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MOU 2010-2012 R1 -144 MEMORANDUM OF UNDERSTANDING WHEREAS, THE CITY OF BOYNTON BEACH, FLORIDA (hereinafter referred to as "the CITY") and THE PALM BEACH COUNTY POLICE BENEVOLENT ASSOCIATION, INC. (hereinafter referred to as "the PBA ") entered into a Collective Bargaining Agreement ( "CBA ") for the term October 1, 2007 to September 30, 2010 which covers the bargaining unit comprised of Police Lieutenants (PERC Certification 895); and WHEREAS, during the term of the CBA the CITY requested and the PBA agreed to defer a bargained for October 1, 2009 wage increase until September 29, 2010. The parties agreement was memorialized in a Memorandum of Understanding ratified by the City on September 22, 2009; and WHEREAS, the economic conditions that precipitated the wage deferral MOU have not subsided, thereby necessitating further extension of the wage freeze; and WHEREAS, the CITY and the PBA have re- opened negotiations at the CITY's request; and WHEREAS, the PBA has cooperatively agreed to the CITY'S proposal that the employee step and corresponding compensation levels be frozen at the September 30, 2009 level to address the CITY'S fiscal needs resulting from the current economic down turn. NOW, THEREFORE, the CITY and PBA agree: 1. The October 1, 2009 Cost of Living Increase and April 1, 2010 Merit Raise increases referred to in Article 12, Wages of the CBA will not take effect. The increases set forth in the Collective Bargaining Agreement are not deferred, but eliminated. 2. All bargaining unit employees' step and rate of pay are frozen for the period from October 1, 2009 until otherwise negotiated by the CITY and the PBA for fiscal year 2010/2011 & 2011/2012. 3. All wages, hours, terms and conditions of employment currently in effect and as modified by this MOU, shall continue in full force and effect until September 30, 2012 or until a successor Agreement is ratified whichever is later. The CITY and the PBA agree to resume negotiation in April 2012. 4. The City may modify the City's insurance plan (medical, dental) for cost control purposes during the term of this Agreement without the requirement of pre- implementation or impact bargaining. Increases to employee out of pocket expense for dependant coverage costs (premiums, co -pays, deductible levels, etc.) will be paid by the employee as long as the cost increase remains less than 15 %. Should the cost of dependent coverage increase 15 %, the agreement for Insurance will be reopened for collective bargaining for this article only. Should dependent coverage costs increase by more than 15 %, the additional amount of the increase shall be divided equally between the City and the employee. The City will continue to pay the employee share of the City's insurance plan (medical, dental) until a successor Agreement is ratified as outlined in Paragraph 3 of this MOU. 5. That this Memorandum of Understanding shall be effective upon ratification by the Parties; and, 6. That the Parties have full legal authority to enter into this Memorandum of Understanding. Signature page follows C:\Documents and Settings\atholt\Local Settings \Temporary Internet Files\OLK52\MOU Step and Wage Freeze 2010 - Officers and Det (090710) (2) doc IN WITNESS THEREOF, the Parties have caused this Memorandum of Understanding to be signed by their duly authorized representatives. FOR THE CITY FO PBA Ku44 nager John - ident It 411 Jame Cherof, a ?' i. pmY, ral Counsel t6 , y 4 ✓A, Ratified by the City Commission on QA a 7 , 2010 Ratified by the PBA Bargaining Unit on , 2010. C \Documents and Settmgs\atholt\Local Settings \Temporary Internet Files \OLK52 \MOU Step and Wage Freeze 2010 - Officers and Det (090710) doc