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Home My WebLink AboutRES 334 Draft 01 2020-2022 ,...,,, :::..--,;:ii7..,°!.s.,-,,,./4n COUNTY OF HAWAII i\-(.6i1 j STATE OF HAWAII ... . vii0/1 RESOLUTION NO. 334 22 A RESOLUTION COMMITTING TO FUNDING THE COST ITEMS AGREED UPON BY THE EMPLOYERS AND THE UNITED PUBLIC WORKERS (UPW) UNIT 01 AND EMPLOYEES EXCLUDED FROM BARGAINING UNIT 01 FOR THE CONTRACT PERIOD JULY 1, 2021 THROUGH JUNE 30, 2025. WHEREAS, Section 89-10(b) of the Hawai'i Revised Statutes relating to collective bargaining require that "[a]II cost items shall be subject to appropriations by the appropriate legislative bodies"; and WHEREAS, this section further requires that "the employer shall submit within ten days of the date on which the agreement is ratified by the employees concerned all cost items contained therein to the appropriate legislative bodies"; and WHEREAS, pursuant to provisions of Section 89-10, Hawaii Revised Statutes, after good-faith negotiations a settlement was reached between the employers and the UPW on behalf of Bargaining Unit 01, and the settlement was ratified by the membership of the bargaining unit; and WHEREAS, the estimated cost to the County of Hawaii over the four years of the new contract, as shown in the exhibits attached to this resolution, will be $13,915,027. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII that the cost items as negotiated and ratified with UPW, as shown on the attached exhibits, are hereby approved. BE IT FURTHER RESOLVED that the funds necessary to pay the obligations under this agreement will be included in the operating budgets in FY2023, FY2024 and FY2025. BE IT FURTHER RESOLVED that copies of this resolution be forwarded to the Department of Human Resources and the Department of Finance. Dated at Kona , Hawai`i,this 23rd day of March , 2022 • INTRODUCED B • - ice COUNCIL M:MBER,.•COUNTY OF HAWAII COUNTY COUNCIL ROLL CALL VOTE County of Hawaii AYES NOES ABS EX Hilo, Hawai`i CHUNG X DAVID X I hereby certify that the foregoing RESOLUTION was by INABA X the vote indicated to the right hereof adopted by the COUNCIL of the KANEALI`I-KLEINFELDER X County of Hawai`i on March 23, 2022 KIERKIEWICZ X KIMBALL X ATTEST: LEE LOY X RICHARDS X VILLEGAS X _ 9 0 0 0 � � Reference. C-652/FG-113 Alk aw" • h - L kik I' 'ERSON&P' D CER RESOLUTION NO. 334 22 2 • 2022-25 BU1 County of Hawaii Bargaining Unit 01 Settlement Costs July 1,2021(FY22)through June 30,2025(FY25) Annual Affect on Payroll Cost Base Pay Effect on payroll: Base pay at 6/30/21 $ 33,487,428 $ 33,487,428 FY22: $1,000 Lump Sum effective July 1,2021 625,600 Total payroll cost in FY22 34,113,028 Base pay at 6/30/22 33,487,428 Base pay at 6/30/22 33,487,428 33,487,428 FY23: 3.72%across-the-board(ATB)increase effective October I,2022 934,300 1,245,733 Total payroll cost in FY23 $ 34,421,728 Base pay at 6/30/23 $ 34,733,161 Base pay at 6/30/23 34,733,161 34,733,161 FY24: 5.00%across-the-board(ATB)increase effective July 1,2023 1,736,659 1,736,659 Total payroll cost in FY24 $ 36,469,820 Base pay at 6/30/24 $ 36,469,820 Base pay at 6/30/24 36,469,820 36,469,820 FY25: 5.00%across-the-board(ATB)increase effective July 1,2024 1,823,491 1,823,491 Total payroll cost in FY25 $ 38,293,311 Base pay at 6/30/25 $ 38,293,311 Less base pay at 6/30/21 (33,487,428) Increase to base pay due to this settlement $ 4,805,883 FY22 FY23 FY24 FY25 Total (2021-22) (2022-23) 02023-241 (2024-25J FY22-FY25 Determination of total increase in cost due to proposed contract: Total payroll cost for fiscal year as per above calculations $ 34,113,028 $ 34,421,728 $ 36,469,820 $ 38,293,311 Less base pay at beginning of fiscal year 33,487,428 33,487,428 34,733,161 36,469,820 Total additional cost 625,600 934,300 1,736,659 1,823,491 $ 5,120,050 Add affect of prior year increase in base pay - - 1,245,733 2,982,392 4,228,125 Total increased cost subject to fringe benefits 625,600 934,300 2,982,392 4,805,883 9,348,175 Certain fringe benefit costs(47.30%)* 295,909 441,924 1,410,671 2,273,183 4,421,687 Increased costs to be paid during fiscal years 2022-25 921,509 1,376,224 4,393,063 7,079,066 13,769,862 Vacation,sick leave and holidays(21%of total increased cost subject to fringe benefits) 193,517 289,007 922,543 1,486,604 2,891,671 Total increased costs $ 1,115,026 $ 1,665,231 $ 5,315,606 $ 8,565,670 $ 16,661,533 * Fringe benefits include estimates for overtime,premium pay,hazard pay,standby,temporary assignment, compensatory time,retirement system,workers'compensation,and unemployment compensation. • Page 1 2022-25 BU61 County of Hawaii Bargaining Unit 61 Settlement Costs July 1,2021(FY22)through June 30,2025(FY25) Annual Affect on Payroll Cost Base Pay Effect on payroll: Base pay at 6/30/21 $ 400,560 $ 400,560 FY22: $1,000 Lump Sum effective July 1,2021 7,750 Total payroll cost in FY22 408,310 Base pay at 6/30/22 400,560 Base pay at 6/30/22 400,560 400,560 FY23: 3.72%across-the-board(ATB)increase effective October 1,2022 11,176 14,901 Total payroll cost in FY23 $ 411,736 Base pay at 6/30/23 $ 415,461 Base pay at 6/30/23 415,461 415,461 FY24: 5.00%across-the-board(ATB)increase effective July 1,2023 20,774 20,774 Total payroll cost in FY24 $ 436,235 Base pay at 6/30/24 $ 436,235 Base pay at 6/30/24 436,235 436,235 FY25: 5.00%across-the-board(ATB)increase effective July 1,2024 21,812 21,812 Total payroll cost in FY25 $ 458,047 Base pay at 6/30/25 $ 458,047 Less base pay at 6/30/21 (400,560) Increase to base pay due to this settlement $ 57,487 FY22 FY23 FY24 FY25 Total (2021-22) (2022-23) (2023-24) (2024-25) FY22-FY25 Determination of total increase in cost due to proposed contract: Total payroll cost for fiscal year as per above calculations $ 408,310 $ 411,736 $ 436,235 $ 458,047 Less base pay at beginning of fiscal year 400,560 400,560 415,461 • 436,235 Total additional cost 7,750 11,176 20,774 21,812 $ 61,512 Add affect of prior year increase in base pay - - 14,901 35,675 $ 50,576 Total increased cost subject to fringe benefits 7,750 11,176 35,675 57,487 $ 112,088 Certain fringe benefit costs(29.51%)* 2,287 3,298 10,528 16,964 33,077 Increased costs to be paid during fiscal years 2022-25 10,037 14,474 46,203 74,451 145,165 Vacation,sick leave and holidays(21%of total increased cost subject to fringe benefits) 2,108 3,040 9,703 15,635 30,486 Total increased costs $ 12,145 $ 17,514 $ 55,906 $ 90,086 $ 175,651 * Fringe benefits include estimates for overtime,premium pay,hazard pay,standby,temporary assignment, compensatory time,retirement system,workers'compensation,and unemployment compensation. • Page 1