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HomeMy WebLinkAboutAgenda Packet - EVWD Board of Directors - 11/12/2014 Memorandum of Understanding Between The East Valley Water District And The San Bernardino Public Employees Association July 1, 2014 through June 30, 2017 TABLE OF CONTENTS ARTICLE TITLE PAGE NO. I Designation of Parties 1 II Purpose 1 III Term 1 IV Compensation 1 V Organizational Security & Check Off 2 VI Working Out of Classification 3 VII Flexible Benefit Plan 4 VIII Deferred Compensation Match 5 IX Computer Purchase Program 5 X Standby 6 XI Call Back 6 XII Differential Pay 6 XIII Hours of Work 7 XIV Overtime 8 XV Sick Leave 8 XVI Vacation 13 XVII Bereavement Leave 15 XVIII Holidays 16 XIX Absence Without Pay 17 XX Authorized Leave 17 XXI Probationary Period 18 XXII Separability 18 XXIII Uniforms 18 XXIV Employee Retention Incentive Program 18 XXV Retiree Health Insurance 19 XXVI Retirement – PERS Contract 19 XXVII Flexible Spending Account 20 1 MEMORANDUM OF UNDERSTANDING BETWEEN THE EAST VALLEY WATER DISTRICT AND THE SAN BERNARDINO PUBLIC EMPLOYEES ASSOCIATION ARTICLE I DESIGNATION OF PARTIES This Memorandum of Understanding (MOU) constitutes an agreement between the designated representatives of the East Valley Water District (District) and representatives of the San Bernardino Public Employees Association (Association). The Association is the recognized employee organization, which represents the unit of representation established by the District Board of Directors pursuant to the District's Employee Relations Resolution. ARTICLE II PURPOSE The parties to this Memorandum of Understanding (MOU) agree that its purpose is to confirm and maintain a spirit of cooperation between the District and the general employees of the District. The District and the Association will strive to promote a harmonious relationship between the parties, through this MOU that will result in benefits for the District and provisions of continuous and uninterrupted services. Except as otherwise expressly modified by this MOU, the Personnel Rules adopted by the District pursuant to Resolution 2001.21 shall remain in full force and effect as written. ARTICLE III TERM This MOU shall be effective as of July 1, 2014 upon ratification of the membership and approval by the full District's Board of Directors. It shall remain in full force and effect through June 30, 2017 and from month to month thereafter or until such time as agreement has been reached on a successor MOU. ARTICLE IV COMPENSATION The following compensation changes will be implemented during the term of this three (3) year contract: 2 Salary Ranges – New salary ranges will be created with two and a half percent (2.5%) between each step, A through E. Market Adjustments – Based on the results of the District’s 2014 Classification and Compensation Analysis, employees that are currently being compensated below the market median will receive pay increases to place them in the salary range closest to the market median minus five percent (5%). They will be placed at their current step (A through E) within the new salary range. The market adjustments will be implemented over a two year period. The first adjustment is effective the first full pay period of July 2014. The second adjustment is effective the first full pay period of July 2015. Performance Management System – A performance management system will be created to provide pay for performance incentives. Employees will have the potential to receive a performance incentive of up to five percent (5%) of their annual base pay based on specified criteria. The Performance Management Program and evaluation criteria will be created by the District and brought to the membership for review prior to implementation. Pay Adjustment – Employees will receive a two percent (2%) pay adjustment each fiscal year during the term of this contract (FY 2014/15, FY 2015/16, FY 2016/17). This pay increase will offset the additional 2 percent (2%) increase employees will begin paying to the employee share of their CalPERS retirement cost over the next three (3) years (refer to Article XXVI: Retirement – PERS Contract). ARTICLE V ORGANIZATIONAL SECURITY AND CHECK OFF Check Off - The Association shall have the sole and exclusive right to have membership dues deducted for employees covered by this Agreement by the District, upon appropriate written authorization from such employees. Remittance shall be made by the District to the Association within ten (10) working days from the end of the last pay period of each month. Dues Deduction - The District shall deduct, upon receipt of a duly executed form properly signed by a member of the bargaining unit, either dues to the Association for members or a service fee to the Association for non-members, as appropriate. The Association shall advise the District, in writing, of the dues amount to be deducted for each member. Any change in dues will be submitted to the District in writing, thirty (30) days prior to the effective date of such change. Employees 3 in the bargaining unit who are not members of the Association on the effective date of this Agreement, and employees who, hereinafter, come into the bargaining unit shall either within thirty (30) days of the date of this Agreement or their employment, apply for membership. The District shall deduct from any permanent employee who is not a member of the Association, as a condition of employment, a monthly service charge equal to the monthly Association dues as a contribution toward the administration of this agreement. Employees who fail to meet this requirement shall be discharged. The right of non-association employees is based on bona fide religious tenets or teachings of a church or religious body of which such employee is a member are safeguarded. Such employees shall pay an amount of money equivalent to regular Association dues to a non-religious, non-labor charitable fund exempt from taxation under Section 501(c)(3) of the Internal Revenue Code chosen by the employee from the following three (3) funds: American Cancer Society, American Humane Society and Goodwill Industries. Proof of such payment shall be made on a monthly basis to the District as a condition of continued exemption from the requirement of financial support to the Association. Membership dues shall be deducted for employees covered by the Agreement who are members of the Association at the time of execution of this Agreement, or who thereafter become members, subject to the above. The District shall, as soon as possible, notify the Association General Manager if any member of the bargaining unit revokes a dues/fee authorization. Hold Harmless Clause - In consideration of the above noted services, the Association agrees to release, indemnify and discharge the District from any liability or expenses whatsoever as a result of any action taken pursuant to the provisions of this article. Additionally, the Association agrees to waive any real or perceived claims against the District incurred prior to the effective date of this MOU. ARTICLE VI WORKING OUT OF CLASSIFICATION Employees in the unit assigned to work in a higher classification in excess of ten (10) consecutive working days will be granted a five percent (5%) salary increase or the "A" step of the higher classification, whichever is greater, for all time worked in the higher classification beginning with the eleventh (11th) work day, except for an employee in a trainee status. 4 Increases in pay may be granted to recognize the temporary assignment of more difficult duties requiring a greater level of skills. "Selected positions may be authorized additional compensation, rather than being reclassified to a higher level". Temporary assignments as provided herein will not exceed one (1) year and shall not be used to avoid reclassification of the affected position. Increases in pay shall be temporary so long as the higher-level duties are assigned and performed. All such increases shall be authorized by the General Manager and shall not affect an employee's step advancement in the base range. ARTICLE VII FLEXIBLE BENEFIT PLAN SECTION 1 Effective with the month beginning July 1, 2014, the District agrees to contribute the following amount, per employee, to a Flexible Benefit Plan: Employees with no health care dependents $755/month Employees with health care dependents $1,300/month All employees in regular positions shall be eligible to participate in the Flexible Benefit Plan described herein. Each employee may select among the options indicated and specify what portion of plan monies will be applied to selected options. Selection must be in increments of one dollar ($1.00). SECTION 2 The Flexible Benefit Plan shall include the following options: Health, Dental and Vision Insurance SECTION 3 a. Health, Dental and Vision Insurance - Under this option, the District will make available an existing health, dental and vision insurance program currently maintained for unit employees or any other program(s) mutually agreed upon by the parties. This option allows for a monthly allowance toward the combined total premium for such insurance. Employees must enroll in one of the health and dental programs offered by the District at least to the level that provides such insurance coverage for the individual employees and family respectively. Premiums for such coverage may be paid in whole or in part by selecting this option. Any portion of premiums not covered by selection of this option shall be automatically deducted from the employee's paycheck. 5 SECTION 4 Any portion of the benefit plan allowance dispersed to the employee shall be treated as cash. SECTION 5 All eligible full-time employees must receive a minimum of forty-one (41) hours per pay period to be eligible to receive the benefit of this Article. All eligible permanent part-time employees must receive a minimum of one-half (1/2) of their regularly scheduled hours plus one (1) per pay period. Permanent part-time employees shall receive pro-rated benefits as follows: 1/2 - 3/4 = 50% 3/4 - 1/1 = 75% Employees who are on leave of absence without pay shall not be eligible to receive the benefit of this Article. SECTION 6 Effective January 1, 2014, the District agrees to provide a Group Term Life Insurance Policy in the amount of $100,000. ARTICLE VIII DEFERRED COMPENSATION MATCH The District will match contributions of up to $50.00 per month for employees currently enrolled and participating in the 457 Deferred Compensation plan. ARTICLE IX COMPUTER PURCHASE PROGRAM Full-time, non-probationary employees will have the opportunity to participate in the Computer Purchase Program which provides an interest free loan where employees can choose from a selection of computers/laptops/tablets purchased by the District to be paid back through payroll deduction. Please reference the District’s Computer Purchase Program document which sets guidelines and limitations for the terms and conditions of the program. ARTICLE X STANDBY 6 Employees assigned to standby status shall be compensated at the rate of $40.00 per day and will be compensated for a minimum of two-hours overtime pay for calls lasting two-hours or less. Additional calls that may come in during the initial two-hour timeframe will be considered compensated if work is completed within the two-hours. Standby duty requires that employees so assigned shall: (1) be ready to respond immediately; (2) be reachable by telephone or other communicating devices; (3) be able to report to active duty not later than thirty (30) minutes from time of contact and (4) refrain from activities which might impair their ability to perform assigned duties. Employees not assigned to standby duty have no obligation to meet these requirements. ARTICLE XI CALL BACK District employees called back to active duty after completing their normal tour of duty and leaving the work site shall be entitled to call back compensation. Call back compensation in an amount of twenty dollars ($20.00) shall be paid for each call back occurrence exclusive of any other premium pay provision. A minimum of two-hours overtime shall be paid for each call back occurance. Call back compensation shall not apply to employees assigned to standby duty pursuant to Article X, Standby. ARTICLE XII DIFFERENTIAL PAY Sewer Response Team – This program will be eliminated effective July 1, 2014, as the District has identified that compensation for responding to sewer emergencies is included in Stand-by Pay and in the overtime pay employees receive for responding to such emergencies. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in and continue to receive the salary differential of two and one-half percent (2.5%). Commercial Drivers - This program will be eliminated effective July 1, 2014, as the District has identified through market analysis that obtaining a Commercial License is a condition of employment for specified positions and the salary range for those specified positions is inclusive of compensation for that license. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in and continue to receive the salary differential of two percent (2%). Production Operators Differential - District employees who have acquired a Treatment III (T3) certification shall be entitled to a salary differential of five percent (5%). District employees who have acquired a Treatment IV (T4) 7 certification shall be entitled to a salary differential of six percent (6%). District employees who have acquired a Treatment V (T5) certification shall be entitled to a salary differential of seven percent (7%). Distribution Operators Differential - District employees who have acquired a Distribution III (D3) certification shall be entitled to a salary differential of two percent (2%). District employees who have acquired a Distribution IV (D4) certification shall be entitled to a salary differential of three percent (3%). District employees who have acquired a Distribution V (D5) certification shall be entitled to a salary differential of four percent (4%). ARTICLE XIII HOURS OF WORK Work Hours - Work hours are the hours an employee is assigned to perform duties on behalf of the District. Beginning July 12, 2014, all District employees shall work a 9/80 work schedule, which is worked as one week at 36 hours and one week at 44 hours. The full eighty hour pay period is worked in 9 days rather than 10. Overtime is paid for hours in excess of 9 hours worked per day or 8 hours on employee’s non-flex day; not 40 hours per week. With the 9/80 work schedule, the work week period will begin each Saturday and end the following Friday. Employees shall work Monday through Thursday, for nine (9) hours and alternating Fridays for eight (8) hours. Employees will be scheduled for two days off during one calendar week and three days off during alternating calendar weeks. This additional day off shall be referred to as a flex day. Employee work hours shall be established by the District and are subject to change based upon the needs of the District and upon a minimum of two (2) weeks notification to employees. To ensure quality service levels to the District’s operations, the following working schedules have been established for staff in the office and field: Office Staff: Monday through Thursday: 7:30 am – 5:30 pm Alternating Friday 7:30 am – 4:30 pm Field Staff: Monday through Thursday 6:30 am – 4:00 pm 8 Alternating Friday 6:30 am – 3:00 pm Work Periods - If District Management concludes that the 9/80 work schedule is not conducive to District operations, the District will meet and confer on the impact of discontinuing the program. Thirty days’ notice will be provided to employees prior to the termination of a 9/80 schedule. ARTICLE XIV OVERTIME All time worked in excess of the established standard work week shall be considered as approved overtime. Overtime will be compensated at one and one- half (1-1/2) times the employee's base hourly rate. Overtime shall be reported and compensated in fifteen (15) minute increments. ARTICLE XV SICK LEAVE A. Definition - Sick leave is an insurance or protection to be granted in circumstances of adversity to promote the health and welfare of the individual employee. It is not an earned right to time off from work. Sick leave permits the employee to be absent from duty without the loss of pay when they are incapacitated by reason of illness, injury or pregnancy and confinement or when a member of the immediate family must be attended to by the employee; or when an employee has been exposed to a contagious disease and his presence on the job might endanger fellow workers. When approved in advance, sick leave may also be used for medical, dental or optical examinations or treatments. Absence from duty not to exceed six months for maternity reasons may be authorized. Maternity leave is chargeable to sick leave, annual vacation and leave without pay as appropriate. To support a request for maternity sick leave, the employee must submit a statement by her attending physician showing the expected period during which she will be incapacitated from the performance of official duties. For purposes of "attended to" (cared for) as defined herein, immediate family means husband, wife, mother, father, son, daughter, step relations, ward and, when residing in the employee's home, sister and brother. Time off for an employee to attend to a member of the immediate family shall be limited to a maximum of six and one-half (6.5) days (52 hours) per calendar year. Additional time may be authorized by the General Manager based on a case-by-case review of the employees’ sick leave usage. B. Initial Credit and Accumulation – Employee’s hired prior to July 1, 2011. Sick leave is earned at the rate of one half day (four (4) hours) for each full bi- 9 weekly pay period (13 days per year), and it can be accumulated without limitation. C. Initial Credit and Accumulation – Employee’s hired on or after July 1, 2011. Sick leave is earned at the rate of one half day (four (4) hours) for each full bi-weekly pay period (13 days per year), and it can accumulate up to nine hundred and sixty hours (960). D. Notice of Sickness - When the employee is incapacitated from the performance of his or her duties for reasons that entitle him or her the use of sick leave, he or she must notify his or her department supervisor or other supervisor within thirty (30) minutes of their regular start time. E. Review - An absence of sick leave for more than five (5) workdays must be supported by a medical certificate. F. Improper Use - If, after reviewing an employee's record of sick leave usage, the District believes sufficient cause exists to suspect abuse of sick leave, a medical certificate may be required for any subsequent use of sick leave. G. Sick Leave Cash Out - Employees hired prior to July 1, 2011 may cash out accrued sick leave balances as follows: 1. Employees may request reimbursement for up to eighty (80) hours of accrued sick leave per year provided, however, that (a) a minimum of 156 hours (18 months) accrual is retained after said reimbursement and (b) request for reimbursement must be submitted, in writing, no later than December 1st of each year. 2. Employees who retire from the District may apply all accrued sick leave balances toward PERS for retirement credit. 3. After ten (10) years of continuous service with the District, employees who terminate their employment shall be compensated for accrued sick leave balances as follows: Sick Leave Balance as of Cash Payment % of Hours Date of Separation Sick Leave Balance 10 4. Sick Leave Cash Out - Employees hired on or after July 1, 2011 may cash out accrued sick leave balances as follows: 5. Employees may request reimbursement for up to eighty (80) hours of accrued sick leave per year provided, however, that (a) a minimum of 156 hours (18 months) accrual is retained after said reimbursement and (b) request for reimbursement must be submitted, in writing, no later than December 1st of each year. 6. Employees who retire from the District may apply all accrued sick leave balances toward PERS for retirement credit. 7. Upon separation from service, other than retirement, an employee will be entitled to receive an amount computed by multiplying his/her then daily rate of pay by one-half (1/2) of his/her then accrued sick leave. Employees who receive a disability retirement due to permanent incapacity to work shall be entitled to one hundred percent (100%) cash payment of any unused sick leave balances, computed at their then current base hourly rate, if they elect an early retirement in lieu of exhausting such accrued sick leave balances. In the event of death resulting from occupational injury, cash payment shall be made to the employee's estate. H. Worker's Compensation - Employees shall be provided with up to a maximum of three consecutive days of un-chargeable leave following an occupational injury unless otherwise required by the Worker's Compensation Act of the State of California. The deduction by the District from the employee's accumulated sick leave shall be limited to the same percentage as the amount due from Worker's Compensation bears to the amount paid by the District. For example, an employee of the District entitled to $12.00 per day from the District received $9.00 per day from Worker's Compensation and the difference of $3.00 per day being paid by the District. In deducting from such employee's accumulated sick leave, such deduction shall be made daily on the same basis (i.e.; 1/4 of a day). 480 hours or less 40% 481 hours to 600 hours 45% 601 hours to 720 hours 50% 721 hours to 840 hours 55% 841 hours to 960 hours 60% 961 hours to 1,080 hours 65% 1,081 or more 70% 11 Example and Intent - When an employee is out on an industrial injury, no charge will be made to leave benefits for the first three days. Any payments from workers’ compensation will be applied first to re-purchase sick leave or vacation used, next to reimburse the District for the first three days and any balance would go to the employee. It is the intent to provide full benefits where possible and is not construed to allow the employee windfall income but to keep them whole. I. Catastrophic Leave: a) Definition. Catastrophic Leave is an approved Leave of Absence due to a verifiable long-term illness or injury resulting in either physical or mental impairment. Job and/or personal stress (not the result of a diagnosed mental disorder) is specifically excluded from entitlement to Catastrophic Leave. A statement from the employee's treating physician, subject to review and approval by the District's Occupational Physician, is required. b) Application. The employee on an approved Medical Leave of Absence who is receiving Catastrophic Leave can continue to earn benefit monies pursuant to the forty-one (41) hours per pay period requirement of the Flexible Benefit Plan set forth in section 8.01.A.3.b of the Personnel Rules. An employee receiving leave under this program is not eligible for receipt for any accruals such as vacation or sick leave. c) Eligibility. 1. Catastrophic leave is only available to employees on regular, non-probationary status with the District. 2. The employee must meet all of the following criteria before he/she becomes eligible for Catastrophic Leave donation a) Be on an approved medical leave of absence for at least thirty (30) calendar days (160 working hours) exclusive of an absence due to a work related injury and/or illness; and b) Submission of a doctor's off-work order verifying the medical requirement to be off work; and 12 c) Exhaustion of all available leave balances. d) Donation. 1. Vacation, holiday, as well as compensatory time, may be donated by employees only on a voluntary and confidential basis, in increments of eight (8) hours, not to exceed a total of fifty percent (50%) of a donor employee's annual vacation, holiday, or compensatory time accrual per employee. The donee employee receiving the Catastrophic Leave will be taxed accordingly. 2. The donation shall be for the donee employee's Catastrophic Leave only. The total donation allowed to any one employee of the District shall be limited to one thousand forty (1040) hours per fiscal year. 3. Donor hours shall be contributed at the donor's hourly base salary rate and be converted to the donee's hourly base salary, exclusive in both instances of overtime, differentials, and the like, as the singular purpose of this program is to provide financial assistance to the donee employee. 4. Any donated time unused by the donee employee for the medical emergency shall remain in the donee's accruals to be utilized as follows: a) An employee on Catastrophic leave who has received the approval of his physician and the District's Occupational Health Physician to return to full time work shall have all unused Catastrophic Leave converted to an equal amount of sick leave which will be available to the employee according to the applicable provision of Section 7.02 of the Personnel Rules. b) An employee on Catastrophic Leave who has received the approval of his physician and the District's Occupational Health Physician to return to work on a part time basis (less than the employee's normally scheduled hours of work per pay period) may record each pay period a combined total of work time and Catastrophic Leave not to exceed the lesser of eighty (80) hours or the employee's normally scheduled hours of work. 13 5. The General Manager may impose other terms and conditions on the donation as deemed appropriate, and may charge the Catastrophic Leave donation for the actual administrative costs incurred by the District. 6. Solicitation of donors shall be regulated by the District's Personnel Department. The names of the donors shall be confidential and the privacy rights of the donee shall be protected to the extent permitted by law. 7. All donors and donees shall sign release forms to be prepared and retained by the District's Personnel Department. 8. An employee will not be allowed to donate hours of leave if his resulting sick leave balance drops below one hundred fifty-six (156) hours. e) Implementation. The District shall meet and confer with representatives of the employees regarding issues arising from the implementation of this program. ARTICLE XVI VACATION A. Definition - Vacation with pay is a right earned as a condition of employment and made available in the interest of the District for the recreation, health and well being of the employee, subject to approval by the General Manager. B. Annual Vacation Leave Earned – Employee’s hired prior to July 1, 2011 Annual vacation leave earned shall be one hundred and four (104) hours a year up to three (3) years; one hundred sixty (160) hours a year from three (3) years to fifteen (15) years and two hundred eight (208) hours a year from fifteen (15) years or more. Annual vacation leave may be accumulated for use in succeeding years, but the maximum amount that can be carried over from one calendar year to the next is thirty (30) days (240 hours), or the amount that you had to your credit at the beginning of the leave year, whichever is greater. A change in the rate of annual vacation leave accrual shall take effect in the pay period following the one in which the employee completed the required length of service. 14 No annual vacation leave shall accrue for fractional parts of bi-weekly pay periods falling at the beginning or ending of service. C. Annual Vacation Leave Earned – Employee’s hired after July 1, 2011 Annual vacation leave earned shall be eighty (80) hours a year up to three (3) years; one hundred twenty (120) hours a year from four (4) years to ten (10) years; one hundred sixty (160) hours a year from eleven (11) years to fifteen (15) years; and two hundred (200) hours a year from sixteen (16) years or more. Annual vacation leave may be accumulated for use in succeeding years, but the maximum amount that can be carried over from one calendar year to the next is twenty (25) days (200 hours), or the amount that you had to your credit at the beginning of the leave year, whichever is greater. A change in the rate of annual vacation leave accrual shall take effect in the pay period following the one in which the employee completed the required length of service. No annual vacation leave shall accrue for fractional parts of bi-weekly pay periods falling at the beginning or ending of service. D. Accrual - Employees begin accruing vacation leave upon hire, however, are not entitled to use vacation leave accruals until the first six (6) months of their twelve (12) month probationary period has been completed. Employees who do not complete their twelve (12) month probationary period shall receive payment equivalent to all accrued vacation earned along with final pay for hours worked. E. Amount of Vacation Leave Earned – Employee’s hired prior to July 1, 2011 If District Service Is: Annual Leave Accrual Is: Pay Period Is: Fewer than 3 years 104 hrs/year 4 hours 3-15 years 160 hrs/year 6.1538 hours 15 years or more 208 hrs/year 8 hours F. Amount of Vacation Leave Earned – Employee’s hired after July 1, 2011 If District Service Is: Annual Leave Accrual Is: Pay Period Is: Fewer than 3 years 80 hrs/year 3.0769 hours 15 4-10 years 120 hrs/year 4.6153 hours 11-15 years 160 hrs/year 6.1538 hours 16 years+ 200 hrs/year (cap) 7.6923 hours G. Approval - Although annual vacation leave occurs as an earned right, the time at which vacation leave may be taken and the amount granted during any particular period are matters of administrative decision, except that no employee shall lose earned vacation leave because of the urgency of work. Observance of an annual vacation leave must be approved in advance by the proper official except in cases of emergency. Work requirements and the interest of the employee are the determining factors in approving vacation scheduled. H. Vacation as Sick Leave - Vacation may be used in lieu of sick leave if the employee desires. I. Vacation Leave Cash Out - If an employee has accumulated over four (4) weeks (160 hours) of vacation, two (2) weeks’ pay (80 hours) may be requested and granted in lieu of two (2) weeks’ (80 hours) vacation allowance per year, provided that the employee has taken, or has approval to take at least five (5) days of vacation. Each such request is subject to the approval of the employee’s supervisor and/or department head. Only the General Manager or designee may approve requests outside of the stated conditions. J. Sick Leave Transfer - Employees may, at their election, transfer up to forty (40) hours of vacation time to their sick leave account once each year. K. Termination - Employees, upon separation form the District, shall be paid a cash lump sum at their then current salary rate as set forth in the Basic Salary Schedule for any unused annual vacation credits. ARTICLE XVII BEREAVEMENT LEAVE In the event of a death in a full-time employee’s immediate family, bereavement leave will be granted of up to five (5) cumulative working days per occurrence. For this section, immediate family is defined as spouse, child (natural, adopted or step) and parent (natural, adopted or step). In the event of a death in a full-time employee’s close family, bereavement leave will be granted of up to three (3) cumulative working days per occurrence. For this section, close family is defined as brother, sister, step-brother, step-sister, 16 grandparent, grandchild, aunt, uncle, niece, nephew, and present in-laws (father, mother, son, daughter, brother, sister). The General Manager or designee may authorize the use of Bereavement Leave for relationships other than those specified. If additional hours are required, the employee may elect to take these hours without pay or have the hours deducted from his/her accrued sick or vacation leave. District employees may be excused by their immediate supervisor to attend the memorial of a deceased District employee without the loss of pay. ARTICLE XVIII HOLIDAYS A. The following are to be considered as approved holidays for the employees of the District and will be so ordered as follows: January 1 (New Years' Day) Third Monday in January (Martin Luther King’s Birthday) Third Monday in February (Presidents' Day) Last Monday in May (Memorial Day) July 4 (Independence Day) First Monday in September (Labor Day) Second Monday in October (Columbus Day) November 11 (Veteran's Day) Fourth Thursday in November (Thanksgiving Day) Fourth Friday in November (Day after Thanksgiving) December 24 (Christmas Eve) December 25 (Christmas Day) December 31 (New Year’s Eve) In addition to the above mentioned holidays, the District will be closed from Wednesday, December 24, 2014 through Thursday, January 1, 2015. The District will reopen for business on Friday, January 2, 2015. A number of employees will be required to cover Standby duty in order to respond to customer calls/emergencies and District management staff will be available as needed. Note: The District holiday closure will be revaluated each year. When any of the legal holidays, other than those specifically set for a Monday, fall on Sunday, they will be observed the following Monday, and if any of such holidays fall on a Saturday, they will be observed the preceding Friday. 17 B. Within Vacations - When an approved holiday falls within a vacation period, the employee on vacation shall receive an additional day of vacation with pay. C. As Working Days - Whenever a monthly rated employee is required, due to the nature of his occupation, to work an approved holiday, the employee shall be given the equivalent time off at a subsequent date to be determined by the department head and/or General Manager. ARTICLE XIX ABSENCE WITHOUT PAY A. Definition - Absence without pay is leave without pay and shall be granted only upon request of the employee through the recommendation of the General Manager to the Board of Directors. B. The increments of sick leave and vacation time shall not accrue when an employee has been absent without pay. ARTICLE XX AUTHORIZED LEAVE A. Military Leave - Military leave and regulations for payment pertaining thereto shall be in accordance with the provisions of the Military and Veterans Code of the State of California. B. Court Leave - Court leave is granted for the purpose of attending court as a witness under subpoena of a duly constituted court or for jury duty. They will be required to produce a certificate from the court, which shows the dates of attendance and an itemized account of any compensation received by them for such service. Any fees or compensation received by reason of such court attendance in connection with court duty must be delivered to the District through the Treasurer. The employee will then receive his or her regular rate of pay during such time as was required for court attendance. ARTICLE XXI PROBATIONARY PERIOD The probationary period for District employees shall be twelve (12) months. The probationary period for internally promoted employees shall be six (6) months. If the probationary employee is absent during this period, their probationary period may be extended by an equivalent amount of time. 18 ARTICLE XXII SEPARABILITY If any portion of this MOU is held to be invalid by a court of competent jurisdiction, the remainder of this MOU shall not be affected thereby. Upon issuance of the final determination of the court, the parties agree to meet and confer concerning only those matters directly affected by the decision. ARTICLE XXIII UNIFORMS The District will provide field employee uniforms and bear the cost of the regular cleaning, maintenance and replacement of uniforms. The District will provide a $250.00 allowance per year for the purchase of safety-toed shoes required to be worn by its employees. The shoe allowance may also be used toward re-soling existing safety-toes shoes or toward any necessary shoe repair. The District will provide uniform shirts for Customer Service Representatives, Engineering Technicians, and other office staff as designated. These employees will have the option of selecting their choice of style and color from a District designated list and will be provided a sufficient number of shirts to get them through the work week without laundering. Shirts will be replaced on an as- needed basis. ARTICLE XXIV EMPLOYEE RETENTION INCENTIVE PROGRAM This program will be eliminated effective July 1, 2014. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in and continue at their current status and will receive one annual lump sum payment the first pay period in December of each year as follows: After 10 years through the end of 14th year $125 After 15 years through end of the 19th year $250 After 20 years through the end of the 24th year $375 After 25 years $500 In the event an eligible employee retires from District service prior to the first pay period in December of any year, employee will receive the Employee Retention Incentive for that year at the time of retirement. ARTICLE XXV 19 RETIREE HEALTH INSURANCE District employees who retire with a minimum of 20 years of District service will receive health insurance for themselves and their spouse until such time as the employee is eligible for Medicare. Effective the month following the contract approval, the District shall reimburse the actual premium amount up to a maximum of $650.00/month for those employees who are currently retired and to future retirees. Unless it is unavailable, the retired employee shall obtain their health insurance from CalPERS. In the event the employee dies before reaching eligibility for Medicare, the District will extend this benefit to the surviving spouse until he/she is eligible for Medicare. ARTICLE XXVI RETIREMENT - PERS CONTRACT 2.7% @ 55 - The District has negotiated with CalPERS to provide the “2.7% @ 55” Retirement Formula to employees that are considered classic members under the Public Employees’ Pension Reform Act of 2013 (PEPRA). Classic members are defined as members of the CalPERS retirement system or any other public retirement system that is subject to reciprocity. Effective January 1, 2015, Classic members shall pay an additional 2% of the 8% employee contribution for a total of 4% of the employee share in 2014/2015. Employees will continue to pay an additional 2% each Fiscal Year (beginning July 2015 and July 2016) until the employees are paying their full 8% employee share in 2016. 2% @ 62 – New members under PEPRA are provided the “2% @ 62” retirement formula with a 6.5% employee contribution. New members are defined as employees who were not members of a public retirement system prior to January 1, 2013; or members of a public retirement system that were not subject to reciprocity with the new employer’s plan; or anyone who was an active member of a retirement system and has a break in service six months or more. As mandated by PEPRA, new members must pay their full employee contribution of 6.5% effective July 1, 2014. ARTICLE XXVII FLEXIBLE SPENDING ACCOUNT The District shall continue to offer a Flexible Spending Account for the benefit of its employees. This program is in accordance with the provisions of IRS Publication 969. 20 *** MOU TERM: July 1, 2014 through June 30, 2017 AGREED ON: November 12, 2014 21 SBPEA: EVWD: _________________________ ______________________________ Bonnie Clarke, SBPEA Rep. James Morales, Jr., Board President _________________________ Attest: ____________________________ Kathy Burke, EVWD Rep. John J. Mura, General Manager /CEO __________________________ Ed King, EVWD Rep. __________________________ Dale Barlow, EVWD Rep. RESOLUTION NO. 2014.30 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE EAST VALLEY WATER DISTRICT (“DISTRICT”), SAN BERNARDINO COUNTY, CALIFORNIA, ESTABLISHING COMPENSATION AND BENEFIT PRACTICES FOR NON-REPRESENTED EMPLOYEES WHEREAS, on or about May 28, 2014, the District reached agreement on a Memorandum of Understanding establishing compensation and benefit practices for represented employees of the District which will be formally approved on November 12, 2014; and WHEREAS, the District has been in discussions with non-represented employees to establish compensation and benefit practices for said non-represented employees; and WHEREAS, the District and the non-represented employees have reached an agreement regarding compensation and benefit practices for non-represented employees; NOW, THEREFORE, BE IT RESOLVED by the Board of Directors that the following compensation and benefit practices for non-represented employees be established: Section 1. COMPENSATION The following compensation changes will be implemented during the Fiscal Years 2014/15, 2015/16, and 2016/17: 1.1 Salary Ranges - New salary ranges will be created with two and one-half percent (2.5%) between each step, A through E. 1.2 Market Adjustments - Based on the results of the District’s 2014 Classification and Compensation Analysis, employees that are currently being compensated below the market median will receive pay increases to place them in the salary range closest to the market median minus five percent (5%). They will be placed at their current step (A through E) within the new salary range. The market adjustments will be implemented   East Valley Water District Resolution 2014.30 Page 2 of 6 over a two year period. The first adjustment is effective the first full pay period of July 2014. The second adjustment will be effective the first full pay period of July 2015. 1.3 Performance Management System - A performance management system will be created to provide pay for performance incentives. Employees will have the potential to receive a performance incentive of up to five percent (5%) of their annual base pay based on specified criteria. The Performance Management Program and evaluation criteria will be created by the District and brought to the employees for review prior to implementation. 1.4 Pay Adjustment - Employees will receive a two percent (2%) pay adjustment each fiscal year during the term of this contract. This pay increase will offset the additional two percent (2%) increase employees will begin paying to the employee share of their CalPERS retirement cost over the next three (3) years. Section 2. BENEFITS 2.1 Flexible Benefit Plan - Effective with the month beginning July 1, 2014, the District agrees to contribute the following amount, per employee, to a Flexible Benefit Plan: Employees with no health care dependents • $755/month Employees with health care dependents • General/Confidential Employees - $1,300/month • Professional/Management/Senior Management - $1,400/month • Executive Management - $1,500/month All employees in regular positions shall be eligible to participate in the Flexible Benefit Plan described herein. Each employee may select among the options indicated and specify what portion of plan monies will be applied to selected options. Selections must be in increments of one dollar ($1.00).   East Valley Water District Resolution 2014.30 Page 3 of 6 2.2 Deferred Compensation Match - The District will match the following contributions for employees currently enrolled and participating in the 457 Deferred Compensation plan: • General/Confidential/Professional Employees - $100/month • Management - $125/month • Senior/Executive Management - $150/month 2.3 Life Insurance - Effective January 1, 2014, the District agrees to increase the amount of Group Term Life Insurance Policies as follows: • General/Confidential/Professional/Management - from $50,000 to $100,000 • Senior/Executive Management - from $100,000 to $150,000 2.4 Retiree Health Insurance - District employees who retire with a minimum of 20 years of District service will receive health insurance for themselves and their spouse until such time as the employee is eligible for Medicare. Effective the month following approval, the District shall reimburse the actual premium amount up to a maximum of $650.00/month for those employees who are currently retired and to future retirees. Unless it is unavailable, the retired employee shall obtain their health insurance from CalPERS. In the event the employee dies before reaching eligibility for Medicare, the District will extend this benefit to the surviving spouse until he/she is eligible for Medicare. 2.5 Employee Retention Incentive Program - This program will be eliminated effective July 1, 2014. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in at their current status and will receive one annual lump sum payment the first pay period in December of each year as follows:   East Valley Water District Resolution 2014.30 Page 4 of 6 After 10 years through the end of 14th year $125 After 15 years through end of the 19th year $250 After 20 years through the end of the 24th year $375 After 25 years $500 In the event an eligible employee retires from District service prior to the first pay period in December of any year, employee will receive the Employee Retention Incentive for that year at the time of retirement. 2.6 Sewer Response Team - This program will be eliminated effective July 1, 2014, as the District has identified that compensation for responding to sewer emergencies is included in Stand-by Pay and in the overtime pay employees receive for responding to such emergencies. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in and continue to receive the salary differential of two and one-half percent (2.5%). 2.7 Commercial Drivers - This program will be eliminated effective July 1, 2014, as the District has identified through market analysis that obtaining a Commercial License is a condition of employment for specified positions and the salary range for those specified positions is inclusive of compensation for that license. Employees currently participating in the program on the date of the contract’s approval will be grandfathered in and continue to receive the salary differential of two percent (2%). 2.8 Retirement - CalPERS Contract - 2.7% @ 55 - The District has negotiated with CalPERS to provide the “2.7% @ 55” Retirement Formula to employees that are considered classic members under the Public Employees’ Pension Reform Act of 2013 (PEPRA). Classic members are defined as members of the CalPERS retirement system or any other public retirement system that is subject to reciprocity. Effective January 1, 2015, Classic members shall pay an additional 2% of the 8% employee contribution for a total of 4% of the employee share in FY 2014/2015. Employees will continue to pay an   East Valley Water District Resolution 2014.30 Page 5 of 6 additional 2% each Fiscal Year (beginning the first full pay period of July 2015 and July 2016) until the employees are paying their full 8% employee share in 2016. 2% @ 62 - New members under PEPRA are provided the “2% @ 62” retirement formula with a 6.5% employee contribution. New members are defined as employees who were not members of a public retirement system prior to January 1, 2013; or members of a public retirement system that were not subject to reciprocity with the new employer’s plan; or anyone who was an active member of a retirement system and has a break in service six months or more. As mandated by PEPRA, new members must pay their full employee contribution of 6.5% effective July 1, 2014. Section 3. SEVERABILITY If any provision of this Resolution, or the application thereof to any person or circumstances, is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are declared to be severable. Section 3. EFFECTIVE DATE The provisions of this Resolution shall become effective upon adoption. Adopted this 12th day of November 2014. AYES: NOES: ABSTAIN: ABSENT: _________________________________ James Morales, Jr. President, Board of Directors   East Valley Water District Resolution 2014.30 Page 6 of 6 ATTEST: _________________________________ John J. Mura Secretary, Board of Directors STATE OF CALIFORNIA ) ) COUNTY OF SAN BERNARDINO ) I, John J. Mura, Board Secretary of the East Valley Water District, DO HEREBY CERTIFY that the foregoing Resolution being No. 2014.30, was adopted at a regular meeting on November 12, 2014, of said District by the following vote: AYES: NOES: ABSTAIN: ABSENT: _________________________________ John J. Mura Secretary, Board of Directors