City of Davis Statement on Recent Factfinding Decision

On November 26, 2013, the factfinder appointed to hear the labor dispute between the City and the Davis Professional Firefighters Local 3494 issued his report and recommendations. As required by law, the City is making the panel’s recommendations available to the public. A copy of the report and recommendations can be obtained by downloading from the link below.

The most recent round of negotiations with Davis Professional Firefighters began in February 2012. Since then, several other bargaining groups - representing a majority of the City’s employees - have reached agreement with the City on contracts containing much-needed economic concessions. Davis Professional Firefighters is the only unresolved unit.

During negotiations the City sought long-term structural changes in employee compensation costs, particularly pension and retiree medical costs. These structural changes are necessary to address expected increases in CalPERS retirement contributions and in the City's retiree medical liability.

The City is pleased that the factfinder agreed with the City’s proposed structural changes. However, the factfinder recommended a limited approach to health insurance cost sharing and also recommended an additional salary increase not proposed by the City. Whether these additional recommendations are feasible must be evaluated in light of the City’s fiscal condition.

The City Council is anticipated to determine next steps at their December 17th meeting.

Attachments:

October 17, 2013

On October 7, 2013, the City of Davis received the recommendations of the factfinding panel appointed to hear the labor dispute between the City and the Davis City Employees Association (DCEA). As required by law, the City is making the panel’s recommendations available to the public. A copy of the recommendations can be obtained by visiting the City’s website: 20131004 DCEA Factfinding Report

The most recent round of negotiations with DCEA began in March 2012. Since then, several other bargaining groups - representing a majority of the City’s employees - have reached agreement with the City on contracts containing much-needed economic concessions. DCEA is one of two groups that have not yet reached agreement.

During negotiations the City sought long-term structural budget changes in compensation costs, particularly pension and medical costs. These structural budget changes are necessary to address expected increases in CalPERS retirement contributions and in the City's retiree medical liability.

The City is pleased that the factfinding panel agreed with the City’s proposed structural changes. However, the factfinder panel recommended that these changes be phased-in over a longer period of time and that the City provide additional pay increases. Whether these additional recommendations are feasible must be evaluated in light of the City’s fiscal condition.

The City Council is anticipated to determine next steps at their November 12th meeting.

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