HomeMy WebLinkAbout15-001 - Resolutions RESOLUTION NO. FD 15-001
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
RANCHO CUCAMONGA FIRE PROTECTION DISTRICT, SAN
BERNARDINO COUNTY, CALIFORNIA, APPROVING A SIDE
LETTER AGREEMENT BETWEEN THE DISTRICT AND
RANCHO CUCAMONGA FIREFIGHTERS LOCAL 2274
WHEREAS, Representatives of the Rancho Cucamonga Fire Protection District
('District': hereinafter)and the Rancho Cucamonga Firefighters Local 2274(Union) have met and
conferred pursuant to the provisions of the Meyers-Milias-Brown Act (California Government
Code §3500, et seq.) with regard to terms and conditions of employment; and
WHEREAS, Representatives of the District and Union have agreed upon and presented
to this City Council a Side Letter Agreement (see attached Side Letter Agreement) that amends
the current Memorandum of Understanding effective July 1, 2014, to June 30, 2017, related to
the Paramedic pay differential for employees hired after January 1, 2015, and provides for an
increase in contributions paid by employees not considered New Members under the Public
Employees Pension Reform Act to the maximum amount allowed in the MOU, which is five
percentage points (5%) of their PERSable salary, towards the cost of the CalPERS retirement
benefit as outlined in the Side Letter Agreement.
NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection
District, hereby resolves, that said Side Letter Agreement is hereby approved and the City
Manager is hereby authorized to sign said Side Letter Agreement on behalf of the District, and
the Secretary to attest thereto.
Resolution No. FD 15-001 — Page 1 of 5
PASSED, APPROVED, AND ADOPTED this 41 day of March 2015.
C. Dennis Michael, 0resident
ATTEST:
U 1. V(4_m�
04'- Janice C. Reynolds, Secretary
I, JANICE C. REYNOLDS, SECRETARY of the Rancho Cucamonga Fire
Protection District, do hereby certify that the foregoing Resolution was duly passed, approved,
and adopted by the Board of Directors of the Rancho Cucamonga Fire Protection District, at a
Regular Meeting of said Board held on the 4'" day of March 2015.
Executed this 5'" day of March 2015 at Rancho Cucamonga, California.F8✓ Janice C. Reynolds, Secretary
Resolution No. FD 15-001 — Page 2 of 5
SIDE LETTER OF AGREEMENT
BETWEEN THE CITY OF RANCHO CUCAMONGA AND THE
FIRE MANAGEMENT EMPLOYEES BARGAINING GROUP
The Rancho Cucamonga Fire Protection District("District")and the Fire Management Employees
Bargaining Group ("Fire MEG") have a Memorandum of Understanding ("MOU") that
commenced on July 1, 2014 and is set to end on June 30, 2017. The Parties now wish to enter into
this new Side Letter of Agreement to memorialize the following change agreed to by both sides.
Additional wording would be added to the Fire MEG MOU in ARTICLE II COMPENSATION,
§ 7 Retirement Plan, A. Benefits: Safety Members, indicating that Fire MEG's safety employees
have agreed to pay the not to exceed amount of employer paid PERS as agreed to in the MOU
beginning the first full pay period in July 2015.
ARTICLE II COMPENSATION
47 Retirement Plan
A. Benefits: Safety Members
District is enrolled in the State of California Public Employee's Retirement
System. Except as described herein, all benefits provided District employees under the District's
Plan are paid by the District. Present benefits for public safety employees include the following:
1. Employees hired prior to July 9. 2011:
§ 21362.2 3% at 50 Full Formula
§ 21574 4h Level 1959 Survivor
§ 20042 1 Year Final Compensation
District pays and reports 9% normal PERS member contributions by resolution.
Beginning July 1, 2014, employees hired prior to July 9, 2011, will contribute
toward the employer share of CalPERS in an amount equal to the annual increase from the FY
2013/14 base year in the first tier employer rate (if any) that has been rounded to the nearest full
percentage point, not to exceed a cumulative total of 5% during the term of this MOU. For
example, for FY 2014/15,the first tier employer rate will increase from 26.14%to 27.849%,which
by this formula will require employees to contribute 2%of pay toward the employer share (28% -
26%= 2%). The District will adopt a resolution providing that all employee CalPERS
contributions to the employer share pursuant to this section shall be deducted on a pre-tax basis.
Beginning the first full pay period in July 2015, employees hired prior to July 1,
2011, shall pay three percentage points(3%)in addition to the two percentage points(2%)outlined
above, for a total of five ON percentage points of the normal CalPERS employer contribution.
Resolution No. FD 15-001 — Page 3 of 5
2. Employees hired on or after 7/9/11 and through 12/31/12, and Classic
PERS members, as defined by PERS, who are hired on or after January 1,
2013:
§ 21363.3 3%@55 Full Formula
§ 21574 4°i Level 1959 Survivor
§ 20037 3 Year Final Compensation
District pays and reports 8% normal PERS member contributions; employee pays
1%of the member contribution by resolution. The District has adopted a resolution providing that
all employee CalPERS contributions shall be deducted on a pre-tax basis per IRC 414(h)(2).
In addition to the member contribution of 1% in accordance with the preceding
paragraph, beginning July 1, 2014, employees hired on July 9, 2011 and through December 31,
2012, as well as Classic PERS members who are hired on or after January 1, 2013, will contribute
toward the employer share of CalPERS in an amount equal to the annual increase from the FY
2013/14 base year in the first tier employer rate (if any) that has been rounded to the nearest full
percentage point, minus I%, not to exceed a total of 4%. For example, for FY 14/15, the first tier
employer rate will increase from 26.14% to 27.849%, which by this formula will require
employees to contribute an additional 1% of pay toward the employer share ((28%-1%)-
26%=I%). The District will adopt a resolution providing that all employee CalPERS contributions
to the employer share pursuant to this section shall be deducted on a pre-tax basis.
Beginning the first full pay period in July 2015, employees hired on July 9, 2011
and through December 31 2012 as well as Classic PERS members who are hired on or after
January 1 2013 shall pay four percentage points (4%) of the normal CalPERS employer
contribution in addition to the portion of the Member's contribution outlined above.
3. Employees who are New PERS Members, as defined by PERS, who are
hired on or after January 1, 2013:
Employees are classified as New Members of PERS when they meet the definition
of a"new member" for purposes of retirement pension benefits pursuant to the Public Employees
Pension Reform Act of 2013. Generally, this includes employees that were hired into a regular
position on or after January 1, 2013 or former PERS members who have more than a six-month
break in service. CaIPERS ultimately determines who is a new member in compliance with the
law.
Employees who are classified as New Members shall be eligible for the 2.7%at 57
Formula, 3 year final compensation average.
The employee contribution for new members shall be one-half the normal cost, as
determined by CalPERS. As of the effective date of this MOU,the required employee contribution
for new members is 11.5%of reportable compensation. This amount will be adjusted periodically
by CalPERS, and the District employee contribution adjusted accordingly per state statute.
Resolution No. FD 15-001 — Page 4 of 5
Employees are classified as New Members of PERS when they meet the definition
of a"new member" for purposes of retirement pension benefits pursuant to the Public Employees
Pension Reform Act of 2013. Generally, this includes employees that were hired into a regular
position on or after January 1, 2013 or former PERS members who have more than a six-month
break in service. CalPERS ultimately determines who is a new member in compliance with the
law.
Employees who are classified as New Members shall be eligible for the 2.7% at 57
Formula, 3 year final compensation average.
The employee contribution for new members shall be one-half the normal
cost, as determined by CalPERS. As of the effective date of this MOU, the required
employee contribution for new members is 11.5% of reportable compensation. This
amount will be adjusted periodically by CalPERS, and the District employee contribution
adjusted accordingly per state statute.
The District has adopted a resolution providing that all employee CalPERS
contributions shall be deducted on a pre-tax basis per IRC 414(h)(2).
B. Military Service Buy-Back
District provides for employees to buy back military service credit at the
employee's own expense pursuant to PERS regulations.
For the Rancho Cucamonga Fire For the Rancho Cucamonga Fire Fighters'
Protection District: Local 2274:
John R. Gillison, Mike McCliman
City Manager President Rancho Cucamonga Fire Fighters'
Local 2274
Date Date
Resolution No. FD 15-001 — Page 5 of 5