AgdaPkt 2011-06-27 - Laserfiche WebLink

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6.1.13. - Page 1 REPORT To the Honorable Mayor and City Council From the City Manager June 27, 2011 SUBJECT By motion approve new tentative agreements with the Redwood City Police Officers' Association (POA); Redwood City Police Sergeants' Association (PSA); International Association of Firefighters Local 2400 (IAFF); and Service Employees International Union Local 521 (SEIU). By motion approve the changes to the Executive Management Summary of Benefits. Further, by motion authorize the City Manager to: integrate the tentative agreement language and execute the respective memorandum of understanding; and to integrate the changes to the Executive Management Summary of Benefits. RECOMMENDATION It is recommended that the City Council approve the tentative agreements with the POA, PSA, IAFF, and SEIU; and approve the changes to the Executive Management Summary of Benefits. It is further recommended that the City Manager be authorized to: integrate the tentative agreement language and execute the respective memorandum of understanding; and amend the Executive Management Summary of Benefits. BACKGROUND As a result of the declining economy and increasing labor costs, the City has made a number of difficult budget decisions over the past several years, including staffing reductions and programmatic cuts. All employees agreed to a salary freeze that resulted in significant savings to the general fund. This effort provided temporary relief from the fiscal challenge facing the City. In July of 2010 a multi -year approach was formulated to put the City on a sustainable financial foundation, including a goal of $5.6 million in labor concessions. The labor groups were advised that structural changes were needed to the City's benefit programs for long -term fiscal stability. Each bargaining unit was provided a 3 -year target to achieve their savings figure. The target for each group was calculated by determining each bargaining unit's total percentage of the City's payroll and applying that same percentage to the $5.6 million labor concession figure.