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Benefits: Continuation of current medical and dental benefits. Employees had <br /> previously agreed to pay 50% of the increase in 2011; this cost- sharing <br /> will also occur in 2012. <br /> Furlough: Employees' annual salary to be reduced by 2.3% during calendar year <br /> 2011. Forty -eight hours of furlough leave to be banked during 2011 and <br /> used by December 31, 2013. Unused hours to be forfeited following that <br /> date. <br /> Agreement to be reopened for 2012 regarding furlough. <br /> Fiscal Impact <br /> No increase in salaries for represented employees. Total savings estimated at $520,000 <br /> (employee furlough and the accompanying 2.3% reduction in pay results in salary - related <br /> savings of approximately $498,000; savings from medical and dental premium cost- sharing in <br /> 2011 estimated at $22,000, with similar benefit savings projected for 2012). <br /> Va at / <br /> Tracy Vesely, FinInce Director <br /> Attachments <br /> Memorandum of Understanding. <br /> • <br /> CONCLUSION <br /> It is recommended that the City Council approve a resolution approving the proposed 2011-2012 <br /> Memorandum of Understanding between the City of San Leandro and the San Leandro City <br /> Employees Association, Local 21 IFPTE, AFL -CIO. <br />