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Adopt a resolution accepting the Tentative Agreement with the International Union of Operating Engineers, Stationary Engineers Local #39 (“L39”), regarding Unit 10 for a successor Memorandum of Understanding for the term March 24, 2026, through September 30, 2028; Approve Side Letter Agreements to the Memorandum of Understanding to be entered into with the International Union of Operating Engineers, Stationary Engineers Local #39 regarding Unit 10 concerning Base Wage Increase Re-opener and Workers’ Compensation Pilot Program; Direct the Director of Human Resources to prepare separate Memorandum of Understanding consistent with each of the tentative agreements and obtain the signatures of the relevant signatories for L39; and Delegate authority to the County Administrative Officer or Director of Human Resources to execute the final Memorandums of Understanding and make technical, non-substantive adjustments
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Director of Human Resources recommends that the Board of Supervisors:
1. Adopt a resolution accepting the Tentative Agreement with the International Union of Operating Engineers, Stationary Engineers Local #39, regarding Unit 10 for a successor Memorandum of Understanding for the term March 24, 2026, through September 30, 2028;
2. Approve Side Letter Agreements to the Memorandum of Understanding to be entered into with the International Union of Operating Engineers, Stationary Engineers Local #39 regarding Unit 10 concerning Base Wage Increase Re-opener and Workers’ Compensation Pilot Program;
3. Direct the Director of Human Resources to prepare separate Memorandums of Understanding consistent with each of the Tentative Agreements and obtain the signatures of the relevant signatories for L39; and
6. Delegate authority to the County Administrative Officer or Director of Human Resources to execute the final Memorandums of Understanding and make technical, non-substantive adjustments.
SUMMARY:
Solano County and the International Union of Operating Engineers, Stationary Engineers Local #39, representing Bargaining Unit 10, have met and conferred in good faith regarding the terms for the successor collective bargaining Memorandums of Understanding (MOU) to replace the previous MOU which expired October 25, 2025. The representatives for the parties have reached total tentative agreements for a successor MOU to be effective March 24, 2026, through September 30, 2028 upon approval by the Board of Supervisors. Unit 10 has ratified the terms of the tentative agreements.
FINANCIAL IMPACT:
Adoption of the new collective bargaining agreement for Unit 10 is projected to increase payroll costs by a total of $2,263,214 through September 30, 2028. Of this total cost, $264,005 is during Fiscal Year 2025/26, $691,195 is during Fiscal Year 2026/27, $1,089,934 is during Fiscal Year 2027/28, and $218,080 is during Fiscal Year 2028/29.
DISCUSSION:
Representatives of the County and the International Union of Operating Engineers, Stationary Engineers Local #39 have met and conferred in good faith regarding wages, hours, and other terms and conditions of employment.
The representatives for the parties have reached tentative agreements on the following changes for Unit 10:
1. Term of Agreement: The collective bargaining agreements will be effective March 24, 2026, through September 30, 2028.
2. Wages: Effective March 29, 2026, employees receive a three percent (3%) base wage increase. Effective concurrent with the wage increase, active employees receive a lump sum payment of one thousand two-hundred dollars ($1,200). Part-time employees receive a pro-rated amount based on the employee’s full-time equivalence.
Effective October 25, 2026, employees receive a two percent (2%) base wage increase. Effective concurrent with the wage increase, active employees shall receive a lump sum payment of five hundred dollars ($500). Part-time employees will receive a pro-rated amount based on the employee’s full-time equivalence.
Effective July 4, 2027, employees receive a one percent (1%) base wage increase.
3. Health Insurance/Cafeteria Plan: The County provides health insurance through CalPERS’ Public Employees’ Medical and Hospital Care Act (PEMCHA, or PERS Health Program). The County’s maximum premium contribution for health insurance/cafeteria plan will be set at eighty percent (80%) of the PEMCHA Region 1 Kaiser Permanente family rate minus the PEMCHA MEC for the 2026, 2027, and 2028 benefit rates, effective April 1, 2026. The County will contribute fifty dollars ($50.00) per month into the Cafeteria Plan for employees who elect employee plus two or more dependents, effective the month of March 2026; this provision will sunset at the end of the pay period which includes the expiration of the 2026-2028 collective bargaining agreement.
4. Other Items:
• Updated standby pay differential language to clearly define weekday and weekend/holiday standby hours and clarify standby should only be assigned when no other qualified employee is on duty except when management determines an operational need
• Clarified and streamlined Section 5.8 Salary Upon Reclassification language.
• Updated observed holiday section to incorporate ½ holidays on Christmas Eve and New Year’s Eve into regular listing of holidays.
• Clarified CTO section language referenced in Holiday Compensation section of MOU.
• Clarified that compensatory time off pay outs are paid at regular rate of pay and reorganized language related to compensatory and holiday time as it relates to overtime computation.
• Increased maximum vacation accrual cap by forty (40) hours.
• Provided a five percent (5%) differential payment paid per hour or portion thereof for the Custodian, Building Maintenance Assistant, Building Trades Mechanic or Stationary Engineer classifications when such employees are assigned to work in the juvenile detention facility. Clarified that if eligible for other facility differentials, the differential pay cannot be stacked; only one differential can be paid within the same time frame.
• Updated Bereavement Leave section to add grandparents to leave for reproductive loss for a maximum of twenty-four (24) hours of leave. Additionally, bereavement leave must be taken within six (6) months following the loss.
• Provided an increase to Park Ranger and Park Ranger Assistant uniform allowance from eight-hundred and forty dollars ($840) to nine-hundred and twenty-five dollars ($925) per fiscal year. Increased safety boot allowance from three-hundred and sixty dollars ($360) each two-year period to two-hundred and fifty dollars ($250) per fiscal year, with the amount increasing to two-hundred and seventy-five dollars ($275) effective July 1, 2026. Increased slip resistant shoe allowance for the Custodian classification from one-hundred and seventy-five dollars ($175) to one-hundred and ninety dollars ($190) per fiscal year effective July 1, 2026. Added Equipment Mechanic/Assistant and Equipment Service Workers to employees who receive safety jackets.
• Increased prescription safety glasses maximum allowance from three-hundred and fifty dollars ($350) to three-hundred and eighty-five dollars ($385).
• Included Equipment Mechanic in list of classifications where County will provide training for the obtainment of a Class A California Driver’s License. This classification will only be eligible when the County has made such license a requirement in the job classification specification.
• Proposed Side Letter - Workers Compensation Pilot to provide an increase from a maximum of nine (9) to a maximum of twelve (12) months of medical, vision, dental, long-term disability, and life insurance coverage to an employee who is receiving temporary disability benefits through Workers’ Compensation. Pilot; will expire September 30, 2028.
• Proposed Side Letter - the representatives for the parties reached tentative agreement to allow for reopening of negotiations on the “Year Three (2028)” base wage rate increase, solely for the limited purpose of discussing potential modification to the year three base wage rate increase, if any.
County staff and labor representatives are in the process of preparing the written successor MOUs to reflect the approved Tentative Agreements. Delegating authority to the County Administrative Officer or Director of Human Resources to execute the final MOUs will allow timely implementation once the documents are complete, without requiring additional Board action so long as the final MOUs are consistent with the terms approved in the attached Tentative Agreements.
ALTERNATIVES:
The Board could elect to not adopt the resolution accepting the Tentative Agreement with Unit 10 however, this option is not recommended as the representatives for the parties have met and conferred in good faith pursuant to the Meyers-Milias-Brown Act and have reached tentative agreement, and the Tentative Agreement was negotiated within the parameters previously provided by the Board to its negotiation team. Additionally, employees represented by the International Union of Operating Engineers, Stationary Engineers Local #39 have ratified the terms of the Tentative Agreement. If any conflicts exist between the terms recited in this agenda item and a Tentative Agreement, the Tentative Agreement shall take precedence.
OTHER AGENCY INVOLVEMENT:
The negotiations of the successor collective bargaining agreements were through a collaborative effort by the County and the International Union of Operating Engineers, Stationary Engineers Local #39, Unit 10, the County Administrator’s Office, applicable County Departments, the Auditor-Controller’s Office, and County Counsel.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION