Committee advances eight municipal contract amendments after tense debate over raises and concessions

SAN FRANCISCO — The Government Audit and Oversight Committee on July 7 advanced eight proposed amendments to memorandums of understanding covering police, firefighters, nurses and other municipal employees, amid sharp questions about deferred raises and whether the concessions are equitable.

Martin Grand, representing the Department of Human Resources, said the eight amendments complete a 30-contract package negotiated with unions and estimated the agreements will produce roughly $230,000,000 in savings over two years. Grand described the deals as concessionary and said they rely largely on furlough days, deferred raises and other temporary reductions, while preserving layoff protections and partial restoration of retirement benefits for bargaining-unit employees who accept the agreements.

"We come to you this afternoon with the final eight contract amendments…in total, we have produced savings of upward of $230,000,000 over two years," Grand said.

The package includes: a management police agreement represented by the Municipal Executives Association; two firefighter units of San Francisco Firefighters Local 798; San Francisco Police Officers Association units P1, P2A and P2B; supervising nurses and registered nurses represented by SEIU Local 1021; and clerical and helper units represented by Teamsters Local 856. DHR said the police management group’s model reaches a 9% concession over three years while most other tables reached an 8% giveback over two years.

Grand also described contract clauses that would end the concession period if a charter measure or state initiative reduced wages or fringe benefits, a safeguard the unions insisted upon to avoid what they called a "double hit."

Supervisor Daley pressed DHR for details on the timing of past increases, noting bargaining-unit pay increases in late 2009 and recent weeks and questioning whether a flat-percentage approach is progressive. "I cannot in good conscience… I will not be supporting any contract or contract renegotiation that includes wage increases in this budget year," Daley said, announcing he planned to vote against several items at the full board.

Public commenters raised related concerns. Thomas Picariello, a Tenderloin resident, said the discussions should have occurred before the budget process and urged the city to negotiate concessions earlier. Another speaker, Mr. Wright, criticized police fare-enforcement practices on Muni in public comment and tied his concerns to police conduct more broadly.

Representatives of the labor coalition urged the committee to pass the firefighters’ agreement. Bob Muscat, chair of the Public Employee Committee of the Central Labor Council, said the coalition’s negotiated package saved the city—he cited a figure of about $250,000,000—and urged the committee not to single out one organization. "If you really want kinda sane labor relations in the city, it really doesn't make sense to pull one organization out of that coalition," Muscat said.

Committee members voted on grouped items in committee. Item 1 passed in committee (Supervisors Chu, Daley and Mar voting yes). Items 3, 4, 5 and 7 passed in committee with Supervisor Daley recording a "no" vote while the other present members voted yes. Items 6 and 8 passed in committee unanimously among members present. For the firefighters’ unit 1 item (item 2), Vice Chair Carmen Chu recused herself; the committee reached consensus to send that item to the full Board on July 13 without a recommendation, after Deputy City Attorney Cheryl Adams explained the committee could forward items with a recommendation to approve, with a recommendation not to approve, or without recommendation.

The committee’s votes move the amendments to the full Board of Supervisors on July 13 for final consideration. Several committee members signaled they may vote differently at that meeting than they did in committee.

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Votes at a glance (committee action, July 7) Item 1 (MEA police management MOU amendment): committee vote — Chu yes, Daley yes, Mar yes; outcome: passed in committee Items 3, 4, 5, 7 (various police, nurse, and management amendments): committee vote — Chu yes, Daley no, Mar yes; outcome: passed in committee Items 6 & 8 (clerical/Teamsters and SEIU nurse agreements grouped): committee vote — Chu yes, Daley yes, Mar yes; outcome: passed in committee Item 2 (Firefighters Local 798, Unit 1): Vice Chair Carmen Chu recused; committee forwarded the item to the full Board without recommendation

What's next: The full Board of Supervisors will consider the amendments on July 13; several supervisors indicated they will announce final votes then.