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R5F-Others Salary Ordinance -Weithorn-COMMISSION ITEM SUMMARY Condensed Title: An Ordinance Of The Mayor And City Commission Of The City Of Miami Beach, Florida, Amending Ordinance No. 789, The Classified Employees Salary Ordinance Of The City Of Miami Beach, Florida, As Follows: Providing For The Classifications In Group VI, Not Represented By A Collective Bargaining Unit And Commonly Referred To As "Others"; Amending All Of The Pay Grades; By Abolishing Pay Grade 1; Establishing The Classifications Of Fire Inspector I And Seasonal Recreation Aide; And Effective The First Full Pay Period Ending In October 2014, Increasing The Minimum And The Maximum Of Each Pay Grade, By Three Percent (3%); And Granting An Across The Board Cost Of Living Adjustment Of Up To Three Percent (3%) For Any Others Employee Whose Base Salary Does Not Exceed The Maximum Of The Pay Range For The Comparable Job Title As Recommended By The 2009 Condrey Classification And Compensation Study "Pay Scale B" And Subsequently Amended By Seven Percent 7% In August 2013 By The Consultant; Repealing All Ordinances In Conflict; Providing For Severability, An Effective Date And Codification. Key Intended Outcome Supported: Attract and maintain a Workforce of Excellence. Supporting Data (Surveys, Environmental Scan, etc In the past six years, there have only been two COLAs, with the last COLA not having increased the minimum and the maximum of the pay ranges for the "Others" salary group. Item Summary/Recommendation: First Reading The City reached individual three (3} year labor agreements covering the time period of October 1, 2012, through September 30, 2015 with each, the CWA, GSAF, FOP and IAFF. The City agreed to a three percent COLA for all bargaining unit employees effective the first pay period ending in October 2014, adjusting the minimum and maximum of each pay range accordingly. Keeping with spirit of treating all City of Miami Beach employees similarly, the Administration is recommending effective with the first full pay period in October 2014, increasing the minimum and maximum of the salary ranges for all pay grades in the "others" salary group and granting an across the board cost of living adjustment of up to three percent for any employee in the "others" salary group whose base salary does not exceed the maximum of the pay range for the comparable job title as recommended in the 2009 Condrey Classification and Compensation Study "Pay Scale B", and subsequently amended by seven percent in August 2013, by the consultant. In addition, two new positions in the "others" salary group have been created since the last update to the Classified Employees Salary Ordinance for "others" in April 2012 and the inclusion of these positions are being reflected in the proposed amendment to the ordinance. Advisory Board Recommendation: IN/A Financial Information: Source of Amount Funds: 1 FY2012/2013 $0 E 2 FY2013/2014 $0 3 FY2014/2015 Cost of three percent salary COLA for qualifying "Others" employees $30,000 Total $30,000 Financial Impact Summary: The three percent COLA provides a needed amendment to the salary ranges to provide for a fair and internally and externally competitive compensation system. The estimated five-year impact is approximately $150,000. Cit Clerk's Office Le islative Trackin : Sylvia Crespo-Tabak, Human Resources Director Assistant City Manager MIAMI BEACH 84 City Manager Jimmy L. Morales AGENDA ITEM __ f?;_5_-..:;_F_ DATE 9-.J()-(3 MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and M FROM: City Manager Jimmy L. Morales DATE: September 30, 2013 First Reading SUBJECT: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING ORDINANCE NO. 789, THE CLASSIFIED EMPLOYEES SALARY ORDINANCE OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: PROVIDING FOR THE CLASSIFICATIONS IN GROUP VI, NOT REPRESENTED BY A COLLECTIVE BARGAINING UNIT AND COMMONLY REFERRED TO AS "OTHERS"; AMENDING ALL OF THE PAY GRADES BY ABOLISHING PAY GRADE 1; ESTABLISHING THE CLASSIFICATIONS OF FIRE INSPECTOR I AND SEASONAL RECREATION AIDE; AND EFFECTIVE THE FIRST FULL PAY PERIOD ENDING IN OCTOBER 2014, INCREASING THE MINIMUM AND THE MAXIMUM OF EACH PAY GRADE, BY THREE PERCENT (3%); AND GRANTING AN ACROSS THE BOARD COST OF LIVING ADJUSTMENT OF UP TO THREE PERCENT (3%) FOR ANY "OTHERS" EMPLOYEE WHOSE BASE SALARY DOES NOT EXCEED THE MAXIMUM OF THE PAY RANGE FOR THE COMPARABLE JOB TITLE AS RECOMMENDED BY THE 2009 CONDREY CLASSIFICATION AND COMPENSATION STUDY "PAY SCALE B" AND SUBSEQUENTLY AMENDED BY SEVEN PERCENT 7% IN AUGUST 2013 BY THE CONSULTANT; REPEALING ALL ORDINANCES IN CONFLICT; PROVIDING FOR SEVERABILITY, AN EFFECTIVE DATE AND CODIFICATION. RECOMMENDATION The Administration recommends that the City Commission approve the Ordinance on first reading and set a second reading and public hearing for October 16, 2013. BACKGROUND The City of Miami Beach has the following five (5) classified employee groups represented by bargaining units: • Group I -Represented by the American Federation of State, County and Municipal Employees (AFSCME) Local 1554; • Group II-Represented by the Fraternal Order of Police (FOP) William Nichols Lodge No.8; • Group Ill -Represented by the International Association of Firefighters (IAFF) Local 1510; 85 City Commission Memorandum September 30, 2013 Others Classified Salary Ordinance 151 Reading Page 2 of4 • Group IV-Represented by the Communications Workers of America (CWA) Local 3178; and • Group V -Represented by the Government Supervisors Association of Florida (GSAF), OPEIU, Local100. The City also has one classified employee group, Group VI, comprising of classifications in the classified service not covered by a bargaining unit. This group is commonly referred to in the City of Miami Beach as "others". There is a seventh salary group comprised of at-will employees commonly referred to as unclassified. ANALYSIS The City of Miami Beach currently has approximately 23 employees whose classifications are in the "others" salary group. The City has reached agreement with four of the five bargaining units representing employees. They include CWA, IAFF, GSAF and the FOP. The agreements with CWA and IAFF were approved by the corresponding bargaining unit members and ratified by the City Commission. The Administration presented an item to the City Commission on September 11, 2013, amending the FOP collective bargaining agreement that was ratified July 19, 2013. The FOP membership voted on the agreement September 9 through 11, 2013 and the members ratified. On July 18, 2013, the City and the GSAF leadership reached an agreement. GSAF held a ratification vote August 1, 2013, and the majority voted against the proposed agreement. GSAF held a second vote September 18, 2013, in which the membership ratified the contract; the specifics of which will be presented to the City Commission for ratification at the October 16, 2013, meeting. As of this writing, the City and AFSCME continue to negotiate a successor agreement to the one that expired April 30, 2013. An across the board cost of living adjustment (COLA) of three percent was negotiated with CWA, GSAF, FOP and IAFF effective with the first full pay period ending in October 2014; and the minimum and maximum of the pay range for each classification will increase accordingly. Since October 2009, there have been no merit increases for any unclassified or "others" employees. There was one three percent COLA in April 2012, for those "others" employees whose salary was below the maximum of the pay range of their respective classifications. Note, the minimum and maximum of the pay ranges were increased for all salary groups except for the unclassified and "others" in April 2012. Since FY2007/2008 the management team (senior level and executive employees) has been eligible for one merit increase only. Effective January 18, 2010, employees in the unclassified and "others" salary groups who are members of the Miami Beach Employees' Retirement Plan (MBERP) also began contributing an additional two percent of their pensionable salaries toward their pension, reducing the City's portion of the annual required contribution. 86 City Commission Memorandum September 30, 2013 Others Classified Salary Ordinance 1st Reading Page 3 of4 In 2008, the Administration entered into a contract with Condrey & Associates to perform a citywide study to ensure the City had a classification and compensation system that was appropriate, competitive and fair. Condrey & Associates, in conjunction with a professor/researcher from the University of Miami, also conducted a best practices benefits survey to collect data on what other jurisdictions were doing to control related costs. Condrey & Associates presented their preliminary findings to the City Administration in early October 2008, just days after the major economic downturn experienced by the stock market. Given the subsequent grim economic news and forecasts, the employee layoffs from many local and national organizations, and others freezing or reducing salaries and benefits, the Administration asked Condrey & Associates to analyze its findings further to make a more accurate and timely recommendation to the City, considering the evolving economic, financial and labor factors. In August 2009, the City received the final Condrey & Associates Classification and Compensation Study for the City of Miami Beach. The report included an analysis of the salary and benefits data, along with the jurisdictions that responded to the salary and benefits surveys. In August 2013, the consultant provided the City with a letter (Attachment 1) advising that the recommended minimum and the maximum salary scales recommended in the study should be adjusted by seven percent. The City's past practice has been to provide COLAs to the "others" and unclassified employees consistent with those negotiated and agreed to for employees covered by collective bargaining agreements. Therefore, the Administration recommends that effective with the first full pay period ending in October 2014, the minimum and maximum of the pay grades in the unclassified salary group be increased by three percent and that employees be eligible for up to a three percent COLA if their salaries do not exceed the maximum of the pay range for the comparable job title in the Condrey Study, subsequently adjusted by seven percent in August 2013. No employee in the unclassified salary group, who separates from employment with the City prior to the implementation date of the proposed COLA, will be eligible for this increase. The Human Resources Director will review and determine the appropriate range for those classifications not analyzed by Condrey. Based on an appropriately determined range, with the City Manager's concurrence, the eligibility of each incumbent in those classifications for up to a three percent COLA will be determined. The estimated impact to the FY2014/2015 operating budget attributable to the three percent COLA is approximately $30,000. This estimate does not take into account turnover rates. The impact from filled positions affected by the Condrey recommendations, as amended in August 2013, is provided in Attachment 2. In addition over the last few years, several reclassifications and organizational changes affecting a number of "others" positions have taken place, but have not been reflected in the Classified Salary Ordinance for "others" employees. The attached ordinance provides conformity with such actions. 87 City Commission Memorandum September 30, 2013 Others Classified Salary Ordinance 1" Reading Page 4 of 4 CONCLUSION The Administration recommends approving the COLA of up to three percent, effective the first full pay period ending October 2014, for all employees in the "others" salary group whose salaries do not exceed the maximum of the pay range as recommended in the 2009 Condrey Study, as amended in August 2013. This adjustment will provide additional incentives and competitiveness to attract new and retain existing employees. The Administration recommends ratification of the reclassification and organizational changes reflected in the ordinance. It is further recommended that the City Commission approve the ordinance on first reading and set the second reading public hearing for octobet:l 2013. JLM/K~C-T/CMG I T:IAGENDA\2013\September 30\Ciassified Others Salary Ordinance\Others Salary Ordinance Memo 1st Reading.docx 88 ----·-·-· ·---------- ORDINANCE NO.------- AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING ORDINANCE NO. 789, THE CLASSIFIED EMPLOYEES SALARY ORDINANCE OF THE CITY OF MIAMI BEACH, FLORIDA, AS FOLLOWS: PROVIDING FOR THE CLASSIFICATIONS IN GROUP VI, NOT REPRESENTED BY A COLLECTIVE BARGAINING UNIT AND COMMONLY REFERRED TO AS "OTHERS"; AMENDING ALL OF THE PAY GRADES BY ABOLISHING PAY GRADE 1; ESTABLISHING THE CLASSIFICATIONS OF FIRE INSPECTOR I AND SEASONAL RECREATION AIDE; AND EFFECTIVE THE FIRST FULL PAY PERIOD ENDING IN OCTOBER 2014, INCREASING THE MINIMUM AND THE MAXIMUM OF EACH PAY GRADE, BY THREE PERCENT (3%); AND GRANTING AN ACROSS THE BOARD COST OF LIVING ADJUSTMENT OF UP TO THREE PERCENT (3%) FOR ANY OTHERS EMPLOYEE WHOSE BASE SALARY DOES NOT EXCEED THE MAXIMUM OF THE PAY RANGE FOR THE COMPARABLE JOB TITLE AS RECOMMENDED BY THE 2009 CONDREY CLASSIFICATION AND COMPENSATION STUDY "PAY SCALE B" AND SUBSEQUENTLY AMENDED BY SEVEN PERCENT 7% IN AUGUST 2013 BY THE CONSULTANT; REPEALING ALL ORDINANCES IN CONFLICT; PROVIDING FOR SEVERABILITY, AN EFFECTIVE DATE AND CODIFICATION. WHEREAS, the City of Miami Beach has approximately 20 employees who are included in the '"'others"" salary group; and WHEREAS, the City has reached agreement with four of the five bargaining units to amend the prior three-year collective bargaining agreements (CBAs) including the Communication Workers of America (CWA) Local 3178; the Government Supervisors Association of Florida (GSAF) Local 1 00; the Fraternal Order of Police (FOP) William Nichols Lodge No. 8; the International Association of Firefighters (IAFF) Local 151 0; and is still negotiating with and the American Federation of State, County and Municipal Employees (AFSCME) Local 1554; and WHEREAS, the three-year CBAs were approved by the corresponding bargaining unit members and, except for the agreement with GSAF, ratified by the City Commission; and WHEREAS, an across the board cost of living adjustment (COLA) of three percent (3%) for represented classified employees was negotiated with the GSAF, CWA, FOP and IAFF, with a corresponding increase to the minimum and maximum of each pay grade, effective with the first full pay period ending in October 2014; and 1 89 WHEREAS, the COLAs listed herein are consistent with those negotiated for the classified employees covered by the CWA, FOP and the IAFF; and WHEREAS, the City's past practice has been to provide COLAs to unclassified employees and unrepresented classified employees ("OTHERS"-Group VI), consistent with the COLAs negotiated by the represented classified employees (Groups I through V); and WHEREAS, effective with the first full pay period in October 2014, the minimum and the maximum of the classified pay grades, 3 through 14, for the "others"-Group VI shall each be increased by three percent (3%); and WHEREAS, effective with the first full pay period in October 2014, there shall be an across the board COLA of up to three percent (3%) for any "others" employee whose base salary does not exceed the maximum of the pay range for the comparable job title as recommended by the 2009 Condrey Classification and Compensation Study "Pay Scale B", subsequently amended by seven percent (7%) in August 2013, by the consultant (provided as Attachment 1 ); and WHEREAS, eligibility for up to a three percent (3%) COLA for any employee whose classification was not analyzed by Condrey, will have said COLA eligibility determined by the Human Resources Director, with the City Manager's concurrence, at the time of implementation during the first full pay period in October 2014; and WHEREAS, no "others" employee who separates employment from the City prior to the date of implementation of the COLA effective the first full pay period ending in October 2014 will be eligible for this increase; and WHEREAS, the recommended pay grade for each classification that was included in the 2009 Condrey Classification and Compensation Study and, subsequently amended by seven percent (7%) by the consultant in August 2013, is provided as Attachment 2; and WHEREAS, the estimated impact to the FY 2014/15 operating budget is approximately $30,000 attributed to the three percent (3%) COLA for qualifying employees whose classifications are in the "others" salary group; and WHEREAS, two new positions in the "others" salary group have been created and the inclusion of these positions are being reflected in the proposed amendment to the ordinance. The attached ordinance will provide conformity for any such actions that have already taken place and ensure that the City has an employee classification and compensation system that is fair and internally and externally competitive. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: 2 90 SECTION 1: The following lines of Section 1 of the Classified Salary Ordinance No. 789 shall be amended as follows: GROUP VI ALL OTHER CLASSIFICATIONS IN THE CLASSIFIED SERVICE NOT COVERED BY A BARGAINING UNIT (A/KIA "OTHERS") Salary Ranges and Classification A. Salary Grades and Ranges 14 13 12 11 10 9 8 7 6 5 4 3 2 + GRADE 59,837 55,068 50,678 46,638 42,921 39,500 36,352 33,453 30,788 28,334 26,076 23,996 22,084 20,324 MINIMUM BIWEEKLY B. Grade and Classifications GRADE CLASSIFICATION 14 Employee Benefits Specialist 14 Senior Electrical Inspector 14 Senior Elevator Inspector 14 Senior Mechanical Inspector 14 Senior Plumbing Inspector 12 Computer Operator 12 Firearms Specialist 11 Human Resources Technician Ill 11 Fire Inspector I 10 Human Resources Technician II 3 91 96,641 88,940 81,848 75,325 69,320 63,797 58,712 54,031 49,725 45,760 42,114 38,757 35,668 32,824 MAXIMUM BIWEEKLY 3,828 3,523 3,242 2,984 2,746 2.527 2,326 2.140 1,970 1,813 1,668 1,535 1,413 GROUP Other Classified Other Classified Other Classified Other Classified Other Classified Other Classified Other Classified Other Classified Other Classified Other Classified GRADE CLASSIFICATION GROUP 9 Ice Rink Technician Other Classified 9 Human Resources Technician I Other Classified 8 Building Services Technician Other Classified 8 Administrative Aide 11/Risk Other Classified Management 6 Recreation Leader II Other Classified 6 Customer Service Representative Other Classified 5 Office Associate II (HR & IT) Other Classified 4 Recreation Leader I Other Classified 3 Concession Attendant Other Classified 2 School Guard Other Classified 2 Seasonal Recreation Aide Other Classified I Note: There currently are no classifications in grades 13, 7 or 1. SECTION 2: COST OF LIVING ADJUSTMENT An across the board COLA of up to three percent (3%) for shall be provided to all employees in the others salary group whose base salary does not exceed the maximum of the pay range for the comparable job title as recommended by the 2009 Condrey Classification and Compensation Study "Pay Scale B" (provided as Attachment 1 ), subsequently amended by seven percent (7%) in August 2013, by the consultant (provided as Attachment 2). Eligibility for up to a three percent (3%) COLA for any employee whose classification was not analyzed by Condrey, will have said COLA eligibility determined by the Human Resources Director, with the City Manager's concurrence, at the time of implementation. SECTION 3: REPEALER. That all ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. SECTION 4: SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. 4 92 SECTION 5: EFFECTIVE DATE. A. The Ordinance amendments set forth in Section 1 above adding and/or deleting positions shall become effective ten days upon adoption of this ordinance on second reading. Increasing the minimum and maximums of the pay grades shall become effective the first full pay period ending in October 2014. B. The Ordinance amendments set forth in Section 2, providing for a cost of living adjustment for of up to three percent (3%) shall be provided to all employees in the others salary group whose base salary does not exceed the maximum of the pay range for the comparable job title as recommended by the 2009 Condrey Classification and Compensation Study "Pay Scale 8", subsequently amended by seven percent (7%) in August 2013, by the consultant shall become effective the first full pay period in October 2014. Eligibility for up to a three percent (3%) COLA for any employee whose classification was not analyzed by Condrey, will have said COLA eligibility determined by the Human Resources Director, with the City Manager's concurrence, at the time of implementation shall become effective the first full pay period in October 2014. SECTION 7: CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this Ordinance shall become and be made a part of the Code of the City of Miami Beach, Florida. The sections of this Ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section," "article," or other appropriate word. PASSED and ADOPTED this __ day of ________ , 2013. ATTEST: Rafael E. Granado, City Clerk Matti Herrera Bower, Mayor APPROVED AS TO FOP.M & LANGUAGE & FOR EXECUTION T:\AGENDA\2013\September 30\Ciassified Others Salary Ordinance\Others Salary Ordinance I st Reading CMG 9-4-13_docx 5 93 ATTACHMENT 1 CONDREY & ASSOCIATES, ll\IC. Ms. Carla Maglio Gomez Assistant Director Department of Human Resources City of Miami Beach 1 700 Convention Center Drive Miami Beach, Florida 33139 :· ·-:..;·-• . ..:.,: ~.-,._V:: ,, · .. t Dear Ms. Gomez: A Human Resources Consulting Company August 21, 2013 ' ,.. --~ :.:_: .. _ :•.' .. As 've discussed, I am happy to provide infom1ation concerning updating the salary scales presented in our August 2009 report. In order to bring these scales to current compensation levels, we recommend that they be increased by 7%. This 7% adju.Stment is based on the approximate cumulative increase in the Employment Cost Index since 2009. I hope this information is helpful to you. Please do not hesitate to contact me if I may provide further information. Sincerely, ~~ Stephen E. Condrey, Ph.D. President 706.548.8938 Q :n ;;i .i:-:(1 ·n !Jf' 0 586.816.4067 I·'Cl ~);>'· :•"n; Arhens, G/\ 30604· 7907 www. condrey-consulting. com 612 .. ------~--------94--------------------------------~ (,0 U'l OTHERS CLASSIFICATIONS CONDREY RECOMMENDED RANGES UPDATED AUGUST 2013 Notes Fields highlighted in gray represent positions that were not analyzed by Condrey; however, job audits have been completed for a majority of them. ~ ---1 ~ J: s m z -1 N