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CR 2004-152 Approve 2004/2005 Police Officers Contract August 17, 2004 ~ Council Report 2004-152 ~""':".~ A--':::'~ ~ "., .~.,.-' ........:iii.-'C. . APPROVE 2004/2005 POLICE OFFICER'S CONTRACT Pronosed Action Staff recommends that the Council approve the following motion: Move approval of the 2004/2005 Contract for the Police Officer's Union. This action will ratify the 200412005 contract with the Police Officers Association. Overview The contract calls for a 2.25% wage increase effective January 1,2004, a .75% wage increase effective June 27, 2Q04 and a 2.0% wage increase effective January 1, 2005. The contract also provides for an increase in the City's contribution for insurance of $55.00/month for 2004. The increase will apply for employees with family, Single + 1, or Single + Children group health insurance. There is no increase for employees with single coverage. These employees will continue to receive $475.00 per month. Employees hired after January 1, 2004, who have single insurance, will receive a maximum of $475.00. For 2005 the increase in the City's contribution for health insurance will equal 1/2 of the average increase in family insurance. Again, there will be no increase for employees with single coverage. . Primary Issues to Consider . What other economic issues are included in the new contract? . How does this agreement fit in with the 2004/05 budget? . How does this agreement compare to other contract settlements for 2004/05 in terms of wage and benefit increases? Supporting Information . A copy of the contract is available ITom the Assistant City Manager. C 1 S A. Genellie ssistant City Manager Financial Impact: $ $37,470 Budgeted: Y IN Yes Source: General Fund Related Documents (CIP, ERP, etc.): . Notes: .-- -- - .- - Council Report 2004-152 . Page 2 Analysis of the Issues What other economic issues are included in the new contract? . Employees will receive one additional vacation day per year. . Employees will receive time and one-half when the have to work on Christmas Eve. . The monthly pay for the three Investigators has been raised to $250.00. How does this agreement fit in the budget? The City budgeted 2.5% for wage and benefit increases in 2004. The cost of the wage and insurance increase is within the budget. The 2% increase for 2005 meets the goal set out in the preliminary budget. How does this agreement compare to other contract settlements for 2004/05 in tenns of wage and benefit increases? 2004 settlements for other cities have generally been in the range of 3%. There are not enough 2005 settlements to detennine a trend. . Alternatives l. Approve the contract. Retroactive pay and benefit increases will be included in the next payroll. 2. Do not approve the contract. Staff would have to renegotiate the contract. Staff recommends Alternative #1. . ---- -~- --