REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution Amending the City's Salary Resolution
Report
BACKGROUND
The Department of Human Resources periodically recommends to the City Council amendments to the Salary Resolution to incorporate necessary updates and changes resulting from recently negotiated Memorandums of Understanding (MOUs) or other policy requirements.
Therefore, for clarity and administrative efficiency, this report presents for Council consideration a resolution amending the City’s Salary Resolution. In addition to minor administrative revisions, key changes include:
• Changes based on the Enterprise Resources Planning (ERP) implementation,
• Removal of redundant information included in the applicable MOUs or Administrative Policy Manual.
EXISTING POLICY
Council Policy 7.3.1 Legislative Management - Goals and Policies, Goal 7.3D: Maintain a quality work force, consistent with state and federal laws, City Charter, and adopted policies in order to assure that City services are provided in an effective, efficient, and high-quality manner.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(4) in that is a fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment.
DISCUSSION
This report presents for Council consideration a resolution amending the City’s Salary Resolution. Below is an explanatory list of the recommended changes.
Changes Based on the Enterprise Resource Planning (ERP) Implementation
In January 2024, the City of Sunnyvale implemented the Oracle Enterprise Resource Planning (ERP) Human Capital Management (HCM) modules for Human Resources and Payroll. The ERP project goal is to standardize City operations and minimize or remove system customizations by streamlining or simplifying City processes. As a result, some changes are made to employees’ benefits. All changes were reviewed to ensure the City is following industry best practices and current laws.
Prior to the implementation of the HCM modules, some leaves of absence were accrued based on pay periods of service or a payroll calendar year. Using system functionality, employees now accrue some leaves of absence based on years of service and calendar year. The following sections of the Salary Resolution are updated to reflect the new practices based on ERP system.
• Section 3.100 Paid Time Off Leave (PTO) and Paid Medical Leave (PML) - Management
• Section 3.310 Floating Holiday Leave
• Section 3.620 Long Term Disability
• Section 3.900 Management Leave for Management
• Section 3.910 Exempt Leave for Confidential Employees
• Section 5.501 Cash in-Lieu - Medical Coverage
• Section 5.515 City Contribution - Cafeteria Benefits Plan
• Section 5.600 Workers' Compensation Benefits
Administrative Changes to the Salary Resolution
Staff recommends the following updates to the Salary Resolution that are administrative updates to be consistent with MOUs or Administrative Policies.
1) Update of Language - Language in the following sections materially duplicates language contained in applicable MOUs or Administrative Policies, or no longer accurately describes the current MOUs, Administrative Policies or practices. Revisions will not result in material changes to existing benefits.
a. Section 3.000 Leave Benefits
b. Section 3.010 Leave Authorization
c. Section 3.020 Leave Benefits - To Whom Applicable
d. Section 3.030 Leave Payment
e. Section 3.040 Leave Substitution
f. Section 3.630 Paid Medical Leave - Authorization
g. Section 3.640 Paid Medical Leave Requirement Waiver
h. Section 4.030 Overtime Pay
i. Section 5.010 Interim/Acting Pay or Out-of-Class Pay for Special Assignment Work - Management
j. Section 6.500 Automobile Allowance
k. Section 7.150 Promotion - Management
During the ERP system implementation, the City met and conferred with bargaining units about changes to benefits. All bargaining units have been notified of the proposed changes to the Salary Resolution and have had an opportunity to provide comment.
FISCAL IMPACT
There is no fiscal impact from the proposed changes.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the NOVA Workforce Services reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
STAFF RECOMMENDATION
Recommendation
Adopt a Resolution Amending the City's Salary Resolution to Make Administrative Updates for Consistency with MOU and Policy Provisions, and the City’s New ERP System.
Staff
Prepared by: Vienne Choi, Principal Human Resources Analyst
Reviewed by: Tina Murphy, Director, Human Resources
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Redline Draft Salary Resolution Text
2. Resolution