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Home My WebLink AboutR-95-0224U-95-235 3/16/95 RESOLUTION NO. 95— 224 A RESOLUTION, WITH ATTACHMENT, ACCEPTING THE CITY MANAGER'S RECOMMENDATION AND AUTHORIZING THE CITY MANAGER TO AMEND ARTICLE 41, IN SUBSTANTIALLY THE ATTACHED FORM, IN AND FOR THE COLLECTIVE BARGAINING AGREEMENT ("AGREEMENT") BETWEEN THE CITY OF MIAMI AND THE FRATERNAL ORDER OF POLICE, LODGE NO. 20, FOR THE PERIOD OF OCTOBER 1, 1993 TO SEPTEMBER 30, 1995, UPON THE TERMS AND CONDITIONS SET FORTH IN ARTICLE 41, AS AMENDED, ATTACHED HERETO AND INCORPORATED BY REFERENCE INTO SAID AGREEMENT. WHEREAS, on September 27, 1993, the City Commission ratified the Collective Bargaining Agreement between the City of Miami and the Fraternal Order of Police, Lodge No. 20; and WHEREAS, in March, 1995, the City and the Fraternal Order of Police, Lodge No. 20 successfully completed negotiations on amendments to the existing pension article 41 of the existing labor agreement; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. ;hTTAT��T CON, T ki HIED CITY COMMISS"t0N, MEETING OF MAR 2 7 1995 Resolution No. 95— 224 C its:. Section 2. The recommendations of the City Manager are hereby accepted and the City Manager is authorized to amend Article 41, in substantially the attached form, in and for the Collective Bargaining Agreement ("Agreement") between the City of Miami and the Fraternal Order of Police, Lodge No. 20, for the period of October 1, 1993 to September 30, 1995 upon the terms and conditions set forth in Article 41, as amended, and attached hereto and incorporated by reference into said Agreement. Section 3. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 27th day of March 1995. Fh, ,/' STIEPHEN P. CDARK, MAYOR ATnST : MATTY HIRAI CITY CLERK PREPARED AND APPROVED BY: AMON IRIZAARI ASSISTANT ITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: (.J,All�w /// A! QU1gN JO , I I I CITY ATTORN 7 Rl:bf:csk:M4988 2 - 95- 224 R Amended 1993-1995 Contract ARTICLE 41 PENSION 41.1 The parties agree that at this time, they have joined with the City in a petition to modify the Gates Settlement as it pertains to COLA Funding, Asset Valuation Method, Cost Method, and resolution of the arbitration related to amortization approach. 41.2 COLA Distribution - The COLA will be disbursed in future years consistent with the methods agreed upon by the parties named herein: A) A representative of IAFF, Local 587 B) A representative of FOP, Lodge No. 20 C) The City Manager's designee and the Labor Relations Officer D) A representative of the FIPO Pension Board 41.3 Upon ratification of this amended 1993-1995 labor agreement, the City will provide to all employees eligible for service retirement under Section 40-212 (A) and (B) of the Code a one (1) time only window period in which to apply for retirement under this incentive program. Any employee who does not exercise the option to retire during this window period shall not be eligible for any incentives provided under this Retirement Incentive Program. Should an eligible employee opt to retire under this Retirement Incentive Program he/she shall be entitled to the following: A) Rule of sixty-four (64). An employee may elect service retirement on the basis of his or her 95- 224 -1- combined age and creditable service equalling sixty-four (64) provided the employee has reached minimum vesting requirements. An employee not otherwise eligible under the Rule of 64 during the window period may participate under this Retirement Incentive Program provided that: 1) He is eligible under the Rule of 64 prior to September 30, 1995; 2) That he execute an irrevocable election to retire upon attainment of the Rule of 64; and 3) That the irrevocable election to retire be executed during the one time window period. B) Five percent (5%) retroactive salary increase. In additional to benefits provided elsewhere in this Agreement, an employee who opts to retire under this one (1) time Retirement Incentive Program shall receive a retroactive salary increase of five percent (5%) for the employee's last or highest one (1) year's salaries. The five percent (5%) increase shall be reflected on the hourly pay rates for the purpose of calculating leave balance payoffs. The five percent (5%) salary increase shall not be applicable to overtime. C) Salary and wage benefits. Salary and wage benefits currently included for pension purposes shall be retroactive for one (1) year from the 95- 224 -2- date of retirement under the window period for pension purposes only. Retirement allowance shall be at the highest salary prior to the employee's retirement date. Salary and wage benefits under this subsection shall not be reflected in the hourly pay rate for purpose of calculating leave balance payoffs. The City shall make the employee's normal pension contribution for the salary and wage benefits as specified under this subsection. D) Leave balance payoff options. Employees electing to retire under this Retirement Incentive Program may select only one of the following leave balance payoff options: 1) The first full pay period following January 1, 1996 leave balance shall be paid as currently specified under the labor agreement and/or leave payoff practices. Leave balances shall bear a five percent (5%) annual interest from date of retirement. Employees electing this option shall receive one (1) year paid health insurance coverage of the type that the employee is currently enrolled with the City. The health insurance coverage shall be of the same quality that is presently offered retirees. 95- 224 -3- 17 1 2) The City shall fund up to a maximum of three (3) whole creditable service years for the employee based upon the value of the employee's available leave balance at time of retirement less required withholding taxes at present valve as actuarialy determined for each individual employee. Upon exhausting the value of the leave balances, employees may purchase the remainder of the three (3) years payment of cash to the Pension Trust. The hourly rate for calculation of the leave balances shall be as currently specified under the labor agreement and/or leave payoff practices. The purchase of service years under this option may not be utilized for Service/Rule of 64 retirement eligibility. If in the future the constructive receipt issue can be satisfactorily resolved, this benefit shall be available using pre-tax value of employees' leave balances. 41.4 Contingent upon the Gates modification being approved by the Court and the employee COLA contribution of two. percent (2%) ceasing (projected January 1, 1994), employees' pension contributions shall be increased from 8.5% to 10%. The retirement allowance for members shall be increased from 2.75% to 3% for each year of creditable service in excess of the first fifteen (15) creditable service years. This subsection shall not 95-- 224 -4- 1 become effective until there is an Ordinance by the City Commission specifically adopting this subsection. The City anticipates presenting this Ordinance together with modifications I following approval by the Circuit Court of the modifications i contained in the April 6, 1993 Memorandum of Understanding. If for whatever reason the Gates modification does not occur, the Union and the City shall reopen negotiations on this subject, 95- 224 -5- AMENDMENT TO LABOR AGREEMENT Whereas, the City of Miami and the Fraternal Order of Police, Lodge No. 20 have entered into negotiations to the existing labor agreement for the period of October 1, 1993 to September 30, 1995. It is hereby agreed that the existing Pension Article 41 is amended and incorporated by reference into the labor agreement for the period October 1, 1993 to September 30, 1995. ATTEST: ATTEST: CITY CLERK FRATERNAL ORDER OF POLICE WALTER E. HEADLEY, JR. MIAMI LODGE NO. 20 ON THE PART OF THE CITY OF MIAMI MIAMI, FLORIDA 95- 224 IF TO FROM CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM Honorable Mayor and Members of th ity Commission Cesar H. Odio City Manager M DATE : W 201995 FILE : SUBJECT : Resolution Amending 1993-1995 Labor Agreement Between the City of Miami and FOP, Lodge No. 20 REFERENCES: ENCLOSURES: It is recommended that the City Commission adopt the attached Resolution authorizing the execution of an amended labor agreement between the City of Miami and the employee organization known as the Fraternal Order of Police, Walter E. Headley, Jr., Miami Lodge No. 20 (FOP) for the period of October 1, 1993 through September 30, 1995 in accordance with the terms and conditions as set forth herein. The City Administration and FOP, Lodge No. 20 in a cooperative effort voluntarily entered into negotiations to streamline and operate government more efficiently. As a result of those negotiations, the City and FOP, Lodge No. 20 have agreed to modify the current labor agreement to provide a one time Retirement Incentive Program. Under the Retirement Incentive Program employees who would be eligible for retirement under "Rule of 64" or "Service" retirement may retire during the window period. Any employee reaching "Service" or "Rule of 64" eligibility after the retirement "window" but prior to September 30, 1995 may also participate during the retirement "window" with an irrevocable election and must retire upon attainment of "Service" or "Rule of 64." Employees electing this Retirement Incentive Program will receive a 5% salary increase retroactive for one year as well as any contractual increases already received retroactive for one year for pension purpose only. Additionally, two leave balance payoff options will be available to the employee: 1) Payment deferment of leave balances until January 1996 with 5% annual interest, or 2) The purchase of up to a maximum of three whole years of service at present value with after-tax dollars utilizing employee leave banks. The "Rule of 64" provision and the purchase of up to three whole years of service with.leave balances upon retirement would become permanent benefits. 95- 224 Honorable Mayor and Members of the City Commission RE: Amending FOP Labor Agreement Page 2 of 2 It is requested that the City Manager be authorized to entered into the attached amended labor agreement for 1993--1995 between the City of Miami and FOP, Lodge No. 20. cc: Manohar Surana, Assistant City Manager A. Quinn Jones, City Attorney Ramon Irizarri, Assistant City Attorney 95- 224 ,LdTr