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94-1392 Council File # citA -1312. ORIGINAL Green Sheet # 28604 RESOLUTION 2C CITY OF ',AINT PAUL, MINNESOTA Presented By it IL - / (. S ; • i _ 4,M 6 l Referred To , r Commi Date ..... 1 2 WHEREAS, Diana Collins et al v. City of St. Paul, was commenced in Ramsey 3 County District Court, Court File o. C9 -93- 013597, alleging violations of the Federal 4 Fair Labor Standards Act of 1938, 29 U.S.C. § et seq. ( "FLSA "); and 5 6 WHEREAS, the Fire Dep. tment, with the advice of the Office of City Attorney, 7 has negotiated a tentative settlem: nt with the Plaintiffs, the terms of which are contained 8 in the RELEASE AND SETTLE I ENT AGREEMENT, a copy of which is attached 9 hereto; and 10 11 WHEREAS, the Mayor, th Fire Department, and the Office of City Attorney 12 recommend approval of the tentat ve settlement as being in the best interests of the City; 13 1 14 NOW THEREFORE, BE 1 1' RESOLVED, that the tentative settlement with the 15 Plaintiffs, the terms of which are •Is ntained in the RELEASE AND SE'F1'LEMENT 16 AGREEMENT, is hereby approv;d; and 17 18 FURTHER RESOLVED, hat the Mayor and the Director of Finance and 19 Management Services are hereby i uthorized and directed to execute said RELEASE 20 AND SETTLEMENT AGREEM NT; and 21 22 FURTHER RESOLVED, at payment as provided in said RELEASE AND 23 SETTLEMENT AGREEMENT i• hereby authorized from activity code 05140, fire 24 communications. Yeas Nays A.Isent Requested by Department of: Blakey Grimm 1 Guerin �� (... , (``t 11..,'Y...:_ Harris �� i Megard JI Rettman /101 I - /,, c . ' 1 � i � 1 Thune By: 1 r �1 I qU Form Appr• ed by City A ttorney Adopted by Council: Date �- _ }q9 1 a Adoption Certified by Council Secre.ary 41//,,e'- a 2' By: . • ' �..� s. i.. Approve• b ..yor for Sub 'ssion to r A ,I4-4/ '� Co • f Approved by Ma Date Y By: l J ' I Li, ,� <--- t �,F • / DEPARTMENT/OFFICE/COUNCIL DAV INITIATED No 2 8 6, 4 ii City Attorney . S / 21/9 4 GREEN SHEET CONTACT PERSON &PHONE in DEPARTMENT DIRECTOR RYAtJDATE Q CITY COUNCIL INITI ;; Gerald I Na ricksc , 266 -8772 AMON FOR ❑ CRY ATTORNEY U. CITY CLERK MASER MUST BE ON COUNCIL AGENDA BY (DATE) NeITIhfi 0 BUDGET DIRECTOR [J FIN. & MGT. SERVICES DIR. OVER E2IMAYOR(ORASSIST 0 TOTAL # OF SIGNATURE PAGES (CLP ALL LOCATIONS FOR SIGNATURE) ACTION REQUESTED: Approval of resolution claim of Diana Collins, et'al. against the City of St. Paul .. t RECOMMENDATIONS: Approve (A) or Reject (R) ►ERSONAL SERVICE CONTRACTS MUST A WER THE FOLLOWING QUESTIONS: t I _ PLANNING COMMISSION _ CIVIL SERVICE COMMISSION Has this person/firm ever worked under a contrast for this department? _ CM COMMITTEE YES NO !. Has this person/frm ever been a city employee? _ STAFF YES NO _ DI$TRiCT COURT I. Does this person/firm possess a skill not normally possessed by any current city employee? SUPPORTS WHICH COUNCIL OBJECTIVE? YES NO explaIn all yes answers on separate *heat and attach to prssn sheet 4 I INITIATING PROBLEM. ISSUE, OPPORTUNITY (Who. What, When. Where. Wh ): I Since 1985, municipalities have been subject to the federal Fair Labor Standards Acts ( "FLSA ") . In December of 1993, 15 fire dispatchers employed by tee City of Saint Paul Fire Department sued the City alleging violat..ons of the FLSA. The alleged that they had been required to work through their meal break and had not been paid for the time worked. They also alleged that they had not been paid time and a half for hours worked in excess of 40 hours per ADVANTAGES IF 11 F he collective bargaining agreement with Local 21 establishes , that the fire dispatchers' tour of duty is a 12 hour day, of which ' 35 minutes is to be an anpaid meal break. Normally this would equate into 80 hours every two weeks. Unlike fire fighters, fire -$ dispatchers are entitled under the law to receive time and a half I pay for hours worked in excess of 40. Their hours cannot be "averaged" over two weeks. The fire dispatchers were not paid time and a half for hours worked in excess of 40 per week. DISADVANTAGES IFAPPROVEFJW f iL a vvlutuuui . .ivua) f.. I1LC6L L e:yuiL =0 at 1 =ast th3. ee dispatchers to be on duty at all times. The standard is to have , four. If only three were assigned, and no supervisor was available to cover the break, dispatchers must take their meal break in the communications center so they can easily be recalled in the case of an emergency. Prior to Aoril of 1992, they were not paid for this time. Since that time, it is disputed how often they were properly paid. Damages under FLSA Include back wages, liquidated damages in DISADVANTAGIanMattateelt equal to back wages, and attorney's fees. The normal two year statute of limitaticns can be extended to three years in the` case of a wilful violaticn. A careful evaluation of the facts -and the law suggests that [ 4 damages at trial could reasonably be expected to significantly exceed the $120,000 sett= ement. Payment is to come from activity code 05140, fire communications. 1 N t i oi ' ■ k 4. centi TOTAL AMOUNT OF TRANSACTION II 120, 000.00 COST/REVENUE BUDGETED (CIRCLE ONE) YES NO FUNDU4O SOURCE Fire Coma nil cations ACTIVITY NUMBER 05 SEP 2 2 1 i 94 FINANCIAL INFORMATION: (EXPLAIN) $ "& t q� A3C STATE OF MINNESOTA DISTRICT COURT COUNTY OF RAMSEY SECOND JUDICIAL DISTRICT Case Type: Civil Court File No. C9 -93- 013597 Diana Collins, Georgia Greeley, Susan Bennett, Scott Case, Thomas Cunnie.l, Candace Gritzmacher, Julie Lindberg, Paul Lowery, Patrick Meath, Thomas Murakami, Karen Nelson, Denise O'Leary, RELEASE AND SETTLEMENT AGREEMENT Helen Radcliff, Stephen Schweitz, Jr Patrick Twiss and International Asso : iation of Firefighters AFL -CIO Local 21, Plainti fs, vs. City of Saint Paul, Defenc ant. DATE OF AGREEMENT: SEPTEMBER 21, 1994 WHEREAS, the above - entitle d matter involves an action brought by the above -named Plaintiffs under the Federal Fair Lab )r Standards Act of 1938, 29 USCS §201 et seq. (referred to herein as "FLSA" unless otherwise spcifically noted); WHEREAS, the Defendant ha; interposed an Answer in the above - entitled matter in which it denies liability under the FLSA; WHEREAS, the undersigned parties desire to resolve with respect to each other all issues, claims and defenses without the expense of further litigation. 1 c- -13c12, NOW, THEREFORE, IT IS HEREBY AGREED: 1. It is understood and agreed that this settlement is a compromise of doubtful and disputed claims and that the paymen referred to below shall not be construed as an admission of liability on the part of the parties making said payment; further, the releases being made hereby shall not be construed as an admissio a of liability on the part of the party hereby released, and said releasee denies liability therefor; further, the payments referred to below should not be construed to be payment in full of releasors' alleged damages and releasors expressly deny that said payments equal their alleged damages. 2. SETTLEMENT AMOUNT. Defendant City of St. Paul shall pay the sum of One Hundred Twenty Thousand ($120,000.00) Dollars in full and final settlement; Thirty Thousand ($30,000.00) Dollars of which shall be paid directly to Plaintiffs' attorneys, Collins, Buckley, Sauntry & Haugh; Forty-Five Thousand ($45,000.00) Dollars of which shall represent past wages; and Forty-Five Thousand ($45,000.00) L ollars which shall represent liquidated damages. The past wages and liquidated damages shall 5e paid to the following Plaintiffs in the following amounts: NAME WAGES LIQUIDATED DAMAGES TOTAL Diana Collins $2,021 78 $2,021.78 $4,043.56 Georgia Greeley $2,706 12 $2,706.12 $5,412.24 Susan Bennett $3,525 90 $3,525.00 $7,051.80 Scott Case $3,655 90 $3,655.91 $7,311.81 Thomas Cunnien $2,755A9 $2,755.50 $5,510.99 Candice Gritzmacher $3,08861 $3,088.62 $6,177.23 Julie Lindberg $2,994.20 $2,994.21 $5,988.41 Paul Lowrey $3,000A9 $3,000.49 $6,000.98 Patrick Meath $4,771.07 $4,771.07 $9,542.14 Thomas Murakami $2,947.18 $2,947.18 $5,894.36 Karen Nelson $2,76453 $2,764.54 $5,529.07 Denise O'Leary $3,384.85 $3,384.85 $6,769.70 Helen Radcliff $2,68225 $2,682.25 $5,364.50 Steven Schwietz $3,83855 $3,838.56 $7,677.11 Patrick Twiss $ 863. )8 $ 863.02 $1,726.10 TOTAL $45,000.00 $45,000.00 $90,000.00 2 otti 3. PAYMENT TERMS. e amounts set forth above shall be paid to the respective payees no later than November 4, 994. In the event said amounts have not been paid by November 4, 1994, then said amoun shall accrue simple interest to the respective payees at the simple rate of Ten Percent (10 %) pe year. 4. TOUR OF DUTY. Th: number of hours of the Tour of Duty of the Fire Dispatcher Plaintiffs is not a part of this agr ement and shall be negotiated as a part of the regular negotiations for the Collective Barg. g Agreement by and between Defendant City of St. Paul and Plaintiff International Associatio of Firefighters AFL -CIO Local 21 (hereinafter "Local 21 "). 5. HOURS WORKED ON OR BEFORE SEPTEMBER 2, 1994. Plaintiffs and Defendant agree that the payments provided or herein shall apply to hours worked by Plaintiff Fire Dispatchers on or before Septembe 2, 1994. This Settlement Agreement and the subsequent dismissal of the above - entitled actio shall not act as a bar to any action brought by Plaintiffs to recover damages under FLSA with espect to hours worked by Plaintiff Fire Dispatchers after September 2, 1994. 6. FLSA - MEAL BREAKS Defendant agrees to pay Plaintiff Fire Dispatchers whenever Defendant does not allow the Fire D atchers to receive a 35- minute bona fide meal period during a Tour of Duty. A bona fide meal peri d is defined as a rest break during which the Fire Dispatcher must be completely relieved from du for the purposes of eating regular meals. If a Dispatcher is allowed to take an uninterrupted 35- ute meal break and is allowed to leave the premises during the meal break, that is considered a b • na fide meal break. If the Dispatcher chooses to take his or her meal break in the lunchroom att ched to the dispatch center and said Dispatcher is asked to and does return to the switchboard b; cause the Dispatcher is needed at the switchboard, then that Dispatcher shall not be considered to have received a bona fide meal break and shall be paid for the entire meal break for that particu ar Tour of Duty. If a Dispatcher is not allowed to leave the 3 `4 Tool premises and/or must remain on call throughout the meal break, that Dispatcher shall not be deemed to have received a bona fide meal break and shall be paid for the entire meal period whether or not said Dispatcher is actually called to return to the switchboard during the meal period. If a Dispatcher is allowed to leave the premises but voluntarily stays on the premises, and is not called back to duty during the break, the meal break is not compensable time. 7. RELEASE. The parti: s hereto and their respective successors, heirs and assigns hereby release the other from any and all claims, demands, or causes of action under the FLSA, whether raised in this litigation or no-, with respect to all hours worked by Plaintiff Fire Dispatchers on or before September 2, 1994. 8. COMPROMISE SETT,EMENT. The parties further agree that this compromise settlement and release sets forth the entire understanding and agreement between the parties and supersedes any prior agreements or understandings between the parties. It is the intent of the parties to this agreement to fully and finally end the above - entitled litigation. Each party acknowledges that in entering this compromise settlement and release, it is relying on the advice of its separate counsel and its own jidgment, belief and knowledge as to all phases of its claims and that it does not rely on representations or statements made by any other party to this litigation or any third party. 9. ACCEPTANCE BY CITY COUNCIL. This agreement is contingent upon approval by the City Council of the City of St. Paul no later than October 14, 1994. If the City Council of the City of St. Paul has not passed a res )lution approving this agreement by October 14, 1994, this agreement shall be null and void as o' said date. If the City Council of the City of St. Paul approves this agreement, a copy of the resolut on so approving it shall be attached hereto. 4 IN WITNESS WHEREOF, the parties state and agree that this agreement is entered into without coercion or duress, that this cocument has been fully read and reviewed with legal counsel, that each party understands the meaning, effect, and intent of the agreement contained herein. FURTHER, upon fulfillment of the terms of the agreement herein, the parties agree to dismiss with prejudice, and subject to the payment of attorney's fees set forth above, without further attorney's fees, costs or disbursements to either party, all claims raised herein against the other in this litigation. Approved as to form and content: Approved as to form and content: COLLINS BUCKLEY, SAUNTRY & HAUGH TIMOTHY E. MARX CITY ATTORNEY OF THE CITY OF ST. PAUL By: 15 By: . DAN O'CONNELL GERALD T. HENDRICKSON Attorneys for Plaintiffs Assistant City Attorney W -1100 First National Bank Building Attorneys for Defendant St. Paul, MN 55101 550 City Hall (612) 227 -0611 15 West Kellogg Blvd. Attorney Registration No: 130138 St. Paul, MN 55102 (612) 266 -8772 Attorney Registration No: 43977 Dated: 7( /y y Dated: 7 -- �C C /14,#tiU e /00/ A IA 7z4. lry DIANA COLLINS DAT • • GIA GREEL: 4 /7/ PLAINTIFF NTIPF 40)/(Wit 11 41' - SUSAN BENNETT DATE SCOTT CASE DATE PLAINTIFF PLAINTIFF 5 ctt1 <____--7 (__ ' l' - / c‘q J ' vc-v---- — -- L'-- -, ------___ 1 7, ) ( ef---4- .11 4,1, 0 Vyt THOMAS CUNNIEN DATE CANDICE GRITZMACH • DATE PLAINTIFF PLAINTIFF 1 c'" o /�- 9 s4:.(A- 1 U LIE LINDBERG DATE PAUL L WREY DATE ( ?IINTT F ^ P N I F F VA-c‘,_\2- C t --- g' 1 KO A* j , i AS, ' .."-- , , PATRICK MEATH \ 1 TE' \ HO • `` '•'I1�rir I " DATE PLAINTIFF P • NTIFF g _e--). - 4 . 7 1 /--Z 9617- z - ' ( / -- /7' ‘1 L._ _ _ ---ik,t1k..; 0 KAREN NELSON DATE DENISE O'LEARY \J ENISE O LEAKY A TE PLAINTIFF PLAINTIFF f ;i 7 /d_ e ,: t/ � � . 6 7 _ -- Y Sfi rL._,i 1- =/&) -fir HELEN RADCLIFF . DATE STEVE CHWIETZ - DATE PLAINTIFF PLAINTIFF el ' :, r / -(7-74( K5 PATRICK TW DATE PLAINTIFF ` INTERNATIONAL ASSOCIATION OF FIREFIGHTERS AFL -CIO LOCAL 21 PLAINTIFF Dated: c7\ -`°\ -q By: / ca-1----, 22.. Its P >- Dated: Cj f () _ By: ((` Its -re'custi ,—'r' 6 qA.-13SZ • ITY OF ST. PAUL Dated: Its Mayor 1:y: Dated: Its Director of Finance and Management Services I EFENDANT 7