TO: Mayor and City Council
THROUGH: Steve Powers, City Manager
FROM: Mina Hanssen, Human Resources Director
SUBJECT:
title
Collective bargaining agreement between the City and Salem Professional Fire Fighters, International Association of Fire Fighters (IAFF), Local 314, AFL-CIO and authorizing a transfer of appropriation authority
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
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ISSUE:
1. Shall the City Council approve a three-year collective bargaining agreement between the City and Salem Professional Fire Fighters, International Association of Fire Fighters (IAFF), Local 314, AFL-CIO, for a period from July 1, 2016, through June 30, 2019?
2. Shall the City Council adopt Resolution No. 2016-36, transferring $384,530 from General Fund Non Departmental contingency to General Fund Fire Department personal services for the purpose of increasing appropriation authority related to the additional cost in FY 2016-17 of the three-year collective bargaining agreement?
RECOMMENDATION:
recommendation
1. Approve a three-year collective bargaining agreement between the City and Salem Professional Fire Fighters, International Association of Fire Fighters (IAFF), Local 314, AFL-CIO, for a period from July 1, 2016, through June 30, 2019.
2. Adopt Resolution No. 2016-36, transferring $384,530 from General Fund Non Departmental contingency to General Fund Fire Department personal services for the purpose of increasing appropriation authority related to the additional cost in FY 2016-17 of the three-year collective bargaining agreement.
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SUMMARY AND BACKGROUND:
1. The City began negotiations with IAFF on January 25, 2016, for a successor collective bargaining agreement. A final tentative agreement on a three-year contract was reached on June 29, 2016. The employees represented by IAFF ratified the agreement on July 25, 2016.
2. The City’s FY 2016-17 budget was adopted on June 27, 2016 pre-dating the final tentative agreement for the IAFF contract. As the result, it is necessary to increase the budget authority in the Fire Department’s FY 2016-17 budget to address an additional $384,530 in personal services costs.
FACTS AND FINDINGS:
1. The principle features of the successor agreement are as follows:
A. Term of Agreement: Three years commencing on July 1, 2016, through June 30, 2019.
B. Wage Increase: In order to have consistent, incremental pay increases between steps of the pay plans (i.e., to square the pay plans), for Fire Fighter, Fire Apparatus Operator/Engineer, and Fire Captain, the top step was increased, then steps 1 through 5 were adjusted to maintain a five percent spread between steps in each classification.
Year 1 of agreement:
i. Effective July 1, 2016, the top step of the salary schedule will be retroactively increased by: four and one-half percent (4.5%) for Fire Fighters, four percent (4%) for Fire Apparatus Operator/Engineers, three and one-half percent (3.5%) for Fire Captains; and each step of the salary schedule for Deputy Fire Marshal will be increased by four percent (4%).
ii. Field Training Officer specialty pay shall increase from one percent (1%) to five percent (5%).
Year 2 of agreement:
i. Effective July 1, 2017, the top step of the salary schedule will be increased by: five percent (5%) for Fire Fighters, four percent (4%) for Fire Apparatus Operator/Engineers, three percent (3%) for Fire Captains; and each step of the salary schedule for Deputy Fire Marshal will be increased by four percent (4%).
Year 3 of agreement:
i. Effective July 1, 2018, the top step of the salary schedule will be increased by: five percent (5%) for Fire Fighters, three percent (3%) for Fire Apparatus Operator/Engineers, three percent (3%) for Fire Captains; and each step of the salary schedule for Deputy Fire Marshal will be increased by four percent (4%).
ii. Effective July 1, 2018, employees working 56-hour schedules will be given one (1) Kelly day every 12th shift.
C. Collective Bargaining Agreement: The agreement is posted online at:
<http://www.cityofsalem.net/Departments/HumanResources/Pages/PoliciesandContracts.aspx>
2. The approximate financial impact of the proposal for the duration of the agreement is as follows:
Year 1: $703,030
Year 2: $1,430,300
Year 3: $2,729,800
The approximate total financial impact is $4,863,130. The variance between the total cost associated with the first year of the agreement and the amount anticipated in the FY 2016-17 budget is $384,530. This amount needs to be added to the Fire Department’s FY 2016-17 budget through a transfer of appropriation authority from General Fund contingency. Resolution 2016-36 provides the necessary transfer action.
MINA HANSSEN
HUMAN RESOURCES DIRECTOR
Attachments:
1. Resolution No. 2016-36
07/21/2016