HomeMy WebLinkAboutReso 54-22 FY 2022-24 Confidential Employees (2022.06.02 )RESOLUTION NO. 54-22
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF MORRO BAY, CALIFORNIA
AMENDING AND RESTATING THE PREVIOUSLY ADOPTED
COMPENSATION AND BENEFITS FOR THE UNREPRESENTED CONFIDENTIAL
DESIGNATED EMPLOYEES OF THE CITY OF MORRO BAY
THE CITY COUNCIL
City of Morro Bay, California
WHEREAS, Section 36506 of the California Government Code requires the City Council to fix
the compensation of all appointive officers and employees by resolution or ordinance; and
WHEREAS, Morro Bay Municipal Code Section 2.20.020 also provides the salaries and
compensation of officers and employees of the City of Morro Bay ("City") shall be as fixed and
determined by resolution of the City Council, except as specifically fixed in Chapter 2.20 of the Morro
Bay Municipal Code; and
WHEREAS, the City has established a system of classification for all positions within the City
service with descriptive occupational titles used to identify and distinguish classifications and/or
positions from one another, based on job duties, essential functions, knowledge, skills, abilities and
minimum requirements; and
WHEREAS the Meyers-Milias-Brown Act ("MMBA") (Government Code sections 3500 et seq.)1
governs labor relations between local government employers and employees and Section 3507.5
thereof permits a public agency to adopt local rules and regulations providing for the designation of the
`confidential" employees of the public agency and restricting such employees from representing any
employee organization, which represents other employees of the public agency, on matters within the
scope of representation; and
WHEREAS, the City's Employer -Employee Relations Resolution, Resolution No. 08-17,
represents the City's adoption of local rules and regulations for the administration of employer -
employee relations, including but not limited to the designation of "confidential" employees, defined as
meaning those employees who are "privy to decisions of City management affecting employer -
employee relations;' and
WHEREAS, the City has designated such "confidential" employees as more fully identified and
listed herein below; and
WHEREAS, the "confidential" employees identified and listed herein are "unrepresented,"
meaning that they are not part of any City Council determined appropriate bargaining unit nor
represented by any recognized employee organization as defined by the City's Employer -Employee
Relations Resolution and the MMBA; and
WHEREAS, the City Council deems it is in the best interest of the City to adjust the
compensation of the unrepresented confidential employees, whose titles are listed herein, by a Cost of
Living Adjustment (COLA) salary increase established by City Council for these employees for FY
2022/23 and FY 2023/24; and
NOW, THEREFORE, BE IT RESOLVED that the Morro Bay City Council does hereby adopt
this Resolution, amending and restating the previously adopted and amended schedule of
1 Unless otherwise stated, references to Sections will be to the Government Code.
Resolution No. 54-22 Page 2 of 10
compensation and benefits for the City of Morro Bay's unrepresented confidential employees and
superseding and replacing any prior compensation and benefits resolutions, contracts, agreements or
memorandum for such employees, including but not limited to Resolution No. 34-17 as follows.
A. POSITION LIST
The following are the FY 2022/23 authorized confidential positions:
1. Human Resources Analyst I
2. Human Resources Analyst II
3. Senior Accounting Technician
4. Executive Assistant/Deputy City Clerk
5. Fiscal Analyst
B. NORMAL WORK HOURS
Confidential employees work eight hours per day, five days per week consistent with City
business hours (unless participating in an alternative work schedule) and are subject to overtime
compensation.
COMPENSATORY TIME OFF ("CTO")
Confidential employees may take CTO in -lieu of paid overtime. CTO may be accrued up to a
maximum of sixty (60) hours Once the maximum accrual is reached, excess overtime is paid
at the time it is incurred, until the CTO accrual balance falls below the maximum accrual limit
CTO must be approved in advance by the employee's Department Director.
D. ADMINISTRATIVE LEAVE
Confidential employees receive up to forty-five (45) hours annually in paid administrative leave
in a lump sum accrual at the beginning of each fiscal year. The administrative leave bank may
never accrue more than sixty-nine (69) total hours which may limit the number of hours credited
to the employee's administrative leave bank on July 1st of each year.
New confidential employees will be provided a pro-rata share of the annual forty-five (45) hour
accrual of administrative leave upon employment.
Administrative leave time must be taken off on an hour -for -hour basis equaling employee actual
time off, regardless of accumulation rates Administrative leave is a compensable leave, and
any remaining hours in the employee s bank will be paid out upon separation from City service
at the employee's current hourly rate of pay.
VACATION LEAVE
Confidential employees accrue vacation, based on the schedule below:
Service Years
Entitlement in
Days
1 thru 2 10
3 thru 4 11
5 thru 6 12
7 thru 8 13
9 thru 10 14
11 thru 12 15
Resolution No. 54-22 - Page 3 of 10
13 thru 14 16
15 thru 16 17
17 thru 18 18
19 thru 20 19
21 or more 20
Confidential employees are subject to a maximum leave accumulation of two hundred twenty
(220) hours. Any hours exceeding the maximum accumulation as of November 1st of each year
will be paid out in the pay period including December 1st.
Until December 31, 2022, Confidential employees may exercise the option to convert into cash
a maximum of forty (40) hours of accrued vacation leave each fiscal year, at the employee's
current hourly rate of pay.
Effective January 1, 2023, Confidential employees will be provided an option to convert up to 40
hours of vacation into compensation per calendar year, subject to meeting the following
requirements, provided that at the time of the conversion request at least 20 hours of vacation
time remains in the employee s vacation bank. To be eligible for cash out of accrued vacation
leave, an employee must pre -elect the number of vacation hours they will cash out, up to a
maximum of 40 hours, by December 15 of the preceding calendar year (with December 15,
2022 being the election deadline for cash out in 2023). The election will apply only to vacation
hours accrued in the next calendar year. The election to cash out vacation hours in each
designated year is irrevocable. Confidential employees who elect to cash out vacation leave
hours must cash out the number of accrued hours pre -designated on the irrevocable election:
form provided by the City. Employees who pre -designate cash out amounts may request a cash
out at any time in the designated calendar year by submitting a cash out request at least 30
days in advance to Human Resources. Human Resources will confirm the cash out amount has
accrued and is consistent with the amount the employee pre -designated, then forward to payroll
to complete the cash out request. If the full amount of hours designated for cash out is not
available at the time of cash out request, the maximum available will be paid.
For Confidential employees who have not requested payment of the elected cash out amount
by November 1 of each year, payroll will automatically cash out the pre -designated amount in a
paycheck issued on or after the payroll date including November 1. Additionally, the City may,
prior to the end of the calendar year, automatically cash out the vacation leave accrued each
pay penod by an employee such that the vacation leave cash out is consistent with the
employee's pre -elected number of vacation leave cash out hours for that year
Employees who do not pre -designate vacation leave cash out hours or who decline the cash opt
option by the December 15 deadline will be deemed to have waived the right and will not be
eligible to cash out any vacation leave in that year
Vacation accrual is a compensable leave; any hours remaining in the employee's vacation bank
will be paid out upon separation from City service, at the employee's current hourly rate of pay.
Vacation leave time must be taken off on an hour -for -hour basis equaling employee actual time
off, regardless of accumulation rates.
Resolution No. 54-22 - Page 4 of 10
F. HOLIDAYS
The following days are paid holidays for confidential employees:
Independence Day July 4th
Labor Day 1st Monday in September
Veteran's Day November 11th
Thanksgiving Day 4th Thursday in November
Day after Thanksgiving Friday after Thanksgiving
Christmas Day December 25th
N ew Year's Day January 1st
Martin Luther King, Jr. Day 3rd Monday in January
S pring Break Holiday Observed the Friday before
Easter weekend
Washington's Birthday 3rd Monday in February
Memorial Day Last Monday in May
Floating Holiday Varies
Floating Holiday Varies
Any holiday, which falls on a Saturday or Sunday, will be officially designated as a "HOLIDAY"
on the prior Friday (if Saturday) or Monday (if Sunday)
For confidential employees one holiday equals eight hours, unless the employee is working the
9/80 alternative work schedule where one holiday may equal eight or nine hours depending on
the normally scheduled work day being either an eight- or nine -hour work day for that employee.
When a holiday is proclaimed by the Mayor of the City, each employee shall be granted time -
off in the same number of equivalent hours. Such time off shall be authorized by the Department
Head.
Floating holiday hours are recorded in a bank in July of each fiscal year and may be carried
over to the next fiscal year, to a maximum accumulation of forty-eight (48) hours holiday time.
Hours of holiday time accumulated over forty-eight (48) hours will be paid out in December
Floating holiday pay is a compensable leave, and any remaining hours in the employee's bank
will be paid out upon separation from City service, at the employee's current hourly rate of pay.
G. SICK LEAVE
All employees accrue ninety six (96) hours per year in a sick leave bank to be used for employee
illness forty-eight (48) hours of which may be used in the care of the employee's family member
for illness or for any other reason mandated by law.
U pon retirement from City service, remaining unused sick leave converts to time served under
the applicable contract between the City and the California Public Employees' Retirement
S ystem ("CaIPERS'), if any.
Based on individual utilization of paid sick leave in the preceding calendar year, confidential
employees may convert unused accumulated sick leave into paid vacation leave once per
Resolution No. 54-22 - Page 5 of 10
calendar year, pursuant to the formula below:
Sick Leave Utilization
0 hours
.25 to 8 hours
8.25 to 16 hours
16.25 to 25 hours
Over 25 hours
Sick Leave
96 hours
72 hours
48 hours
24 hours
0 hours
Maximum Conversion
to Vacation Leave
48 hours
36 hours
24 hours
12 hours
0 hours
At least one hundred sixty (160) accrued hours must remain in the confidential employee's sick
leave bank for an employee to be eligible for conversion or for a conversion to be authorized. In
addition, the right to convert does not carry over or rollover from calendar year to calendar year;
failure to request conversion in any calendar year eliminates the right to do so for that calendar
year.
Upon the Service Retirement of a confidential employee, who has more than ten years of service
with the City, said employee shall be entitled to receive payment for up to the first ninety days
of their accrued sick leave at twenty-five percent of the employee s rate of pay, as of the date of
service retirement. Unused sick leave converted to service credit for CaIPERS purposes cannot
be compensated (converted to dollars). Service Retirement is defined as service retirement from
both the City and CaIPERS Voluntary separation or termination actions are excluded from this
benefit.
H. RETIREMENT BENEFITS
All employees enrolled in the CaIPERS retirement system bear the risk of payment of any
increases in the employee contribution, above the current percentage, made by action of
CaIPERS, the California Public Employees Pension Reform Act of 2013 ("PEPRA") or related
legislation, and/or the State Legislature.
All employee Ca:PERS contributions are paid to CaIPERS, based upon tax treatment currently
permitted by the State Franchise Tax Board and the Internal Revenue Service (' IRS").
The following is descriptive information on City CaIPERS-contracted Miscellaneous retirement
plans:
CaIPERS Miscellaneous Plans
All employees pay 100% of the employee contribution to CaIPERS, which is currently:
1. Tier 1 Classic members = 8%
2. Tier 2 Classic members = 7%
3. Tier 3 PEPRA members = one-half the normal cost of retirement (currently 6.75%)
Tier 1: All employees, who were hired prior to December 10, 2011, receive the following
CaIPERS retirement formula and optional benefits (existing Tier 1 employees, promoted to
another position within the City, will not be considered new hires, with respect to retirement
formulas):
Resolution No. 54-22 - Page 6 of 10
1. 2.7% @ 55 formula (Section 21354.5)
2. Unused Sick Leave Credit (Section 20965)
3. Military Service Credit (Section 21024 & 21027)
4. Final Compensation 1 Year (Section 20042)
5. 1959 Survivor Benefit, Level 4 (Section 21574)
6. Pre -Retirement Option 2W Death Benefit (Section 21548)
Tier 2: All employees, who were hired on or after December 10, 2011, but before January 1,
2013, and those hired on or after January 1, 2013, who meet the CaIPERS definition of classic
member as determined by CaIPERS under PEPRA and related legislation receive the following
CafPERS retirement formula and optional benefits:
1. 2% @ 60 formula (benefit factor increases to 2.418% @ 63+) (Section 21353)
2. Unused Sick Leave Credit (Section 20965)
3. Military Service Credit (Section 21024 & 21027)
4. Final Compensation 3 Years (Section 20037)
5. 1959 Survivor Benefit, Level 4 (Section 21574)
6. Pre -Retirement Option 2W Death Benefit (Section 21548)
Tier 3: All employees, who were hired on or after January 1, 2013, and meet the definition of
new member, as determined by CaIPERS under PEPRA and related legislation pursuant to
PEPRA, receive the following CaIPERS retirement formula and optional benefits:
1. 2% @ 62 formula (benefit factor increases to 2.5% @ 67+) (Section 7522.20)
2. Final Compensation 3 Years (Section 20037)
3. Member contribution rate of fifty percent of the expected normal cost rate, which is
currently 13.5% (6.75% is employee's portion)
4. Unused Sick Leave Credit (Section 20965)
5. Military Service Credit (Section 21024 and 21027)
6. 1959 Survivor Benefit, Level 4 (21574)
7. Pre -Retirement Option 2W Death Benefit (Section 21548)
Employee Cost Sharing: CaIPERS Classic Member Tier 1 & 2 employees shall make a 1 % cost
sharing contribution to the employer's contribution to CaIPERS effective the first full payroll
period after City Council approval of a CaIPERS Contract Amendment providing for such
payment commencing FY 23/24, but in no event sooner than the pay period including July 1,
2023.
HEALTH/LIFENISION/DENTAL INSURANCE
Effective July 1, 2022, all employees receive the following contribution toward the purchase of
CaIPERS health insurance, which includes the required CaIPERS monthly contribution:
Employee only - up to $767/month or cost of insurance, whichever is Tess
Employee + 1 — up to $1,232/month or cost of insurance, whichever is Tess
Employee + family - up to $1,589/month or cost of insurance, whichever is less
Life insurance is provided at $50,000 and is paid for by the City for the employee only.
Resolution No. 54-22 - Page 7 of 10
Effective July 1, 2022, all employees receive the following contribution toward the purchase of
Life, Vision and Dental insurances:
Life
Vision
Dental
Total
Bank
EE Pays
Employee only
Employee + 2+
$8.70
$8.70
$8.29
$22.17
$57.81
$159.98
$74.80
$190.85
$71.87
$178.64
$ 2.93
$12.21
City will pay the remaining premium for life, vision and dental.
For retired employees, City contributes the required CaIPERS monthly contribution towards
CaIPERS health plans, as selected by retiree
DEFERRED COMPENSATION PROGRAM
Confidential employees receive a matching contribution up to $1,500, per calendar year, paid
to employee's deferred compensation plan, or approved retiree medical savings plan City
matching contributions are paid on a 2 1 basis (e.g., employee contnbutes $2, City matches
$1).
K EDUCATION INCENTIVE
City will reimburse its confidential employees for costs associated with job -related and job -
required certifications, correspondence courses and/or licenses (except Class III driver's
license) upon successful completion of the examination or course by the employee. Written
authorization, from the employee's Department Director, is required in advance.
Reimbursement includes application fees, examination fees and certificate fees. Renewal fees
may be paid in advance by City. This provision does not apply to continuing education
requirements.
City will provide a City vehicle, when available, for required transportation, and will permit paid
time for employee to take examinations, scheduled during normal working hours. If no City
vehicle is available, employee may take their personal vehicle; however, no mileage payments
are authorized of the use of personal transportation. Time spent, outside normal working hours,
shall not be compensated.
L. COLLEGE DEGREES
Confidential employees, hired on or after January 1, 1998, shall not be eligible for this incentive.
For confidential employees, hired prior to January 1, 1998, City will pay the following education
incentives, on base salary, for an Associate of Arts ("AA") or Bachelor's degree, unless the
employee's job description requires an AA or Bachelor's degree, or the employee is promoted
to a position requiring an AA or Bachelor's degree:
1. AA degree = $600 annually
2. Bachelor's Degree = $1,200 annually
M. COMPENSATION ADJUSTMENTS
Annual Cost of Living Adjustments (COLA) and/or equity adjustments may be given to
confidential employees, as recommended by the City Manager and approved by the City
Council; though neither is guaranteed.
1. For fiscal year 2022/23, City will provide a six percent (6%) COLA base salary increase to
Resolution No. 54-22 - Page 8 of 10
the confidential employees' salary ranges as reflected in Attachment A hereto, effective with
the pay period containing July 1, 2022.
For fiscal year 2023/24, the CITY will provide a four percent (4%) COLA base salary increase
to the confidential employees' salary ranges as reflected in Attachment B hereto, effective with
the pay period containing July 1, 2023, contingent upon the cost sharing as described in Section
H being approved and implemented.
N. SPECIAL PAY
Confidential employees, who are required by their supervisor to attend meetings, outside the
normal work schedule, for the purpose of taking minutes of said meetings, shall be paid a
minimum of four (4) hours at time and one-half, without regard for hours actually worked during
the work week. Minutes, taken at meetings during regular work hours, shall be included in
employee's regular rate of pay, and not compensated beyond that.
PASSED AND ADOPTED, by the City Council of the City of Morro Bay, at a regular
meeting thereof held on the 14th day of June 2022, by the following vote:
AYES Headding, Addis, Barton, Ford, Heller
NOES' None
ABSENT: None
ABSTAIN: None
JOHN HE4JJD`iNG,
ATTEST:
DAN'A SWANSON, City Clerk
Resolution No. 54-22 - Page 9 of 10
ATTACHMENT A
CONFIDENTIAL SALARY SCHEDULE EFFECTIVE 7/1/2022
POSITION 1
Human Resources Analyst II
Fiscal Analyst
Senior Accounting Technician
Executive Asst/Deputy City
Clerk
Human Resources Analyst I
73,196
67,989
65,405
60,871
ANNUAL COMPENSATION RANGE
2
76,856
71,389
68,675
63,914
3
80,699
74,958
72,109
67,110
4
5
84,734 88,970
78,706 82,642
75,715 79,500
70,465 73,988
Resolution No. 54-22 - Page 10 of 10
ATTACHMENT B
CONFIDENTIAL SALARY SCHEDULE EFFECTIVE 7/1/2023
POSITION 1
Human Resources Analyst II
Fiscal Analyst
Senior Accounting Technician
Executive Asst/Deputy City
Clerk
Human Resources Analyst I
76,124
70,709
68,021
63,306
ANNUAL COMPENSATION RANGE
2
79,930
74,244
71,422
66,471
3
83,927
77,956
74,993
69,795
4
5
88,123 92,529
81,854 85,947
78,743 82,680
73,284 76,949