AGENDA MEMORANDUM

Meeting Date:           November 14, 2011

From:                          Jay M. Evans, City Manager   

Subject:                      Resolution ratifying the Collective Bargaining Agreement with the Professional Firefighters of Leesburg, Local 2957

Staff Recommendation:

Staff recommends ratification of the proposed collective bargaining agreement.

Analysis:

The current collective bargaining agreement with the Professional Firefighters of Leesburg is expired and certain changes are needed in its terms. Staff concluded its bargaining with the union October 4^th, and the union voted 43-1 October 30^th to ratify the contract.  The contract is now submitted for your consideration.

This will be a three-year contract effective Oct. 1, 2011 and ending Sept. 30, 2014.   The most notable changes include a Management Rights article that does not require termination “for cause,” which you now know principally means that terminations could be subject to binding arbitration.  The benefits in the firefighters’ pension plan would remain unchanged, but the plan would be modified to change salary and turnover assumptions.  The union has agreed to forego raises for three years, and to limit any bonuses to no more than 2%.  This compromise will save an estimated $244,000 per year, and reduce the percent of payroll for retirement from 31% to 25%.  The bonus limitation is estimated to save an additional 2%, making the total savings approximately 8% of payroll.

Another change provides for conversion from the old vacation/sick time model to Paid Time Off (PTO).  Under this model, the maximum annual payout to retiring firefighters will decrease by 200 hours.

For your perusal, you will also find attached “Fire Pension Alternatives” spreadsheet that compares the contract proposal to other alternatives the Commission and staff have discussed.  Those alternatives include changing the Fire Pension Plan to reflect the benefit levels of the Police Pension Plan, and Freezing the Fire Pension Plan and replacing it with a 401(a).

Options:

1.  Approve the proposed Collective Bargaining Agreement; or

2.  Such alternative action as the Commission may deem appropriate

Fiscal Impact: 

Because the City budgeted $200,000 in fire pension savings, and bonuses are not budgeted under the EPIP program, the proposed CBA is revenue neutral.

Submission Date and Time:    11/10/2011 2:04 PM____

Department: ______________________ Prepared by:  ______________________                      Attachments:         Yes____   No ______ Advertised:   ____Not Required ______ Dates:   __________________________                      Attorney Review :       Yes___  No ____ _________________________________            Revised 6/10/04

Reviewed by: Dept. Head ________ Finance  Dept. __________________                                    Deputy C.M. ___________________                                          Submitted by: City Manager ___________________

Account No. _________________ Project No. ___________________ WF No. ______________________ Budget  ______________________ Available _____________________

RESOLUTION NO._______________

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE RATIFICATION OF THE COLLECTIVE BARGAINING AGREEMENT FOR THE PROFESSIONAL FIREFIGHTERS OF LEESBURG, LOCAL 2957, IAFF, AFL-CIO-CLC.; AND PROVIDING AN EFFECTIVE DATE.

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

THAT the Mayor and City Clerk are hereby authorized to execute a Collective Bargaining Agreement for the Professional Firefighters of Leesburg, Local 2957, IAFF, AFL-CIO-CLC,  whose address is Association President, P.O. Box 391405, Leesburg, FL  34749.

THAT this resolution shall become effective immediately.

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 14^th day of November 2011.

__________________________

Mayor

ATTEST:

___________________________________

City Clerk