HomeMy WebLinkAbout2012-11-13 - RESOLUTIONS - HEALTH BENEFITS (2)' RESOLUTION 12-72
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA CLARITA, CALIFORNIA,
CLARIFYING THE CITY COUNCIL'S INTENT IN ADOPTING RESOLUTION #10-92 IN
DECEMBER 2010 CONCERNING EMPLOYEE BENEFITS AND AMENDING SUCH
RESOLUTION TO RATIFY CITY STAFF'S ACTIONS IN IMPLEMENTING THE
TWO-TIER CASH IN LIEU BENEFIT AS IT RELATES TO UNREPRESENTED
EMPLOYEES (INCLUDING COUNCILMEMBERS) OF THE CITY
WHEREAS, as a longstanding matter of City practice, Councilmembers have received
the same benefits as employees on the same terms and conditions, a practice that the City
Council recently re -confirmed at a City Council meeting on October 23, 2012; and
WHEREAS, such benefits have included a cash in lieu benefit when employees do not
elect to enroll in certain health and welfare benefits; and -
WHEREAS, in the fall of 2010 City Management staff met with a workgroup of
unrepresented employees to review and evaluate the benefit package offered by the City to its
employees, including the cash in lieu benefit; and
' WHEREAS, thereafter at a closed session on November 23, 2010, the City Council
provided direction to the staff concerning implementation of a two-tier benefits package which
reduced certain benefits for newly hired employees or employees re-employed after a break in
service; and
WHEREAS, City staff thereafter presented a resolution to the City Council for adoption
at the December 14, 2010, Council meeting as a budget -related resolution, and the City Council
adopted it as Resolution #10-92, which included direction to complete negotiations with
represented employees and enter into an agreement with same; and
WHEREAS, the reduction in the cash in lieu benefit was not included in budget
resolution 410-92 because it did not have any negative fiscal impact and because City staff was
unaware of the need to have Council approve this benefit on the open session agenda with
respect to unrepresented employees because it was the first occasion that City employee benefits
had been decreased; and
WHEREAS, the City Council was unaware of this inadvertent omission; and
WHEREAS, City staff negotiated the benefit with represented employees and executed a
side letter reflecting such changes; and
WHEREAS, City staff met with unrepresented employees to implement such changes;
and
WHEREAS, the reduction in this cash in lieu benefit has been consistently implemented
for newly hired employees and former employees re -hired after a break in service since '
January 1, 2011; and
WHEREAS, no person asserted within 90 days of the City Council's action on the
November 23, 2010, closed session agenda or the December 14, 2010, open session agenda that
the City staff's action in implementing the benefit reduction in January 1, 2011, was null and
void and thus there is no basis for making such a claim now; and
WHEREAS, notwithstanding the fact that the time to challenge any such error has passed
and the mandate to follow the Brown Act was suspended in this year's budget bill, the City has
continued to follow all provisions of the Brown Act; and
WHEREAS, the City Council wishes to reiterate its commitment to approving in open
session all changes to unrepresented employee salary and benefits, even after the Council has
given direction to its negotiators in this regard and has been assured by the City staff that all such
actions relating to unrepresented employees will routinely be presented to the City Council at an
open session for approval; and
WHEREAS, the City Council wishes to avoid any misunderstanding as to whether the
City staffs implementation of the two-tier cash in lieu benefit is authorized by the Council, and
adopts this resolution to ratify those actions and to create a formal record of City Council
approval;
NOW, THEREFORE, the City Council of the City of Santa Clarita does hereby resolve as
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follows:
SECTION 1. The Council hereby ratifies the City staff actions to implement a two-tier cash
in lieu benefit program for City employees effective January 1, 2011, as follows:
a. Freeze the cash in lieu (taxable cash) amount at $1,016.58 per month for
current employees hired on or before December 31, 2010.
b. Reduce the cash in lieu benefit for employees hired or re -hired after a
break in service to a maximum of one-half of the lowest cost employee -only
health plan, the amount which is $213.79 per month for 2011 and $214.62 for
2012. Cash in lieu is available to employees who do not enroll in city health
insurance.
SECTION 2. The City Council confirms and ratifies the City's longstandingpractice of
providing employee benefits to City Councilmembers on the same terms and conditions as other
unrepresented employees, except to the extent City Council benefits are further restricted by state
law as set forth in the October 23, 2012, Council report; and
SECTION 3. Notwithstanding that the Brown Act has been suspended, the City Council
reiterates its commitment to approving in open session all changes to unrepresented employee
salary and benefits, and directs City staff to present all such actions relating to unrepresented
employees to the City Council at an open session for approval.
SECTION 4. The City Clerk shall certify to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED this 13th
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SANTA CLARITA)
I, Armine Chaparyan, Interim City Clerk of the City of Santa Clarita, do hereby certify
that the foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at
a regular meeting thereof, held on the 13th day of November 2012, by the following vote:
AYES: COUNCILMEMBERS: McLean, Weste, Kellar, Ferry
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: None
RECUSED: COUNCILMEMBERS: Boydston
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