Resolution No. 2013-044RESOLUTION NO. 2013-44
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF
AN ADDENDUM TO THE MEMORANDUM OF UNDERSTANDING BY
AND BETWEEN THE CITY OF VERNON AND THE VERNON
POLICE OFFICERS' BENEFIT ASSOCIATION (EMPLOYEE
GROUP 2)
WHEREAS, the Vernon Police Officers' Benefit Association
("VPOBA") (Group 2) has been recognized as an employee organization
pursuant to Resolution No. 4027; and
WHEREAS, on June 19, 2012, the City Council of the City of
Vernon adopted Resolution No. 2012-95 approving a Memorandum of
Understanding ("MOU") executed by the VPOBA and Municipal Employee
Relations Representative of the City of Vernon (the "MERR") for the
period of July 1, 2012 through June 30, 2014; and
1. WHEREAS, the VPOBA and the City of Vernon desire to execute
an addendum to the MOU to amend the VPOBA Retiree Medical/Dental
Benefit Plan.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the above recitals are true and correct.
SECTION 2: The City Council of the City of Vernon finds
that this action is exempt under the California Environmental Quality
Act (CEQA), in accordance with Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an effect on the
environment.
SECTION 3: The City Council of the City of Vernon hereby
approves the Addendum to Memorandum of Understanding (the "Addendum")
between the City of Vernon and the Vernon Police Officers' Benefit
Association, in substantially the same form as the copy which is
attached hereto as Exhibit A.
SECTION 4: The City Council of the City of Vernon hereby
authorizes the Municipal Employee Relations Representative and the
Director of Human Resources to execute said Addendum for, and on behalf
of, the City of Vernon and the City Clerk, or Deputy City Clerk, is
hereby authorized to attest thereto.
SECTION 5: The City Council of the City of Vernon hereby
instructs the City Administrator, or his designee, to take whatever
actions are deemed necessary or desirable for the purpose of
implementing and carrying out the purposes of this Resolution and the
transactions herein approved or authorized, including but not limited
to, any nonsubstantive changes to the Addendum attached herein.
SECTION 6: The City Council of the City. of Vernon hereby
directs the City Clerk, or the City Clerk's designee, to send a fully
executed MOU to Larry Gaytan, President of the Vernon Police Officers'
Benefit Association.
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SECTION 7: The Interim City Clerk, or Deputy City Clerk of
the City of Vernon shall certify to the passage, approval and adoption
of this resolution, and the Interim City Clerk,.or Deputy City Clerk,
of the City of Vernon shall cause this resolution and the Interim City
Clerk's, or Deputy City Clerk's, certification to be entered in the
File of Resolutions of the Council of this City.
APPROVED AND ADOPTED this 16`h day of April, 2013.
- wit
Name • T"7 " ' ""^Cormick
Title: Mayor /
Dana Reed
Interim City Clerk / Depidty ty `_�- �
APPROVED AS TO FORM:
Zayn h14oussa, Deputy City Attorney
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STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I Dana Reed Interim City Clerk /. Deputy 94aty G1,eT4.^ f
the City of Vernon, do hereby certify that the foregoing Resolution,
being Resolution No. 2013-44, was duly passed, approved and adopted by
the City Council of the City of Vernon at a regular meeting of the City
Council duly held on Tuesday, April 16, 2013, and thereafter was duly
signed by the Mayor or Mayor Pro-Tem of the City of Vernon.
Executed this -a day of April, 2013, at Vernon, California.
(SEAL)
V Dana Reed
Interim City Clerk
r s 1
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EXHIBIT A
ADDENDUM TO
MEMORANDUM OF UNDERSTANDING
BETWEEN
CITY OF VERNON
O
VERNON POLICE OFFICERS' BENEFIT ASSOCIATION
July 1, 2012 through June 30, 2014
ADDENDUM TO MEMORANDUM OF UNDERSTANDING
BETWEEN
CITY OF VERNON
AND
VERNON POLICE OFFICERS' BENEFIT ASSOCIATION
Parties to the Memorandum of Understanding
Pursuant to Chapter 10 (section 3500 et seq) of Division 4, Title 1 of the Government Code and
Resolution No. 4027, the Resolution for the administration of Employer -employee relations, the
matters within the scope of representation that are set forth in this Memorandum of Understanding
(MOU) have been discussed by and between representatives of the City of Vernon and the
representatives of the Vernon Police Officers' Benefit Association (hereinafter "VPOBA") and
except as otherwise specifically provided herein shall apply only to those defined in the aforesaid
Resolution as "full-time and regular part-time employees in the Police Department except
management and confidential employees" (Section 813(2) "Group 2"), otherwise known as Police
Officers and Sergeants.
This Addendum to the MOU constitutes a joint agreement by the Municipal Employee Relations
Representative ("MERR") and the VPOBA, to be submitted to the City Council of Vernon for its
determination and approval by one or more Resolutions or Ordinances as the City Council may
deem fit and proper.
The MERR and the Representative of the VPOBA have agreed that they will jointly urge the City
Council of Vernon to adopt one or more Resolutions or Ordinances reflecting the changes in
wages, hours, and other conditions of employment agreed upon in this Addendum.
If approved, the terms agreed upon by this MOU shall be deemed in effect as of July 1, 2012, and
shall expire at midnight on June 30, 2014.
IN CONSIDERATION OF THE TERMS AND CONDITIONS HEREIN STATED, the VPOBA
and the City of Vernon agree as follows:
1
ARTICLE SEVEN
Section 4: Retiree Medical/Dental Benefit Plan
Employees must retire from the City of Vernon under a Ca1PERS Benefit Formula (i.e. Age 50 or
57 Formula) to be eligible for Retiree Medical/Dental Benefits.
The City shall pay up to $1,100 per month towards the employee's option of the City's medical
and dental insurance programs for the employee and his/her eligible spouse in the classifications
represented by the Vernon Police Officers Benefit Association who have been employed as sworn
Peace Officers for a minimum of twenty (20) years and a minimum of 10 years of that service has
been in the employment of the City of Vernon. The maximum $1,100 City contribution shall be
applied only toward a city provided medical and dental premium plan payment and shall have no
cash surrender value.
The City's contribution toward the Retiree Medical/Dental Benefit Plan shall continue for said
retired employee and eligible spouse up to the age of sixty-five (65). Upon reaching the age of
sixty-five (65), the retiree and/or eligible spouse shall apply for Medicare coverage, whereupon
the City's insurance shall become supplemental coverage. The City shall pay up to 100% of the
cost to provide any Medicare supplemental medical and dental insurance plan offered by the City
of Vernon, not to exceed $1,100 per month. The City will not be the primary insurance cagier
once the retiree and/or employee reaches the age of sixty-five (65). If the retiree or eligible
spouse fails to timely obtain and maintain Medicare coverage, the City shall not be required to
provide any medical/dental benefits until such Medicare coverage is obtained and maintained.
The maximum $1,100 City contribution shall be applied only towards a City sponsored Medicare
supplemental medical and dental premium plan payment and shall have no cash surrender value.
All retired employees with a minimum of ten (10) years of continuous uninterrupted service with
the City may pay the City's premium cost for medical and dental insurance up to the age of sixty-
five (65) after which time Medicare will become the primary insurance carrier. The retired
employee may remain on the City's supplemental insurance to Medicare at his/her cost provided
the retiree has timely obtained and maintains Medicare coverage. .
Should the retired employee fail to pay his/her required cost of the insurance premium for the
City's medical/dental benefit plan for any three (3) consecutive months of, should the coverage
otherwise lapse for any reason other than City's non-payment, then the City's obligation to
maintain the retiree's medical/dental benefit plan shall automatically terminate without the need
for further notice.
2
CITY OF VERNON
Mark Whitworth
City Administrator / "MERR"
Teresa McAllister
Director of Human Resources
Kristen Enomoto
Assistant to the City Administrator
Zaynah Moussa
Deputy City Attorney
Attest:
Dana Reed
Interim City Clerk
Dated:
SIGNATURE PAGE
M
VERNON POLICE OFFICERS'
BENEFIT ASSOCIATION
Larry Gaytan
President
Ignacio Estrada
Vice -President
Dated:
OFFICE OF THE CITY CLERK
4305 Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811
April 30, 2013
Vernon Police Officers' Benefit Association
Attn: Larry Gaytan, President
4305 Santa Fe Avenue
Vernon, CA 90058
Re: Addendum to Memorandum of Understanding (Employee Group 2) — July 1, 2012 — June
30, 2014
Dear Mr. Gaytan:
Transmitted herewith is a fully executed original of the Addendum to the Memorandum of
Understanding approved by City Council on April 16, 2013, through Resolution No. 2013-44.
If you have any questions regarding this matter, please call Mark Whitworth, at (323) 583-8811
ext. 398.
Very truly yours,
/feb
ds Management Assi t
Enclosure
c: Daniel Calleros
William Fox
Teresa McAllister
Mark Whitworth
Resolution No. 2013-44
Agreement No. 13-021
E7Cclusivei5 Industrid
ADDENDUM TO
MEMORANDUM OF UNDERSTANDING
BETWEEN
CITY OF VERNON
..�
VERNON POLICE OFFICERS' BENEFIT ASSOCIATION
July 1, 2012 through June 30, 2014
ADDENDUM TO MEMORANDUM OF UNDERSTANDING
BETWEEN
CITY OF VERNON
AND
VERNON POLICE OFFICERS' BENEFIT ASSOCIATION
Parties to the Memorandum of Understanding
Pursuant to Chapter 10 (section 3500 et seq) of Division 4, Title 1 of the Government Code and
Resolution No. 4027, the Resolution for the administration of Employer -employee relations, the
matters within the scope of representation that are set forth in this Memorandum of Understanding
(MOU) have been discussed by and between representatives of the City of Vernon and the
representatives of the Vernon Police Officers' Benefit Association (hereinafter "VPOBA") and
except as otherwise specifically provided herein shall apply only to those defined in the aforesaid
Resolution as "full-time and regular part-time employees in the Police Department except
management and confidential employees" (Section 8B(2) "Group 2"), otherwise known as Police
Officers and Sergeants.
This Addendum to the MOU constitutes a joint agreement by the Municipal Employee Relations
Representative ("MERR") and the VPOBA, to be submitted to the City Council of Vernon for its
determination and approval by one or more Resolutions or Ordinances as the City Council may
deem fit and proper.
The MERR and the Representative of the VPOBA have agreed that they will jointly urge the City
Council of Vernon to adopt one or more Resolutions or Ordinances reflecting the changes in
wages, hours, and other conditions of employment agreed upon in this Addendum.
If approved, the terms agreed upon by this MOU shall be deemed in effect as of July 1, 2012, and
shall expire at midnight on June 30, 2014.
IN CONSIDERATION OF THE TERMS AND CONDITIONS HEREIN STATED, the VPOBA
and the City of Vernon agree as follows:
1
ARTICLE SEVEN
Section 4: Retiree Medical/Dental Benefit Plan
Employees must retire from the City of Vernon under a Ca1PERS Benefit Formula (i.e. Age 50 or
57 Formula) to be eligible for Retiree Medical/Dental Benefits.
The City shall pay up to $1,100 per month towards the employee's option of the City's medical
and dental insurance programs for the employee and his/her eligible spouse in the classifications
represented by the Vernon Police Officers.Benefit Association who have been employed as sworn
Peace Officers for a minimum of twenty (20) years and a minimum of 10 years of that service has
been in the employment of the City of Vernon. The maximum $1,100 City contribution shall be
applied only toward a city provided medical and dental premium plan payment and shall have no
cash surrender value.
The City's contribution toward the Retiree Medical/Dental Benefit Plan shall continue for said
retired employee and eligible spouse up to the age of sixty-five (65). Upon reaching the age of
sixty-five (65), the retiree and/or eligible spouse shall apply for Medicare coverage, whereupon
the City's insurance shall become supplemental coverage. The City shall pay up to 100% of the
cost to provide any Medicare supplemental medical and dental insurance plan offered by the City
of Vernon, not to exceed $1,100 per month. The City will not be the primary insurance carrier
once the retiree and/or employee reaches the age of sixty-five (65). If the retiree or eligible
spouse fails to timely obtain and maintain Medicare coverage, the City shall not be required to
provide any medical/dental benefits until such Medicare coverage is obtained and maintained.
The maximum $1,100 City contribution shall be applied only towards a City sponsored Medicare
supplemental medical and dental premium plan payment and shall have no cash surrender value.
All retired employees with a minimum of ten (10) years of continuous uninterrupted service with
the City may pay the City's premium cost for medical and dental insurance up to the age of sixty-
five (65) after which time Medicare will become the primary insurance carrier. The retired
employee may remain on the City's supplemental insurance to Medicare at his/her cost provided
the retiree has timely obtained and maintains Medicare coverage.
Should the retired employee fail to pay his/her required cost of the insurance premium for the
City's medical/dental benefit plan for any three (3) consecutive months or, should the coverage
otherwise lapse for any reason other than City's non-payment, then the City's obligation to
maintain the retiree's medical/dental benefit plan shall automatically terminate without the need
for further notice.
2
lei Y11Y1]W11"W1130
-ft/ I AA
Mark fhitworth
City dmmistrator / "MERR"
rr
resa McAllisterector of Human Resources
ZzLi::_
isten Enomoto
Assistant to the City Administrator
Zayn h oussa
Deputy City Attorney
Dated: _ L/�60 /,�
SIGNATURE PAGE
VERNON POLICE OFFICERS'
BENEFIT ASSOCIATION
ry Gaytan
President
Ignacio Estrada
Vice -President
Dated:
CONTRACT/AMENDMENT SIGNATURE ROUTING FORM
CONTRACT IS: ❑ FEDERAL ❑ PREVAILING WAGE ❑ COMPETIVE SELECTION & NOTICED RFP
❑ COMPETITIVE BID & NOTICED INVITATION TO BID
❑ EXEMPT FROM COMPETITIVE PROCESS (APPROVAL ATTACHED)
❑ SERVICES o MATERIALS o BUDGETED q OT BUDGETED �t�
TOTAL CONTRACT VALUE: $ A Charge Aect. No(s)
Amendment Value $ ❑ Contract is an Amendment to Contract No. (if Applicable)
RESPONSIBLE DEPARTMENT PERSON: PHONE: �Y
AUTHORIZATION: k Approved by Council on 11 —14 -90 6,
(Check One) Resolution No. (if applicable)
❑ Approved by City Administrator on
Note: Attach supporting documentation
OAmendment Approved by _
(if applicable)
ROUTING SEQUENCE: (Please Follow In Order — Do not use N/A)
Initials
Date
(1) Responsible Department Person
Checks substance of contract and assembles two (2) copies of
Contract, required AA, insurance & bond documents, certifies compliance
With Competitive Bidding and Purchasing Ordinance
C\✓� • —
/^J
(2) Liability and Claims
Approves insurance and sureties, if bonds required
A�
(3) Finance (Purchasing)
, j f�
(//_
j 2 ;7 /3
l
Checks compliance with Competitive Bidding & Living Wage Ordinances
And reflected in current budget
(4) City Attorney
Approves to form, bonds insurance included
/ r
°k�
contract as verifies and
(5) City Signatory
Signs behalf City
/ y
all copies on of
(6) City Clerk
Attests signatures, numbers; files contract, insurance and bonds, and
ll
transmits duplicate original to contractor
�
d 2
Rev. 2/25113
RECEIVED
MAR 2 1 2013
CITY CLERK'S OFFICE
STAFF REPORT
ADMINISTRATION DEPARTMENT
DATE: April 16, 2013
TO: Honorable Mayor and City Council
FROM: Mark C. Whitworth, City Administrator
RE: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON,
CALIFORNIA, APPROVING AN ADDENDUM TO AMEND THE
MEMORANDUM OF UNDERSTANDING AS IT RELATES TO THE
VERNON POLICE OFFICERS BENEFIT ASSOCIATION RETIREE
MEDICAL/DENTAL BENEFIT PLAN
Recommendation
It is recommended that the City Council:
1) Find that approval of the proposed resolution approving an addendum to amend the
Memorandum of Understanding as it relates to the Vernon Police Officers Benefit
Association Retiree Medical/Dental Benefit Plan is exempt under the California
Environmental Quality Act (CEQA) in accordance with Section 15061(b)(3), the general
rule that CEQA only applies to projects that may have an effect on the environment.
2) Approve and adopt the attached resolution amending the Vernon Police Officers Benefits
Association Retiree Medical/Dental Benefit Plan in compliance with the 2012-14
Memorandum of Understanding between the City and the Vernon Police Officers Benefit
Association.
3) Authorize the City Administrator and Director of Human Resources to execute the
attached Addendum to the 2012-14 Memorandum of Understanding between the City of
Vernon and employees represented by the City of Vernon Police Officers Benefit
Association.
Background
The City and the City of Vernon Police Officers Benefit Association (VPOBA) concluded labor
negotiations on June 19, 2012 regarding wages, benefits and working conditions for the 2012-
2014 Memorandum of Understanding. As a product of the 2012-2014 negotiations, the City and
the VPOBA agreed to continue negotiations regarding the City's Medical and Retiree Medical
after the MOU was ratified and signed by both parties. Moreover, the VPOBA and the City
agreed to examine all components of the City's medical and retiree medical insurance programs.
If any agreements were ultimately reached and ratified by both parties relative to these specific
sections, those agreements would then be incorporated into the MOU.
This report recommends City Council approval of changes to Retiree Medical benefits and
contract language incorporated into an agreement with the VPOBA. Attached is an addendum to
the MOU for the employees represented by the VPOBA, which incorporates mutually agreed -
upon provisions. The addendum covers the period of July 1, 2012 through June 30, 2014.
Members of city staff, and representatives of the VPOBA, met and conferred, and reached
agreement on the proposed contract language, subject to the approval of the City Council.
Key provisions of the proposed agreement, presented for the Councils' approval include:
• The City shall pay up to a maximum of $1,100 per month towards the employee's option
of the City's medical and dental insurance programs for the employee and his/her eligible
spouse.
• To qualify, employees must have been employed as sworn Peace Officers for a minimum
of 20 years and a minimum of 10 years of that service has been in the employment of the
City of Vernon.
• The premium plan payment shall have no cash surrender value.
• Upon attaining the age of 65, retirees and their eligible spouses shall apply for Medicare
coverage, whereupon the City's insurance shall become supplemental coverage to
Medicare
• All retired employees with a minimum of ten years of continuous service may continue
under the City's medical and dental insurance and pay the City's premium cost.
The City and the Association are continuing discussions and will be participating in a city-wide
committee to examine all components of the City's Medical Insurance Programs.
Fiscal Impact
There is no additional fiscal impact to the adoption of the addendum as it relates to the Retiree
Medical/Dental Plan. The fiscal impact remains approximately $66,800 per year and is already
included in the departmental line item budget.