Starting Friday, most Manteca municipal employees are forgoing a 4 percent pay increase as well as are paying more out-of-pocket for retirement.
It is part of an overall effort to avoid layoffs and further service reductions while bridging what started as a $14 million deficit for the current fiscal year.
The side letter agreements to the original employee contracts inked three years ago means the city may only have to worry about $1 million in additional cuts for the upcoming fiscal year starting July 1, 2010 if property tax and sales tax receipts do not erode farther plus if all cost recovery proposals are in place. The city, though, could yet be broadsided by the state taking even more local revenue to balance the California budget.
All of the groups that agreed to the side letters will lose a pre-negotiated 4 percent pay increase on Jan. 1, 2010 and another 4 percent on Jan. 1, 2011.
Units and the other concessions they made include:
•The Manteca Professional Firefighters Association that are making an additional 2 percent payment to the Public Employees Retirement System. No firefighters will be laid off through June 30, 2010. A meeting will be scheduled in May or June 2010 to assess the budget situation and evaluate whether continuing or additional budgetary reductions are necessary.
•The Manteca Police Employees Association is forfeiting 1 percent deferred compensation, paying 4 percent more into PERS, and skipping $700 annual uniform allowances for the next two years. No MPEA members will be laid off through June 30, 2010. Everything in good faith will be done to prevent layoffs in July 2011.
•One group of employees represented by the Carpenters Local Union No. 25/Technical and Support Services gave up 3 percent annual deferred compensation plus are paying an additional 3 percent toward their retirement. Furlough days equivalent to 80 hours will be taken out of employee paychecks in equal amounts starting July 1, 2010 and ending June 30,2011 for the equivalent of 3.3 hours per pay period. No members will be laid off through June 30, 2011 and none will be laid off from July 1, 2010 to June 30, 2011 unless a structural deficit exists in the general fund.
•A second group of employees represented by the Carpenters Local Union No. 25 is paying 6 percent more toward retirement and will give up a floating holiday. Furlough dates and schedules for fiscal year 2010-11 will be evaluated in the first quarter of 2010. Furloughs equal to 72 hours can be paid General Services Unit members by utilizing compensatory time off, vacation or by taking furlough days without pay. No members will be laid off through June 30, 2011 and none will be laid off from July 1, 2010 to June 30, 2011 unless a structural deficit exists in the general fund.
•Mid-management employees who forfeited their 1.5 percent deferred compensation will make an additional 4.25 percent payment to PERS, and will forfeit a floating holiday. Furloughs equal to 72 hours can be paid mid-management by utilizing administrative leave or vacation or by taking furlough days without pay.
•The executive management team will forfeit 5 percent deferred compensation, make a 2 percent additional payment to retirement, and give up a floating holiday. Furloughs equal to 72 hours can be paid executive management by utilizing administrative leave or vacation or by taking furlough days without pay.
The Manteca Police Officers Association didn’t agree to a side letter and instead opted for 16 layoffs of which four officers were hired back using stimulus funds.
The options proposed to the various employee groups by the city were designed so they all had proportional financial hits.
It is part of an overall effort to avoid layoffs and further service reductions while bridging what started as a $14 million deficit for the current fiscal year.
The side letter agreements to the original employee contracts inked three years ago means the city may only have to worry about $1 million in additional cuts for the upcoming fiscal year starting July 1, 2010 if property tax and sales tax receipts do not erode farther plus if all cost recovery proposals are in place. The city, though, could yet be broadsided by the state taking even more local revenue to balance the California budget.
All of the groups that agreed to the side letters will lose a pre-negotiated 4 percent pay increase on Jan. 1, 2010 and another 4 percent on Jan. 1, 2011.
Units and the other concessions they made include:
•The Manteca Professional Firefighters Association that are making an additional 2 percent payment to the Public Employees Retirement System. No firefighters will be laid off through June 30, 2010. A meeting will be scheduled in May or June 2010 to assess the budget situation and evaluate whether continuing or additional budgetary reductions are necessary.
•The Manteca Police Employees Association is forfeiting 1 percent deferred compensation, paying 4 percent more into PERS, and skipping $700 annual uniform allowances for the next two years. No MPEA members will be laid off through June 30, 2010. Everything in good faith will be done to prevent layoffs in July 2011.
•One group of employees represented by the Carpenters Local Union No. 25/Technical and Support Services gave up 3 percent annual deferred compensation plus are paying an additional 3 percent toward their retirement. Furlough days equivalent to 80 hours will be taken out of employee paychecks in equal amounts starting July 1, 2010 and ending June 30,2011 for the equivalent of 3.3 hours per pay period. No members will be laid off through June 30, 2011 and none will be laid off from July 1, 2010 to June 30, 2011 unless a structural deficit exists in the general fund.
•A second group of employees represented by the Carpenters Local Union No. 25 is paying 6 percent more toward retirement and will give up a floating holiday. Furlough dates and schedules for fiscal year 2010-11 will be evaluated in the first quarter of 2010. Furloughs equal to 72 hours can be paid General Services Unit members by utilizing compensatory time off, vacation or by taking furlough days without pay. No members will be laid off through June 30, 2011 and none will be laid off from July 1, 2010 to June 30, 2011 unless a structural deficit exists in the general fund.
•Mid-management employees who forfeited their 1.5 percent deferred compensation will make an additional 4.25 percent payment to PERS, and will forfeit a floating holiday. Furloughs equal to 72 hours can be paid mid-management by utilizing administrative leave or vacation or by taking furlough days without pay.
•The executive management team will forfeit 5 percent deferred compensation, make a 2 percent additional payment to retirement, and give up a floating holiday. Furloughs equal to 72 hours can be paid executive management by utilizing administrative leave or vacation or by taking furlough days without pay.
The Manteca Police Officers Association didn’t agree to a side letter and instead opted for 16 layoffs of which four officers were hired back using stimulus funds.
The options proposed to the various employee groups by the city were designed so they all had proportional financial hits.
