This section shall apply to certain meet and confer processes, as specified herein, undertaken pursuant to the Meyers-Milias-Brown Act, where either a recognized employee organization or the City, through their respective representatives, propose certain changes in wages, hours, or any other terms or conditions of employment.
A. Annual fiscal analysis.
1. Annual analysis of cost and liabilities.
Staff shall prepare an annual analysis of costs and liabilities related to each Memorandum of Understanding (hereinafter MOU) between a recognized employee association and the City of Fullerton as well as each group of employees for whom pay and benefits are set by resolution or employment agreement. The analysis shall detail the cost of every form of compensation and benefit provided under each MOU, resolution or employment agreement as well as the funded and unfunded liabilities arising therefrom.
The annual fiscal analysis shall be submitted to the City’s independent auditor during the course of the annual City financial audit.
2. Public disclosure.
The annual analysis report shall be reviewed and approved by City Council at a regular City Council meeting and thereafter posted for public review on the City of Fullerton website for a period of no less than twelve months.
B. Designation of negotiators.
1. Principal negotiator.
An outside negotiator shall be appointed by the City Council to lead negotiations on behalf of the City in all formal meet and confer processes undertaken pursuant to the Meyers-Milias-Brown Act, where 1) either a recognized employee organization or the City proposes significant changes, as defined herein, to wages, hours or other terms and conditions of employment and 2) the employee association is represented by third party negotiators or legal counsel, or 3) otherwise deemed appropriate by Council.
The requirement for an outside negotiator may be waived by a majority vote of City Council.
For purposes of this Ordinance, significant changes are defined as changes to:
a. Base salary, in conjunction with at least one other significant change;
b. Other pay representing one half percent (.5%) or greater of total base salary for the employee association, in conjunction with at least one other significant change;
c. City contributions to medical insurance;
d. CalPERS retirement benefits or formulas;
e. City or employee contributions for CalPERS retirement benefits, in conjunction with at least one other significant change;
f. City contributions to or structure of other post employment benefit;
g. Extensions to the terms of an MOU in excess of 12 months.
If an outside negotiator is required or deemed appropriate, he or she shall 1) not be an employee of the City, 2) not be a member of the public pension plan that covers City employees, and 3) have a demonstrated expertise in negotiating labor and employment agreements on behalf of municipalities.
2. City negotiating team.
The City Council shall designate one or more Executive or Management level employees to assist the principal negotiator as the City Council and/or principal negotiator deem appropriate.
3. Public disclosure.
The City Council shall report out the designated principal negotiator for each negotiation process upon appointment.
Waiver of the requirement to appoint an outside negotiator requires a majority vote of City Council at a regular City Council meeting.
C. Closed session rules for labor negotiations.
1. City Council disclosures.
Each City Council member shall disclose during closed sessions, the identity of any and all employee association representatives with whom the member has had any verbal, written, electronic or other communication(s) since the last City Council closed session discussion regarding a subject matter of a pending meet and confer process.
2. City negotiator responsibilities.
City appointed labor negotiators shall have the duty to advise the City Council during any closed session of all offers, counteroffers, information, and/or statements of position discussed by the labor negotiators taking place in the meet and confer process since the last such closed session.
3. Fiscal analysis of proposals.
a. Staff shall prepare updated fiscal analysis reflecting the impact of changes under consideration by City Council. The fiscal impact of significant changes as defined herein shall be reviewed by an outside auditor prior to City Council review.
b. Analysis of impacts to long term and short term liabilities and funding status shall be completed by an independent actuary for proposed changes to any of the following: 1) City or employee medical contribution formulas, 2) CalPERS retirement benefits or formulas, or 3) other post employment benefits.
c. Council members shall review and consider the fiscal or actuarial analysis required in this section prior to authorizing negotiation parameters. Further, each Council member shall sign the required analysis in acknowledgment that it was read and considered.
D. Adoption of memorandum of understanding.
1. Tentative agreement.
A tentative agreement reached through the labor negotiation process shall be introduced for first consideration at a regular City Council meeting and presented for approval at the next regular City Council meeting. The updated fiscal analysis reflecting all changes proposed in the tentative agreement shall be included in the agenda material for both meetings.
2. Public disclosure.
Tentative agreements and the updated fiscal analysis shall be available for public review no less than seven (7) days prior to the first consideration by City Council and during the time period between the first consideration and final approval by City Council.
(Ord. 3213, 2014)
* Editor’s note: This Section 2.33.040 was suspended as of July 19, 2016 by Ord. 3231.