BOARD MEETING DATE: July 10, 2009
AGENDA NO. 17

PROPOSAL:

Approve One-year Labor Contracts with Teamsters Local 911 and with SCAQMD Professional Employees Association and Approve Comparable Terms for Non-Union-Represented Employees

SYNOPSIS:

AQMD management and representatives of Teamsters Local 911, representing the Technical & Enforcement and Office Clerical & Maintenance Bargaining Units, and SCAQMD Professional Employees Association, representing the Professional Bargaining Unit, have reached agreement on new one-year labor contracts that, consistent with Board direction, provide no salary increases or other cost changes beyond a nine percent adjustment to AQMD’s monthly contribution toward health benefits, effective September 1, 2009, to maintain current levels of health benefits. Bargaining unit members have ratified these agreements, and this action is to present ratified contracts to the Board for approval. This action is also to approve the same nine percent adjustment to AQMD’s contribution toward health benefits to maintain benefits levels for all non-union-represented employees, also effective September 1, 2009. This action requires an appropriation of $1.057 Million to the FY 2009-10 Budget.

COMMITTEE:

Not Applicable

RECOMMENDED ACTIONS:

1. Authorize the Executive Officer to sign ratified one-year memoranda of understanding (MOU) between AQMD and Teamsters Local 911, covering employees in the Technical & Enforcement and Office Clerical & Maintenance Bargaining Units, and between AQMD and SCAQMD Professional Employees Association (SC-PEA), covering employees in the Professional Bargaining Unit. Teamster MOU changes are shown in Attachment A, and SC-PEA changes are shown in Attachment B. All other MOU provisions remain unchanged from July 1, 2008-June 30, 2009, MOUs.
    
2. Adopt the Resolution in Attachment C, amending AQMD’s Administrative Code to approve, for all non-union-represented employees, the same nine percent adjustment to the agency’s health benefits contribution as included in labor contracts, shown in Attachment D.
    
3. Appropriate $1.057 Million from Undesignated Fund Balance to the FY 2009-10 Budget.
    

Barry R. Wallerstein, D.Env.
Executive Officer

Background

On May 2, 2008, the Board approved one-year labor contract extensions through June 30, 2009, for the Professional Unit, represented by SC-PEA, and for both the Technical & Enforcement and the Office Clerical & Maintenance Units, represented by Teamsters Local 911. AQMD management has reached agreement with both unions, consistent with Board guidance, for successor agreements for the period July 1, 2009, though June 30, 2010, and agreements have been ratified by bargaining unit members.

Also, on May 2, 2008, the Board approved, for non-union-represented employees, comparable adjustments to those approved for union-represented employees.
 

Proposal

In recognition of the current economic environment, one-year labor agreements were negotiated—and subsequently ratified by bargaining unit members—that include no salary or other cost changes beyond maintenance of employees’ current levels of health coverage by a nine percent adjustment in AQMD’s monthly contribution toward health insurance premiums, effective September 1, 2009. Apart from that adjustment, MOU changes shown in Attachments A and B reflect deletion of obsolete language, clarification of existing terms and conditions, incorporation of an existing side letter agreement, and updates to reflect the new term of agreements. All other MOU provisions remain the same as in current MOUs.

The revisions to the Administrative Code provide the same nine percent adjustment in AQMD’s contribution toward health insurance premiums, effective September 1, 2009, to maintain current levels of health coverage for all non-union-represented employees are shown in Attachment D.
 

Resource Impacts

The cost of this maintenance of health benefits for all AQMD employees is approximately $1.057 M. Funding for this adjustment requires an appropriation of $1.057 M to the FY 2009-10 Budget from Undesignated Fund Balance.
 

Attachments (EXE, 61k)

Attachment A – Changes to Teamster MOU
Attachment B – Changes to PEA MOU
Attachment C – Resolution
Attachment D – Administrative Code Amendment