AgdaPkt 2016-12-12 Closed and Joint SA PFA

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6.3.E. - Page 1 REPORT To the Honorable Mayor and City Council From the City Manager December 12, 2016 SUBJECT Memorandum of Understanding between the City and the Redwood City Management Employees Association (RCMEA) RECOMMENDATION 1. By motion, approve the Tentative Agreement between the City of Redwood City and the Redwood City Management Employees Association (RCMEA) and authorize the City Manager to execute a successor Memorandum of Understanding, 2. Adopt a resolution to amend the salary and wage plan for RCMEA and Confidential Employees BACKGROUND The City Council has adopted a strategic initiative related to government operations, and one of the goals of that initiative is: Investing in staff leadership, skill development and other human resources strategies to attract, develop, support and retain a highly qualified, valued and diverse municipal workforce. To address this goal, City staff work closely and collaboratively with the City Council and employee groups to develop recommended salary and benefit changes. When considering such compensation packages for various employee groups, the City considers factors such as the cost of living, recruitment and retention goals, and compensation survey data from comparable Bay Area cities, as well as the current financial condition of the City, and any anticipated fiscal challenges. Earlier this year, at the direction of City Council, City staff commenced negotiations with the Redwood City Management Employees Association (RCMEA), as the current agreement was set to expire in October 2016. Within the parameters established by the Council, City negotiators met and conferred with RCMEA and worked collaboratively to develop a two-year agreement (October 1, 2016 — September 30, 2018). Additionally, positions designated as confidential, who are not represented by an employee group,