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Home My WebLink AboutRES 507 Draft 01 2020-2022 QJNSIt OF kt+F COUNTY OF HAWAIIAHAWAPI 'tj��i Ni MOY�iT\\ RESOLUTION NO. 50" 22 RESOLUTION COMMITTING TO FUNDING THE COST ITEMS WARDED BY ARBITRATION TO HAWAII GOVERNMENT EMPLOYEES ASSOCIATION (HGE ) UNIT 15 AND EMPLOYEE EXCLUDED FROM THAT UNIT FOR THE CONTRACT PERIOD JULY 1, 2021 THROUGH JUNE 30, 2025. WHEREAS, Sections 89-11 (e) and (g) of the Hawai'i Revised Statutes relating to collective bargaining require that in the case of a "final and binding" decision by an arbitration panel, "[a]II items requiring any moneys for implementation shall be subject to appropriations by the appropriate legislative bodies"; and WHEREAS, these sections further require that the employer "...shall submit all such items within ten days after the date on which the agreement is entered into is provided herein, to the appropriate legislative bodies"; and WHEREAS, pursuant to provisions of Section 89-11, Hawaii Revised Statutes, Union and Employer positions were heard before an arbitration panel for BU 15, HGEA; and WHEREAS, after hearing arguments from both employer and employee representatives, the arbitration panel concluded its hearings and on July 22, 2022, issued its decision; and WHEREAS, the total cost of the arbitration decision to the County of Hawaii is illustrated in the attached exhibits to this resolution; 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 $914,437. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII that the cost items included in the conclusions of the arbitration panel for HGEA negotiations, 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 budget in FY2024 and FY2025. BE IT FURTHER RESOLVED that copies of this resolution be forwarded to the Departments of Human Resources and Finance. Dated at Hilo , Hawaii, this 7th day of September , 2022 . INTRODUCED B i : le-COtie- COUNCIL UNCIL % ER, COUNTY OF HAWAII COUNTY COUNCIL ROLL CALL VOTE County of Hawai`i 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 County of Hawai`i on September 7, 2022 X KIERKIEWICZ X KIMBALL X ATTEST: LEE LOY X RICHARDS X VILLEGAS X 7 0 2 0 01% f_ _do) . Reference: C-935/Waived FC • CL 'i. �'_'ERSON&P' SIDING OFFICER RESOLUTION NO. 507 22 2. BU15 County of Hawaii Bargaining Unit 15 Settlement Costs July 1,2021(FY22)through June 30,2425(FY25) Annual Affect on Payroll Cost Base Pav Effect on payroll.- Base ayroll:Base pay at 6130/21 $ 2,917,680 $ 2,917,680 FY22: 1%Lump sum payment effective July 1,2021 29,177 - Step Movement 7/01121-6/30122 19,070 50,148 Total payroll cost in FY22 $ 2,965,927 Base pay at 6/30122 $ 2,967,828 Base pay at 6130122 $ 2,967,828 2,967,828 FY23: Step Movement 7101122-6130123 15,317 24,324 Total payroll cost in FY23 $ 2,983,145 Base pay at 6130123 $ 2,992,152 Base pay at 6130123 $ 2,992,152 2,992,152 FY24: 3.00%ATB effective July 1,2023 89,765 89,765 Step Movement 7101123-6/30124 24,615 34,728 Total payroll cost in FY24 $ 3,106,532 Base pay at 6130124 $ 3,116,645 Base pay at 6/30/24 $ 3,116,645 3,116,645 FY25: 4.00%ATB effective July 1,2024 124,666 124,666 Step Movement 7/01/24-6/30/25 6,190 61,704 Total payroll cost in FY25 $ 3,247,501 Base pay at 6/30/25 $ 3,303,015 Less base pay at 6/30/21 (2,917,680) Increase to base pay due to this settlement $ 385,335 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 $ 2,965,927 $ 2,983,145 $ 3,106,532 $ 3,247,501 Less base pay at beginning of fiscal year 2,917,680 2,967,828 2,992,152 3,116,645 Total additional cost 48,247 15,317 114,380 130,856 $ 308,800 Add affect of prior year increase in base pay 50,148 74,472 198,965 323,585 Total increased cost subject to fringe benefits 48,247 65,465 188,852 329,821 632,385 Certain fringe benefit costs(38.70%)* 18,672 25,335 73,086 127,641 244,734 Increased costs to be paid during fiscal years 2022-25 66,919 90,800 261,938 457,462 877,119 Vacation,sick leave and holidays(21%of total increased cost subject to fringe benefits) 10,132 13,748 39,659 69,262 132,801 Total increased costs $ 77,051 $ 104,548 $ 301,597 $ 526,724 $ 1,009,920 * Fringe benefits include estimates for overtime,premium pay,hazard pay,standby,temporary assignment, compensatory time,retirement system,workers'compensation,and unemployment compensation. Page 1 i i I i BU75 County of Hawaii Bargaining Unit 75 Settlement Costs July 1,2021(FY22)through June 30,2025(FY25) Annual Affect on Payroll Cost Base Pav Effect on payroll: Base pay at 6130121 $ 233,940 $ 233,940 FY22: 1%Lump sum payment effective July 1,2021 2,340 - Step Movement 7101121-6130122 - - Total payroll cost in FY22 $ 236,280 Base pay at 6130122 $ 233,940 Base pay at 6130122 $ 233,940 233,940 FY23: Step Movement 7/01/22-6130123 - - Total payroll cost in FY23 $ 233,940 Base pay at 6130123 $ 233,940 Base pay at 6130123 $ 233,940 233,940 FY24: 3.00%ATB effective July 1,2023 7,019 7,019 Step Movement 7101123-6130124 - - Total payroll cost in FY24 $ 240,959 Base pay at 6130124 $ 240,959 Base pay at 6130124 $ 240,959 240,959 FY25: 4.00%ATB effective July 1,2024 9,639 9,639 Step Movement 7/01124-6130125 129 4,152 Total payroll cost in FY25 $ 250,727 Base pay at 6130125 $ 254,750 Less base pay at 6130/21 (233,940) Increase to base pay due to this settlement $ 20,810 FY22 FY23 FY24 FY25 Total 2021-22 2022-23 20j 23-2 20( 24-25) FY22-FY25 Determination of total increase in cost due to proposed contract: Total payroll cost for fiscal year as per above calculations $ 236,280 $ 233,940 $ 240,959 $ 250,727 Less base pay at beginning of fiscal year 233,940 233,940 233,940 240,959 Total additional cost 2,340 - 7,019 9,768 $ 19,127 Add affect of prior year increase in base pay - - 7,019 7,019 Total increased cost subject to fringe benefits 2,340 7,019 16,787 26,146 Certain fringe benefit costs(42.73°/x)* 1,000 2,999 7,173 11,172 Increased costs to be paid during fiscal years 2022-25 3,340 10,018 23,960 37,318 Vacation,sick leave and holidays(21x10 of total increased cost subject to fringe benefits) 491 1,474 3,525 5,490 Total increased costs $ 3,831 $ $ 11,492 $ 27,485 $ 42,808 * Fringe benefits include estimates for overtime,premium pay,hazard pay,standby,temporary assignment, compensatory time,retirement system,workers'compensation,and unemployment compensation. 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