City Council to discuss employee contract changes
• Defer cost of living raises for one year.
• Defer changes in city-provided benefits for one year.
• Defer cash payments of extra vacation, sick and holiday hours for one year except for emergencies.
• Allow employees to continue to accrue vacation, sick and holiday leave hours.
• Offer a $150 monthly stipend to employees who elect to have their health care covered by their spouse’s insurance rather than the city’s. The employee would have to provide officials with a proof of insurance.
• Payments into the Public Employee Retirement System by new employees will be required.
• The golden handshake option will be encouraged for eligible employees. Vacated positions may not be filled.
• Employees will still qualify for merit raises.
Source: City of Barstow
BARSTOW • After discussing the issue for about five months, the Barstow City Council is expected to vote Tuesday on changes to city employee contracts that officials estimate will save the city more than $300,000 this year.
City officials expect to be able to save more than $300,000 this year by suspending cash payments to employees for excess vacation, sick and holiday hours until next year. Officials also say offering a stipend in lieu of health insurance coverage will result in savings, but will depend upon how many employees sign up.
Other proposed changes include postponing cost-of-living raises for a year. Merit-based raises, however, will not be postponed. The city budgeted about $215,000 this year for merit pay raises.
The proposed changes are on the consent calendar for Tuesday’s City Council meeting, and will affect employees ranging from custodian and fleet mechanic to city engineer and members Barstow Police Department Management Association.
New employees will be required to pay into the Public Employees Retirement System, a change from the past, where the city paid the entire amount. According to Acting City Manager Terri Willoughby, the city will continue covering current employees’ payments into PERS. New members of the Barstow Police Department Management Association will have to pay half of what other new city employees will contribute.
The city will continue encouraging eligible employees to retire as part of the golden handshake program. Officials will decide whether or not to fill the position left vacant. Employees must have at least five years of PERS credit and be 50 years old to participate.
As of Friday, Barstow Mayor Joe Gomez and Councilmen Tim Silva and Willie Hailey Sr. hadn’t read the final staff report included with the agenda for Tuesday’s City Council meeting. Gomez said although he can’t discuss information from the closed negotiating process, he thinks the proposed changes to employee contracts are fair.
“(The labor negotiators) aren’t asking for any additional income or anything else like that,” he said. “Based on today’s economy and the (city’s) finances, I think we agreed on something that was acceptable to both parties.”
Mayor Pro Tem Julie Hackbarth-McIntyre and Councilman Tim Saenz were unavailable for comment.
The proposed contract changes had been presented to the City Council at closed session meetings since April. Councilmembers were notified of a $1.5 million deficit to the city budget in March. The Council adopted this year’s budget July 22. In order to balance the budget, 15 positions were left vacant or unfunded this year.
The Barstow City Council meets at 7:30 p.m. Tuesday in City Council Chambers at 220 East Mountain View Street. Agendas and staff reports are available on the city’s Web site at www.barstowca.org. Meetings are televised live at Time Warner Cable Channel 6.
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(760) 256-4123 or jcejnar@desertdispatch.com
