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RES-2013-065RESOLUTION NO. 2013 - 065 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM APPROVING A LETTER OF UNDERSTANDING BETWEEN THE ANAHEIM MUNICIPAL EMPLOYEES ASSOCIATION, GENERAL AND CLERICAL UNITS AND THE CITY OF ANAHEIM WHEREAS, the Human Resources Department met and conferred with officials and employee representatives of the Anaheim Municipal Employees Association, General and Clerical Units, and agreed to certain provisions intended to mitigate the impact of the Federal Sequester on the Anaheim Housing Division; and WHEREAS, as a result thereof, a Letter of Understanding dated April 22, 2013 between the parties has been prepared and signed; and WHEREAS, the Union is in agreement with the recommendations contained in said Letter of Understanding; and as a result thereof, the Letter of Understanding dated April 22, 2013, has been signed; and WHEREAS, the City Council of the City of Anaheim does find that it is in the best interest of the City of Anaheim to approve said Letter of Understanding. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Anaheim that the Letter of Understanding dated April 22, 2013 between the Anaheim Municipal Employees Association, General and Clerical Units and the City of Anaheim, a copy of which is attached hereto and incorporated by reference herein, is hereby approved. THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 14th day of May 2013, by the following roll call vote: AYES: Mayor Tait, Council Members Eastman, Murray, Brandman and Kring NOES: None ABSENT: None ABSTAIN: None MAYOR OF THE 61TY OF ANAHEIM ATTEST: CITY CLERK OF THE CITY OF ANAHEIM FAOT6076CS. DOC LETTER OF UNDERSTANDING between the ANAHEIM MUNICIPAL EMPLOYEES ASSOCIATION and the CITY OF ANAHEIM The Anaheim Municipal Employees Association (AMEA) and the City of Anaheim (ANAHEIM) have agreed to certain provisions intended to mitigate the impact of the Federal Sequester on the Anaheim Housing Division. The Parties hereby agree to the following special mitigation provisions: ANAHEIM will offer the Accelerated Separation Program (ASP) as provided for in the Letter of Understanding entered into by the Parties on January 29, 2010, including provisions for contributions to post retirement medical benefits for a period of eighteen (18) months (i.e. July 1, 2013 through December 31, 2014) to classes of employees deemed eligible by the City Manager. The City Manager shall retain the sole discretion to approve or deny any application and to close the program at any time. Any decision by the City Manager to deny an application, or to close the application period with or without notification, shall not be subject to review through the grievance process. ANAHEIM agrees to pay the COBRA costs associated with health benefit continuation for those qualified employees laid -off from their position with ANAHEIM, including those qualified employees who convert from full -time status to part-time status. Such payments shall be made by ANAHEIM through the end of December 31, 2013. Effective January 1, 2014, COBRA costs associated with health benefit continuation shall be the responsibility of the individual COBRA participant. ANAHEIM and AMEA agree that an employee who terminates his or her employment from the Anaheim Community Development Department in good standing between the effective date of this Letter of Understanding and June 30, 2013, and who is reinstated within one hundred eighty (180) days of his or her separation date shall be considered to have continuous service for the purpose of all employee benefits with the exception of FICA Medicare participation, shall not serve a new probationary period, and shall be credited with the amount of any sick leave forfeited at the time of separation from service. All other provisions of Article 31- REINSTATEMENT of the Memorandum of Understanding dated January 8, 2010 through July 7, 2011 between the parties, extended at the option of the AMEA, shall remain in full force effect. 4. ANAHEIM and AMEA are parties to a Letter of Understanding dated May 25, 2012 (the "May 27, 2012 LOU "), which provides, in part, as follows: 1 '6. ANAHEIM shall not lay off any AMEA- represented employee during the term of this agreement. This provision shall not be precedent setting for any purpose and shall not be applicable in the event the City encounters a catastrophic fiscal emergency. This provision shall terminate effective the 3 rd day of January, 2014." The parties acknowledge that there may exist a disagreement between them as to whether the impact of the Federal Sequester constitutes a "catastrophic fiscal emergency" as that term is used in the May 25, 2012 LOU. Thus, there may also exist a disagreement as to whether employees represented by AMEA may be laid off, during the term of the May 25, 2012 LOU, as a result of the impact of the impact of the Federal Sequester. ANAHEIM and AMEA agree that this agreement is without prejudice to their respective positions on these issues and that each party: (a) retains its right to take action based on its position(s), (b) retains all rights it possesses prior to entering into this agreement to contest or defend any such action, and (c) agrees that this agreement (or any provision herein) is not intended to and does not constitute a waiver of, or in any way compromise, their respective positions. 5. ANAHEIM and AMEA agree that regular full -time employees laid off in good standing from their position with the Anaheim Community Development Agency shall be placed on a re- employment list, and that such list shall remain in effect for a period of two (2) years or until depleted, whichever occurs first. 6. ANAHEIM agrees that any regular full -time employee who separates under the ASP program, on or before June 30, 2013, shall receive the $1100 lump sum payment pursuant to the May 25, 2012, Letter of Understanding between ANAHEIM and AMEA. 7. In the event any additional or alternative mitigation measures are offered to the members of any other bargaining unit or any management employee, ANAHEIM agrees that the same additional or alternative mitigation measures shall be offered to impacted AMEA- represented employees. The Parties agree that this Agreement is the result of extraordinary circumstances accruing from the Federal Sequester and its impact on the Anaheim Housing Authority, and that this Agreement is intended solely to mitigate the impact on affected employees. The Parties further agree that this Agreement shall not bind ANAHEIM or serve as precedent in the event such a decision to restructure or otherwise modify any other services or functions currently provided by ANAHEIM. Notwithstanding the foregoing, the parties agree that AMEA may request, and upon such request the City agrees, to meet and confer with respect to additional mitigation measures. STAFF OFFICIALS of the CITY OF ANAHEIM, a Municipal Corporation By: By: By: By: B 7yv.: ANAHEIM MUNICIPAL EMPLOYEES ASSOCIATION, General & Clerical Employees By: By: 1 By: By: l By: By Dated: f-'l � L�