age 65 prior to the retiree reaching age 65. c. At age 65 retirees are eligible to make application for Medicare. Upon being considered "eligible to make application," whether or not application has been made for Medicare, the Retiree Subsidy Medical Plan will be eliminated. 2. See provisions under "Benefits," "Subsidies," and "Medicare" for those retirees/dependents not eligible for paid Part A of Medicare. 2005-06 NA Resolution Final 3-&05 v1 31 3. Retiree Subsidy Medical Plan and COBRA participants shall be notified of non-payment of premium by means of a certified letter from Employee Benefits in accordance with provisions of the Non- Associated Resolution. 4. A retiree who fails to pay premiums due for coverage and is in arrears for sixty (60) days shall be terminated from the Plan and shall not have reinstatement rights. 2005-06 NA Resolution Final 3-8-05 vI 32 EXHIBIT D - 9180 WORK SCHEDULE This work schedule is known as "9180". The 9/80 work schedule is designed to be in compliance with the requirements of the Fair Labor Standards Act (FLSA). In the event that there is a conflict with the current rules, practices and/or procedures regarding work schedules and leave plans, then the rules listed below shall govern. 9/80 WORK SCHEDULE DEFINED The 9/80 work schedule shall be defined as working nine (9) days for eighty(80) hours in a two week pay period by working eight (8) days at nine (9) hours per day and working one (1) day for eight (8) hours (Friday), with a one-hour lunch during each work shift, totaling forty (40) hours in each FLSA work week. The 9/80 work schedule shall not reduce service to the public, departmental effectiveness, productivity and/or efficiency as determined by the City Administrator or designee. A. Forty (40) Hour FLSA Work Week — The actual FLSA workweek is from Friday at mid-shift (p.m.) to Friday at mid-shift (a.m.). No employee working the 9/80 work schedule will be able to flex their Friday start time nor the time they take their lunch break, which will be from 12:00 p.m. to 1.00 p.m. on Fridays. All employee work shifts will start at 8:00 a.m. on their Friday worked. The start of the FLSA workweek is 12:00 noon Friday. B. Two Week Pay Period — The pay period for employees starts Friday mid-shift (p.m.) and continues for fourteen (14) days until Friday mid-shift (a.m.). During this period, each week is made up of four (4) nine (9) hour work days (thirty-six (36) hours) and one (1) four (4) hour Friday and those hours equal forty (40) work hours in each work week (e.g. the Friday is split into four(4) hours for the a.m. shift, which is charged to work week one and four (4) hours for the p.m. shift, which is charged to work week two). C. A/B Schedules — To continue to provide service to the public every Friday, employees are to be divided between two schedules, known as the "A" schedule and the "B" schedule, based upon the departmental needs. For identification purposes, the "A" schedule shall be known as the schedule with a day off on the Friday in the middle of the pay period, or, "off on payday", the °B" schedule shall have the first Friday (p.m.) and the last Friday (a.m.) off, or "working on payday". An example is listed below: Schedule 4 4 - - 9 9 9 9 - - - - 9 1 9 1 9 9 4 4 B Schedule - - - - 9 D. A/B Schedule Changes — FLSA non-exempt employees cannot change schedules without prior approval of their supervisor, Department Head, and the Human Resources Manager or designee. The purpose of this authorization is to review the impact on overtime. FLSA exempt employees may change A/B schedules at the beginning of any pay period with supervisor and Department Head approval. 2005-06 NA Resolution Final 3-8-05 v1 33 E. Emergencies — All employees on the 9/80 work schedule are subject to be called to work any time to meet any and all emergencies or unusual conditions which, in the opinion of the City Administrator, Department Head or designee may require such service from any of said employees. OVERTIME DEFINED FLSA Non-Exempt Employees — All non-exempt employees under the 9180 work schedule shall earn overtime for all hours worked after the first forty (40) hours in an FLSA work week (Friday 12:00:00 p.m_ to Friday 11:59:59 a.m.) as required under FLSA. Employees are required to obtain supervisor authorization prior to working any overtime. 1. Overtime Compensation —As stated in the Non-Associated Resolution. 2. Compensatory Time —As stated in the Non-Associated Resolution. LEAVE BENEFITS When an employee is off on a scheduled workday under the 9180 work schedule, then nine (9) hours of eligible leave per workday shall be charged against the employee's leave balance or eight (8) hours shall be charged if the day off is a Friday. All leaves shall continue under the current accrual, eligibility, request and approval requirements. 1. General Leave —As stated in the Non-Associated Resolution. 2. Sick Leave —As stated in the Non-Associated Resolution. 3. Administrative Leave —As stated in the Non-Associated Resolution. 4. Executive Leave — As stated in the Non-Associated Resolution. 5. Bereavement Leave —As stated in the Non-Associated Resolution. 6. Holidays - As stated in the Non-Associated Resolution. 7. Jury Duty — The provisions of the Personnel Rules shall continue to apply, however, if an FLSA exempt employee is called to serve on jury duty during a normal Friday off, Saturday, or Sunday, or on a city holiday, then the jury duty shall be considered the same as having occurred during the employees day off work, therefore, the employee will receive no added compensation. 2005-06 NA Resolution Final 3-8-05 A 34 EXHIBIT E Voluntary Catastrophic Leave Donation Program Guidelines PURPOSE The purpose of the voluntary catastrophic leave donation program is to bridge employees who have exhausted all paid leave accruals to either; return to work, long term disability, or medical retirement. Permanent employees who accrue vacation, general leave or compensatory time may donate such leave to another permanent employee when a catastrophic illness or injury befalls that employee or because the employee is needed to care for a seriously ill family member. The leave sharing program is city-wide across all departments and is intended to provide an additional benefit. Nothing in this program is intended to change current policy and practice for use and/or accrual of vacation, general, or sick leave. DEFINITIONS Catastrophic Illness or Injury A serious debilitating illness or injury which incapacitates the employee or an employee's family member and which causes a loss of income due to the employee having exhausted all paid leave accruals. Eligible Leave Accrued compensatory, vacation or general leave credits may be donated. The minimum donation an employee may make is two (2) hours and the maximum is forty (40) hours. Family Member For the purposes of this policy, the definition of family member is that defined in the Family Medical Leave Act (child, parent, spouse or domestic partner). ELIGIBILITY Permanent employees who accrue vacation or general leave may donate such hours to eligible recipients. Compensatory time accrued may also be donated. An eligible recipient is an employee who Accrues vacation or general leave • Has exhausted all paid leave accruals and is not receiving disability benefits or Workers' Compensation payments; and • Requests donated leave 2005-06 NA Resolution Final 3-8-05 v1 35 TRANSFER OF LEAVE The maximum donation credited to a recipient's leave account shalt be the amount necessary to ensure continuation of the employee's regular salary during the employee's period of approved catastrophic leave. Donations will be voluntary, confidential, and irrevocable. Hours donated will be converted into a dollar amount, based on the hourly wage of the donor. The dollar amount will then be converted into accrued hours, based on the recipient's hourly wage. An employee needing leave will complete a Leave Donation Request Form and submit it to the Department Director for approval. The Department Director will forward the form to Human Resources for processing. Human Resources, working with the department, will send out the request for leave donations. Employees wanting to make donations will submit an Authorization for Donation to the Human Resources division (payroll). All donation forms submitted to payroll will be date stamped and used in order received for each bi-weekly pay period. Any donation form submitted that is not needed will be returned to the donor. OTHER Please contact the Human Resources Division, at 374-1567 if you have questions regarding staff participation in this program. 2005-06 NA Resolution Final 3-&05 v1 36 Voluntary Catastrophic Leave Donation Program Leave Request Form According to the provisions of the Leave Donation Program, I hereby request donated vacation, general leave or compensatory time" MY SIGNATURE CERTIFIES THAT: • A leave of absence in relation to a catastrophic illness or injury has been approved by my department; • I have, or soon will, exhaust all of my sick leave, vacation, general, administrative, executive and compensatory time accruals, and • I am not receiving disability benefits or Workers'Compensation payments. Name: (Please Print) .m..".._....._"........................ .W. ark Phone: irepartment- ...... ........__".___ ob Title: Employee ID#: ........ Employee's estimate of hislher accrual balances 7 Requester Signature Date: i Department Director Signature of Support. Date: _.. TEN- »`a�:.� S� '.^:•i ' 3 ]�. F'i3..^..".A'"' "'S3' ,yeppw{ t ..r`....L...'s;rc��ia' ,9,,, e4�">�.,. M:�s,=... s:•;L°':i"u Please return to Human Resources Division, Department of Administrative Services for processing. 2005-06 NA Resolution Final 3-8-05 v1 37 Res. No. 2005-21 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) 1, JOAN FLYNN, the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at an regular meeting thereof held on the 21 st day of March, 2005 by the following vote: AYES: Hansen, Coerper, Hardy, Green, Bohr, Cook NOES: Sullivan ABSENT: None ABSTAIN: None Ci Clerk and ex-officio Jerk of the City Council of the City of Huntington Beach, California RCA ROUTING SHEET INITIATING DEPARTMENT: ADMINISTRATIVE SERVICES SUBJECT: ADOPT RESOLUTION TO MODIFY PAY AND CERTAIN BENEFITS FOR ELECTED CITY TREASURER COUNCIL MEETING DATE: March 21 , 2005 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Not Applicable Resolution (wlexhibits & legislative draft if applicable) Attached Tract Map, Location Map and/or other Exhibits Not Applicable Contract/Agreement (w/exhibits if applicable) (Signed in full by the City Attorney) Not Applicable Subleases, Third Party Agreements, etc. (Approved as to form by QLtZ Attorney) Not Applicable Certificates of Insurance (Approved by the Cky.Attorney) Not Applicable Financial Impact Statement Unbud et, over$5,000 Not Applicable Bonds If applicable Not Applicable Staff Report If applicable Not Applicable Commission, Board or Committee Report If applicable Not Applicable Find in s/Conditions for Approval and/or Denial Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED FORWARDED Administrative Staff Assistant City Administrator Initial City Administrator Initial City Clerk ) EXPLANATION FOR RETURN OF ITEM: (Below Space : Only) RCA Author: Irma Youssefieh