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Home My WebLink About10E - Labor Negotiations MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: CITY COUNCIL AGENDA REPORT 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 December 17,2007 10E Kelly Meyer, Assistant City Manager CONSIDER APPROVAL OF A RESOLUTION RATIFYING THE 2008-2010 COLLECTIVE BARGAINING AGREEMENT BETWEEN THE CITY OF PRIOR LAKE AND AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES (AFSCME), COUNCIL #5, LOCAL NO. 3884. History: The American Federation of State, County and Municipal Employees, Council #5, Local 3884 (AFSCME) bargaining unit representing 46 employees (technical, maintenance, clerical) has been in existence at the City for many years. The current labor agreement is a three-year contract expiring December 31,2007. The negotiation process for 2008 and beyond began in September of this year when AFSCME submitted their Intent to Negotiate. The bargaining team representing AFSCME included Leo Dorn, Andy Stephes, Bruce Friedges, Janet Ringberg and Union Agent Lorita Powell. I negotiated on behalf of the City with the direction of the City Council and City Manager. We held four bargaining sessions to negotiate the proposed collective bargaining agreement to address wages and conditions of employment in accordance with the Public Employee Labor Relations Act (PELRA). Current Circumstances: From the City's perspective, the primary objectives in the negotiations were to (1) develop a long-term agreement which will provide some level of ongoing labor peace; (2) achieve an agreement which is reasonable economically given budget projections into 2009 and 2010, and (3) maintain as much consistency as possible between employee groups. Developing a 3-year agreement is beneficial because there is a longer period of contract stability within the City's employee groups. In addition, when the City negotiates fewer contracts overall, we save the staff time and resources that are typically expended during the negotiation process. State statute limits the maximum contract term for labor agreements to 3 years. When reviewing conditions of employment and economic feasibility, the City compares wages, benefits and fiscal health to those of similar communities, as well as to the general market. During this contract period the City also had the benefit of data from the completion of a classification and compensation study conducted in 2007. We also review any legislative changes and housekeeping items that may affect contract language. Lastly, the City reviews contract language to identify where existing provisions may need clarified, or where additional language is needed in anticipation of future trends or programs. Lastly, the City strives to maintain as much equity across employee groups as possible, both with respect to wages and benefits, and policy. This objective is not only beneficial to the employee groups from a fairness standard, but allows for much more efficient administration of the contracts, saving City dollars attributed to staff time. Conclusion: Staff believes that AFSCME and the City have negotiated the terms of this contract in good faith, and that the proposed labor agreement meets the primary objectives listed above. www.cityofpriorlake.com H:\HR\PERSONNEL\UNIONS\AFSCME\NEG(fllltWt~~Ef~l}4~ ~~~~~4@9~~~5PORT FOR 2008-10 CONTRACT.DOC ISSUES: The amendments to the contract are for wages and insurance. Shown below is a summary of the proposed amendments. A complete copy of the Labor Agreement is available in my office for your review. P dA d t t th A t rODose men men S 0 e lareemen : Duration: Three year term (Jan. 1, 2008- Dec. 31, 2010). This is consistent with the contract length for both LELS and Teamsters. Wage Adjustments: 2008 - 3.00% cost of living 2009 - 2.50% cost of living 2008 - 2.50% cost of living Health Insurance Increase for 2008 - $67 per month ($817) Family Coverage: 2007 - $33 per month ($850) 2008 - $25 per month ($875) *Premiums for Single Coverage are 100% paid by the City. Re-Structure of Salary Plan The results of the classification and compensation study showed the City generally out of market at entry level. To address this issue, the City proposed to restructure the 12 step pay plan to a 9 step plan with 2.5% between steps. Employee adjustments into the new pay plan will occur at their annual performance evaluations in 2008 and based upon satisfactory performance. Market Adjustments Several positions were adjusted into grades that were more consistent with the market, including Utility Billing Clerk, Senior Utility Billing Clerk, and a .75% adjustment to the range for the Maintenance V classification. Waaes: The City of Prior Lake has historically paid near the average for similar sized cities within the metro area. As you might imagine, some cities have been significantly impacted by the housing market downturn and are likely in a much different position with respect to their ability to provide average increases. Some metro cities that have "boomed" and added significant staff over the past several years are now faced with downsizing staff and/or providing smaller annual increases. While there is comparable cost of living data for 2008, many cities are currently negotiating or have unsettled contracts for 2009 and 2010. For metro area cities in 2008, the trend seems to indicate wage increases in line with the Mpls/St. Paul consumer price index (CPI-U), which is 2.8% (comparing 1st half of 2006 to 1st half of 2007). Seven metro cities that have settled contracts with maintenance and clerical staff for 2008 indicated the following increases: Farmington 3% for 2008, Hastings 3% for 2008, New Hope 2% on 1/1/08,2% on 7/1/08 Minnetonka 3% for 2008 New Brighton 3% for 2008 Shakopee 3% for 2008 Savage 3% for 2008 Often times it is difficult to directly compare cost-of-Iiving increases from city to city because we do not see the overall total compensation (salary and benefits), previous salary information, or specific circumstances. For example, the City of Savage is settled at 3% for 2008 and pays 50% contribution toward family health insurance premiums. For 2009, the City of Prior Lake is settled at 2.5% but pays a greater portion of monthly health insurance premiums. H:\HR\PERSONNEL\UNIONSIAFSCME\NEGOTIA TIONS 2008-2010 CONTRAcnCOUNCIL AGENDA REPORT FOR 2008-10 CONTRACT.DOC FISCAL IMPACT: CONCLUSION: ALTERNATIVES: RECOMMENDED MOTION: The cost of living increases proposed for 2008, 2009 and 2010 should place the City within a range consistent with the metro area, and help maintain a marketable salary for recruitment and retention purposes. The settlement also appears prudent from a budget perspective given the housing market downturn projected for the next several years. Health Insurance: For City contributions to employee family health insurance premiums, the 2006- 2008 LELS Labor Agreement has set the standard for insurance benefit for year 2008 ($817 per month for 2008). Because the City's objective is to maintain as much equity as possible across employee groups, these same increases are proposed in the AFSCME Labor Agreement, and for unrepresented employees as well. For 2008, the Agreement proposes a $67/month increase, bringing the City contribution to $817/month. As Council members have likely experienced, anticipating health insurance premium increases is not an easy feat. Over the past three years, the City has experience an average 7% increase in its health insurance premiums annually. The insurance settlement reached anticipates that both employer and employee will share in the cost of the increase in years 2009 and 2010. The 2008 operating budget has adequate funds to administer the contract including wage increase, and health insurance. Funds for 2009 and 2010 will be budgeted according to wage and benefit terms set out in the agreement, and will be less than a 5% increase to the overall budget for personnel. Labor agreements typically do not provide complete satisfaction to either party. There were additional provisions proposed by both parties where we did not reach agreement. This agreement represents an equitable conclusion of bargaining to meet the needs of both parties. Perhaps, most significant, the settlement allows both parties to focus on delivering services to our customers for the next three years rather than on labor negotiations. AFSCME Local 3884 voted to ratify the proposed agreement on Wednesday, December 12,2007, and it is now presented for Council action. The City Council has the following alternatives: 1. Approve the Resolution ratifying the Labor Agreement for January 1, 2008 - December 31, 2010. 2. Deny the Resolution 3. Adjourn into closed session to discuss the proposed changes. Alternative #1 - Motion and Second to Approve the Resolution Ratifying the 2008 - 2010 Labor Agreement between the CitY#f Prior Lake and AFSCME Council #5, Local 1 00, and authorizing the Mayor aua to xecute the Labor Agreement. Reviewed by: H:\HR\PERSONNEL\UNIONSIAFSCME\NEGOTIA TIONS 2008-2010 CONTRAcnCOUNCIL AGENDA REPORT FOR 2008-10 CONTRACT.DOC P R/>"O' " :? "\ . ~\ ~\ ~I h'Ji . J "~- / '<~~ES~~~// RESOLUTION 07-XX 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 A RESOLUTION AUTHORIZING EXECUTION OF THE 2008-2010 LABOR AGREEMENT BETWEEN THE CITY OF PRIOR LAKE AND AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES, COUNCIL 5, LOCAL 3884 Motion By: Second By: WHEREAS, the Public Employees Labor Relations Act as amended requires that the City negotiate with the exclusive bargaining representative for groups of essential and non-essential employees; and WHEREAS, the American Federation of State, County and Municipal Employees Union represents the Prior Lake maintenance, office and technical employees; and WHEREAS, negotiations have taken place which have resulted in an Agreement for 2008, 2009 and 2010; and WHEREAS, the employees who make up the this bargaining unit have ratified said Agreement; and WHEREAS, the Agreement becomes effective on January 1, 2008. Now THEREFORE, be it resolved by the City Council of the City of Prior Lake that it hereby ratifies the Agreement between the City of Prior Lake and American Federation of State, County and Municipal Employees Union effective January 1,2008 through December 31,2010. BE IT FURTHER RESOLVED, that the Mayor and City Manager are hereby authorized to execute the above referenced Agreement. PASSED AND ADOPTED THIS 17TH DAY OF DECEMBER, 2007. YES NO {Seal} Erickson Erickson Hauaen Haugen Hedbera Hedberg LeMair LeMair Millar Millar City Manager, City of Prior Lake www.cityofpriorlake.com Phone 952.447.9800 / Fax 952.447.4245 December 4, 2007 "L~B10IRA.:G[R'E!E1MI"ENT BETWEEN CITY OF PRIOR LAKE, MINNESOTA and COUNCIL #5, LOCAL 3884 AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES (AFL-CIO) January 1, 2008 through December 31, 2010 October 18,2004 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO TABLE OF CONTENTS ARTICLE 1: PREAMBLE ..... ....... ...... ....... ......................................... ........ 1 ARTICLE 2: RECOGNITION...... .................. ................................. ...... ..... 1 ARTICLE 3: DEFINITIONS............ ....... .......... .......................................... 1 ARTICLE 4: UNION SECURITY........... ............... ....... .............. ................ 3 ARTICLE 5: EMPLOYER AUTHORITY....... ........................ ......... ............ 3 ARTICLE 6: SENIORITY............ ................................................. ............. 4 ARTICLE 7: JOB POSTING ....................................................................5 ARTICLE 8: GRIEVANCE PROCEDURE ................................................ 5 ARTICLE 9: DISCIPLINE ..... ................. ........ .... ....................... ................ 7 ARTICLE 10: PROBATIONARY PERIODS............................................... 7 ARTICLE 11: WORK SCHEDULES................. .......... ........... ........ ........ .... 8 ARTICLE 12: WORK RULES .................................................................... 8 ARTICLE 13: WORKING OUT OF CLASS ............................................... 8 ARTICLE 14: OVERTIME..................... ........... .................... ......... ............. 9 ARTICLE 15: CALL BACK PAy................................................................ 9 ARTICLE 16: ON CALL DUTY/STANDBY PAy........................................ 9 ARTICLE 17: HOLIDAYS .................... .......... .... .............................. ........ 10 ARTICLE 18: VACATION ........................................................................ 11 ARTICLE 19: SICK LEAVE ..................................................................... 11 1\ H:\HR\Personnel\Unions\AFSCME\labor agreement\2008-201 o\COVER - 2008-201 O.DOC October 18, 2004 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO ARTICLE 20: EMERGENCY LEAVE...................... ............. ........ ....... ..... 12 ARTICLE 21: MI LIT ARY LEAVE........................ ...... ...... .......... ............... 12 ARTICLE 22: LEAVES OF ABSENCE ....................................................13 ARTICLE 23: ABSENCE WITHOUT LEAVE........................................... 13 ARTICLE 24: SEVERANCE PAy............................................................ 13 ARTICLE 25: UNIFORM ALLOWANCE .................................................. 14 ARTICLE 26: AUTOMOBILE ALLOWANCE ........................................... 14 ARTICLE 27: LICENSE REQUIREMENTS .............................................14 ARTICLE 28: SERVICE TRAINING ........................................................ 14 ARTICLE 29: TUITION REIMBURSEMENT ........................................... 14 ARTICLE 30: INSURANCE..................................................................... 15 ARTICLE 31: RIGHT OF SUBCONTRACT ............................................ 15 ARTICLE 32: PART-TIME EMPLOYEES ................................................ 15 ARTICLE 33: SEASONAL AND TEMPORARY EMPLOyEES................ 16 ARTICLE 34: SAVINGS CLAUSE .......................................................... 16 ARTICLE 35: DURATION...... ................ .................................................. 16 S I G NA T U RES ......................................................................................... 1 7 APPENDIX APPENDIX A: 2008, 2009, 2010 PAY RANGES ........................................i APPENDIX B: PAY SYSTEM GUIDELINE ................................................ii APPENDIX C: PERFORMANCE APPEAL PROCESS .............................iv APPENDIX D: STATEMENT CONCERNING SEXUAL HARASSMENT....v III H:\HR\Personnel\Unions\AFSCME\labor agreement\2008-201 o\COVER - 2008-201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Local 3884, AFSCME AFL-CIO ARTICLE 1: PREAMBLE This agreement entered into by the City of Prior Lake, hereinafter referred to as the EMPLOYER, and Local 3884 affiliated with Council 5, and the American Federation of State, County, and Municipal Employees, AFL-CIO, hereinafter referred to as the Union has, as its purpose the promotion of harmonious relations between the EMPLOYER and the Union; the establishment of an equitable and peaceful procedure for the resolution of differences; and the establishment of rates of pay, hours of work and other conditions of employment. ARTICLE 2: RECOGNITION 2.1 The EMPLOYER recognizes the Union as the exclusive representative for a unit of employees of the City of Prior Lake composed as follows: All Employees of the City of Prior Lake, Minnesota, who are public employees within the meaning of Minnesota Statute 179A.031, subdivision 145, excluding supervisory, confidential and essential employees per BMS Case No. 93-PCE-1260. 2.2 In the event the EMPLOYER and the Union are unable to agree as to the inclusion and exclusion of a new or modified job class, the issue will be submitted to the Bureau of Mediation Services for determination. 2.3 The EMPLOYER shall not enter into any agreements covering terms and conditions of employment with employees of the bargaining unit under the jurisdiction of the agreement, whether individually or collectively, which in any way conflict with the terms and conditions of the agreement except through the certified representative. ARTICLE 3: DEFINITIONS: 3.1 The terms used in this agreement shall be defined as follows: A) Base rate of pay: The employee's hourly or monthly pay rate exclusive of overtime premium pay or special allowance. B) City Employment Anniversary Date: The date when the employee began performing services for the City of Prior Lake as a regular part-time or regular full-time employee. The base date for calculation of applicable benefits such as vacation leave, sick leave, insurances, and of "employer seniority" and, in many instances, "classification seniority", and, where applicable, of probation. C) Days: Unless otherwise indicated, means working days exclusive of holidays. D) Demotion: A change by an employee from a position in one work classification to a position in another classification with less responsible duties and a lower salary range. E) Department: A division of the City of Prior Lake government. F) Emerqency: A situation or occurrence of a serious nature developing suddenly and unexpectedly and demanding immediate action as determined by the EMPLOYER. 1 H:\HR \Personnel\Unions\AFSCME\Iabor agreement\2008-20 1 O\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO G) Emplovee: A member of the exclusively recognized bargaining unit as defined in this Agreement. H) Emplovee Representative: For the purposes of this Article the Employee Representative is AFSCME CouncilS. I) EMPLOYER: The City of Prior Lake and its designated representatives. J) Exempt Position: A salaried position exempt from the provisions of the federal Fair Labor Standards Act. K) Full Time Emplovee: An employee who has completed their probationary period and who works at least forty (40) hours per week on an annual basis. L) Lavoff: Separation from service with the EMPLOYER, necessitated by lack of work, lack of funds or other reasons without reference to incompetence, misconduct or other behavioral considerations. M) Leave of Absence: An approved absence from work duty during a scheduled work period with or without compensation. N) Overtime: Work performed, at the express authorization of the EMPLOYER in excess of forty (40) hours per week. 0) Part-time Emplovee: An employee who has completed their probationary period and who is regularly scheduled to work less than forty (40) hours per week on an annual basis. P) Position Anniversary Date/Performance Review Date: The date when the employee began performing services for the City in the current position. The base date from which "department seniority" and, in some instances, "classification seniority", and, where applicable, the probation period are calculated. This date will also be used as the Performance Review Date. Q) Probationary Emplovee: an employee placed in a new position through hiring or transfer who has not completed six (6) months of employment in that position. R) Promotion: A change of an employee from a position in one work classification to a position in another work classification with more responsible duties and higher salary range. S) Pvramidinq: The payment of more than one form of premium compensation for the same hours worked. T) Reqular Emplovee: A member of the exclusively recognized bargaining unit defined in this Agreement who has completed the required probationary period for newly hired or re-hired employees. U) Satisfactory Evaluation: A rating of three (3) or higher on the Performance Evaluation form. A "three (3)" is defined as a fully qualified performer. V) Seniority: Length of service established by Article 6. W) Temporary / Seasonal Emplovee: An employee who works less than 140 working days in a calendar year designated by the EMPLOYER as seasonal or temporary. X) Union: The American Federation of State, County and Municipal Employees (AFSCME), Council S, AFL-CIO. Y) Union Member: A member of AFSCME, CouncilS, Local 3884. Z) Union Officer/Steward: An officer elected or appointed by AFSCME, Council 5, Local 3884, AFL- CIO. 2 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO ARTICLE 4: UNION SECURITY 4.1 The EMPLOYER agrees to deduct Union dues from the wages of those employees who individually request in writing that such deductions be made. The EMPLOYER will remit monthly such deductions to the Union with a list of the names of the employees from whose wages the deductions were made. The Union shall certify to the EMPLOYER in writing the amount of dues to be withheld. 4.2 Any present or future employees who are not Union members may be required to contribute a fair share fee for the services rendered by the Union. Upon notification by the Union, the EMPLOYER shall deduct said fee from the earnings of the employee and transmit the same to the Union. This provision shall remain operative only so long as specifically provided by Minnesota law, and it is otherwise legal. 4.3 The Union agrees to indemnify and hold the EMPLOYER harmless against any and all claims, suits, orders or judgments brought or issued against the EMPLOYER, as a result of any action taken or not taken by the EMPLOYER under the provisions of this article. 4.4 The EMPLOYER agrees to furnish and maintain a bulletin board for the posting of Union notices. The Union shall limit its bulletin board postings to official Union notices. 4.5 The EMPLOYER agrees to recognize, upon certification from the Union, three (3) stewards. Employees may designate any steward for their representative functions provided that once a steward is selected for a specific action, the designated steward will not normally be changed. 4.6 Non-employee representatives of the Union shall be permitted to come on the premises of the EMPLOYER for the purpose of investigating and discussing grievances provided the Union Representative does not interfere with the work of employees. ARTICLE 5: EMPLOYER AUTHORITY 5.1 The EMPLOYER retains the full and unrestricted right to operate and manage all manpower, facilities, and equipment; to determine the utilization of technology; to establish and modify the organizational structure; to select, direct and determine the number of personnel; to establish work schedules, and to perform any inherent managerial function not specifically limited by this AGREEMENT. 5.2 Any term and condition of this employment not specifically established or modified by this AGREEMENT shall remain solely within the discretion of the EMPLOYER to modify, establish or eliminate. 3 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008-20 1 O\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO ARTICLE 6: SENIORITY 6.1 Types of seniority: There shall be three types of seniority established by the AGREEMENT. A) Employer Seniority: The total length of continuous service with the City. B) Department Seniority: The total length of service within a specific department or division of City service. C) Classification Seniority: The total length service within a work dassificalion. 6.2 Breaks in Seniority: An employee's seniority shall be broken by voluntary resignation, discharge, retirement or 18 months after layoff with no recall. 6.3 Seniority shall determine the order of: A) Layoff: which shall be by classification within the City, in inverse order of classification seniority, unless the senior employee is unable to perform the work as outlined in the job description. However, an employee about to be laid off shall have the right to bump (displace) any employee in a lower classification, provided that the EMPLOYER determines the job relevant qualification factors between employees is equal. B) Recall from layoff: Which shall be by classification within the City, in inverse order of layoff, provided that, if an employee does not return to work upon recall, as directed by the EMPLOYER, or on an extended date mutually acceptable to the employee and the EMPLOYER, she/he shall automatically have terminated his/her employment. Recall notification shall be by registered or certified mail to the employee's last known address for an indefinite layoff an shall be contained in the layoff notice for layoffs for a definite period. An employee's name shall be retained on the recall list for eighteen (18) months, at which time all rights to recall shall terminate. 6.4 The EMPLOYER shall issue written notice of an indefinite layoff at least ten (10) calendar days in advance of layoff and will meet and confer with the Union to attempt to minimize the impact of the layoff on unit members. The EMPLOYER shall issue written notice of recall from an indefinite layoff to affected employees, providing at least seven (7) calendar days to return to work. An indefinite layoff shall be defined as a layoff made for an indeterminate period at the time of notice or any layoff of forty-five (45) or more days. The EMPLOYER may layoff an employee for a definite period of forty-four (44) days or less by giving written notice to the affected employees. 6.5 Temporary and seasonal employees in the same department and classification shall precede regular employees in layoff. No new employees shall be hired in a work classification within a department where there are employees on layoff status until all laid off employees have been recalled in accordance with the provisions above. 6.6 The EMPLOYER is committed to hiring the most qualified candidate for City service. When all other qualifications are equal, the EMPLOYER shall select the applicant with the greater service seniority for the job opening. Positions where employees are reclassified shall not be considered vacant or newly created for the purpose of this section. 4 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO ARTICLE 7: JOB POSTING 7.1 The EMPLOYER reserves the right to advertise for any and all position openings. The EMPLOYER agrees to provide a written posting in a conspicuous place on the department bulletin board, at least five (5) days prior to filling such vacant or newly created position so that the employees may indicate by their interest in the job vacancy an application before the advertised deadline. 7.2 Promotion from within: The EMPLOYER supports the concept of promotion from within the job classifications for the designated bargaining unit when the candidate: A) Has the necessary qualifications to meet the standards of the job vacancy. B) Has the ability to perform the duties and responsibilities of the job vacancy, and, C) Is the most qualified candidate for the position as determined through recruitment, testing and interviews. Such determination shall be solely made by the EMPLOYER. ARTICLE 8: GRIEVANCE PROCEDURE 8.1 Definition of a Grievance: A grievance is defined as a dispute or a disagreement, as to the interpretation or application of the specific terms and conditions of this AGREEMENT. 8.2 Processing a Grievance: It is recognized and accepted by the EMPLOYER and the Union that the processing of grievances as hereinafter provided is limited by the job duties and responsibilities of the employees and shall therefore be accomplished during normal working hours only when consistent with such employee duties and responsibilities. The aggrieved employee and the Union representative shall be allowed a reasonable amount of time without loss of pay when a grievance is investigated and presented to the EMPLOYER during normal working hours provided the employee and the Union representative have notified and received the approval of the EMPLOYER and who has determined that such absence is reasonable. 8.3 Procedure: Grievances, as defined by Article 8.1 shall be resolved in conformance with the following procedure. Step 1. An employee claiming a violation concerning the interpretation or application of this contract shall, within ten (10) calendar days after such alleged violation has occurred, present such grievance to the Employee's immediate supervisor. The grievance shall be placed in writing and set forth the nature of the grievance, the facts on which it is based, the provision or provisions of the contract allegedly violated, and the remedy requested. The immediate supervisor shall respond to the grievance within ten (10) calendar days of receipt of the written grievance. The Union may appeal the immediate supervisor's answer to Step 2 within ten (10) calendar days of the answer in Step 1. Any grievance not appealed in writing to Step 2 by the Union within ten (10) calendar days shall be considered waived. Step 2. If appealed, the written grievance shall be presented by the Union and discussed with the employee's department head. The department head shall give the Union the EMPLOYER's answer in writing within ten (10) calendar days after receipt of such Step 2 grievance. A grievance not resolved in Step 2 may be appealed to Step 3 within ten (10) 5 H:\HR\Personnel\Unions\AFSCME\labor agreement\2008-20 1 O\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO calendar days following the department head's answer in Step 2. Any grievance not appealed in writing to Step 3 by the Union within ten (10) calendar days shall be considered waived. Step 3. If appealed, the written grievance shall be presented by the Union and discussed with the City Manager. The City Manager, or his/her designee shall give the Union the EMPLOYER's answer in writing within ten (10) calendar days after receipt of such Step 3 grievance. If grievance is not resolved in Step 3, it may be appealed to Step 4 within ten (10) calendar days of receipt of the City Manager's or his or her designee's answer in step 3. Any grievance not appealed in writing to Step 4 by the Union within ten (10) days shall be considered waived. Step 3A. Prior to submission of a dispute to arbitration, the Union may request that the dispute be mediated through the services of the Bureau of Mediation Services. If the EMPLOYER agrees to mediation, the timelines set forth in Step 3 to appeal to Step 4 shall be tolled until the completion of the mediation. Step 4. A grievance unresolved in Step 3 and appealed to Step 4 shall be submitted to arbitration subject to the provisions of the Public Employment Labor Relations Act of 1971. The selection of an arbitrator shall be made in accordance with the "Rules Governing the Arbitration of Grievance" as established by the Bureau of Mediation Services. 8.4 Arbitrator's Authoritv: The arbitrator shall have no right to amend, modify, nullify, ignore, add to or subtract from the terms and conditions of this contract. The arbitrator shall consider and decide only the specific issue(s) submitted in writing by the EMPLOYER and the Union, and shall have no authority to make a decision on any other issue not so submitted. The arbitrator may not ignore the language of the agreement, to pursue the rules of the shop or other considerations beyond the scope of the written agreement. the arbitrator shall be without power to make decisions contrary to, or inconsistent with, or modifying or varying in any way the application of laws, rules or regulations having the force and effect of law. The arbitrator's decision shall be submitted in writing thirty (30) days following the close of the hearing or the submission of briefs by the parties, whichever be later, unless the parties agree to an extension. The decision shall be binding on both the EMPLOYER and the Union and shall be based solely on the arbitrator's interpretation or application of the express terms of this agreement and to the facts of the grievance presented. 8.5 Arbitrator's Fees: The fees and expenses for the arbitrator's services and proceedings shall be borne by the EMPLOYER and the Union, provided that each equally be responsible for compensating its own party's representatives and witnesses. If either party desires a verbatim record of the proceedings, it may cause such a record to be made, providing it pays for the record. If both parties desire a verbatim record of proceedings, the cost shall be shared equally. 8.6 Waiver: If a grievance is not presented within the time limits set forth above, it shall be considered "waived". If a grievance is not appealed to the next step within the specified time limit or any agreed extension thereof, it shall be considered settled on the basis of the EMPLOYER'S last answer. If the EMPLOYER does not answer a grievance or an appeal thereof within the specified time limits, the Union may elect to treat the grievance as denied at that step and immediately appeal the grievance to the next step. The time limit of each step may be extended by mutual agreement of the EMPLOYER and the Union. 6 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008-20 1 O\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO 8.7 Choice of Remedv: If, as a result of the written EMPLOYER's response in Step 3 or mediation in Step 3A, the grievance remains unresolved, and if the grievance involves the suspension, demotion or discharge of an employee who has completed the required probationary period, the grievance may be appealed either to Step 4, or a procedure such as: Civil Service or Veterans Preference. If appealed to any procedure other than Step 4, the grievance is not the subject of the arbitration procedure as provided in Step 4. The aggrieved employee shall indicate in writing which procedure is to be utilized, Step 4, or any other appeal procedure, and shall make a statement to the effect that the choice of any other hearing precludes the aggrieved employee from making a subsequent appeal through Step 4. ARTICLE 9: DISCIPLINE 9.1 The EMPLOYER will discipline non-probationary employees for just cause. Discipline will be in one or more of the following forms: (1) Oral reprimand, (2) Written reprimand, (3) Suspension, (4) Demotion, (5) Discharge. 9.2 Notice of suspensions, demotions, and discharge will be in written form and will state the reasons for the action taken. The- Union will be provided with a copy of all written reprimands, notice of suspensions, demotions or discharges with the approval of the disciplined employee. 9.3 Written reprimands, notices of suspensions and notices of discharge which are to become a part of an employee's personnel file shall be read and acknowledged by signature of the employee. The employee will receive a copy of such reprimands and notices. 9.4 Employees may examine their personnel files at reasonable times under the direct supervision of the EMPLOYER. 9.5 An Employee will not be questioned concerning the disciplinary action without a Union Steward present, if the employee requests the presence of a Union Steward. ARTICLE 10: PROBATIONARY PERIODS 10.1 All newly hired or re-hired employees will serve a six month probationary period subject to a satisfactory or better performance evaluation from the Employee's supervisor. This probationary period may be extended at the discretion of the EMPLOYER for up to thirty (30) days. The Employee will be notified of any extensions and the reasons for the extension prior to the end of the initial probationary period. At any time during the probationary period a newly hired or re-hired employee may be disciplined or terminated at the sole discretion of the EMPLOYER and employee shall have no recourse to the grievance procedure regarding discipline or termination. a probationary employee, however, shall have the right to bring a grievance alleging a violation of any other provision of the contract. 10.2 All employees promoted or transferred will serve up to a six (6) month probationary period for any job classification in which the Employee has not previously completed a probationary period. 7 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO Successful completion of the probationary period is subject to a satisfactory or better performance evaluation by the EMPLOYER. During the first forty-five (45) days of the probationary period, a promoted or reassigned Employee may return to his/her former position upon giving notice to the EMPLOYER. An Employee may be required to return to his/her former department and rate of pay at the sole direction of the EMPLOYER during the probationary period. ARTICLE 11: WORK SCHEDULES 11.1 The provisions of this Article shall apply to non-exempt employees under the Fair Labor Standards Act. 11.2 The normal work week shall be forty (40) hours Monday through Friday. Nothing herein shall be construed as a guarantee of hours of work per day or per week. 11.3 The normal work year shall be 2,080 hours per year. 11.4 Work Shift: Work shifts, flex time arrangements, staffing schedules and the assignment of Employees thereto shall be established by the EMPLOYER. 11.5 Work Schedule Chanqes: The EMPLOYER will give seven (7) calendar days advance notice of change in work schedule. In the event that work is required because of unusual or emergency circumstances such as, but not limited to, snow, sleet, fire, flood or breakdown of municipal equipment or facilities, not advance notice need be given. 11.6 It is recognized that service to the public may require establishment of non-regular shifts for some employees on a daily, weekly, seasonal or other basis than the normal work week or day and the schedule may include Saturdays, Sundays or evenings. 11.7 Work Breaks: Employees shall receive one (1) unpaid thirty (30) minutes lunch break at the middle of their shift and two paid fifteen (15) minute breaks per eight (8) hour shift. With the approval of the EMPLOYER, an employee may use both fifteen (15) minute breaks in the first half or second half of a shift or combine them with their unpaid lunch break. ARTICLE 12: WORK RULES 12.1 The EMPLOYER shall have the right to establish work rules that are not in conflict with this agreement. ARTICLE 13: WORKING OUT OF CLASS 13.1 An employee who is specifically assigned to perform work which is at a higher classification shall receive his/her regular rate of pay for the first ten (10) consecutive working days of such work, and shall receive the minimum of the range of the higher classification or three (3) percent of the employee's salary, whichever is greater, for each day thereafter. In no case shall the out of class pay exceed the maximum of the salary range of the higher classification. For the purposes of this 8 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO Article an out of the class position is one which has a higher range minimum than the employee's position. ARTICLE 14: OVERTIME 14.1 Definition: All hours worked by non-exempt employees in excess of forty (40) per week shall be considered overtime. A week is defined as Sunday through Saturday. 14.2 Overtime Rate: All employees shall be compensated for all overtime hours worked at the rate of time and one-half (1 1/2) the employee's base pay rate. Accrual and use of compensatory time shall be subject to the prior approval of the EMPLOYER. No employee shall retain more than forty (40) hours in the compensatory time bank; hours earned in excess of forty (40) shall be paid on their next payroll check at the appropriate rate. 14.3 No Pvramidinq of Hours: The base pay rate or premium compensation shall not be paid more than once for the same hours worked under any provisions of this AGREEMENT nor shall there be any pyramiding of premium compensation. 14.4 Overtime shall be voluntary except in emergencies or when the required employees are not available on a voluntary basis. If there are no volunteers sufficient for a work assignment, the City will assign the overtime to employees at the discretion of the EMPLOYER. ARTICLE 15: CALL BACK PAY 15.1 An Employee called to work at a time other than the Employee's regularly scheduled shift will be compensated at a minimum of two (2) hours pay at one and one-half (1 1/2) the Employee's current base pay. Extensions, changes in shifts, or call to report to work early shall not qualify for call back pay. ARTICl-E 16: ON CALL DUTY/STANDBY PAY 16.1 Employees directed by the Employer to be on call or on standby Monday through Friday will be compensated for a minimum of one (1) hour for each day on which they are on standby, and will be paid at one and one-half (1 'Yz) of the Employee's normal rate of pay. Employees directed by the Employer to be on call or on standby Saturday, Sunday or Holidays will be compensated for a minimum of two (2) hours for each day on which they are on standby, and will be paid at one and one-half (1 'Yz) of the Employee's normal rate of pay. 16.2 In addition to on call/standby pay, Employees scheduled to work on the days they are directed to be on call or on standby shall be paid at one and one-half (1 'Yz) of the Employee's normal rate of pay. 16.3 Call outs while on call/standby will be paid for a two (2) hour minimum at the rate of one and one- half (1 'Yz) of the Employee's normal rate of pay. 9 H: \HR \Persolh'1el\Unions\AFSC:ME\labor agreement\2008- 201 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Loca13884, AFSCME AFL-CIO ARTICLE 17: HOLIDAYS 17.1 The EMPLOYER shall recognize as paid eight (8) hour holidays those holidays specified as follows: ...~~.~.~.~.ry..~~..................................................................................................................... ..~~~...~.?~~~y..i.f.1...J..~.~.~~.ry............................................................................... 3rd Monday in February .............................................................................................................................................................. ....I.~~~...~.l:).~.~~y..i.~..~.~)'..................................................................................... July 4th .............................................................................................................................................................. 1st Monday in September ....................h....................................................._..................................................._.......................... November 11th .......................................................................................................................................................... 4th Thursday in November ..............................................................................................__......................................___......n............ ...~.~~.~~y....!~.I.~.?~.~.~.~..~.~.~..!~.~.~:5..~.~.y....i..~...~~Y..~.~.~.~.~.............. December 24th ......................................................................-......................................................-............................... December 25th 17.2 All regular full-time employees who have completed probation shall be eligible for a floating holiday. Scheduling of an Employee's floating holiday shall be by mutual agreement between the Employee and his/her supervisor. A floating holiday cannot be carried over from one year to the next. 17.3 An employee shall be eligible for holiday pay provided that he/she is on paid status on the scheduled work day immediately prior to the holiday and the scheduled work day immediately after the holiday. 17.4 When a holiday, as designated in this Article, falls on Sunday, the following day (Monday) shall be considered the holiday. When a holiday, as designated in this Article, falls on a Saturday, the preceding day (Friday) shall be considered the holiday. An employee, regardless of his/her work schedule, shall receive the same number of holidays as an employee whose normal work week is Monday through Friday. 17.5 Non-exempt employees assigned and required by the EMPLOYER to work on a holiday as designated in this Article, shall receive overtime compensation at one and one-half (1 1/2) times their base rate of pay for worked, plus the holiday compensation at their base rate of pay (up to eight (8) hours), but in no case shall the total compensation amount to more that two and one-half (2 1/2) times the employees base rate of pay. 10 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008-20 10.DOC I December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Local 3884, AFSCME AFL-CIG ARTICLE 18: VACATION 18.1 Full-time and regular part-time employees shall accrue vacation leave during the probationary period, but are not allowed to use vacation time until after the probationary period has been completed. A promoted or transferred employee on probation who has earned vacation may request to schedule and use a vacation leave while on probation. Vacation time shall accrue on a pro-rata monthly basis on the following annual schedule: 80 120 160 168 176 184 192 200 Regular Part-Time Employees Years of Annual Hours Service Earned 0-5 8 6 or more 24 18.2 Schedulinq vacation time: Department heads are responsible for scheduling the vacation leaves of their employees. Vacation of over two days should be scheduled at least three (3) weeks in advance. Employees are encouraged to give one (1) week notice for one (1) to two (2) vacation day requests. 18.3 Accumulatinq vacation time: Full-time and regular part-time employees may carry accrued vacation leave balances equal to two times their annual vacation earnings. For example, an employee earning two (2) weeks of vacation time annually, will be allowed to carry a vacation balance up to four (4) weeks. Accruals exceeding the maximum balance shall be considered lost on December 31 st of each year. ARTICLE 19: SICK LEAVE 19.1 Accrued sick leave: All full time and part time employees, including probationary employees but excluding temporary and seasonal employees, shall earn sick leave. Full time employees shall earn sick leave at a rate of one eight (8) hour day per month. Sick leave will accrue for part time employees working more than 20 hours per week pro-rata based on hours worked times the accrual rate of .0462 per hour worked. 19.2 Eliqibilitv for sick leave: All employees, except probationary employees may be allowed to use accumulated sick leave in the event of illness or injury to the employee or his/her children or spouse. 19.3 Employees may accumulate the unused portion of sick leave to a maximum of one hundred twenty (120) days. 11 H:\HR \PersonneI\Unions\AFSCME\Iabor agreement\2008-20 1 O\LABORAGT2008-20 10.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Loca13884, AFSCME AFL-CIO 19.4 Once a year Employees who have accumulated at least ninety (90) days of sick leave may receive payment through a payroll check for their sick leave days in the excess of ninety (90) days at fifty percent (50%) their current rate of pay. This option once exercised by an Employee shall continue until termination of employment. 19.5 Sick Leave may be authorized for the following reasons with the limitations as specified: A) For illness or injury, preventive exams, dental or medical treatment for the employee or their immediate family (where there are no other responsible adults available in the household). B) Sick leave usage shall be subject to the approval and verification by the department head, who may require the employee to furnish a report for an absence of three (3) days or more from a recognized medical authority attesting to the necessity of the leave, ability to return to duty or other information deemed necessary. 19.6 Disabilities caused or contributed to by pregnancy, miscarriage, abortion, childbirth and recovery therefrom, are, for all job related purposes, temporary disabilities and shall be treated as any other illness. ARTICLE 20: EMERGENCY LEAVE 20.1 An employee may be granted emergency leave by the EMPLOYER if a critical situation such as a serious illness or a death has occurred in the immediate family. Such leave may be taken from sick leave, floating holiday, vacation leave, or without pay, in that order. 20.2 An employee may be allowed to use one (1) day of his/her accumulated sick leave in the event a member of the employee's immediate family is hospitalized due to critical illness or injury. One (1) such leave day shall be allowed in a calendar year. 20.3 Funeral Leave. An Employee may be granted up to three (3) days of paid leave in conjunction with a death of a member of the Employee's immediate family. 20.4 Definition of Immediate Familv. For the purposes of ARTICLE 20 Section 1, 2, and 3, immediate family shall be defined as the employee's parents, spouse, brother, sister, spouse's parents, children, spouse's brother or sister, grandparents or spouse's grandparents. 20.5 The EMPLOYER shall provide unpaid leaves of absence, in addition to any other leave authorized by this AGREEMENT, in conformance with State or Federal law. ARTICLE 21: MILITARY LEAVE 21.1 In accordance with State and Federal laws, any employee required by official military orders or related authority to attend Military Reserve training shall receive full wages at his/her current base pay rate for the period of the active duty required for such training, not to exceed fifteen (15) calendar days per calendar year. The employee shall present the EMPLOYER with copies of the official orders received as soon as practical after the necessity for the leave is known. 12 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008-20 1 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO ARTICLE 22: LEAVES OF ABSENCE 22.1 Employees shall be eligible for leaves of absence after one year's service with the EMPLOYER. 22.2 Application for leave shall be submitted in writing by the employee to the EMPLOYER. The request shall state the reason the leave of absence is being requested and the length of time off the employee desires. Authorization for a leave of absence shall be furnished to employee by the EMPLOYER in writing. 22.3 A request for a leave shall be answered within ten (10) work days. 22.4 Employees will be granted a paid leave of absence to undergo a medical procedure to donate bone marrow in accordance with applicable state law. 22.5 Neither benefits nor salary increases will be earned by employees while on a leave of absence without pay. Employees returning to work after leave without pay will be paid at the same rate of pay received before the leave began. 22.6 Health, dental and life insurance, if it is kept in force, must be paid in full by the employee during an authorized leave of absence. 22.7 Failure on the part of the employee to request an extension prior to expiration of a leave of absence without compensation, or to notify the EMPLOYER within three (3) calendar days after the expiration of such granted leave, shall be considered a resignation from City service. ARTICLE 23: ABSENCE WITHOUT LEAVE 23.1 Any absence of an employee from scheduled duty that is not promptly reported to and authorized by the EMPLOYER shall be deemed an absence without leave. Any employee absent without leave shall be subject to disciplinary action and any employee absent without leave for three (3) consecutive days shall be deemed to have resigned his/her employment, provided that the EMPLOYER may grant approval for leave subsequent to the unauthorized absence if the EMPLOYER determines the circumstances surrounding the absence warrant such action. ARTICLE 24: SEVERANCE PAY 24.1 An employee who has worked for the City for at least five years and who retires or otherwise terminates employment for reasons other than discharge shall receive fifty (50) percent of the accrued, but unused sick leave. The severance pay shall be paid at the r?te of the employee's last rate of pay as of the date of termination. . 24.2 An employee who retires or otherwise terminates employment will receive one hundred (100) percent of the employee's accrued, but unused vacation leave. 13 H:\HR\Personnel\Unions\AFSCME\labor agreement\2008-20 1 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO 24.3 In the event of the death of an active employee, the estate of said employee shall be paid one hundred (100) percent of the employee's accrued but unused sick leave and vacation leave. ARTICLE 25: UNIFORM ALLOWANCE 25.1 The EMPLOYER agrees to provide a uniform to those employees who are required by the EMPLOYER to wear a uniform. ARTICLE 26: AUTOMOBILE ALLOWANCE 26.1 Employees required by the City to use their personal cars while engaged in City work shall be reimbursed by the City for the number of miles they travel at the rate established by the City Council. ARTICLE 27: LICENSE REQUIREMENTS 27.1 The City agrees to reimburse employees for the following required Licenses and renewal of same: Water Operators License Sewage Treatment System Certificate Sewer Operations License Building Inspectors License, Class I, II Master's Plumbers License Journeyman Plumber's License Professional Engineers Registration Limited Accessibility Specialist I.C.B.O. Building Inspector 27.2 Employees shall not use licenses paid by the EMPLOYER for personal or private employment or gain. ARTICLE 28: SERVICE TRAINING 28.1 The EMPLOYER agrees to pay the costs of tuition and program materials for any workshops, conferences or other training sessions which the City requires an employee to attend. ARTICLE 29: TUITION REIMBURSEMENT 29.1 The EMPLOYER agrees to reimburse an employee for the costs of tuition and books for any college level course reasonably related to his-her position in which the employee receives a grade of C or better, provided that the employee notifies the EMPLOYER of his/her intent to take the course prior to May 1 of the fiscal year preceding the employee's enrollment in the course and obtains approval of the City Manager to attend the course. 14 H:\HR.\Personnel\Unions\AFSCME\labor agreement\2008- 201 0\LABORAGT2008-20 1 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO 29.2 If an employee voluntarily resigns his/her position within one year after the completion of said course(s), he/she shall reimburse the EMPLOYER for all costs paid under the terms of this Article. 29.3 It is agreed and understood that any employee who is authorized to receive Veteran's benefits for such schooling will exhaust such Veteran's benefits prior to applying to the EMPLOYER for the payment of such tuition and books. ARTICLE 30: INSURANCE 30.1 The EMPLOYER will provide group health insurance with aggregate benefits equal to those that presently exist for the duration of this AGREEMENT. The EMPLOYER will pay a sum not to exceed the following amounts per month for single and dependent coverage: 2008 - $817 2009 - $850 2010 - $875 30.2 The EMPLOYER will provide group dental insurance with benefits substantially the same as presently exist for the duration of this Agreement. The EMPLOYER will pay a sum not to exceed the least costly monthly premium for coverage of the employee and a sum not to exceed forty (40.00) dollars per month for single and dependent coverage. ARTICLE 31: RIGHT OF SUBCONTRACT 31.1 Nothing in this Agreement shall prohibit or restrict the right of the EMPLOYER to subcontract work performed by the employees covered by this AGREEMENT. In the event that the EMPLOYER determines to contract out or subcontract any work performed by employees covered by this Agreement the EMPLOYER shall notify the Union when such determination is made, but in no case less than thirty (30) calendar days in advance of the implementation of such determination. During said period the EMPLOYER shall meet and confer with the Union to discuss possible ways and means to minimize adverse impact on the unit. ARTICLE 32: PART-TIME EMPLOYEES 32.1 Part-time employees are defined as employees who have completed their probationary period and who are regularly scheduled to work less than 40 hours a week on an annual basis. 32.2 Part-time employees will earn sick leave benefits on a pro-rata basis, provided that such employees are regularly scheduled to work not less than 20 hours a week. 32.3 Regular part-time employees will earn vacation leave benefits on a pro-rated basis, provided that the employees are regularly scheduled to work not less than 20 hours per week. 15 H:\HR \Personnel\Unions\AFSCME\labor agreement\2008-20 1 0\LABORAGT2008- 201 O.DOC December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Local 3884, AFSCME AFL-CIO ARTICLE 33: SEASONAL AND TEMPORARY EMPLOYEES 33.1 Seasonal and temporary employees are defined for the purposes of this contract as employees working less than 140 working days in a calendar year. For purposes of this Article, a "calendar year" shall begin with the first date of providing services by a seasonal or temporary employee and end 365 days later. A new "calendar year" shall begin on the 366th day after the first date of performing services, and the cycle shall continue thereafter in the same fashion. ARTICLE 34: SAVINGS CLAUSE 34.1 This Agreement is subject to the law of the United States, the State of Minnesota and the City of Prior Lake. In the event any provisions of the agreement shall be held to be contrary to law by a court of competent jurisdiction from whose final judgment or decree no appeal has been taken within the time provided, such provisions shall be voided. All other provisions of this Agreement shall continue in full force and effect. The voided provision may be re-negotiated at the written request of either party. ARTICLE 35: DURATION 35.1 Effect of Aqreement: Any and all prior agreements, resolutions, practices, policies, rules and regulations regarding terms and conditions of employment, to the extend inconsistent with the provisions of this Agreement, are hereby superseded. 35.2 Termination or modification: Either party desiring to terminate or modify this contract must notify the other party in writing at least thirty (30) but no more than sixty (60) days prior to December 1, 2007, and shall be automatically renewed from year to year unless either party notifies the other party in writing that it desires to modify or terminate this Agreement no more than sixty (60) days prior to but no less that thirty days prior to the expiration date. 35.3 Neqotiations durinq term: The parties mutually acknowledge that during the negotiations which resulted in this Agreement, each had the opportunity to make demands and proposals regarding terms and conditions of employment. All understandings and agreements arrived at by the parties are set forth in this contract. 35.4 Full aqreement: The EMPLOYER and the Union agree that this Agreement contains all of the terms and conditions of employment which have been arrived at and that the EMPLOYER shall not be obligated to provide or maintain any terms or conditions of employment not provided herein. 35.5 Effective dates/openinq: This Agreement shall be effective from January 1, 2008 through December 31,2010, and shall continue until such time as a new contract between the parties is executed. This space intentionally blank. 16 H:\HR\Personnel\Unions\AFSCME\labor agreement\2008-20 1 O\LABORAGTI008-20 1 O.DOC December 4, 2007 Labor Agreement between the City ofprior Lake and CouncilS, Local 3884, AFSCME AFL-CIO SIGNATURES: CITY OF PRIOR LAKE, MINNESOTA AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES, AFL-CIO COUNCIL 5, LOCAL 3884 - " ",U-- ~. 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II) .lI::U ~~ C,,)_ ~i:ij :g~ g ',p u ::) u ..: <tv) ('11('4('11 000 C'iC'iC'i ('11('4('11 r--r--...... q-q-q- ..-l..-l..-l ('11('11('11 Ct)Ct)Ct) cncnen ddd ('4('11('11 000 q-q-q- ddd ('11('11('11 000 cncnen 0;0;0; ..-1..-1..-1 ..-1..-1..-1 q-q-q- o;aiai ..-1..-1..-1 ..-1..-1..-1 enencn cxicxicxi ..-1..-1..-1 q- q- q- q-q-q- cxicxicxi ..-1..-1..-1 exlCXlCXl en en en r--:r--:r--: ..-1..-1..-1 q-q-q- ... II) u :e o Il) .lI:: u ~ .~ C,,) II) 'C.OV) l: '" ~ ~'c ltl f:C ::I Qj >- E t ~ E II) +- 0 V)::)C,,) December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO APPENDIX B: PAY SYSTEM GUIDELINES The step system contains 9 steps with possible movement between steps occurring on an annual basis. New employees may be hired at a rate within the ranges established in Appendix A, as long as the rate is one of the established steps within the range. Employees must receive a rating of "3" or higher on their performance evaluation to be eligible for a pay increase on their Position Anniversary Date. Those employees who receive a score below "3" will not be eligible for a pay increase. Pay increases will be in accordance with the rates established in Appendix A. Performance evaluations by the employee's direct supervisor are to be conducted between 2-4 weeks before the employee's position anniversary date. Performance evaluations will be conducted on an annual basis with the exception of probationary employees who will receive an evaluation after six months and another evaluation six months later. Only those employees who begin on Step 1 or Step 2 will be eligible for a step increase upon a satisfactory six-month performance evaluation. (Le. An employee who is hired at Step 4 would receive a Performance Review after six months but would not be eligible for a step increase until the evaluation that occurs one year from his/her original start date.) Employees may be moved more rapidly through the steps at the discretion of the Employer. Notwithstanding any other provision of this agreement to the contrary, an employee shall not have the right to utilize the grievance procedure at Article 8 of this Agreement regarding the EMPLOYER'S evaluation of that employee's overall performance under this pay system and performance evaluation process maintained by the EMPLOYER. Employees may appeal to a review committee if they disagree with their performance review. The committee will consist of the Personnel Director, a supervisor or department head outside the employee's department, and a member of the employee's bargaining group. This process is outlined in Appendix D. Overall performance evaluations will be based on the following five step scale. ;<:, ',; <<,~ ',,:'~"<; .';..a^TIN'G"~'" ,'..:~ c' "';:".. ;.':..":\~ '..:,~ ::-,'. ,J...... ";'jC:- S' 'T.'A'NI"Ii\AR'C' S;.~ , : ,":,'-:;.-::,- -;'. :;:::~',.' , '.{",~~J~.. ",__'''_,>- ~,nI"\.',.I:~, ~<-, '~'f" ~,",~j'"'~ ~ J ,,. ~,',,<,q, l:JLI1. LI~ ~ ...'J_'~' - ~.;c- ~-'F ~. <~ -~"~r ",.1.1'" Perf()rming VVell B~lo"Y :, Exp~ctati()ns I SlJbst~l'ltial hnprovement Needed . Has serious weakness or performance has stabilized below desired level . Does not meet expectations . Has difficulty completing job duties in a timely, accurate mann'er output; frequently lacks quality . Needs frequent management direction . Difficulty in following prescribed policies . Needs skill development . Poor team work skills, does not interact within or ::J~U~~~.~.l.............................................,...............................................................,...,..................................!?.~J~.!.~.~...~.~P.~.~.~.~.~.!.............................................................................................................................. 2;'. Performing Below Expectations I · Becoming familiar with all aspects of job responsibilities .,"','.' Not Meeting All Performance · Beginning to work independently, but seeks direction ........:l~X..':....................................................................................................................................................~.~.~.~...~.~.~.~~~.~.!Y......................................................................................................................................... i H :\HR\PersonneI\Unions\AFSCME\labor agreement\2008-201 O\APPEND IX2008-201 O. DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO . Occasionally demonstrates initiative . Does not meet all Performance requirements of the . Integrates well and cooperates across all departments . Technically proficient . Generally provides added value to public and City . Works independently, yet recognizes when to seek direction . Is a cooperative team player within assigned "e........... ..i. ...... ..................................... denartmentldivision . .-'.-'~.~~~~~~"~~...~~....~.~...~~.~:.,~_..:~....~.:.:.~......~....._......~..................~....~,.~........:....~....~~~..~....:.~.~~_:..~.:~;;..:................................I:'"................................................................................................................................................................................... . n__nn.. _ _.___" "." ,."".....n'_._n...... ,.___......_._._____....... ".",m ._,__;.".. ....., om. . i,i ':. .--,...--.'-----...--.--- ,-. .. ... '.. '_0""""'" ..0...._.__ 'm'O' ... ._n_.' . ::"_ ._.._n. _n__'. .....'."'.__.."..". .,~:.. E){c~~ds. . O"7rall Po~ition. Viewed as fully qualified employee who periodically .. PerformcmceR~quirerp~nts ..... ... ". goes beyond the stated job requirements . . . ...... ..... ." ..... '. . .......... Consistently performs some but no all of the level 5 , ". . .. ".i>C ... . '. criteria :,~.~r.~.....n...............~..............................................~.~.................~~~.......~.......................r...............................................................................................................n................................................................................................... G' · .....".,.................. .. e~rf()rrning. at . a.~e,,~r~Tll · Beyond th~t.N()rrl}C)lly5~pe~te~) .... · . The amount of work clearly exceeds expectation Consistently demonstrates exceptional performance and seeks greater responsibility Work is of the highest quality Creative, decisive with excellent judgment Consistently provides added value to public and City Actively works to promote and achieve inter- departmental cooperation Viewed as an expert and a role model . . . . ii H:\H R\PersonneI\Unions\AFSCME\labor agreement\2008-201 O\APPENDIX2008-201 O. DOC December 4, 2007 Labor Agreement between the City of Prior Lake and Council 5, Local 3884, AFSCME AFL-CIO APPENDIX C: PERFORMANCE APPEAL PROCESS An employee individually may appeal to a review committee if the employee disagrees with the performance review conducted by the employee's supervisor. To initiate the appeal, the employee must submit a written letter of appeal to the Chair of the Appeal Review Committee (ARC) within ten (10) calendar days of the day the employee receives the supervisor's performance review. The date of receipt of the performance review shall not count towards the ten days. If the tenth day is a Saturday, a Sunday or a holiday, then the next day that is not a Saturday, a Sunday or a holiday will become the tenth day. Failure to timely submit a written appeal will be deemed acquiescence to the review and a waiver of the right of appeal to the ARC. The letter of appeal should set forth with specificity and particularity the employee's reasons for disagreeing with the supervisor's performance evaluation. For example, if an employee believes his or her overall evaluation should be higher, he/she must cite specific work examples to substantiate their case. The ARC will set a date for an informal hearing with the employee as the ARC deems reasonable, and may call additional meetings if deemed necessary by the ARC. The ARC has the discretionary authority to meet with the supervisor or other individuals as the ARC deems appropriate and necessary. The ARC shall issue its written decision and rationale therefore as soon as is reasonably possible under the circumstances of each appeal. The ARC's decision shall be in the nature of a recommendation to the City Manager. The City Manager will issue a final decision as reasonably expeditious as is possible under the facts of each case. The decision of the City Manager shall be final, binding, and not subject to further review in any forum. The City Manager has the discretionary authority to accept or reject the recommendations of the ARC, and the authority to accept or reject or modify in any fashion the evaluation of the supervisor. Based upon the organizational structure and positions in the City of Prior Lake as of January 1, 1999, the composition of the ARC will be the Assistant City Manager/Personnel Director (Chair of ARC), a department head outside of the appealing employee's department and a member of the AFSCME bargaining group. The City reserves the right to modify the composition of the ARC as it relates to administrators or supervisors whose job titles or job duties have been modified. iii H :\H R\Person nel\U nions\AFSCM E\labor agreement\2008-20 1 O\APPEN DIX2008-20 10. DOC December 4, 2007 Labor Agreement between the City of Prior Lake and CouncilS, Local 3884, AFSCME AFL-CIO APPENDIX D: STATEMENT CONCERNING SEXUAL HARASSMENT The EMPLOYER and AFSCME Council 14 believe that all employees have a right to work in an atmosphere free of sexual harassment. To this end, the EMPLOYER has adopted a specific personnel policy dealing with sexual harassment. Any employee who believes that he-she has been subjected to sexual harassment is urged to consult that policy. In addition, the employee is urged to contact the City Manager or the Assistant Manager, his/her supervisor, or staff representative, if he/she is confronted with sexual harassment while an employee of the City. An employee may also contact the Minnesota Department of Human Rights or the Federal Equal Economic Opportunity Council (EEOC). iv H:\H R\Personnel\Unions\AFSCME\labor agreement\2008-201 O\APPENDIX2008-201 O. DOC