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09-156Conncil File # �� ✓ Green Sheet # 3066660 RESOLUTION 1 RESOLVED, that the Council of the City of Saint Paul hereby approves and ratifies the attached 2 Memorandums of Agreement between the City of Saint Paul and the Electrical Workers, Loca1110; and 3 Operating Engineers, I,oca170 to establish a voluntary eazly retirement incentive for eligible employees 4 who retire from city employment by February 27, 2009. Bostrom Cartet Adopte3 by Council: Date i ✓ ✓ � By. Angela Approved byi By. Approv�(by BY- � Adoption CertiSed by Co cil Secretary By, By. �/l4 . ` ,,.� ApprovedbyMa ; I � )a � t � ��L-�G' `r sy � F�-� ���,ti'�` �,�.,L -� � for Resources � — `/'Q� � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green S�hee � �'��u/ , DepartmenUOffice7CouncO: � Date Initiated: � � HU - Human Resources � i Contact Person 8 Phone: Jason Schmidt , 266-6503 ; Must Be on Councii Agenda 6y (Datej: i � I Doa T e: RESOLUTION i � Yp � E-Document Required: Y ' I 1 Document Contact: Sue Wegwerth ! � Contact Phone: 266-&513 j � Assign Num6er For Routing oraer Total # of Signature Pages _(Clip Ail Locations for Signature) 1 . . ���� Resolution approving the attached Memorandums of Agreement between the City of Saint Paul and the Elechical Workers, Local I10; and Operating Engineers, Loca] 70 to es[ablish a voluntary early retirement incenfive for employees who retire from ciry employment by February 27, 2009. Recommendafions: Approve (A) or Reject (R): Planning Commissron CIB Committee Civil Service Commission PersonalSeMce Contracts Must Answer the Following Questions; 1. Has this person(firm ever worked untler a contract for this department? Yes No 2. Has this person/firm ever been a city employee? Yes No 3. Does this person/firm possess a skill not normafly possessed by any c�rrent city employee? Yes No E�cpiain all yes answers on separate sheet and attach to green sheet. Initiating Problem, lssues, Opportun[ty {Whq What, When, Where, Why): Due to the budget forecast, the City is offering a voluntary early retlrement incenrive to employees to help offset the number of layoffs and savings in salarylbenefit dollars. Advantages IfApproved: Budget reduction tluough salary and beneFit savings for all deparpnents. Potential raduction m the nuxnber of ]ayof£s to offser the 2009 budget. � Disadvantages If Approvetl: None. Disadvantages If Not Approved: Increase in the number of layoffs in 2009. Total Amount of .Transactlon; Funding Source: Financial Information: (Ezpiain) CosURevenue BudgMed: Activity Number. February 4, 2009 1:52 PM Page 1 MEMORANDUM OF AGREEMENT D 9'I �� BETWEEN ----- — _THE_CI�'-0�' ���`1'AUL --- -- --- -- ---- AND THE ELECTRICAL WORKERS, LOCAL 110 The City of Saint Paul {hereinafter "City} and Electrical Workers, Loca1110 (hereinafter "Union") enter into this Memorandum ofAgreemertt (hereinafter "MOA") for the purpose of establishing an eariy retirement incentive for certain City employees represented by the Union. Because ofthe recent economic downturn, the City is preparing to reduce its budget. In an effort to avoid laying off City employees, the City has ageed to offer a retirement incentive to eligble employees. To be eligible for the retirement incentive, an employee must meet the following criteria: a. Be a full-time (32+ hours per week), active, certified ernployee, and: b. Be eligble for an unreduced PERA pension by December 31, 2009, as detecmined by PERA eligibility rules and; c. Have at least 15 years of service with the City by February 1, 2009 and; d. Haue completed all necessazy separation paperwork from the City ptior to the expiration of this MOA. Any employee who meets the criteria above and who agrees to accept the early retirement incentive will receive a payment of $10,000 (subject to normal withholdings). If the employee chooses to place this whole amount into one of the City's deferred compensation plans and the employee is eligihle for a matching contn'bution, the City will contnbute up to an additional $10,000 (for a total not to exceed $20,000) to the employee's deferred compensation account. Employees who accegt this early retirement incentive are not eligible for reinstatement with the City. If an employee elects this program but is not eligible for an unreduced pension on February 27, 2009 but would be eligible for an unreduced pension by December 31, 2009 and begins collecting their pension by December 3], 2009, the City will agree to conmbute to their retiree insurance benefit, if eligible, as stipulated in the'u respective barganung unit agreement. This MOA does not affect any other terms and conditions of employment and sets no precedent. The eazly retirement incentive is only availabie to employees who elect this program between January 15, 2009 and February 6, 2009 and retire by February 27, 2009. FOR THE CITY J n Sc abor Relations Manager Date: �3 LV.RfAh4LOMGAY0FF�2 W 9�ss Reai�mt [�rive A10A.doc FOR THE UNION /i7 0 /Pi��i,c=.l� Mike Redlund, Business Manger Electrical Workers, Local 110 Date: 2 • 3 -O � O1/14/09 MEMORANDUM OF AGREEMENT ay.�-r'j(� BETWEEN - - - -- -- ____ ___TH�CI�I' A�SA��PEiITL - AND OPERATING ENGINEERS, LOCAL 70 The City of Saint Paul (hereinafter "City) and the Operating Engineers, Local 70 (hereina8er "Union") enter into this Memorandum of Agreement (hereina$er "MOA") for the purpose of establishing a voluntary early retirement incentive for certain City employees represented by the Union. Because ofthe recent economic downturn, the City is preparing to reduce its budget. In an effort to avoid laying off City employees, the City has agreed to offer a retirement incentive to eligible employees. To be eligible for the retirement incentive, an employee must meet the following criteria: a. Be a full-time (32+ haurs per week), active, certified employee, and: b. Be eligible for an unreduced PERA pension by December 31, 2009, as detennined by PERA eligibility rules and; a Have at least 15 years of service with the City by Februaxy 1, 2009 and; d. Have completed all necessary separation paperwork from the City priar to the �piration of this MOA. Any employee who meets the criteria above and who agrees to accept the early retirement incentive will receive a contribution of $20,000 to the City's Post Employment Health Plan. Employees who accept this early retirement incentive are not eligible for reinstatement with the City. If an employee elects this program but is not eligible for an unreduced pension on FeUruary 27, 2009 but would be eligible for an unreduced pension by December 31, 2009 and begins collecting their pension by December 31, 2009, the City will agree to contnbute to their retiree insurance benefit, if eligible, as stipulated in their respective bargaining unit agreement. This MOA does not affect any other tern�s and conditions of employment and sets no precedent. The early retirement incentive is only available to employees who elect this program between January 15, 2004 and February 6, 2004 and retire by February 27, 2009. FOR THE CITY // on Sc t Labor Relations Manager Date: a � O 'J� I:�t,RCOMMOMCAYOFF2009\OpaEvg �ORGUmmt IncmeveMOA-PEl�.doc I)14/09 FOR THE UNION W Wyn : sey, Business Repres tive Operating Engineers, Loca170 Dick Lally, Bu Manager Operating En eers, Loca170 Date: a � �i'