CC Resolution No. 23-115 approving the Tentative Agreement between the City of Cupertino and Operating Engineers Local No. 3 Union, AFL-CIO (OE3)RESOLUTION NO.23-115
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO
APPROVING THE TENTATIVE AGREEMENT BETWEEN THE CITY OF
CUPERTINO AND OPERATING ENGINEERS LOCAL #3 AFL-CIO
WHEREAS, on August 16, 2022, the City Council approved a Memorandum
of Understanding (MOU with Operating Engineers Local #3 AFL-CIO (OE3); and
WHEREAS, the City Council desires to approve an agreement to amend the
MOU between the City of Cupertino and OE3.
NOW, THEREFORE, BE IT RESOLVED that the agreement to amend the
MOU between the City of Cupertino and Operating Engineers Local #3 AFL-CIO is
hereby approved and is incorporated in this resolution by reference and attached as
Exhibit A.
PASSED AND ADOPTED at a special meeting of the City Council of the City
of Cupertino this Th day of November 2023 by the following vote:
Members of the City Council
AYES:
Wei, Mohan, Chao, Fruen, Moore
NOES:
None
ABSENT:
None
ABSTAIN:
None
SIGNED:
11/14/23
Hung Wei, Mayor
Date
City of Cupertino
ATTEST:
/ice �, _J�-�=-
11 /14/23
Kirsten Squarcia, City Clerk
Date
Exhibit A
CITY OF
NEGOTIATIONS 2023
Operating Engineers,- -
Local 3 Correspondence
CUPERTINO
FINAL COMPREHENSIVE
TENTATIVE AGREEMENT
DATE: October 26, 2023 TIME: 12:33 PM
The following represents a comprehensive tentative agreement between the City of
Cupertino ("City") and the Operating Engineers, Local 3 ("OE3" or "Union") as a result
of the wage reopener language in Section 10.1(c) of the current Memorandum of
Understanding (effective July 1, 2022 through June 30, 2025).
MOU Section
Term
Section 10.1--
Salary Schedule /
Healthcare Reopener
Section 12 — Health and
Welfare Benefits
Tentative
Same as under current MOU agreement: 3-Year term
effective July 1, 2022 through June 30, 2025.
Effective the first full pay period on or after July 1, 2023, a
3.50% salary increase will be added to the salary range of
each classification in this bargaining unit.
There shall be no further salary increase for FY24/25.
The parties further agree that they have fully satisfied the
healthcare reopener negotiations for FY23-24 and FY24-25
and that no further healthcare negotiations will be held for
the remainder of the MOU term.
Effective January 1, 2024, for each participating employee,
the City shall contribute toward premium cost the following
amount per month during the term of this agreement.
January 1,
City Max
City Max
City Total
2024
Health
Dental
Max
Contribution
Contribution
Contribution
Employee
$1,021.41
$126.78
$1,148.19
Employee +
$2,042.82
$126.78
$2,169.6
1
Employee +
$2,655.67
$126.78
$2,782.45
2
Required contribution amounts exceeding the premium
contribution of the City are the responsibility of the
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CITY OF
�.■:� 1 NEGO TIA TIONS 2023
Operating Engineers,
Local 3
CUPERTINO
Correspondence
employee. The City will no longer pay medical insurance
cash back (excess of the monthly premium less the cost of
the medical coverage) for any employee.
With regards to any change in the monthly medical plan
premium charged by CalPERS in the plan year 2025
compared to the plan year 2024, the City's maximum
contributions shall be capped at no more than 6%. Any
required contribution amounts exceeding the premium
contribution of the City are the responsibility of the
employee.
All other provisions of this Section are the same.
Section 14.1— Fixed
Add Lunar New Year and Cesar Chdvez Holiday to holiday
schedule starting in 2024.
Holidays
For Calendar Year 2023, OE3 employees will receive one
(1) floating holiday in lieu of Lunar New Year holiday. Said
Floating Holiday for CY
floating holiday is "use it or lose it" and must be used by
2023
December 31, 2023. If said floating holiday is not used by
the last full pay period in December 2023, it shall be
automatically cashed out in the first full pay period in
January 2024.
For the sole purpose of this wage reopener provision which
applies for the current MOU term (effective July 1, 2022
through June 30, 2025), should the City's financial situation
change, such that ongoing revenue loss beginning with
FY24/25 would be mitigated, and such mitigation would
Wage Reopener
result in the City's budget being balanced and provide a
minimum of $3 million dollars in ongoing surpluses (as
defined in the City's quarterly and annual budget reports) in
all subsequent years of the 10 year forecast chart for the
General Fund, the parties agree to reopen wage negotiations
for FY24/25. This provision shall automatically sunset on
June 30, 2025.
All outstanding proposals to which there is no Tentative Agreement or which are not
addressed above are to be withdrawn or deemed denied.
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CITY OF
NEGOTIA TIONS 2023
Operating Engineers,_.�._.
Local 3 11 Correspondence
CUPERTINO
The City and OE3 jointly acknowledge that this comprehensive tentative agreement is
expressly contingent upon: i) the City Council's approval; and, ii) ratification by OE3's
membership by October 31, 2023. The parties agree to recommend positively this Final
Comprehensive Tentative Agreement to their principals for ratification.
For the City For the Union
A, - 0111---
ristina AlfaJo Date Michael Moore Date
Director of Administrative Services Business Representative
Vanessa Guerra Date Kevin Greene
Human Resources Manager
�T-KBoucher Date
Labor & Employment Counsel
/L)Z6z�
Date
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