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HomeMy WebLinkAboutMemo - Read Before Packet - 5/3/2022 - Memorandum From Tyler Marr Re: Supplemental Information For Item 06 On May 3, 2022 Council Agenda -2Nd Reading Of Collective Bargaining Agreement Appropriation 1 of 1 | P a g e PO Box 580 300 LaPorte Ave. Fort Collins, CO 80522 970.221.6505 970.224.6107 - fax fcgov.com MEMORANDUM Date: May 2, 2022 To: Mayor Arndt and City Councilmembers Through: Kelly DiMartino, Interim City Manager From: Tyler Marr, Assistant City Manager Re: Supplemental Information for Item 06 2nd Reading of Collective Bargaining Agreement Appropriation The purpose of this memo is to provide supplemental information at the request of City Council for the appropriation of $1.674 million of prior year reserves to fund the post-employment health plan guarantees as articulated in the current collective bargaining agreement (CBA) with the Fraternal Order of Police. Questions received from Council requested a breakdown of catch-up costs versus th expense provided when the CBA was adopted. Catch-up and Recurring Costs The cost for the catch-up awards, which were detailed in the first reading AIS, represents $1,434,000 of the appropriation $240,000 Cost Compared to Estimates In the materials provided when Council approved the CBA in December of 2021, staff had estimated with available data that the catch-up provisions would represent a one- time cost of $1.4 million and that the annual cost of milestones would be $225k in 2022. This represents a $49,000 difference in the estimated versus actual costs. CC: Teresa Roche, Human Resources Executive Greg Yeager, Deputy Chief of Police