ADD-ON LEGISLATIVE ACTION ITEM
SPONSOR: Grover C. Robinson, IV, Mayor
SUBJECT:
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MEMORANDUM OF AGREEMENT FOR AMERICAN FEDERATION OF STATE, COUNTY, AND MUNICIPAL EMPLOYEES (AFSCME) COLLECTIVE BARGAINING AGREEMENT.
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RECOMMENDATION:
recommendation
That City Council approve the Memorandum of Agreement between the City of Pensacola and the American Federation of State, County and Municipal Employees (AFSCME).
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HEARING REQUIRED: No Hearing Required
SUMMARY:
Contract negotiations began earlier this year between the City and AFSCME which represents a sector of the City’s general employees. At this point, both the City and AFSCME have reached an agreement regarding compensation with the understanding that additional bargaining sessions will be required to address other matters in the collective bargaining agreement.
This Add-On Legislative Action item is being brought before City Council at this time to ensure that the employees represented by the AFSCME collective bargaining unit receive their pay increases as well as their premium pay from the ARPA funds at the same time the remaining City Employees, effective October 1, 2021.
The significant terms of the proposed agreement will provide the following pay increases to the members of the collective bargaining unit:
October 1, 2021: All currently employed bargaining unit employees will receive a three percent (3%) wage increase to their base pay up to the maximum cap of their range. Those bargaining unit members who are at the maximum cap or exceed the maximum cap because of this pay increase will receive the equivalent 3% pay increase exceeding the maximum cap as a one-time payment.
October 1, 2022: All currently employed bargaining unit employees will receive a three percent (3%) wage increase to their base pay up to the maximum cap of their range. Those bargaining unit members who are at the maximum cap or exceed the maximum cap because of this pay increase will receive the equivalent 3% pay increase exceeding the maximum cap as a one-time payment.
October 1, 2023: All currently employed bargaining unit employees will receive a three percent (3%) wage increase to their base pay up to the maximum cap of their range. Those bargaining unit members who are at the maximum cap or exceed the maximum cap because of this pay increase will receive the equivalent 3% pay increase exceeding the maximum cap as a one-time payment.
For the Term of this Collective Bargaining Agreement, final performance evaluations will be conducted annually, as determined by management.
The final summary score will be used to determine qualification for a merit pay increase and the level of any merit pay allocation (see chart below):
Summary Point Merit Increase
Rating Range Recommended
Exceeds Expectations (E) 3.50 - 5.00 2% Merit Increase
Meets Expectations (M) 2.50 - 3.49 1% Merit Increase
Does Not Meet (DNM)* 0.00 - 2.49 0% Merit Increase
Those bargaining unit members who are at the maximum cap or exceed the maximum cap because of this merit pay increase will receive the equivalent merit pay increase exceeding the maximum cap as a one-time payment.
The AFSCME union representatives agreed to this Memorandum of Agreement on September 23, 2021 in order to be able to expedite the payments for those AFSCME employees. Once an agreement has been made to the Collective Bargaining Agreement, then another item will be brought before City Council for ratification of the agreement in its entirety.
PRIOR ACTION:
None
FUNDING:
N/A
FINANCIAL IMPACT:
The budgetary impact over the three years of the contract is $1,636,700. For Fiscal Year 2022 the costs associated with this agreement will be $263,800 of which $123,200 for the up to 2% Merit has already been included in the Fiscal Year 2022 Proposed Budget. The additional $140,500 for the 3% increase will be included on a Supplemental Budget Resolution for appropriation to be brought before City Council during the first quarter of Fiscal Year 2022. The additional costs for Fiscal Years 2023 and 2024 will be incorporated in their respective proposed budgets.
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STAFF CONTACT:
Keith Wilkins, City Administrator
Amy Lovoy, Finance Director
Ted Kirchharr, Human Resources Director
ATTACHMENTS:
1) AFSCME Memorandum of Agreement
PRESENTATION: No end