R-1968 - 10/26/2021 - PUBLIC WORKS - Resolutions Supporting Documents ITEM 9.A.2
BOARD OF TRUSTEES MEETING
VILLAGE OF SAMUEL E. DEAN BOARD ROOM
OAK B P.-g- 2, K BUTLER GOVERNMENT CENTER
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS
630-368-5000
AGENDA ITEM
Meeting of the Board of Trustees
Of
October 26, 2021
SUBJECT: Collective Bargaining Agreement—Public Works
FROM: James R. Kruger, Chief of Police/Interim Village Manage A,
BUDGET SOURCE/BUDGET IMPACT: See Below a
RECOMMENDED MOTION: Motion to Approve Resolution 2021-PW-UN-
MOA-R-1968,A Resolution Approving a Collective Bargaining Agreement with
the Village of Oak Brook and the International Union of Operating Engineers,
Local 150 from January 1,2021 Through December 31,2025.
Back$!rou nd/History:
The Village has been negotiating with Local 150 since the beginning of the year for the
successor collective bargaining agreement. After several bargaining sessions, as well as a
change with the Village Manager and Public Works Director,the parties have agreed to the
following:
• New classifications of employees to coincide with the Village's Pw reorganization
plan.
• Operational efficiencies in regards to overtime and layoff with language to take
into consideration certifications,not just strict seniority.
• _ Salary increases effective January 1, 2021, of 2.5% due to the Board
approving retroactive pay back to January 1,2021, for all non-union employees
and police union employees.
• Salary increases of 2.5%annually effective January 1 of 2022 through 2025
• Employee health insurance costs under Local 150 insurance trust:
o January 1,2021: $2,324 family, $1,524 plus 1, $762 single (Plan A)
o May 1, 2021: $2,436 family, $1,597 plus 1, $799 single (Plan A)
o After Agreement: $1,946 family, $1,276 plus 1, $637 single (OHC Plan)
• Insurance may increase up to a 7%cap annually on May 1.
BOT AGENDA Page 1
• Other minor changes in equipment reimbursement or operations.
The approximate cumulative cost increase over the five-year period, 2021-2025 breaks
down as follows:
Wages: $118,109
Overtime: 9,855
FICA: 9,789
IMRF: 12,796
Total: $150,549
The Village will see a significant cost decrease in health insurance once employees are
switched to the OHC Plan in late 2021. Over the 5-year life of the contract, the Village is
projected to save approximately $290,000 on the OHC Plan vs. staying on Plan A
assuming current employee elections.
The Village's bargaining team approached the Union about adding reopener language to
the health insurance sections of the contract, and the Union declined to do so.
Per our discussions while trying to get the reopener language with the Union, please use
the attached version of the CBA, which changed the word "waived" to "raised" as it
pertains to the 3 month cap on light duty assignments.
Per the analysis in the memo, this contract nets savings of$140,000 over 5 years! That
almost never happens in public sector negotiations; costs go up, not down.
Recommendation:
Staff recommends that the Village Board pass the resolution and authorize the approval
of the agreement.
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BOT AGENDA page 2
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village Of November 3, 2021
Oak Brook
1200 Oak Brook Road
Oak Brook,IL 60523-2255
Website
www.oak-brook.ora Clark Baird Smith LLP
Attn: Benjamin E. Gehrt
Administration 6133 N. River Road, Suite 1120
630.368.5000 Rosemont, Illinois 60018
FAX 630.368.5045
Community Development
630.368.5101
FAX 630.368.5128 Hi Ben,
Engineering Per our conversation, enclosed please find two copies of the International Union
Department
630.368.5130 of Operating Engineers, Local 150 Collective Bargaining Agreement
FAX 630.368.3985 Executed by us. Please have Local 150 execute the agreements and return one
finalized copy to us.
Fire Department
630.368.5200
FAX 630.368.5128 Please contact me if you have any questions.
Police Department Thank You,
630.368.8700
FAX 630.368.8734
Public Works
Department Ka onachen, CPP, CMC
630.368.5270 H.R. Director
FAX 630.368.5295
Oak Brook
Public Library
600 Oak Brook Road
Oak Brook,IL 60523
630.368.7700
FAX 630.368.7704
Oak Brook Sports Core
Bath&Tennis Club
700 Oak Brook Road
Oak Brook,IL 60523
630.368.6420
FAX 630.368.6439
Golf Club
2606 York Road
Oak Brook,IL 60523
630.368.6400
FAX 630.368.6419