Item 43 - MOU between City & SA-MA and Res. for Associated Unrepresented Classifications

Home Browse Search

Memorandum of Understanding between the City of Santa Ana and the Santa Ana Management Association and Resolution for Associated Unrepresented Classifications June 6, 2023 Page 2 3 5 1 6 and one of the first, if not the first, public agency in California and/or United States to offer such a benefit. Other key terms of the agreement include: updated discipline and grievance processes; acting pay language; constructive receipt language; bilingual pay recertification every three (3) years (for employees who receive bilingual pay); reducing the number of unused sick leave hours that may be converted to CalPERS service credit to eighty (80) for current employees and eliminating the option to convert unused sick leave hours to CalPERS service credit for future employees; modifying the maximum amount of sick leave that may be converted to employees’ retirement health savings or 457 deferred compensation accounts from one thousand two hundred (1,200) hours to two thousand (2,000) hours; new employees hired after City Council approval of the MOU will accrue a maximum of three hundred fifty-two (352) sick leave hours with any accrued hours over the maximum cashed out into employees’ retirement health savings accounts in January each year; increasing management vacation accrual from sixty-five (65) hours to eighty (80) hours per year; modifying the number of management vacation hours that can be cashed out from forty (40) to eighty (80); and clarifying language on issues of employment. Lastly, pursuant to Resolution No. 2021-026, there are unrepresented classifications that mirror the salary increases and terms and conditions of employment of SAMA. The attached Resolution merely updates the respective salary schedule of the unrepresented classifications as a result of the salary increases provided to SAMA. ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT The estimated annual cost of the agreement during the three (3) year period is $293,917 for FY 2022-23, $1,047,333 for FY 2023-24, and $1,456,521 for FY 2024-25, for a total estimated cost of $2,797,770. The estimated annual cost for the associated unrepresented classifications during the three (3) year period is $38,399 for FY 2022-23, $127,672 for FY 2023-24, and $180,264 for FY 2024-25 for a total estimated cost of $346,336. Approximately 64% is paid by the General Fund. The FY 22-23 budget includes sufficient funding for the first-year cost of the agreement. The proposed FY23-24 budget includes an allocation of $676,819 for SAMA negotiations. If the City Council adopts this MOU, the FY23-24 budget will be short $498,186 ($1,175,005 estimated cost, less $676,819 allocated); and staff will need to develop a recommendation to address the shortfall in a future quarterly budget report.