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File Number: 13-439 <br />Analysis <br />The major elements of the tentative agreement include the following: <br />Duration:One and three-quarters years, starting October 1, 2013 and ending June 30, <br />2015. <br />Wages: A two and one-half (2.5%) percent across the salary schedule adjustment <br />effective October 1, 2013. <br />A three and one-half (3.5%) percent across the salary schedule adjustment <br />effective July 1, 2014. <br />A four (4%) percent across the salary schedule adjustment effective June 1, <br />2015. <br />PERS: For employees in Tier One : Effective October 1, 2013, employees shall <br />commence paying 2% of the employee contribution and the City shall contribute <br />6%. Effective July 1, 2014, employees shall commence paying 5% of the <br />employee contribution and the City shall contribute 3%. Effective June 1, 2015, <br />employees shall commence paying 8% of the employee contribution and the <br />City shall contribute 0%. <br />For employees in Tier Two: Effective October 1, 2013, employees shall <br />commence paying 2% of the employee contribution and the City shall contribute <br />5%. Effective July 1, 2014, employees shall commence paying 5% of the <br />employee contribution and the City shall contribute 2%. Effective June 1, 2015, <br />employees shall commence paying 7% of the employee contribution and the <br />City shall contribute 0%. <br />For employees in Tier Three: Pursuant to the Public Employee’s Pension <br />Reform Act of 2013, employees hired after January 1, 2013 depending on <br />previous California public agency employment are subject to specific pension <br />formulas and employee contributions. These employees are responsible for <br />paying one-half of the normal cost of this retirement plan, which is currently <br />approximately 6.5% of their salary. <br />Benefits:The City’s contributions to the medical plans in 2013, based on the total 2012 <br />Kaiser medical insurance premium cost, are as follows: <br />Level City Cost <br />Employee $ 610.44 <br />2-party $1,220.88 <br />Family $1,587.14 <br />Employees will pay 50% of premium increases in 2014 and 2015. For the term <br />of this agreement, Opt-out premiums remain unchanged from previous MOU. <br />Fiscal Impacts <br />The agreement is effective October 1, 2013 and will cost the City of San Leandro <br />Page 2 City of San Leandro Printed on 9/11/2013