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For Immediate Release
January 19, 2011
Contact: Jenny Roney 805-654-7852
Jay Panzica, 805-654-7812       

Ventura City Council approves new Labor Agreements with Employees for $1.3 in Annual Savings

On Tuesday, January 18, 2011, the Ventura City Council approved new labor contracts with employee bargaining units that will move the City toward a more sustainable pension program.   By requiring employees to pay 4.5% of CalPERS pension costs, the contracts provide a higher percentage saving for Ventura taxpayers than any other city or county labor agreement in Ventura or Santa Barbara County since the beginning of the economic crisis.  The agreements are expected to save a net of $250,000 during the remainder of this fiscal year; $1.0 million in fiscal year 2011/12 and $1.3 million in fiscal year 2012/13, for an estimated savings of $2.6 million over the three fiscal years.

The new agreements will also implement a second tier CalPERS retirement formula, based on a later retirement age for newly hired employees. Ventura is the first to do so in the two County region for safety or miscellaneous employees.  The agreements approved by the City Council cover both.

"These were tough bargaining sessions.  Yet, in the end, cooperation overcame confrontation," said City Manager Rick Cole.  "Our staff was always prepared to make sacrifices.  By forging a workable agreement that recognizes the sacrifices they are making, we safeguard the delivery of quality services to our community."

The City has been in negotiations with the Ventura Police Management Association (VPMA), Ventura Police Officers' Association (VPOA) and Service Employees International Union (SEIU) since May 2010; each made difficult concessions. Employees will begin contributing 2% toward CalPERS retirement beginning in January 2011 or soon thereafter with an additional 1% (total of 3.5%) contribution in July 2011 and an additional 1% in June 2012 (total of 4.5%).  Second tier retirement plans vary according to bargaining units.

New contract terms will take effect July 1 and include an employer contribution to medical insurance optional benefits to cover some of the rise in health care costs borne by employees.  A key part of the package was an increase of three days in paid leave time for all but executive and management employees, who have been forced to take unpaid leave time during the City's winter shutdown.  The new agreements cover all city employees except sworn staff in the Fire Department.  Those contracts are expected to be finalized in the coming weeks.

This release is available at the City of Ventura's website at www.cityofventura.net. ###