The City Council is being asked to approve a tentative agreement for the renewal of a labor contract between the Teamsters - Local 190 and the City of Billings.  The City began negotiation with the Teamsters on April 30, 2018, and met several times before requesting a mediator with the Department of Labor.  Prior to August 15, 2018, both sides visited with the mediator via telephone and email working toward resolution of the issues.  On  August 16, 2018, both sides met with the mediator to find resolution on outstanding items.  The contract was voted on and approved by Teamsters on October 11, 2018. The vote was 246 in favor of accepting the tentative agreement and 90 against out of 420 total teamsters.  If approved by City Council, the contract will go into effect retroactively from July 1, 2018, through June 30, 2021. 

Changes to the contract include:

• A 2.9% cost of living adjustment (COLA) for the first year of the contract, effective retroactively July 1, 2018;
• A 2.9% cost of living adjustment (COLA) for the second year of the contract, effective July 1, 2019;
• A 2.9% cost of living adjustment (COLA) for the third year of the contract, effective July 1, 2020;
• The City will be allowed to utilize temporary employees from April 1 – November 30 for PRPL Restroom Attendants, Garbage Collection and for Solid Waste Division Green Barrel program;
• Language was deleted requiring Teamster employees to pay initiation fees and dues;
• The City will not be required to contribute to the Teamster employees 457 deferred compensation plan when an employee is on leave without pay, except for Worker's Compensation;
• Street/Traffic Department employees will be given 24-hours notice prior to being placed on standby status.  Once on standby, employees will remain on standby until the employee's next scheduled shift (which includes any vacation, sick or compensatory leave), or unless mutually agreed upon by the employee and employer;
• Shift Differential will increase $0.15 per hour for afternoon and night shift differential;
• The City agrees to pay for one followup DOT physical, if needed, in order for the employee to obtain the required certification;
• Leadworker language was clarified to reflect assisting, planning, and reviewing work of employees, but not to the level of supervision;
• The City agrees to respond to an employee's written safety complaint, which is brought to the Citywide Safety committee, within twenty (20) business days, and provide a copy of its response to the Teamsters Union;
• The City will purchase for Solid Waste and Street/Traffic employees up to $65 of approved cold weather safety apparel, including either a coat, a bib, or a sweatshirt.  This was in exchange for one set of uniforms;
• Solid Waste Memorandum of Understanding was developed to clarify how overtime is paid.

A copy of the contract is available for review in the City Clerk's office.

City Council may:

• Approve the contract as presented, with cost of living adjustment (COLA) effective retroactively to July 1, 2018;
• Postpone action on the contract to obtain additional information; or
• Deny approval of the contract, forcing negotiations to resume.

The cost of living adjustment (COLA) will cost approximately $697,189 in each year of the contract, and the cost of increasing shift differential $0.15 per hour for afternoon and night shifts is approximately $36,000 per year.

There is no cost to provide the cold weather gear for Solid Waste and Street/Traffic, since the City will be providing only 10 sets of uniforms instead of 11 sets.

There is adequate funding in General Fund reserves to cover the increases, and a budget amendment will follow.

Staff recommends that the City Council approve Teamsters - Local 190 and City of Billings collective bargaining agreement as presented, effective retroactively to July 1, 2018.