To: Board of Supervisors
From: Human Resources
Agenda Section: Consent
SUBJECT:
title
Approval of a Side Letter of Agreement with the American Federation of State, County, and Municipal Employees (AFSCME) Local 1684 for Units 1-4
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RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve and authorize the Chair of the Board, County Administrative Officer and Human Resources Director to sign a Side Letter of Agreement with the AFSCME Units 1-4 regarding Holiday Pay.
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SOURCE OF FUNDING:
Various Funds
DISCUSSION:
The County of Humboldt and AFSCME have agreed to a Side Letter of Agreement (Attachment 1) to amend Sections 13.5, 20.6, and 20.7 of the current Memorandum of Understanding.
The purposes of the Side letter are to enhance the MOU language describing the calculation of contractual overtime and time worked on a county observed holiday. The main change relocates holiday pay from Section 13.5 of the MOU concerning overtime, to Section 20.6 concerning holidays. The Side Letter confirms that holiday pay (as defined) is calculated upon regular rate of pay and will be reported to CalPERS as pensionable special compensation. The Side Letter does not address union concerns over past administration of the holiday compensation/holiday time provisions of the MOU which will be subject to further discussions.
FINANCIAL IMPACT:
There will be increased costs associated with the reporting of pensionable special compensation to CalPERS under the terms of the side letter. The costs will be based upon the CalPERS employer contribution rate, currently 8.114% for Miscellaneous Employer Normal Cost Rate and Unfunded Liability Rate of 20.741%, 19.96% for Safety Employer Normal Cost Rate and 26.473% for Unfunded Liability Rate, applied to the earnings paid to each eligible employee when holiday pay is issued. The total costs are unknown and will be the burden of the impacted departments to manage budget appropriations.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by investing in county employees
OTHER AGENCY INVOLVEMENT
AFSCME 1684
ALTERNATIVES TO STAFF RECOMMENDATIONS:
Not recommended as the Side Letter provides clarification to CalPERS on pensionability of designated holiday pay.
ATTACHMENTS:
1. Side Letter of Agreement between the AFSCME Units 1-4 and the County of Humboldt
PREVIOUS ACTION/REFERRAL:
Board Order No.: C-19
Meeting of: August 21, 2018
File No.: 18-1105