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HomeMy WebLinkAboutREP FC 108 2013/11/05 (2012-2014) REPORT OF THE COMMITTEE ON FINANCE DATE: November 5, 2013 Re: Comm. No. 475/Res. No. 195-13 PLACE: Council Chambers Hilo, Hawai`i TIME: 10:58 a.m. Council Chair and Members Hawai`i County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Resolution No. 195-13, reports as follows: Resolution No. 195-13,transmitted by Mayor William P. Kenoi, via Communication No. 475 dated October 17, 2013, commits to funding the cost items agreed upon by the employers and the Hawai`i Government Employees Association (HGEA) Unit 13 and employees excluded from Unit 13 for the contract period July 1, 2013 through June 30, 2017. The resolution is in accordance with Section 89-10(b), Hawai`i Revised Statutes. The cost items presented for the Council's consideration are across-the-board increases and step movements (salaries and wages). The estimated cost to the County over the four years of the new contract will be $12,505,969. Deputy Finance Director Deanna Sako appeared before Your Committee for questions. She indicated that the Provision for Compensation Adjustment account for anticipated salary increases was budgeted at $3.8 million; however, the negotiated pay increases for SHOPO and HGEA have exceeded the amount anticipated, with the Fire Department yet to finalize their negotiations. Council Member Ford expressed concern regarding the excess amount of finalized negotiated raises versus the budgeted anticipated amount of$3.8 million. She requests that a financial update be given to the Council at the next meeting. Pursuant to provisions of Section 89-10, Hawai`i Revised Statutes, after good faith negotiations and mediation, a settlement was reached between the employees and the HGEA on behalf of Bargaining Unit 13, and the settlement was ratified by the membership of the bargaining units. Your Committee on Finance is in accord with the purpose and intent of Resolution No. 195-13, and recommends its adoption. sc AYES NOES A&E EX Respectfully submitted, EOFF X FORD X COMMITTEE ON FINANCE ILAGAN X KANUHA X KERN X #9, ONISHI X POINDEXTER x VALERIE T. POINDEXTER, CHAIR WILLE X FC REPORT NO.: 108 YOSHIMOTO X ADOPTED: NOV 2 O 2013