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CC - Item 5D - Adoption of Resolution No. 2024-21 Amending Sick Leave Benefits for Part-Time Employees Effective January 1, 2024 per California Law SB 616ROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGERO/ DATE: MAY 14, 2024 SUBJECT: ADOPTION OF RESOLUTION NO. 2024-21 AMENDING SICK LEAVE BENEFITS FOR PART-TIME EMPLOYEES EFFECTIVE JANUARY 1, 2024 PER CALIFORNIA LAW SB 616 SUMMARY The Governor signed Senate Bill 616 on October 4, 2023, changing the Healthy Workplaces, Healthy Families Act of 2014. This change increases the maximum days that workers may carry over from one year to the next and increases the number of paid sick days to which they are entitled to use in a 12 -month period. Part-time employees will now be able to use up to forty hours of sick leave within a calendar year, while they will still accrue one (1) hour for every thirty hours worked. Part-time employees will also be able to accrue and carry over up to eighty hours of sick leave from one calendar year of employment to the next. Please note that the above does not apply to employees who are covered by a valid collective bargaining agreement (CBA) or a benefit resolution that meets or exceeds the minimum requirements under AB 1522. Sick leave benefits for full-time employees remain unchanged. The Healthy Workplaces, Healthy Families Act of 2014, or AB 1522, was signed into law on September 10th of that year. This legislation required paid sick leave to be available to the majority of Californian workers. Presently, for every thirty hours worked, part-timers accrue one (1) hour of sick leave. Part-time employees can accrue and carry over up to forty-eight (48) hours of sick leave from one year of employment to the next, with a maximum of twenty-four (24) hours used in a given year. On October 4, 2023, the Governor enacted SB 616, which modified the Healthy Workplaces, Healthy Families Act of 2014. This amendment increases the quantity of paid sick days that employees have the right to and raises the minimum amount of days that employees can transfer from one year to the next. Part-time employees will still accumulate one hour of sick leave for every thirty hours worked. However, they will now have the option to utilize up to forty hours of sick leave in a single calendar year. In addition, employees will have the opportunity to accumulate AGENDA ITEM 5.1) City Council Meeting —Part -Time Salary and Benefits — Reso No. 2024-21 Page 2 of 2 and cavy over up to a maximum of eighty (80) hours of sick leave from one year of employment to the following year. Below is a table that illustrates the differences, as it applies to the City, between the current part- time sick leave policy and the new requirements of SB 616: Description Current Policy (AB 1522) New Policy (SB 616) Paid sick leave (PSL) usage limit per 12 month period 3days or 24 hours 5 days or 40 hours Maximum PSLaccrualthreshold 6 days or 48 hours 10 days or 80 hours The revised sick leave benefits specified in SB 616 went into effect on January 1, 2024. As a result, the City needs to modify part-time benefits in order to match the modifications made to sick leave. STAFF RECOMMENDATION In order to comply with California law SB 616, it is recommended that the City Council adopt Resolution No. 2024-21, which authorizes amendments to paid sick leave benefits for part-time employees. FISCAL IMPACT The projected ongoing incremental annualized cost for the provisions specified in the attached Resolution for the Part -Time unit fluctuates based on the current number of part-time employees and their utilization of paid sick leave. Staff is estimating the annual fiscal impact to amount to approximately $10,000 to $20,000. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Prepared by: Bryan Chua Finance Director Attachment A: Resolution No. 2024-21 with Exhibit A — Memorandum of Understanding Attachment A Resolution No. 2024-21 RESOLUTION NO. 2024-21 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, AMENDING SICK LEAVE BENEFITS FOR PART-TIME EMPLOYEES EFFECTIVE JANUARY 1, 2024 PER CALIFORNIA LAW SB 616 WHEREAS, THE FOLLOWING classifications in the Part -Time Service of the City of Rosemead ("City") are critical to the efficient and effective operations of the City; WHEREAS, employees in these classifications are non-exempt under the provisions of the Federal Fair Labor Standards Act and serve in an "at -will" capacity; and WHEREAS, from time to time benefits must be adjusted in order to comply with changes in California law; and WHEREAS, new California law, SB 616, increases the annual paid sick leave usage limit from 24 hours (3 days) to 40 hours (5 days) in a 12 -month period. WHEREAS, new California law, SB 616, increases the limit on the accrual and carryover of paid sick leave from 48 hours (5 days) to 80 hours (10 days) between consecutive calendar years of employment. NOW THEREFORE, BE IT RESOLVED that effective beginning January 1, 2024, the benefits for the classifications covered by this Resolution are as follows: SECTION 1: APPLICABILITY Part -Time employees in the following classifications are covered by this Resolution: 3/4 Part -Time Classifications Playschool Teacher I Senior Recreation Leader Standard, Seasonal, Other Part -Time Classifications Administrative Intern Office Specialist Aquatic Attendant Park Ranger Assistant Pool Manager Parking Control Officer Community Services Officer Recreation Leader Lifeguard Senior Recreation Leader Lifeguard/Swim Instructor Youth Worker SECTION 2: PART-TIME CLASSIFICATIONS All part-time employees serve in an "at -will" employment capacity, do not serve a probationary period, and are exempt from the City's classified service. "At -will" employment is defined as an employment relationship in which an employee does not hold regular status, serves at the pleasure of the City Manager or appointing authority, and can be dismissed at any time without cause and without right of appeal. The part-time classifications in the City's system are included in this Part -Time Resolution. In addition, employees may be employed on a part-time basis in full-time job classifications at the corresponding hourly wage rate of the full-time classification. Such employees who are employed on a part-time basis in a full-time classification are also part of the "exempt service" and serve in an "at -will" capacity. SECTION 3: DESIGNATION OF PART-TIME EMPLOYEES All employees in the Part -Time Service of the City in the categories listed below, are employed in a temporary "at -will" capacity and serve at the pleasure of their respective Department Director. a. 3/4 -Time Employees: Upon approval of the City Manager, 3/4 Time employees, compensated at an hourly rate, may work up to thirty-two (32) hours per week and are scheduled to work up to 1,664 hours or more per fiscal year. These employees may receive limited benefits, and the City will pay benefits in accordance with the public employees' retirement laws and California Public Employees' Retirement System (CAPERS). b. Standard Part -Time employees: A budgeted position, compensated at an hourly rate, of less than 28 hours per week. Hours are not to exceed one thousand (1,000) hours per fiscal year. c. Seasonal employees: A budgeted position, compensated at an hourly rate and are employed only for a specified period of time throughout various seasons. A budgeted position, compensated at an hourly rate, and are employed to perform duties for a period of time not to exceed 6 months. Hours are not to exceed one thousand (1,000) hours per fiscal year. d. Administrative Intern, Recreation Leader, Lifeguard -Swim Instructor, and Lifeguard: A budgeted position, compensated at an hourly rate or unpaid, and may work up to twenty-eight (28) hours per week. Hours are not to exceed 1,456 hours per fiscal year. (Under the City's agreement with CalPERS, Administrative Interns are exempt from the 1,000 -hour limitation for mandatory enrollment.) This position is not eligible for any benefits or Ca1PERS retirement. SECTION 4: WAGE RATE A. Schedule for Part -Time Employees In order to ensure the City's ability to recruit and retain qualified employees, the City will conduct periodic reviews of the hourly wage rates, which shall be subject to City Council approval via Resolution. The Part -Time wage rate schedule is attached as an addendum to this Resolution. B. Wage Rate Adjustments Based on Performance Based on the availability of funding established in the City's budget, part-time employees may be eligible to receive a wage rate increase within the established wage ranges based on a performance evaluation conducted at the time of the employee's wage anniversary date. An employee's wage rate may not exceed the maximum wage range that has been established for the respective job classification. An employee whose wage rate exceeds the maximum of the wage rate range for the job classification may be Y -rated (frozen) and will not receive any merit increases until the wage range is adjusted based on the labor market survey comparisons. Wage rate adjustments are contingent upon the availability of funding within the City's budget. The allocation for the cost of the merit wage rate adjustments must be approved by the City Manager and incorporated into the budgetary process prior to the beginning of the fiscal year. C. Performance Review System for Part -Time Employees Part-time employees shall receive performance reviews and merit adjustments on an annual basis. Recommended merit adjustments must be based upon written performance evaluations. Employees who meet or exceed expectations shall be eligible to be considered for a merit increase to the next step in the salary schedule for the classification to which assigned. D. Salary ncrease during FY 2023-24 Effective July 1, 2023, all part-time employees will receive a 4% across-the-board pay increase. E. Salary Increase during FY 2024-25 Effective July 1, 2024, all part-time employees with receive a 3% across the board pay increase. SECTION 5: BENEFITS A. ALL PART TIME POSITIONS Sick Leave The Governor signed Senate Bill 616 on October 4, 2023, changing the Healthy Workplaces, Healthy Families Act of 2014. This change increases the maximum days that workers may carry over from one year to the next and increases the number of paid sick days to which they are entitled. An employee becomes eligible for paid sick leave after the 30th day of employment. An employee will begin to accrue paid sick leave at the rate of one (1) hour of paid sick leave for every thirty (30) hours worked beginning July 1, 2015, or on the first day of employment whichever is later. An employee is not eligible to begin using any accrued paid sick leave until after ninety (90) days of employment with the City. An employee is only allowed to use up to a maximum of 5 days or 40 hours of paid sick leave in a 12 -month period. An employee can only accrue paid sick leave up to a cap of 10 days or 80 hours ongoing. Any unused accrued paid sick leave will carryover year to year while continuously employed. In accordance with California's Paid Sick Leave law, an employee may use accrued paid sick leave for one of the following reasons: For the employee's own diagnosis, care, or treatment of an existing health condition or preventative care. • For the diagnosis, care, or treatment of an existing health condition or preventative care for an employee's family member, including: • Child (including a biological, adopted, or foster child, stepchild, legal ward, or a child to whom the employee stands in loco parentis). • Spouse or Registered Domestic Partner. • Parent (including biological, adoptive, or foster parent, stepparent, or legal guardian of an employee or the employee's spouse or registered domestic partner, or a person who stood in loco parentis when the employee was a minor child). • Grandparent. • Grandchild. • Sibling. • Designated Person — a person identified by the employee at the time the employee requested paid sick leave. ("AB 1041"). A designated person is an individual identified by the employee and is "related by blood or whose association with the employee is the equivalent of a family relationship." Authorization may be limited to one "designated person" per 12 -month period. To obtain any relief or services related to being a victim of domestic violence, sexual assault, or stalking, including the following with appropriate certification of the need for such services are: • A temporary restraining order or restraining order. • Other injunctive relief to help ensure the health, safety, or welfare of themselves or their children. • To seek medical attention for injuries caused by domestic violence, sexual assault, or stalking. • To obtain services from a domestic violence shelter, program, or rape crisis center as a result of domestic violence, sexual assault, or stalking. • To obtain psychological counseling related to an experience of domestic violence, sexual assault, or stalking. • To participate in safety planning and take other actions to increase safety from future domestic violence, sexual assault, or stalking, including temporary or permanent relocation. Sick leave is not a leave which an employee may use at his/her discretion and shall be allowed only for the above -identified purposes. Specifically, sick leave may not be utilized for the purposes of trading shifts or rescheduling shifts. An employee shall provide reasonable advance notification (oral or written) of their need to use accrued paid sick leave to their direct supervisor if the need for paid sick leave use is foreseeable (e.g., doctor's appointment scheduled in advance). If the need for paid sick leave use is unforeseeable, the employee shall provide notice of the need for the leave to their supervisor as soon as is practicable. An employee who uses paid sick leave must do so with a minimum increment of two (2) hours of sick leave. Paid sick leave will not be considered hours worked for purposes of overtime calculation. An employee will not receive compensation for unused accrued paid sick leave upon termination, resignation, retirement or other separation from employment from the City. If an employee separates from City employment and is rehired by the City within one year of the date of separation, previously accrued and unused paid sick leave hours shall be reinstated to the extent required by law. However, if a rehired employee had not yet worked the requisite 90 days of employment to utilize paid sick leave at the time of separation, the employee must still satisfy the 90 days of employment requirement collectively over the periods of employment with the City before any paid sick leave can be used. Leave under this policy may run concurrently with leave taken under other applicable policies as well as under local, state, or federal law, including leave taken pursuant to the California Family Rights Act (CFRA) or the Family and Medical Leave Act (FMLA). The City will not lend sick leave in advance of accrual. The City will not retaliate against an employee who utilizes paid sick leave. Any abuse of sick leave usage shall be grounds for disciplinary action up to and including dismissal. B. ALL PART-TIME POSITIONS EXCLUDING 3/4 -TIME POSITIONS: Retirement Enrollment in the Public Agency Retirement Services (PARS) 457 Alternate Retirement System 457 Plan. The City's contribution shall be 3.75%; and the employee's contribution shall be 3.75%. C. ALL 3/4 TIME PART TIME POSITIONS Positions designated as 3/4 time receive the following benefits in addition to sick leave. a) Medical: The City contracts with the California Public Employees' Retirement System (CalPERS) pursuant to the Public Employees' Medical and Hospital Care Act (PEMHCA) to serve as the health insurance provider for the City and offers 3/4 - time part-time employees health insurance at the single party rate of the Kaiser Health Care Plan. Employees are required to pay any cost of the health care premium that exceeds the cost of the provided plan. If a less expensive plan is selected, no cash is provided to the employee. b) Retirement: Employees will be enrolled in the City's retirement program through CalPERS. The employee pays 100% of the employee's portion of the retirement rate. c) Bilingual Pay: The City will offer a bilingual pay program for eligible 3/4 -time employees who consistently utilize other languages to translate during the normal course of work. To qualify, employees must pass the test developed or utilized by the City for the following recognized languages: Spanish, Vietnamese, Cantonese, Mandarin, American Sign Language, or any other language determined by the City Manager. A maximum of three (3) positions per language per site may be certified to receive bilingual pay by the City. It will be applicable at all primary sites (RCRC, Garvey Center, Public Safety and Maintenance Yard). In the event that more than three employees wish to apply for it, management will determine the top three (3) based upon positional needs. Once certified, 3/4 -time positions shall receive a bilingual stipend of $100 per month. Any employee who is not certified by the City shall not be required to use a language other than English. However, when a member of the public, requests assistance in a language other than English, our employees shall make a reasonable effort to accommodate and assist in a polite and professional manner. d) Wellness Program Reimbursement: The City may provide wellness reimbursement program participation at $150 per year based upon the availability of funding. e) Tuition Reimbursement: Subject to City Manager approval, employees may be reimbursed for part or all of the costs of educational and other training courses (up to $2,500 per fiscal year), which provide a benefit to the City and provided there are budgeted funds for such approval by the City Council. During the budget process, money will be included annually for educational reimbursement. The educational/training courses must be job-related, leading towards a college or university degree or certificate and employees must remain with the City for three (3) years after the successful completion of class/course or must reimburse the amount received to the City on a prorated basis. If an employee leaves employment (voluntarily or involuntarily) with the City, prior to the three (3) years after the completion of class/course, the employee must repay the amount received based upon the following prorated basis: Pro -Rated Schedule of Refund Years of Service After Completion Repayment Amount Due to the City Less than one 1 year Full Amount Received Less than two 2) years 2/3 of Amount Received Less than three 3 ears 1/3 of Amount Received Employees with prior approval by the City Manager, may be reimbursed for registration, costs of books, tuition, lab fees and parking for classes or instruction, provided such classes or instruction are related to the employee's assigned duties with the City. Reimbursement will be made only after an employee has satisfactorily completed the class or workshop with the grade of C or better or equivalent completion and that evidence of same has been submitted and approved by the City Manager. In general, training time during working hours shall be considered part of the job. Unless the City directs an employee to attend a specific training course and the course is not available during work hours, training after hours shall be considered voluntary and no additional pay, overtime, or compensatory time shall be given by the City unless advance special written approval is granted. Study time shall be considered completely voluntary. There is no mileage reimbursement for travel to and from educational classes. Required forms must be completed and necessary documentation (receipts and grades) must be provided in order to receive reimbursement. Final and conclusive determinations of the reimbursement amount shall be made by the City Manager/Assistant City Manager after review of the request and recommendations by the Department Director and/or Human Resources. f) Vacation Accrual Rate: All 3/4 -time employees accrue 50 hours of vacation time per year which is credited at 1.92 hours per pay period. Employees cease to accrue vacation hours when, in any pay period, their vacation balance exceeds two times the annual accrual (100 hours). Employees may begin taking accrued vacation after six months of employment. g) Computer Purchase Program: The City provides a computer purchase program that is available to 3/4 -time employees as outlined in Administrative Policy No. 30-09. PASSED, APPROVED, AND ADOPTED this 14' day of May, 2024. Steven Ly, Mayor APPROVED AS TO FORM: ATTEST: Rachel Richman, City Attorney Ericka Hernandez, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. 2024-21 was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 14`h day of May, 2024, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: Ericka Hernandez, City Clerk Appendix A City of Rosemead Part -Time Employees Hourly Salary Ranges Effective July 1, 2023 Position Title Step I Step 2 Step 3 Step, Step Administrative Intern 16.12 16.93 17.77 18.66 19.59 Aquatic Attendant 16.12 16.38 17.20 18.06 18.96 Assistant Pool Manager 18.24 19.16 20.11 21.13 22.18 Community Service Officer 20.72 21.76 22.85 23.98 25.19 Lifeguard 16.55 17.37 18.24 19.16 20.11 Lifeguard/Instructor 17.38 18.25 19.16 20.12 21.12 Office Specialist 19.73 20.72 21.76 22.85 23.98 Park Ranger 20.72 21.76 1 22.85 23.98 25.19 Parking Control Officer 20.72 21.76 22.85 23.98 25.19 Playschool Teacher 18.79 19.74 20.72 21.76 22.85 Recreation Leader 16.12 16.87 17.72 1 18.60 19.53 Senior Recreation Leader 1 18.79 19.74 20.72 21.76 22.85 Youth Worker 1 16.12 16.60 17.37 18.25 City of Rosemead Part -Time Employees Hourly Salary Ranges Effective July 1, 2024 Position Title Step I Step 2 Step 3 Step , Step Administrative Intern 16.60 17.43 18.31 19.22 20.18 Aquatic Attendant 16.60 16.87 17.71 18.60 19.53 Assistant Pool Manager 18.79 19.73 20.72 21.76 22.85 Community Service Officer 21.34 22.41 23.53 24.70 25.94 Lifeguard 17.04 17.90 18.79 19.73 20.72 Lifeguard/Instructor 17.90 18.79 1 19.73 20.72 21.76 Office Specialist 20.32 21.34 22.41 23.53 24.70 Park Ranger 21.34 22.41 23.53 24.70 25.94 Parking Control Officer 21.34 22.41 23.53 24.70 25.94 Playschool Teacher 19.36 20.33 21.34 22.41 23.53 Recreation Leader 16.60 17.37 18.25 19.16 20.12 Senior Recreation Leader 1 19.36 20.33 1 21.34 1 22.41 23.53 Youth Worker 1 16.60