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City Clerk’s Office Item # R-2
Background Paper for Proposed
Ordinance
COUNCIL MEETING DATE: February 08, 2016
TO: President Stephen G. Nawrocki and Members of City Council
CC: Sam Azad, City Manager
VIA: Gina Dutcher, City Clerk
FROM: Sam Azad, City Manager
SUBJECT: AN ORDINANCE EXTENDING THE TERM OF THE CURRENT COLLECTIVE
BARGAINING AGREEMENT BETWEEN THE CITY OF PUEBLO AND PUEBLO
ASSOCIATION OF GOVERNMENT EMPLOYEES FOR A ONE-YEAR PERIOD
COMMENCING JANUARY 1, 2017, THROUGH DECEMBER 31, 2017
SUMMARY:
Attached is a proposed Ordinance which would extend the current negotiated collective
bargaining agreement between the City of Pueblo and Pueblo Association of Government
Employees for the calendar year 2017.
PREVIOUS COUNCIL ACTION:
Pursuant to §8-14(l) of the City Charter, any collective bargaining agreement negotiated between
the sole and exclusive bargaining agent of the classified employees in a bargaining unit and the
City shall be reduced to writing, signed by the parties, and enacted by Ordinance.
BACKGROUND:
In 2014, the City of Pueblo and Pueblo Association of Government Employees negotiated a
Collective Bargaining Agreement (the “Agreement”). The Agreement was reduced to writing,
signed by the parties, and enacted by Ordinance No. 8744 on June 23, 2014. The Agreement
includes a provision that allows the City to extend the contract for two successive one-year terms.
The Agreement was extended for the first one-year term pursuant to Ordinance 8854. Pursuant
to the current Agreement, Article 32, Term of Agreement, provides that the decision to extend the
th
term of the Agreement shall be made by the City Council on or before the 15 day of March 2016.
The extended term for 2017 would be upon the same terms and conditions, except that the
premium contribution rate and maximum contribution amount paid by the City for health insurance
would be as provided in Section 25.1, Health, Hospitalization, and Dental Insurance and wages
during the extended term would be as provided pursuant to Section 15.1, Wages and Other
Payments. It should be understood that under Section 15.1, wages shall either increase by
$60.00 a month, or based upon the fact that there has been a greater than 2.5% increase in sales
tax revenue, the Union may elect to open wages only for negotiations and notice of such election
must be made on or before April 1, 2016.
FINANCIAL IMPLICATIONS:
The cost to the City for the salary increase of $60.00 per month in 2017 will be approximately
$190,382. A $60.00 per month salary increase is equivalent to a 1.43% increase over 2016 salary
levels. The cost of the 1% increase in employer contribution to medical insurance is anticipated
to be approximately $35,201.
BOARD/COMMISSION RECOMMENDATION:
Not applicable.
STAKEHOLDER PROCESS:
Not applicable.
ALTERNATIVES:
If the City Council shall fail to extend the term of the Agreement, the parties would commence
negotiations for a successor agreement and all provisions would be subject to negotiations.
RECOMMENDATION:
Approval of the Ordinance.
ORDINANCE NO. 8968
AN ORDINANCE EXTENDING THE TERM OF THE
CURRENT COLLECTIVE BARGAINING AGREEMENT
BETWEEN THE CITY OF PUEBLO AND PUEBLO
ASSOCIATION OF GOVERNMENT EMPLOYEES FOR A
ONE-YEAR PERIOD COMMENCING JANUARY 1, 2017,
THROUGH DECEMBER 31, 2017
WHEREAS, the corporate authorities of the City of Pueblo and the sole and
exclusive bargaining agent of Pueblo Association of Government Employees negotiated
a collective bargaining agreement commencing January 1, 2015 (the “Agreement”); and
WHEREAS, the Agreement was reduced to writing, signed by the parties, and
enacted by Ordinance No. 8744 on June 23, 2014, pursuant to the requirements of
Section 8-14(l) of the Charter of the City of Pueblo, Colorado; and
WHEREAS, the Agreement includes a provision that allows the City to extend the
contract for two successive one-year terms; and
WHEREAS, section 3-17 of the City Charter requires that every Council act fixing
compensation shall be by Ordinance; and
WHEREAS, Article 10, Section 20 of the Constitution of Colorado (the TABOR
Amendment) could be interpreted to require that compensation for each year of the
Pueblo Association of Government Employees collective bargaining agreement be
authorized by separate Ordinance; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that
SECTION 1.
The term of the current collective bargaining agreement by and between the City
of Pueblo and the Pueblo Association of Government Employees is hereby extended
through December 31, 2017 on the same terms and conditions contained therein, except
that wages during the extended term shall be as provided or otherwise determined
pursuant to Section 15.1 of the Agreement and the premium contribution rate and
maximum contribution amount paid by City for health insurance shall be as provided in
Section 25.1 of the Agreement.
SECTION 2.
The officers and staff of the City are directed and authorized to perform any and
all acts consistent with the intent of this Ordinance to effectuate the policies and
procedures described herein.
SECTION 3.
This Ordinance shall become effective upon final passage and approval.
INTRODUCED February 8, 2016
BY: Ed Brown
PASSED AND APPROVED: February 22, 2016