Negotiations Update September 2008

By: 
Dieter C. Dammeier

The economic downturn continues to challenge public employers to remain competitive in providing compensation packages. With the competitive cost of law enforcement personnel continuing to rise, we have seen the need for public employers to prioritize their financial resources to continue to provide the most important service any city, county or district must provide: public safety. Below are three more police associations I was happy to assist in completing successful contract negotiations.

La Palma POA Three Year MOU-16.4% Salary Increase

The La Palma POA, led by its president, Les Parsons, pushed the City from a 1% salary offer to a 16.4% salary increase over three years plus other benefit enhancements. La Palma POA went into negotiations this year gearing up for an expected battle, given the City's recent posturing on its economics and the fact that La Palma had fallen to the bottom of their traditionally used survey. Each time, when negotiations seemed stalled, the POA would gear up to take its message to the public and the City would show more movement until finally a deal was reached both sides could live with.

The deal calls for a 7.4% raise in year one, a 4% raise in year two and a 5% raise in the third and final year of the contract. The City also agreed to continue to absorb the cost of the increases in health insurance. Sick leave sell back was increased from 20 to 50 hours per year. Holiday hours were increased to cover the full day (10 or 12 hours, depending on assignment). Finally, it was agreed to provide 15 minutes per shift of overtime for briefing and preparation.

Covina PA One Year MOU-10% Salary Increase

The Police Association of Covina too had over time slipped down toward the bottom of their traditionally used survey. After seeing their neighboring agencies (Arcadia, El Monte, Azusa, Sierra Madre and Monrovia) get record increases, Covina asked me to come in and help with negotiations. The team, led by its president, Rob Bobkiewicz, was able to convince the City to make a quick deal that provided a 10% increase, with the MOU expiring in June of 2009. The membership, realizing we would be back at the table in a few months to address other areas of the contract decided to take the deal.

It should be noted, that just prior to entering negotiations, the Police Association spent a great deal of money and time to assist the City in renewing a utility users tax by the voters.

Fontana POA Three Year MOU- 18% Salary Plus Retiree Medical

Fontana POA came into this year's negotiations with one critical benefit that needed correcting: retiree medical. In 1990 the POA, during hard economic times for the City, agreed to eliminate full retiree medical coverage for officers hired after 1990. Now, in 2008, all but 8 members of the POA were post 1990 and did not have any retiree medical coverage in place. POA president Kurt Shclotterbeck's directive from the membership was clear to resolve this issue. He did that and then some.

As in the past, negotiations in Fontana did get a little heated. But, as in the past, the parties were able to reach a fair deal that demonstrated the City's desire to prioritize public safety. The City agreed to provide salary increases every 6 months of the contract and maintain salaries 2% above the average of their survey cities. It is estimated that this will result in at least 18% over the three years of the contract. On retiree medical, Fontana like most cities had been tainted on defined benefit plans and wished to provide a fixed dollar amount to the POA to provide retiree medical benefits. It was agreed that the City shall provide $250 per member, per month into a Health Savings Plan or Retiree Medical Trust, as determined by the POA to cover retiree medical costs. Pre-1990 officers already have full coverage and no post 1990 officers are ready to retire and start pulling benefits from this new fund for approximately four to five years. As such, the fund will have in excess of two million dollars before benefits will start being paid out.

In addition, longevity was increased by $500 at each level, starting at $2,000 per year at 10 years and topping out at $3,500 per year at 25 years. The City agreed to absorb all increases to medical insurance premiums for full family coverage during the life of the agreement. Minimum court pay was increased from 3 to 5 hours for officers who work graveyard and have to appear in court the same morning. On call pay was increased from 8 to 10 hours per week of on call for detectives. Finally, leave accrual was increased for those with over 20 years of service to 312 hours per year.

I look forward to reporting on more successful conclusions to negotiations in the coming months.

About the author: Dieter C. Dammeier is a partner at Lackie & Dammeier and chief contract negotiator for the firm's clients throughout California.

 

 

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