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Resolution No. 2014-037RESOLUTION NO. 2.014-37 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON AMENDING RESOLUTION NO. 9542 BY AMENDING SECTION 10.2 AND ADDING SECTION 10.5 TO SAID RESOLUTION RESPECTING VACATION POLICIES FOR EMPLOYEES OF THE CITY OF VERNON AND REPEALING ALL RESOLUTIONS IN CONFLICT THEREWITH WHEREAS, on February 4, 2008, the City Council of the City of Vernon adopted Resolution No. 9542, amending and restating Resolution No. 8764 adopted on June 29, 2005, which established the vacation policies, holidays and "in lieu" holidays for employees of the City of Vernon (hereinafter the "Vacation Resolution"); and WHEREAS, on March 3, 2008, the City Council of the City of Vernon .adopted Resolution No. 9563 amending certain sections and schedules of the Vacation Resolution; and WHEREAS, on November 6, 2012, the City Council of the City of Vernon adopted Resolution No. 2012-212 amending section 10 of the Vacation Resolution to provide for vacation and administrative leave for Executive Management Staff; and WHEREAS,'the City desires to amend Section 10.2 and add Section 10.5 to the Vacation Resolution to: (1) provide for sixty (60) hours of Administrative Leave for mid -management exempt employees and (2) provide all newly hired, promoted, or reclassified as exempt Executive Management Staff and Mid -Management Staff administrative leave on a quarterly pro-rata basis. 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: Section 10.2 of the Vacation Resolution is hereby amended as indicated in Exhibit A which is attached hereto and incorporated herein by reference. SECTION 3: Section 10.5 of the Vacation Resolution is hereby added as indicated in Exhibit B which is attached hereto and incorporated herein by reference. SECTION 4: The provisions of Resolution No. 9542 not consistent with or in conflict with this Resolution, are hereby repealed; in all other respects Resolution Nos. 9542, 9563, and 2012-212 shall remain in full force and effect. SECTION 5: The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the 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 17th day of June, 2014. ATTEST: Arid Arcia Deputy City Clerk D ZS TO FORM: N' Name. W. Michael McCormick Title: Mayor Zaynpp N. Moussa, Deputy City Attorney - 2 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I Ana Barcia t �Deputy City Clerk of the r_1- p Y Y City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2014-37, 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, June 17, 2014, and thereafter was duly'signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this 11 day of June, 2014, at Vernon, California. (SEAL) - 3 - Ana Barcia Deputy City Clerk EXHIBIT A Exhibit A 10.2 The Executive Management Staff shall receive the following administrative leave benefits: Administrative 80 hours Leave Effective January 1 of each calendar year, Executive Management staff shall receive 80 hours of Administrative leave. The 80 hours may not be carried over into the succeeding calendar year. Executive Administrative leave is lost and not eligible for Management cash payout if not used by December 31 of each calendar year. Executive Management staff hired, promoted, or reclassified on or after April 1 of each calendar year shall be eligible to receive pro -rated administrative leave hours during the year of hire, as identified below. Administrative Leave shall be provided to all newly hired, promoted, or reclassified Executive Management Staff on a quarterly pro-rata basis as follows: Hired, Promoted, or Reclassified on or Between Administrative Leave January 1 - March 31 80 hours April 1 - June 30 60 hours July 1 - Sept. 30 40 hours Oct 1 - Dec. 31 20 hours EXHIBIT B SECTION 10.5: Exhibit B Administrative Leave - Mid -Management Staff Mid -Management Staff who are designated as exempt in accordance with the Fair Labor Standards Act shall receive the following administrative leave benefits: Administrative 60 hours Leave Effective January 1 of each calendar year, Mid -Management staff shall receive 60 hours of Administrative leave. The 60 hours may not be carried over into the succeeding calendar year. Mid -Management Administrative leave is lost and not eligible for Staff cash payout if not used by December 31 of each calendar year. Mid -Management staff hired, promoted, or reclassified on or after April 1 of each calendar year shall be eligible to receive pro -rated administrative leave hours during the year of hire, as identified below. Administrative Leave shall be provided to all newly hired, promoted, or reclassified Mid -Management Staff on a quarterly pro-rata basis as follows: Hired, Promoted, or Reclassified on or Between Administrative Leave January 1 - March 31 60 hours April 1 - June 30 45 hours July 1 - Sept. 30 30 hours Oct 1 - Dec. 31 15 hours TRANSMITTAL COMMUNICATION CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: June 25, 2014 TO: Daniel Calleros, Police Chief Kristen Enomoto, Deputy City Administrator Carlos Fandino, Director of Gas & Electric William Fox, Finance Director/City Treasurer Leonard Grossberg, Director of Health & Environmental Control Masami Higa, Assistant Finance Director Alex Kung, Economic Development Manager Joaquin Leon, Deputy City Treasurer Teresa McAllister, Director of Human Resources Lisette Michel, Sr. Human Resources Analyst Zaynah Moussa, Deputy City Attorney Scott Porter, Deputy City Attorney Mark Whitworth, City Administrator Michael Wilson, Fire Chief S. Kevin Wilson, Director of Public Works, Watery & Development Services FROM: Deborah Juarez, Records Management Assistant L y VVVGGG � RE. Resolution No. 2014-37 - A Resolution of the City Council of the City of Vernon Amending Resolution No. 9542 by Amending Section 10.2 and Adding Section 10.5 to Said Resolution Respecting Vacation Policies for Employees of the City of Vernon and Repealing All Resolutions in Conflict Therewith Transmitted herewith is a copy of Resolution No. 2014-37 referenced above, which was approved by City Council on June 17, 2014. Thank you. Attachment c: Raquel Franco Karina Rueda Resolution No. 2014-37 STAFF REPORT CITY CLERK'S OFFICE CITY ADMINISTRATION DATE: June 17, 2014 TO: Honorable Mayor and City Council FROM: Mark C. Whitworth, City Administrator RE: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON AMENDING RESOLUTION NO. 9542 BY AMENDING SECTION 10.2 AND ADDING SECTION 10.5 TO SAID RESOLUTION RESPECTING VACATION POLICIES FOR EMPLOYEES OF THE CITY OF VERNON AND REPEALING ALL RESOLUTIONS IN CONFLICT THEREWITH Recommendations It is recommended that the City Council: 1) Find that approval of the proposed resolution in this staff report 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) Contingent upon City Council adoption of the Fiscal Year 2014-2015 budget, adopt the attached resolution amending Resolution No. 9542 to amend section 10.2 and add section 10.5 to said resolution, effective June 29, 2014, to (1) provide sixty (60) hours of Administrative Leave for Mid -Management employees who are designated as exempt from overtime in accordance with the Fair Labor Standards Act and (2) provide all newly hired Mid -Management and Executive Management staff exempt employees administrative leave on a quarterly pro-rata basis. Background Effective April 20, 2014, per Resolution No. 2014-07, the City Council adopted the updated citywide classification plan (excluding classifications represented by the City of Vernon Firemen's Association) as a result of the citywide classification study. At that time, no changes were recommended to the compensation portion of the study because the City is obligated to negotiate over salaries with all bargaining units pursuant to the Meyers-Milias-Brown Act. In addition, mid -management classifications designated as exempt from overtime in accordance with the Fair Labor Standards Act ("FLSA") were placed on hold pending the implementation of any new salary grades. On June 3, 2014, contingent upon the City Council adoption of the Fiscal Year 2014-2015 budget, City Council adopted Resolution No. 2014-27, amending Exhibit A — Classification and Compensation Plan of the Citywide Personnel and Salary resolution, to be effective June 29, 2014, implementing a new grade and step pay plan as a result of the Citywide classification and compensation study based upon the 75"' percentile of the comparable survey labor market for the classifications designated as "Confidential and Mid -Management". With regard to Administrative Leave, on November 6, 2012, the City Council adopted Resolution No. 2012-212, amending Section 10 of Resolution No 9542, to provide 80 hours of Administrative Leave for Executive Management staff who are exempt from overtime. Contingent upon the City Council adoption of the Fiscal Year 2014-2015 budget, this report recommends that mid -management level employees designated as exempt from overtime by the Human Resources Department also be provided sixty (60) hours of Administrative Leave annually. Analysis: Administrative leave is provided to employees who are exempt from overtime and compensatory time in light of their salaried status and recognized duties in accordance with the FLSA. Often, the duties, responsibilities and activities required of exempt employees are such that work is performed in excess of the normal work schedule. In recognition of the extraordinary hours periodically worked by exempt employees, administrative leave is offered to relieve stress and provide breaks needed so that employees are better able to carry out decision making processes involved in their complex responsibilities. In light of these factors as well as the fact that exempt Executive Management staff currently receives Administrative Leave, it is recommended that mid -management level employees designated as exempt from overtime by the Human Resources Department be provided sixty (60) hours of Administrative Leave annually. This recommendation is based upon a comparable labor market survey conducted by the Human Resources staff on administrative leave offered to mid -management staff in comparison to executive level staff. The findings concluded that, on average, executive management staff was offered 20 additional leave hours in comparison to mid -management staff. As such, it is recommended that effective January 1, of each calendar year, mid -management staff shall receive 60 hours of Administrative leave. The 60 hours may not be carried over into the succeeding calendar year. Administrative leave is lost and not eligible for cash payout if not used by December 31, of each calendar year. Additionally, it is recommended that the Administrative Leave be provided to all employees newly hired, promoted, or reclassified as exempt on a quarterly pro-rata basis as follows: Mid-Manaeement Hired, Promoted, or Reclassified on or Between Administrative Leave Jan1 — March 31 60 hours April I — June 30 45 hours Jul 1 — Sept. 30 30 hours Oct 1 — Dec. 31 15 hours Executive Management — Including City Administrator, City Attorney, City Clerk, City Treasurer and the heads of all Departments as listed in the City Code or City Charter and their respective Deputies and Assistant Directors Hired, Promoted, or Reclassified on or Between Administrative Leave January 1 — March 31 80 hours April 1— June 30 60 hours Jul 1— Sept. 30 40 hours Oct 1 — Dec. 31 20 hours Fiscal Impact There is no financial impact to provide administrative leave to the mid -management exempt staff.