Template revised September 22, 2016.
COMMISSION
AGENDA MEMORANDUM
Item No.
6e
ACTION ITEM
Date of Meeting
October 8, 2019
DATE: October 1, 2019
TO: Stephen P. Metruck, Executive Director
FROM: Milton Ellis, Labor Relations Manager
David Freiboth, Sr. Director, Labor Relations
SUBJECT: New collective bargaining agreement between the Port of Seattle and the
International Brotherhood of Teamsters, Local 763, Teamsters, representing Police
Commanders.
Additional cost over term:
$84,296
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute a new collective
bargaining agreement (CBA) between the Port of Seattle and the International Brotherhood of
Teamsters, Local 763, Teamsters, Police Commanders, representing the Police Department for
the Port of Seattle covering the period from January 1, 2019, through December 31, 2021.
EXECUTIVE SUMMARY
Good faith bargaining between the International Brotherhood of Teamsters, Local 763,
representing Police Commanders and the Port of Seattle resulted in a fair collective bargaining
agreement consistent with the Port’s priorities.
There are currently five (5) Police Commanders employed at the Port of Seattle who assigned to
the Port of Seattle Police Department. Police Commanders are part of the Port of Seattle Police
Department command staff and supervise the day to day activities of Port of Seattle Police
Sergeants and Police Officers.
This agreement is for three years covering the period from January 1, 2019, through December
31, 2021. The estimated total additional cost for wages and benefit increases is $84,296. The
estimated additional cost per year of the contract is: year one, $36,432; year two, $24,869; and
year three, $22,995.
Contributing factors to the costs include:
The cost is based upon a cost of living increase of 3.1 percent in wages in year one of the
agreement and an estimated 2.5 percent cost of living increase in wages in years two and three
COMMISSION AGENDA – Action Item No. __ Page 2 of 4
Meeting Date: October 8, 2019
Template revised September 22, 2016; format updates October 19, 2016.
of the agreement. The cost also consists of a health insurance increase of 3.49 percent increase
in health insurance in year one of the agreement and an estimated 3.18 percent increase in years
two and three of the agreement.
Other changes consist of modifying the Union Security provisions of the agreement to comply
with state law; increasing the annual awarded time provided to Police Commanders by an
additional forty (40) hours for a total of eighty (80) hours per year; and modifying the Holiday
cash out provision to comply with Department of Retirement Services (DRS) requirements
thereby allowing employees to receive retirement credit from DRS. In addition, employees will
be enrolled in the Teamsters Retiree Welfare Plus XL plan effective in year two of the agreement
with the Port paying up to fifty ($50) per month per employee for the term of the agreement.
Employees will also pay an additional fifty ($50) dollars per month in employee premium share
for a total of $125 per month effective year three of the agreement. The salary compression rate
between Police Commanders and Sergeants was increased from twenty to twenty-five percent.
Changes were made to the sick leave and the Washington State family medical leave provision
to comply with state law and the Equal Employment Opportunity provision was modified to
comply with state and federal law.
JUSTIFICATION
RCW Chapter 41.56 requires the Port of Seattle to collectively bargain wages, hours and working
conditions with the exclusive bargaining representative designated by the employees.
SCOPE OF THE AGREEMENT
Term of the Agreement
Retroactive to January 1, 2019, through December 31, 2021.
FINANCIAL IMPLICATIONS
Wages
Classification
Effective
1/1/19 Base
Hourly Rate
(+3.1%
COLA)
Effective
1/1/20 Base
Hourly Rate
(Estimated
+2.5% COLA)
Effective
1/1/21 Base
Hourly Rate
(Estimated
+2.5%
Estimated
COLA)
Police
Commanders
$70.45
$72.21
$74.02
COMMISSION AGENDA – Action Item No. __ Page 3 of 4
Meeting Date: October 8, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Wage
Employees were provided with a cost of living increase for each year of the three year agreement
based on the Seattle/Tacoma/Bellevue CPI-U (All Urban Consumers) October to October Index
which represented 3.1 percent for October 2017-October 2018 (effective January 1, 2019);
estimated 2.5 percent for October 2018-October2019 (effective January 1, 2020); and an
estimated 2.5 percent COLA for October 2019-October 2020 (effective January 1, 2021). The
salary compression between Police Commanders and Sergeants was also increased from 20 to
25 percent based on the Port of Seattle’s Sergeant A current base wage hourly rate.
1
Health and Welfare
Members of the bargaining group are currently enrolled in Teamsters Medical Plan A where they
are contributing seventy-five dollars ($75) per month toward the cost of their medical insurance.
The contract provides for an increase in the amount of premium share paid by employees of fifty
dollars ($50) in year three of the agreement. Total employee medical contribution will therefore
increase to one hundred twenty-five dollars ($125) per month in year three of the agreement.
Eligible employees will also be enrolled in the Teamsters Retiree Welfare Plus XL plan effective
January 1, 2020, with the Port paying up to fifty-dollars per month in premium payments per
employee.
New Employee Orientation
The Union will now have up to thirty (30) minutes to meet with new employees during the new
employee orientation in accordance with state law.
Other Changes
• Union Security provisions modified to comply with state law;
• Police Commanders will receive an additional forty (40) hours per year in awarded time
for a total of eighty (80) hours;
• Holiday cash out provision was modified to comply with Department of Retirement
Service requirements allowing employees to receive retirement credit from DRS;
• The sick leave provision was modified to conform to the new Washington State sick leave
law.
• The Family Medical Leave provision was modified to conform with the Washington Paid
Family and Medical Leave Act.
1
Sergeant A current hourly rate is $54.67. The 25 percent wage compression brings the Commander’s base hourly
rate to $68.33.
COMMISSION AGENDA – Action Item No. __ Page 4 of 4
Meeting Date: October 8, 2019
Template revised September 22, 2016; format updates October 19, 2016.
• The Union Security Provision language regarding mandatory union membership was
deleted to comply with Federal law.
• Cost Impact
$
Year 1
Year 2
Year 3
Pay
$29,184
$19,652
$20,143
Benefits
$ 7,248
$5,217
$ 2,852
Total New Money
$36,432
$24,869
$22,995
Total Cumulative
Cost
$36,432
$61,300
$84,296
The estimated total additional cost to the Port of Seattle for the duration of the contract is
$84,296.
ATTACHMENTS TO THIS REQUEST
(1) Collective Bargaining Agreement
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
June 14, 2016 - Commission authorization of previous Collective Bargaining Agreement