HomeMy WebLinkAbout2014-09-23; City Council; 21738; Resolution 2014-227 Amending 2013/14 Memorandum of Understanding with Carlsbad City Employees' Association Regarding Technology Help Desk ServicesCITY OF CARLSBAD - AGENDA BILL
AB# 21.738 ADOPT RESOLUTION NCT ^ ^MENDING DEPT. HEAD
MTG. 09/23/14 THE 2013/14 MEMORANDUM OF
UNDERSTANDING WITH THE CARLSBAD CITY
EMPLOYEES' ASSOCIATION REGARDING
TECHNOLOGY HELP DESK SERVICES
CITY ATTY. ^
DEPT. ASD-HR
THE 2013/14 MEMORANDUM OF
UNDERSTANDING WITH THE CARLSBAD CITY
EMPLOYEES' ASSOCIATION REGARDING
TECHNOLOGY HELP DESK SERVICES
CITY MGR.^
RECOMMENDED ACTION;
Adopt Resolution No. 2014-227 amending the 2013/14 Memorandum of Understanding with the
Carlsbad City Employees' Association (CCEA) regarding technology help desk services.
ITEM EXPLANATION:
An operational assessment ofthe city's information technology function indicated that increased
efficiency and cost savings could be realized by fully contracting technology help desk services to an
outside vendor. As a result, on July 8, 2014, City Council directed staff to pursue contracting out for
technology help desk services and, because this decision potentially impacted three members of the
Carlsbad City Employees' Association (CCEA), the parties were required to meet and confer on the
decision and effects ofthis action as required bythe Memorandum of Understanding.
Background
Changing technology and market conditions have and will continue to provide opportunities to deliver
services more efficiently than they are provided today while maintaining high quality standards. To
fulfill its role as a responsible steward of public resources, the city is obligated to explore these new
ways of doing business. At the same time, promoting a culture of respect for city employees that
supports excellent performance and continuous improvement is critical to the city's future success.
Agreement
The city has met and conferred with CCEA and reached a tentative agreement that, relative to
contracting out help desk services in the Information Technology Department, expands the practices
concerning employee layoffs and outlines additional options for the three current employees affected.
These options include providing affected employees the opportunity to transition to new jobs outside
the city and receive training and/or job placement services, or to avoid layoff and to train for alternative
vacant positions within the city, provided that their job performance is acceptable (see Exhibit 2).
FISCAL IMPACT:
The fiscal impact associated with this action cannot be predicted at this time. However, should all three
of the affected employees opt to exit the city following a six month transition to the new help desk
services provider, the fiscal impact would be $18,400.
DEPARTMENT CONTACT: Julie Clarl< 760-602-2438 Julie.Clarl<@carlsbadca.ROV
FOR CITY CLERKS USE ONLY. y COUNCIL ACTION: APPROVED y CONTINUED TO DATE SPECIFIC •
DENIED • CONTINUED TO DATE UNKNOWN •
CONTINUED • RETURNED TO STAFF •
WITHDRAWN • OTHER-SEE MINUTES •
AMENDED •
Page 2
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code section 21065, this action does not constitute a "project" within the
meaning of CEQA in that it has no potential to cause either a direct physical change in the environment,
or a reasonable foreseeable indirect physical change in the environment; and therefore, does not
require environmental review.
EXHIBITS:
1. Resolution No.2014-227
2. Side Letter Agreement to the January 1, 2013 - December 31, 2014 Memorandum of
Understanding between the City of Carlsbad and the Carlsbad City Employees' Association (CCEA)
EXHIBIT
1 RESOLUTION NO. 2014-227
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AMENDING THE 2013/14 MEMORANDUM OF
UNDERSTANDING WITH THE CARLSBAD CITY EMPLOYEES'
4 ASSOCIATION REGARDING TECHNOLOGY HELP DESK SERVICES
3
WHEREAS, on July 8, 2014, the City Council directed staff via Resolution No. 2014 - 172
to pursue contracting out for technology help desk services in the Information Technology
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g Department and to meet and confer on the decision and effects of this action with the Carlsbad
9 City Employees' Association (CCEA); and
WHEREAS, representatives from the City of Carlsbad and the CCEA have met and
conferred in good faith and the parties have reached a tentative side letter agreement which
they desire to submit to the City Council for consideration and approval; and
WHEREAS, the City Council has determined it to be in the public interest to accept such
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15 an agreement in the form of a Side Letter Agreement to the January 1, 2013 - December 31,
16 2014 Memorandum of Understanding between the City of Carlsbad and the Carlsbad City
Employees' Association (CCEA), marked as Exhibit 2 and incorporated by reference herein
NOW, THEREFORE, BE IT RESOLVED by the City Council ofthe City of Carlsbad,
California, as follows:
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21 1. That the above recitations are true and correct.
22 2. That the Side Letter Agreement to the January 1, 2013 - December 31, 2014
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Memorandum of Understanding between the City of Carlsbad and the Carlsbad City
Employees' Association (CCEA), set forth in Exhibit 2, attached hereto and made a part hereof,
is adopted.
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PASSED, APPROVED AND ADOPTED at a Regular Meeting ofthe City Council ofthe City
of Carlsbad on the 23"^ day of September, 2014, by the following vote to wit:
AYES:
NOES:
Council Members Hall, Packard, Wood, Schumacher, Blackburn.
None.
ABSENT: None.
MATT HALL, Mayor
ATTEST:
Bi(\ft9/aiRA ENGLESON^ity Clerk
.ytv^^yo%.
ll, r^
SIDE LETTER AGREEMENT TO THE
JANUARY 1, 2013 - DECEMBER 31, 2014
MEMORANDUM OF UNDERSTANDING BETWEEN THE
CITY OF CARLSBAD AND THE CARLSBAD CITY EMPLOYEES' ASSOCIATION (CCEA)
This side letter memorializes an agreement reached between the City of Carlsbad and the Carlsbad City
Employees' Association ("CCEA") to reflect an agreed upon amendment to the January 1, 2013 -
December 31, 2014 Memorandum of Understanding ("MOU") entered into between the City and CCEA.
The parties agree that they have met and conferred on the decision and effects of contracting out
bargaining unit work in the Information Technology ("IT") Department and have reached agreement on
this side letter that is acceptable to both parties. All other terms and conditions of the existing MOU
shall remain in full force and effect. The changes are listed below.
CCEA does not contest the City's decision to contract out the IT Help Desk Services in the Information
Technology Department.
The Contracting Out of the IT Help Desk Services - Options for Displaced Employees (hereinafter
"Program") was designed to provide career options for three (3) CCEA-represented employees whose
positions have been identified for layoff as a result of contracting out the IT Help Desk Services in the
Information Technology Department. This Program is contingent upon the City Council's subsequent
authorization to execute an outside contract to provide help desk services. As soon as that contract is
authorized and executed this side letter shall be enforceable. This Program will continue until all ofthe
displaced employees have completed or exited the Program and a participating employee can, at any
time, discontinue his or her participation. An employee will have completed or exited the Program
when any ofthe following conditions have occurred:
1) The employee "bumps" back into a previously held city position; or
2) The employee is laid off; or
3) The employee is appointed to a new city position after successfully completing the training
period described under Option 3 in this document.
It has been determined the employees being displaced have three options from which to choose. Once
the program begins as outlined above, participating employees shall have seven (7) calendar days to
notify the Human Resources Director which of the three options they wish to pursue so that the agreed
upon timelines and transitions will be adhered to. The three options are described below.
All three options include a transition period during which the IT Director selects two (2) ofthe
employees to remain in their current position in IT for up to six (6) months after City Council authorizes
and executes the outside contract to provide help desk services. During this period, an employee
remains at his/her current job classification and salary and is eligible for any salary adjustments
provided bythe MOU. Ifthe transition is not complete at the end of six months, upon request from the
IT Director, an employee may agree to stay on a month by month basis until the transition is complete,
but is not required to do so.
The provisions contained in the Personnel Rules, as amended from time to time, related to promotion
and demotion do not apply to employees while they are a part of this Program.
Option 1: The employee remains in his/her current position in IT, until the transition to the new
provider is complete or until released by the IT Director, then he/she "bumps" into a previously
held city job classification.
Once it has been determined by the IT Director that the transition to the new service provider is
complete, the employee may exercise his/her right to be demoted into a lower level
classification and "bump" into a job classification that he/she has previously held pursuant to
Article 44 (g) ofthe MOU. In this circumstance, ifthe pay range maximum ofthe classification
into which the employee is being demoted is lower than the employee's base salary, the
employee's base salary will not be reduced but will be y-rated. (Note: If the base salary is
outside of the pay range for the position, per the requirements of the California Public
Employees' Retirement System (CalPERS), the employee's name will be published as an
exception on the CCEA salary schedule.)
Option 2: The employee agrees to remain in his/her current position in IT until the transition to
the new provider is complete, then he/she will be laid off
Once it has been determined by the IT Director that the transition to the new service provider is
complete, the employee is laid off pursuant to Article 44 of the MOU. Per the MOU, the
employee will be eligible for three months' severance pay to be included in the employee's last
paycheck. In addition, employees choosing this option will be entitled to the following:
(a) Payment or reimbursement of up to five thousand dollars ($5,000) for education-related
training expenses. The items eligible for payment or reimbursement are tuition and books.
In order for payment to be made, the employee must submit 1) proof of payment or a
request that the City pay the training provider directly and 2) a detailed invoice outlining the
items for payment or reimbursement. All payments or reimbursements of this type are
taxable. The individual should consult a qualified tax advisor for more information on the
IRS rules related to educational expenses. Ifthe employee is seeking payment or
reimbursement for training conducted while he/she is still employed with the city, the
employee must use his/her accrued leave balances while obtaining the training for which
he/she requests reimbursement. The payment or reimbursement request must be made by
the employee within six months from the date of layoff for education-related training
expenses incurred within six months from the date of the layoff; OR
(b) Payment by the City for up to one month of outplacement services through a career
management services provider to be selected by the City, provided that the request for such
services is made by the employee within six months from date of layoff; AND
(c) The opportunity to take advantage ofthe Sick Leave Conversion provision outlined in Article
23, Section F ofthe MOU, provided that the employee has not already done so during the
current calendar year. Conversion would be based on the employee's accrual balances on
the last day of employment.
c
Should the transition to the new service provider be completed sooner than six months, the
employee would be placed on paid administrative leave through his/her six month assignment
and then be entitled to the benefits as described above.
Should the employee elect to leave the City before six months have been completed, he/she
would forfeit the benefits as described above and his/her separation would be recorded as a
voluntary termination.
Option 3: The employee elects to remain in his/her current position in IT until the transition to
the new provider Is complete or until released by the IT Director, then enters a training period to
pursue a vacant position for which he/she currently is not qualified.
The vacant positions for which an employee may be trained were identified at the beginning of
this Program prior to the signing of this side letter and prior to the execution of a contract for IT
help desk services. Should more than one affected employee be interested in a particular
training opportunity, the Human Resources Department will conduct an internal competitive
process for the "trainee" position. It will be up to the hiring manager of the department
receiving the employee to determine who will be selected for the training opportunity. For the
purposes of this side letter, the following positions have been identified as vacancies for which
the displaced IT help desk services employees may be trained:
Business Systems Specialist - Finance Department (1 position)
Engineering Technician II-Transportation Department (2 positions)
Under this option, the Information Technology Director agrees to select one of the affected
employees who elects this option to transfer to the "trainee" position as soon as practical or
within thirty (30) calendar days of the execution of this side letter. Any remaining employees
who have elected this option will transfer to their respective "trainee" position(s) after the
transition to a new help desk services provider is complete.
Once it has been determined by the IT Director that the transition to the new service provider is
complete, the employee is transferred to a vacant position outside ofthe IT Department. Upon
transfer to the "trainee" position, the employee will retain his/her current IT-related job
classification and base salary. If the employee is training in a job classification that has a higher
pay range than the pay range associated with their IT job classification, he/she will receive 2.5%
out-of-classification pay for the duration of the training period. This temporary out-of
classification pay will not be considered an increase in their base salary.
Under this option, the employee will remain in the "trainee" position for a reasonable time
period as determined by the supervisor (provided that the training period is at least six months
or longer) and until the minimum qualifications for the new position have been met. As an
example, the training period for the Engineering Technician II position will last two years in
order to meet the minimum experience requirements for that position. The supervisor will
outline a plan to provide the employee with the training and support necessary to become a
viable candidate for the position on a permanent basis. During the training period, performance
metrics will be identified that take the employee's trainee status into consideration. The
performance metrics will be used for evaluating the employee's progress while he/she is in the
"trainee" position and for evaluating his/her performance under Article 54 ofthe MOU.
At the end of the job training period, the employee will participate in a promotional recruitment
(internal city candidates only). If he/she is successful, he/she will be appointed into the position
and will not be required to serve the probationary period typically associated with an
appointment. The employee's pay upon appointment will be determined as follows:
o If the employee's base salary at the time of the appointment exceeds the pay range
maximum of the new position, the employee's base salary will be y-rated. (Note: If the
base salary is outside of the pay range for the position, per the requirements of the
California Public Employees' Retirement System (CalPERS), the employee's name will be
published as an exception on the CCEA salary schedule.)
o If the employee's base salary at the time of appointment is within the pay range for the
new position, the employee will receive a 5% increase orthe maximum salary in the
new pay range - whichever is less.
If, at any time during the period in which the employee is in the "trainee" position, the training
program is discontinued by the employee or by the supervisor (following the minimum six
month training period), or ifthe employee is not selected forthe position as a result ofthe
promotional recruitment process, the employee will be given 14 calendar days' notice and laid
off pursuant to Article 44 of the MOU with the exception that he/she will not be entitled to
exercise his/her right to be demoted into a lower level classification and "bump" into a job
classification that he/she has previously held pursuant to Article 44 (g) of the MOU. Per the
MOU, the employee will be eligible for three months' severance pay to be included in the
employee's last paycheck. In addition, under this scenario the employee will be entitled to the
following:
(a) Payment or reimbursement of up to two thousand dollars ($2,000) for
education-related training expenses. The items eligible for payment or
reimbursement are tuition and books. In order for payment to be made, the
employee must submit 1) proof of payment or a request that the City pay the
training provider directly and 2) a detailed invoice outlining the items for
payment or reimbursement. All payments or reimbursements of this type are
taxable. The individual should consult a qualified tax advisor for more
information on the IRS rules related to educational expenses. Ifthe employee is
seeking payment or reimbursement for training conducted while he/she is still
employed with the city, the employee must use his/her accrued leave balances
while obtaining the training for which he/she requests reimbursement. The
payment or reimbursement request must be made by the employee within six
months from the date of layoff for education-related training expenses incurred
within six months from the date ofthe layoff; OR
(b) Payment by the City for up to one month of outplacement services through a
career management services provider to be selected by the City, provided that
the request for such services is made by the employee within six months from
date of layoff.
While the employee is in the "trainee" position he/she cannot be impacted by another employee who
wishes to exercise his/her right to be demoted into a lower level classification and "bump" into a job
classification that he/she has previously held pursuant to Article 44 (g) ofthe MOU.
Ifthe City should decide to discontinue contracting out for IT help desk services, the three employees
included in this side letter would have the first opportunity to return to their current positions in the IT
Department. For employees who remain with the City, this right would expire after two (2) years.
Tentative Agreement entered into on //^I //V
[Date]
On Behalf of CCEA On Behalf of the City of Carlsbad
By: //-/ l\^ —' By:
Tye Gillespie, President Julie Clark, HR Director
Approved as to Form:
By:
S/t^^ssistant City Attorney