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File #: 11-1182    Version: 1 Name: 9/19/11 Resolution to Approve 2009-2013 Collective Bargaining Agreement for Ann Arbor Police Officers Association as Specified in the ACT 312 Award
Type: Resolution Status: Passed
File created: 9/19/2011 In control: City Council
On agenda: 9/19/2011 Final action: 9/19/2011
Enactment date: 9/19/2011 Enactment #: R-11-409
Title: Resolution to Approve the 2009-2013 Ann Arbor Police Officers Association Collective Bargaining Agreement as Specified in the Act 312 Award (8 Votes Required)
Title
Resolution to Approve the 2009-2013 Ann Arbor Police Officers Association Collective Bargaining Agreement as Specified in the Act 312 Award (8 Votes Required)
Memorandum
Human Resources Services recommends approval of the attached Resolution to approve the 2009-2013 Ann Arbor Police Officers Association (AAPOA) Collective Bargaining Agreement mandated by the Arbitration Panel's Act 312 award.
 
The City and the AAPOA pursuant to a state-mandated binding arbitration award issued under Act 312 have a new collective bargaining agreement for the July 1, 2009-June 30, 2013 period.  The Arbitration Panel's mandatory award was signed on September 14, 2011.  Highlights of the new agreement mandated by the Arbitration Panel's award include:
 
¨      Effective January 1, 2012 (per the Act 312 decision), a redesigned health care plan which offers three options for health care contributions on a January 1 - December 31 plan year:
o      Low Plan offers no monthly premium with $1,000 deductible for single, $2,000 deductible for family with co-insurance up to out of pocket annual maximum of $2,400 for single, $4,800 for family;
o      High Plan has a 10% monthly contribution with $300 deductible for single, $600 deductible for family with co-insurance up to out of pocket annual maximum of $1,200 for single, $2,500 for family; and
o      20% Premium Plan has a 20% monthly contribution with $300 deductible for single, $600 deductible for family with no co-insurance
o      A one time $500.00 HRA deposit on January 1, 2012 for each active employee;
 
¨      This agreement offers no across the board wage increases;
 
¨      Pension contribution will increase from 5% to 6% of pay on a pre-tax basis effective January 1, 2012
 
¨      A new hire (for employees hired on or after January 1, 2012) pension program which includes an increase in vesting to 10 years, final average compensation based on a 5 year calculation and an access-only type retiree healthcare plan with a retiree healthcare reimbursement account.
Staff
Prepared by:  Janet Carpenter, HR Analyst
Reviewed by: Robyn Wilkerson, Director, Human Resources and Labor Relations
Approved by:       Tom Crawford, Interim City Administrator
Body
Whereas, The current collective bargaining agreement between the City and the Ann Arbor Police Officers Association expired June 30, 2009;
 
Whereas, A binding arbitration award was issued on September 14, 2011 by the Arbitration Panel pursuant to Act 312, which details a new agreement between the parties, including a redesigned health care plan effective January 1, 2012, which offer three options for health care: Low Plan with no monthly premium; High Plan with a 10% monthly premium; and a 20% Premium Plan with a 20% monthly premium and no co-insurance and a $500.00 HRA deposit on January 1, 2012 for each active employee;
 
Whereas, The Arbitration Panel's award includes no across the board wage increases;
 
Whereas, Pursuant to the award, the pension contribution will increase from 5% to 6% of pay on a pre-tax basis effective January 1, 2012;
 
Whereas, The award includes changes in pension for employees hired on or after January 1, 2012, including a 10 year vesting period, final average compensation based on a 5 year calculation and an access-only retiree health care plan with a retiree healthcare reimbursement account; and
 
Whereas,The City Administrator recommends approval of the contract attained through binding arbitration;
 
RESOLVED, That the City Council approve the 2009-2013 Collective Bargaining Agreement providing for a redesigned health care plan offering three contribution options effective January 1, 2012, with no across the board pay increases, and new hire retiree pension changes; and
 
RESOLVED, That the Mayor and City Clerk are hereby authorized to sign the collective bargaining agreement on behalf of the City, after approval as to substance by the City Administrator and approval as to form by the City Attorney.