HomeMy WebLinkAboutUnrepresented Employees - Side Letter Agreement - May 29, 2009
May 29, 2009
Thomas Haglund
City Administrator
City of Gilroy
Dear Tom:
The unrepresented management employees of the City of Gilroy would like to communicate to
you our desire to be a part of the FY 10 and FY 11 budget shortfall solution. This was verbally
communicated to you yesterday and we are confirming our communications in writing.
The unrepresented managers consist of the following positions: Finance Director, Fire Chief,
Human Resources Director/Risk Manager, Police Chief, City Clerk, Assistant Finance Director,
and Budget Analyst. As a group, we unanimously offer the following reductions which are
consistent with the agreement reached with the Gilroy Management Association:
1. Furlough
24 days of unpaid furloughs each in FY 10 and FY 11 (total 48 days). City Hall
closed every 1st and 3rd Friday.
. Savings: 9.23% per year
2. Wage Freeze
No wage increases for the period July 1, 2009 - June 30, 2010.
3. Merit Salary Increases
Reinstate Merit Increases for March 1, 2009 - June 30, 2009. Eliminate Merit Increases for
the period July 1, 2009 - June 30, 2010.
. Savings: 1.6%
4. Tuition Reimbursement
Eliminate Tuition Reimbursement for the period July 1, 2009 - June 30, 2010.
. None planned or budgeted for this group.
These reductions equate to a 10.8% reduction for FY 10.
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We know that these are unprecedented economic times and we are all committed to helping
the City achieve reductions to help stabilize the City's budget situation.
Sincerely,
~~
Ie Foster, Fire Chief
Ann McPhillips, Human Resources Director/Risk Manager
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Denise Turner, Police Chi "1
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Shawna Freels, Ci
~~~
Barbara Voss, Assistant Finance Director
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Rosemary Guerrero, Budget Analyst
Page 2 of 2
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RESOLUTION NO. 2009-23
RESOLUTION APPROVING A SIDE LETTER CONCESSION AGREEMENT
BETWEEN THE CITY OF GILROY AND THE UNREPRESENTED EXEMPT
EMPLOYEES
The City Council of the City of Gilroy hereby resolves as follows:
WHEREAS, the City is experiencing revenue losses for a sustained period of multiple
years, therefore, revenues are not keeping pace with expenditures; and
WHEREAS, the local, state, and national economy is seeing unprecedented economic
losses, substantially declining property values, and declining sales tax revenue as consumers
curtail spending. As a result, the City has experienced significant revenue losses and expects
these losses to continue for multiple years; and
WHEREAS, the City has made over $8.0 million in cuts through spending reductions, a
hiring freeze, and layoffs; and
WHEREAS, the City requested to meet and confer with all bargaining units in an effort
to find solutions to the City's fmancial situation; and
WHEREAS, the Unrepresented Exempt Employees do not have a formal meet and
confer process; and
WHEREAS, the Unrepresented Exempt Employees have submitted a concession letter to
the City Administrator; and
WHEREAS, all Unrepresented Exempt Employees have signed the concession letter in
support of the concessions and being part of the budget solution; and
WHEREAS, the Unrepresented Exempt Employees concession equate to a contribution
of approximately $151,000 through concessions from the 7 Unrepresented Exempt Employees;
and
WHEREAS, the Concession Letter from the Unrepresented Exempt Employees is
included in Exhibit A to this resolution.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Gilroy
accepts the Concession Letter from the Unrepresented Exempt Employees and agrees that the
City Administrator has the authority to implement the Concession Letter and to create
administrative procedures for the implementation of the agreed upon unpaid furloughs.
PASSED AND ADOPTED this 8th day of June, 2009 by the following vote:
AYES:
COUNCILMEMBERS:
PINHEIRO
ARELLANO, BRACCO, DILLON and
RESOL TUION NO. 2009-23
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ATTEST:
.
'l
GARTMAN, TUCKER, WOODWARD
NONE
APPROVED:
~~
. e inheiro, Mayor
RESOL TUION NO. 2009-23
,,"
I, SHA WNA FREELS, City Clerk of the City of Gilroy, do hereby certify that the
attached Resolution No. 2009-23 is an original resolution, or true and correct copy of a city
resolution, duly adopted by the Council of the City of Gilroy at a regular meeting of said Council
held on the 8th day of June, 2009, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 11 th day of June, 2009.
a Freels, C
City Clerk of the City of Gilroy
(Seal)