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* Legislation
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Resolution: R-10-0348
File Number: 10-01034b
City Hall
3500 Pan American
Drive
Miami, FL 33133
www.miamigov.com
Final Action Date: 8/31/2010
A RESOLUTION OF THE MIAMI CITY COMMISSION TO ADDRESS THE
FINANCIAL URGENCY PURSUANT TO SECTION 447.4095, BY MODIFYING
CERTAIN WAGES, HEALTHCARE AND PENSION BENEFITS EFFECTIVE
SEPTEMBER 30, 2010, IN THE COLLECTIVE BARGAINING AGREEMENT
BETWEEN THE CITY OF MIAMI AND THE INTERNATIONAL ASSOCIATION OF
FIREFIGHTERS, AFL-CIO, LOCAL 587, AS STATED HEREIN.
BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA:
Section 1. Pursuant to Section 447.4095, the Miami City Commission hereby modifies certain
wages, healthcare and pension benefits effective September 30, 2010, in the collective bargaining
agreement between the City of Miami and the International Association of Firefighters, AFL-CIO,
Local 587, in the following manner:
WAGES:
0 Tiered reduction in wages:
Salary Range Percent Reduction
Less than $39,999.99 0%
$40,000.00 - $54,999.99 5%
$55,000.00 - $74,999.99 7%
$75,000.000 - $119,999.99 9%
$120,000+ 12%
■ Modifications to supplemental pay items, including:
- Elimination of education pay supplements ($1,200 to $4,200)
- Converting supplements for fire prevention ($2,000), revenue incentive pay (3.7% of
base pay, IAFF only), and most others at 5% of base or higher to flat dollar amounts of
$1,500. Paramedic pay supplement converted to flat dollar amount of $4,825, which is
currently 14% of base pay. '
- No longer allowing supplemental pays to roll into base for calculation of overtime and
other supplemental payments added to base; and
■ Freezing Step and Longevity pay.
HEALTHCARE (to be implemented effective January 1, 2011):
Eliminating the HMO plan and modifying the POS Plan with the following changes:
In Network services changes:
0 Increase co -pays for primary and specialist care physician visits by $5 each; Add Plan
City of Miand Page I of 3 File Id. 10-01034b (Version: 2) Printed On: 8/4/2017
File Number: 10-01034b
Enactment Number: R-10-0348
deductible of $500 individual/$1,000 family from None; Add Out of Pocket Maximum of $3,000
individual/$6,000 family (including co -pays and deductibles) from None; Add Coinsurance of
80% from 100%; Increase in co -pays for brand drugs and non -preferred drugs; Increase
emergency room co -pay to $200 from $75, and Introduce co -pay of $50 for urgent care
facilities; Add 4th tier for employee with children.
Out of Network services changes:
0 Coinsurance of 60% after deductible for primary and specialist care visits from $25/$35; Plan
deductible of $1,000 individual/$2,000, family from $300 individual/$900 family; Out of Pocket
Maximum of $6,000 individual/$12,000 family (including co -pays and deductibles) from None;
Lower Coinsurance to 60% from 70%; Increase co -pays for brand and non -preferred drugs
consistent with In Network changes; Increase emergency room co -pay to $200 from $75, and
Introduce co -pay of $50 for urgent care facilities consistent with In Network benefit. Add 4th
tier for employee with children.
PENSION:
Implement the following changes to the FIPO Retirement Plan:
1. Normal Retirement Date: "Rule of 70" (age + years of service = 70 or more), with minimum
age 50 and 10 years of service. The new normal retirement date applies to all current
members who have not attained the normal retirement date under the current plan (Police:
"Rule of 64" or age 50 with 10 or more years of service; Fire: "Rule of 66" or age 50 with 10
or more years of service).
2. Benefit Formula: 3% per year for all future service. Current members retain benefit
percentage earned up to date of change, and earn 3% for each year of service after the
change.
3. Maximum Benefit: Revise current 100% of average final compensation benefit cap by
adding $100,000 per year maximum (applied to normal form of benefit). Any current
member who has accrued a benefit in excess of $100,000 per year as of date of plan
change will retain that benefit, but will not accrue any additional benefit.
4. Normal Benefit Form: 10 years certain and life for all members (currently married members
have a normal benefit of 40% joint & spouse survivor benefit, and non -married members
have a normal benefit of 10 years certain and life thereafter). Married members may elect
spouse survivor option at employee cost. Under the City proposal, the normal benefit form
for married members will be the same as for non -married members (10 years certain and life
thereafter).
5. Average final compensation: average of highest 5 years of service, to be phased in over
the next 4 years as follows: average final compensation for members who retire between
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File Number: 10-01034b
Enactment Number: R-10-0348
October 1, 2010 and September 30, 2011 will be based on highest 2 year average; average
final compensation for members who retire between October 1, 2011 and September 30,
2012 will be based on highest 3 year average; average final compensation for members who
retire between October 1, 2012 and September 30, 2013 will be based on highest 4 year
average; and average final compensation for members who retire on or after October 1,
2013 will be based on highest 5 year average. Provided, in no event will the average final
compensation of any member be less than the member's average final compensation as of
the date of the plan change.
Section 2. This Resolution shall become effective immediately upon its adoption and signature of
the Mayor.{1 }
Footnotes:
{1} If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar
days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become
effective immediately upon override of the veto by the City Commission.
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