Fiscal Note
The proposed resolution adopts and confirms the Labor Agreement between the City of Madison and the Association of Fire Supervisors for the period January 1, 2022 through December 31, 2024. The total cost for the proposed wage increase in the agreement, over the life of the contract, is $107,000.
|
|
2022 Cost |
2023 Cost |
2024 Cost |
Cumulative |
|
Wages |
20,369 |
27,842 |
42,598 |
90,809 |
|
Benefits |
3,671 |
5,017 |
7,676 |
16,364 |
|
Total |
24,040 |
32,859 |
50,274 |
107,173 |
Funding for the 2022 and 2023 wage increases is included in the 2023 adopted operating budget.
A $1,000 one-time payment per Fire Supervisor employee to be paid by February 2023, is required under the contract. The anticipated cost of this payment is $537,000. Funding for this payment is included in the 2023 Adopted Operating Budget. The adopted budget also includes funding to make a $1,000 payment to all permanent full- and part-time city employees. The source of funding for this payment is a surplus in the Premium Stabilization Fund for the city’s life insurance and long-/short-term disability programs. The total cost of these payments, including those to be made under the Fire Supervisors contract, is estimated to be $3.4 million.
The contract includes other changes with fiscal implications as outlined on the attachment to the resolution. The estimated cost of these changes is approximately $12,500 annually and has not been budgeted. City expenses are monitored throughout the year and if necessary, a budget amendment may be offered through the year-end appropriation. The current balance of the Contingent Reserve is $1,900,000. These funds could be used to cover the cost of the contract changes. No additional appropriation is needed at this time to fund the proposed changes.
Title
Adopting and confirming the Labor Agreement between the City of Madison and the Association of Fire Supervisors for the period January 1, 2022 through December 31, 2024.
Body
This resolution adopts and confirms the Labor Agreement between the City of Madison and the Association of Fire Supervisors for the period January 1, 2022 through December 31, 2024.