REPORT TO THE CITY COUNCIL FROM: TJ MILLER, Director Personnel Services Department SUBJECT ..Title Actions pertaining to the International Brotherhood of Electrical Workers (IBEW) Local 100 for Unit 7, Non-Supervisory Groups and Crafts for Unit 7 : 1. ***Adopt a successor Memorandum of Understanding between the City of Fresno and International Brotherhood of Electrical Workers (IBEW) Local 100 for Unit 7, Non-Supervisory Groups and Crafts (Subject to Mayor's Veto). 2. ***RESOLUTION: Adopt the 4th Amendment to FY 2022 Salary Resolution No. 2021-176, amending Exhibit 7, Unit 7 - Non-Supervisory Groups and Crafts (IBEW), to provide a salary increase for respective classes as required by the Memorandum of Understanding between the City of Fresno and International Brotherhood of Electrical Workers (IBEW) Local 100 (Subject to Mayor's Veto). ..Body RECOMMENDATION It is recommended Council (1) approve the attached Memorandum of Understanding (MOU) to implement wages, hours and other terms and conditions of employment for City employees in Unit 7, Non-Supervisory Groups and Crafts, represented by IBEW; and (2) adopt the Fourth Amendment to the Fiscal Year 2022 Salary Resolution No. 2021-176 to amend Exhibit 7. EXECUTIVE SUMMARY The City and IBEW reached a tentative agreement on a successor MOU which will replace the MOU that expired on September 12, 2021. The MOU provides for an agreement from December 6, 2021 through June 16, 2024, increases to wages, and other changes in terms or conditions of employment. BACKGROUND The City and IBEW started meeting in October 2021 to work towards reaching agreement on a successor MOU. The parties reached a tentative agreement on October 29, 2021. Members of the Unit ratified on November 9, 2021. Major changes to the MOU are summarized below. * Term: December 6, 2021 through June 16, 2024 * Wages: o 3% lump sum payment equivalent to 3% of actual base wages earned from September 14, 2020 through December 5, 2021. Please note that the City and IBEW have agreed the lump-sum payment will be pensionable. o 3% wage increase, effective December 6, 2021. o 3% wage increase, effective June 20, 2022. o 3% wage increase, effective June 19, 2023. * Holiday, Health Reimbursement Arrangement (HRA), and Employee Incentive Time Off (EITO): o Holiday: Addition of one Personal Business Day on January 1st of each year. o HRA: benefit expansion to include qualified medical expenses and an increase to the value factor from 40% to 80% of base hourly rate o EITO: Discontinue program effective January 17, 2022, following the expiration of the measurement period in effect at the time of Council approval of the successor MOU; one-time credit of 32 hours of EITO which employees may use with supervisor approval or cash out. * Classification and Compensation Study: Limited reopener to engage in a comprehensive classification and compensation study regarding classes in IBEW including, but not limited to, salaries, premium and certification pays, and classification structure. * City Vehicles Assigned while on Standby Duty: Limited reopener to engage in a review of the use of City vehicles assigned while on standby and alternate solutions * Sick Leave: Language updates consistent with state law. * State Disability Insurance/ Paid Family Leave: Language updates consistent with the law and current practice, and additional language clarification and cleanup In addition to the above, there was language clean up throughout the MOU. The City Attorney's Office has approved the new MOU and Salary Resolution Amendment as to form. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act Guidelines Section 15378 this item does not qualify as a "project" and is therefore exempt from the California Environmental Quality Act requirements. LOCAL PREFERENCE Local preference is not implicated because this item does not involve public contracting or bidding with the City of Fresno. FISCAL IMPACT Approval of the MOU and Salary Resolution Amendment will result in estimated additional salary and benefit expenses of $4,009 to the General Fund and $81,838 to All Funds in FY22, $12,351 to the General Fund and $252,100 to All Funds in FY23, and $18,829 to the General Fund and $384,316 to All Funds in FY24, for a total of $35,189 to the General Fund and $718,254 to All Funds for the term of the MOU which expires 6/16/2024. Attachments: City of Fresno and IBEW MOU - Redline City of Fresno and IBEW MOU - Final Costing for Proposed MOU Resolution - Fourth Amendment to FY 2022 Salary Resolution No. 2021-176 Salary Tables - Fourth Amendment to FY 2022 Salary Resolution 2021-176 - Redline Salary Tables - Fourth Amendment to FY 2022 Salary Resolution No. 2021-176 - Final