UPEA Salt Lake Valley Local Government District Bulletin

Brief Announcements

2010-11-10T10:06:00.000-08:00

Your UPEA Citizen Action by Public Employees (CAPE) Committee is calling for applications to fill 3 seats. Committee members make political endorsements and organize political activities for the UPEA. WE NEED LOCAL GOVERNMENT MEMBERS TO BE INVOLVED. E-mail me if you need more details, tsutton@upea.net. Submit a letter of intent and resume to susan@upea.net if you are interested.

Your UPEA Employee Representative, Todd Sutton, will hold a Q&A Wed., Nov. 17th, at the Environmental Health Building from 12:00pm to 1:00pm. UPEA will schedule other meetings through January to update members on both Local Government and State initiatives.

The UPEA is recognizing Public Employee Salute honorees this Friday. Your Local Government District is proud to recognize Conrad Carter for his outstanding service to SLCo Criminal Justice Services.

The UPEA Office is closed Thursday, Nov. 11th in recognition of Veterans’ Day. However, the office will be open again on Friday.

Thank you for your time.

What's Happening Next Week at UPEA

2010-04-23T08:40:00.000-07:00

Next week, UPEA Employee Representative, Todd Sutton will be visiting worksites and answering questions about the retirement bills and the UPEA-Salt Lake County-Local Government District meeting last week. We hope to gain support for our district meetings so our decisions can be more all-inclusive.

Also, many members are heading to their Salt Lake County Conventions this weekend. I'm eager to hear how it goes and to see who will be in the primary races on June 22nd, 2010.

Busy Couple of Weeks, Eh?

2010-02-08T10:29:00.000-08:00

Here's a quick timeline of what has been happening:

Tuesday, December 22nd, 2009
--Met with Mayor Peter Corroon, Deputy Mayor, Nicole Dunn, Administrative Services, April Townsend, Mayor's Office, Doug Willmore. Discussed looming health insurance increase. The Mayors Office anticipated a 35% to 42% increase due to higher utilization.

Tuesday, January 5th, 2010
--UPEA held meeting to update Public Works Employees on health care options proposed by PEHP.

Tuesday, January 12th, 2010
--UPEA and one other local labor organization met with Administrative Services regarding latest health insurance proposal. UPEA raised concerns about future increases in light of a 2.75% reduction in pay and suspension of 401(k) benefits. Employee Representative, Todd Sutton, scheduled more time with Administrative Services.
--Council Member, Jenny Wilson, raised concerns, on behalf of employees, to the insurance proposal.
--UPEA begins planning retirement rally with Utah Education Association, Utah School Employees Association and the Federation of Police.

Friday, January 15th, 2010
--UPEA Employee Representative, Todd Sutton, met with Illene Rhodes, Benefits Coordinator for SLCo to discuss proposed PEHP benefit changes. UPEA drafted the following letter based on that meeting:
__________________________________________________________
Honorable Council Member
2001 South State Street #N2200
Salt Lake City, UT 84190-3050

Dear Council Member,

Thank you for giving UPEA members time to consider changes to the Public Employee Health Plan. The inclusion of labor groups has been beneficial to both members and, hopefully, Administrative Services. The recommendations in this letter are respectfully submitted on behalf of Salt Lake County employees to promote responsibility in health care and to lessen costs that are within employees’ control.

In light of recent discussions about the health insurance, two themes have resounded about this year’s benefit modifications and premium increases:
1. Administrative Services would like more time to educate employees on how their behaviors drive health care costs; and
2. PEHP would like to expose employees to the realities of health care costs in order to affect utilization.

While discussing these issues, UPEA has made an effort to understand how each benefit modification will affect utilization. Overall, there is very little information available to determine whether or not we are making wise benefit changes to mitigate rising utilization rates. We, however, cannot disagree that employees need more education about their health care.

The association believes that the process for educating employees about their health care should be year-long campaign, rather than a rush during open enrollment. Some of the health care costs are driven by behaviors that employees can control if given the chance. For these reasons, UPEA respectfully offers the following suggestions for consideration:

1. Draw down the reserves (if possible) to lessen the 13.3% premium increase for employees pending a year-long education campaign
2. Set a realistic goal for utilization during the 2010 plan year and then implement an education campaign to encourage employees to stay within that goal. This goal should be based on a combination of
a. Level of utilization that is sustainable
b. Level of utilization that can be attained by changing behaviors such as use of emergency care
3. Allow employees to see monthly utilization reports (within HIPPA standards) and give them the opportunity to understand the correlation between health care use and rising premiums
4. Forecast next year’s premium increase based on current quarter’s utilization and educate employees each quarter
5. Emphasize preventative care and Healthy Lifestyles

We believe, if given the chance, employees can work with Salt Lake County to better manage soaring health care costs.

Sincerely,
Todd Sutton
UPEA Employee Representative
________________________________________________________________

Wednesday, January 20th, 2010
--UPEA met with 30 employees at the health department to discuss the proposed health care increase and changes to the retirement system. Employees approved UPEA's letter to the council.
--UPEA submitted draft letter to the Council Chair, Joseph Hatch.

Friday, January 22nd, 2010
--UPEA Employee Representative, Todd Sutton, met with 40 Public Works employees during the lunch hour to discuss proposed retirement changes and the proposed health care increase. Many employees were unaware of the changes and agreed to support UPEA at a retirement rally and within the county.
--UPEA begins e-mailing its members to attend the Retirement Rally on Feb. 6th.

Monday, January 25th, 2010
--The legislative session begins. Lawmakers begin drafting legislation that affects all public employees. Sen. Dan Liljenquist, R-Bountiful, releases three retirement bills.
--UPEA distributed letter proposing a reduction in the 13.3% premium increase to the County Council members.

Tuesday, January 26th, 2010
--Employee Representative, Todd Sutton, met with County Council Chair, Joseph Hatch to discuss the health care letter. Hatch was in favor of UPEA's proposal to draw down the county's health care reserves if this year's premium increase was a one-time event.
--Council convened and discussed health care, but postponed a decision until next week.

Wednesday, January 27th, 2010
--Employee Representatives, Todd Sutton and Christy Cushing, met with members of the Governor's Government Optimization Committee to discuss proposal for changing the retirement system. UPEA defended the pension system while legislators lauded the benefits of a 401(k) retirement plan. The 401(k) plans, on average, have not performed as well as our pension over a long stretch of time.

Monday, February 1st, 2010
--Employee Representative, Todd Sutton, met with 20 employees at the County Landfill. We discussed the retirement rally and the proposed health care changes.

Tuesday, February 2nd, 2010
--The County Council convened to discuss health care. One of the options they discussed was eliminating the Preferred Plan. UPEA opposed eliminating preferred unless PEHP could show that their would be no further reductions in benefits AND employees were given ample time to switch between the two plans. All things being equal, the County opted to reduce the 13.3% premium increase by 8.3%, leaving employees with a 5% increase. They will begin eliminating the Preferred Plan for the 2011 plan year.

UPEA will continue to work on health care to ensure that employees' needs are addressed by the County.

Saturday, February 6th, 2010
RETIREMENT RALLY!!!

Over 4,000 employees demonstrated for a slow approach to retirement changes. Current proposals call for a complete overhaul of the retirement system without considering the impacts of the overhaul or other options. In fact, the current proposals are based on two public meetings and one single assessment of the system. Our retirement system has taken over 50 years to build and they want to overhaul it with two meetings!

Our work is not done. Our work is far from done.

Utah Retirement Systems and County Employees

2010-01-07T09:31:00.000-08:00

Today's e-mails from UPEA have garnered many questions from Salt Lake County employees. The number one question posed to UPEA Employee Representatives is:

Does this affect the age that I can retire?

Answer: It depends on an employee's age at retirement. If an employee is 65, they only need 4 years of service to collect a monthly pension. However, URS uses a scale to determine how many years of service an employee needs if they are under 65. For further information, see http://www.urs.org/general/pdf/brochures/noncontrib.pdf.

The other question drives right at the heart of member involvement with UPEA:

How does this affect County employees?

Answer: All public employees, including teachers, will feel the impact of an overhaul to the retirement system. No public employee is immune.

In addition to our work at the state level, UPEA employee representatives also work with the County Council to protect your rights, benefits and compensation. NO OTHER LABOR ORGANIZATION COVERS COUNTY EMPLOYEES IN BOTH STATE AND LOCAL GOVERNMENT.

Employees need a labor association that works for their benefits at all levels of government--and fights for their rights during grievance proceedings. UPEA does all of it. If you are on the fence for joining, let this be the year that you finally join our ranks. Remember, you may drop membership at any time, but we hope that you will see the benefit of your involvement and help others understand what this association is about.

Click Here to Join

NOTE: There is a District Meeting on January 20th, 2010 at 12:00. Members and non-members are invited to participate. Call 1-800-224-8732 ext. 209 for more information.

FINAL NOTE: If you voted for another labor organization in recent elections, you may still become a member of UPEA. Click Here to See Our Dues and Benefits.

Changes in the Utah Retirement Systems Will Affect Salt Lake County Employees

2009-11-12T17:11:00.001-08:00

Click Here to get the Latest

Now It's Up To You

2009-10-30T14:36:00.000-07:00

When I sit down to write this blog, I realize that I have a lot to convey, but the average reader won't have time to really pick at the issues. At the very least, I want to answer the following questions:

Why did the County favor a pay cut over a furlough?
Why did the County reject the Mayor's proposal to offer employees 40 hours of extra vacation?
What has UPEA done to address my concerns with the County Council?
What can I do?

1. Why did the County favor a pay cut over a furlough?
UPEA supports the idea of a furlough because it would be a temporary solution to what the association views as a temporary problem.

The County Council named two reasons for scrapping the furlough. Firstly, it would be impossible for the County to enact a county-wide policy due to low staffing levels in different departments.

Secondly, the Council sought a solution that would demonstrate to their creditors that the county was on a permanently secure footing. The County's Triple A Bond Rating would be threatened if the county failed to show that it could maintain its reserves. The county would lose upwards of $600,000 if it dropped a single tier in the ratings.

2. Why did the County Council reject the Mayor's proposal to offer 40 hours of extra vacation?
Federal regulations require local governments to make a 40% down payment on any benefits it pays out to its employees. This regulation ensures that governments will have enough funding to pay benefits down the line. The county would not be able to meet this obligation in light of falling revenues.

3. What has UPEA done to address my concerns with the County Council?
UPEA issued a letter to council members outlining three feasible options to mitigate the loss of salary for employees. Todd Sutton is booking appointments with council members to encourage their consideration. Also, UPEA collected comments about the 2.75% cut and will be forwarding those comments to interested council members.

Please read the letter: Letter to Council Members

4. What can I do?
Now it's up to you! Please call your elected Council Member during non-working hours and voice your support of the any or all the options outlined in the letter. Here is a script for what you might say:

Read the letter carefully. Email tsutton@upea.net if you have questions.
Be polite.
Be succinct.
Stay on the topic of pay.

My name is _____________________ and I am an employee for Salt Lake County. I am calling because I would like you to consider a letter submitted by Utah Public Employees Association on October 30th, 2009, regarding the 2.75% cut in employee salaries. I support the options outlined in the letter and appreciate your consideration in this matter. Thank you.

2009-10-30T07:55:00.000-07:00

In light of the retirement discussion, many ideas are coming forward to the legislature. UPEA has taken the stance that at this point in time no changes should be made, because no one has enough information on what will solve the problem, or if the economy will continue to rebound. For your information, I have linked the actual proposition of the League of Cities and Towns.

On 12 November, 2009 the Legislative Retirement and Independent Entities Committee will be meeting at 9:00 AM to further discuss the retirement system. Their agenda contains the following information:

Compensation for State Public Employees
Utah State Retirement Systems Trust Fund Financial Status and Alternative Actuarial Models.
A Performance Audit of the Cost of Benefits for Reemployed Retirees and Part-Time Employees.
Retirement System Key Issues and Reform Options - Updates
Other Committee Business

For more information regarding the Retirement and Independent Entities Committee meeting, I have attached their link here.

"Meet and Confer" Update

2009-09-16T09:02:00.000-07:00

Many of Salt Lake County employees may be aware that there has been a petition filed to hold an election within the Mayor’s “Blue Collar” portfolio for representation. Yesterday in the Committee of the Whole meeting the Salt Lake County Council discussed how the election will be managed and what will be on the ballot. Originally the ballot was to give the options of the petitioning unions and “No Representation”, implying that if you did not vote for the unions on the ballot employees would not have any options for representation.

UPEA lobbied the council to change the wording on the ballot from “No Representation” to “None of the Above”, thus implying that none of the options on the ballot are acceptable. As stated in the “Meet and Confer” Ordinance, regardless of the election outcome UPEA will be able to continue to represent its members and increase membership for the benefit of all county employees. The Council unanimously approved the change in wording on the ballot. We are encouraging all of our members in the “Blue Collar” portfolio to vote for “None of the Above” as it will be a vote for UPEA.

UPEA has been actively working towards building our membership in order to best represent our members in each of the representation units. It is important to note that we are growing. UPEA increases its ability to represent county employees by recruiting new members rather than collecting signature cards. Our strength is in numbers. UPEA is working tirelessly to represent Salt Lake County employees in regards to retirement issues, the upcoming budget, and health insurance concerns. It is our intention to work towards becoming the exclusive representative within each bargaining unit when the membership is ready to do so.

Our strength is truly in numbers. Invite a co-worker to join today.

Retirement Committee Update

2009-09-11T09:25:00.000-07:00

The Retirement and Independent Entities Committee convened a special meeting on 9 September, 2009 to discuss the public employee retirement system. Utah Public Employees’ Association monitored the meeting and testified on behalf of public employees. The committee also listened to testimony from Utah Retirement Systems, the URS actuary, Department of Human Resource Management, The Utah League of City and Towns, CURE, Utah Association of Counties, and various municipal law enforcement groups.

UPEA has taken the position that no one group has enough information to know the affects of changing the retirement system this year. Therefore, it would be prudent to maintain the system until actuarial metrics can provide information to justify a change. Senator Liljenquist concluded that the current $4 billion drop in the retirement fund over the past year will cause the state to lose an additional $300 million per year in investment returns. Chris Conradi, Senior Consultant for the URS actuary, Gabriel, Roeder, Smith & Co., said that Liljenquist’s assumption was correct despite potential economic recovery and higher rates of return on investments.

In a worse-case-scenario, URS will not recoup its $4 billion plus $300/year loss in time to keep up with demands placed on the retirement system by upcoming retirees.

The Utah League of Cities and Towns presented a package of benefit changes that would preempt a solution to this economy’s worse-case scenario. However, UPEA has spoken with economists and the Governor’s Office of Planning and Budget, who all confirm that the economy is showing signs of recovery. The worse-case-scenario may not play out, but a loss in benefits will harm public employees for years to come. UPEA does not endorse the ULCT’s position on changing the retirement system. For more information, see the list of available documents below.

Please stand behind UPEA in protecting your retirement benefits. Tell your coworkers about UPEA’s position and what’s at stake if employees aren’t unified. Encourage non-members to join.

Documents and White Papers from the Retirement and Independent Entities Committee’s Sept. 9th, 2009 Meeting:
Audio Recording of Committee Meeting
http://www.le.state.ut.us/asp/interim/Minutes.asp?Meeting=7690#Audio

League of Cities and Towns Proposal
http://www.ulct.org/ulct/docs/LPC_retirement_handout.pdf

Utah State Retirement Systems Overview
http://www.le.state.ut.us/interim/2009/pdf/00001059.pdf

Actuarial Perspective of the Utah State Retirement Systems
http://www.le.state.ut.us/interim/2009/pdf/00001115.pdf

Link to the Retirement and Independent Entities Committee Website
http://www.le.state.ut.us/asp/interim/Commit.asp?Year=2009&Com=INTRIE

Retirement Update

2009-08-18T15:52:00.002-07:00

UPEA would like to take this opportunity to bring you up-to-date on the Association’s efforts concerning the critical issues of retirement and health care. Over the past four months, a taskforce of UPEA members appointed by the UPEA State Board of Directors, have been meeting to interview legislative leaders, state retirement officials, health insurance experts, and others in order to prepare for the upcoming Legislative Session. The time has been well spent.

As you know, the state retirement fund has experienced significant losses due to the recession. For the system to remain solvent it must be at least 80% funded. Currently the retirement system is about 87% funded.

In order to address the losses, some organizations, like the League of Cities and Towns have proposed a myriad of solutions such as suspending the 401(k) contribution, extending the vesting period, and transitioning the public safety / firefighter years of service from 20 years to 25 years. We believe that such proposals are premature.

UPEA will join the Utah Education Association (UEA) and the Utah School Employees’ Association (USEA) in issuing a joint statement which opposes any long term changes to the retirement system based on a temporary drop in the investment fund.

The UPEA taskforce is also closely monitoring health care reform on the state and national level and will be producing a series of position papers.

UPEA is adamant about preserving your retirement benefits. The Utah Retirement building is named after UPEA’s founder and first President Leonard W. McDonald, the architect of the Utah State Retirement System. We the leadership of UPEA intends to uphold this legacy.

Voluntary Furlough

2009-08-18T15:52:00.001-07:00

Today I attended the legislative subcommittee at the Salt Lake County Council. In the meeting the council members on the committee discussed changes to the Human Resource Policy & Rules - Leave Practices #5510.

The specific changes that were discussed had to do with a voluntary furlough – meaning that it would not be mandatory. Employees would be given another leave option, during tight budget years, to take leave without pay. The new rule would stipulate that it must be approved by a supervisor, similar to taking vacation time. It could not be used for more than 10 consecutive days, or 30 days in the year but would still allow an employee to accrue annual leave and be eligible for benefits. An employee may take the voluntary furlough days any time – including holidays, upon supervisor approval.

In the meeting, UPEA spoke in favor of the changes, as it allows for another leave option that is voluntary in nature.

The changes were reviewed and approved by the committee. It will be presented to the full council for approval in the next few weeks.

Monthly update

2009-08-10T13:36:00.000-07:00

I just wanted to give all of you a brief update regarding what has been happening with employee issues. Also, August is employee appreciation month. I want to invite all of you to our employee appreciation days that will be held at 3 locations:
1. 8/13, Salt Lake Government Center 11:30-1:30;
2. 8/20, Salt Lake County Public Works, 6:00 am -8 am;
3: 8/27, Salt Lake County Jail, 1:00-3:00.

Retirement
The national financial crisis has caused pension systems and 401(k) plans to lose money. The Utah Retirement System (URS) was no exception. The Utah public employee pension lost approximately $4 billion last year. During the next legislative session, URS may ask to increase the contribution rates by 3 to 4% ($80 - $100 million). However, lawmakers will decide between various options that affect public employee retirement benefits.

In April 2009, UPEA created a task force to monitor potential changes to the system, since legislators began examining a defined contribution system for employees. URS presented several options for consideration during a February 5, 2009 Legislative committee meeting. URS’s legal council, Dan Anderson said, “URS isn’t making any recommendations regarding changes, they are only bringing forth information as a place to begin discussions for making adjustments to the system, if desired by the committee.” Some of the proposed adjustments are listed below. Please keep in mind that none of these proposals are final. However, as public employees, we need to be educated on each of the alternatives so we can make a difference in the process.

UPEA has been very busy this summer working on the retirement issues. The UPEA task force is discussing all options and will use the information they have gathered to educate legislators regarding public employee retirement issues. In addition, the Legislative Retirement and Independent Entities committee will be meeting to discuss retirement issues next month. At this meeting, they are scheduled to discuss the options related to retirement issues. Once this meeting takes place UPEA will send out a broadcast email relaying the information that was discussed. The options that have been talked about as possibilities include:

Suspend/Lower Post Retired (“Double Dippers”) contribution to 401(k). Utah currently has a very generous post-retirement (“double dipping”) benefit policy. There is political momentum to change the benefit for the employees that “double dip” to save money. The concern is whether or not any changes can be legally made to the current employees using the post-retirement benefits.
Extend final Average Salary Period (i.e. from 3 years to 5 years). This proposal would allow the average of the highest 5 years to be used in calculating your retirement benefit.
Make COLAs Discretionary/ Delay COLA. COLA’s on retirement disbursements could potentially be deferred until a specific anniversary date of retirement (i.e. 3 years after retiring) or until a retiree reaches a certain age (i.e. 65).
Increase the vesting period. Vesting periods for new employees could potentially increase (i.e. from 4 years to 6 years).
Put a minimum age condition on the 30 year benefit. One of the suggestions is to change the minimum age that an employee can retire without penalty (55,57,60,etc…). The question is how would this apply to current employees? Would they be grandfathered?
Partial benefit payments until certain age. This proposal would allow for an employee to receive partial retirement benefits until they reach a certain age (phased retirement). Reduce the multiplier. Reducing the retirement multiplier (number of years x 2% x average salary) from 2% to 1.9%. The question is whether current employees would be grandfathered.
Increase 20 year public safety and firefighter requirement to 25 years. Would current employees be grandfathered?
Put a minimum age condition on the 20 year public safety and firefighter benefit (48, 50 , 52, etc…). One of the suggestions is to change the minimum age that an employee can retire without penalty (48, 50, 52,etc…). Would current employees be grandfathered?Change to the contributory system. Employees are currently on the non-contributory system. Such a move would allow employees to participate in funding their retirement benefit. Such a move would shift some of the risk to the individual.
Create a hybrid contributory/non-contributory system. This would allow the system to potentially have the employee participate in funding their retirement benefit, while still having part of their benefit be made up of the non-contributory system.
Make the retirement benefit optional – employees can choose how they would like to participate at the time of hire.
Turn the defined benefit system (pension) into a defined contribution (401 (k)) system.
Basing your retirement eligibility by age + years of service. This proposal would say that you would need to follow the rule of 85 (or 90, 95, etc…). This would mean that you would need to have 30 years of service if you were to retire at the age of 55 (age + years of service = 85).

Again, let me emphasize that nothing has been made final. However, UPEA is actively lobbying to protect your retirement. (Source: The Utah Public Employee. UPEA Newsletter. August 2009)

Salt Lake County Specific Issues
Over the course of the past couple of months, one thing has really resonated regarding employee issues in the county. The budget. As noted in previous emails, UPEA met with Mayor Corroon to discuss his proposed changes to the budget for 2009 and 2010. Mayor Corroon indicated that he was going to pull the !% salary cut off of the table for 2009. We are very concerned about the 2010 budget. All indications are pointing to a possible 7.5% total budget cut in 2010, which is fairly significant. UPEA is dedicated to keeping employees in their jobs, as well as protecting benefits and compensation.

In addition, the UPEA Salt Lake Valley Local Government District is beginning to put together a list of legislative priorities for the year. If you have any suggestions of what UPEA should pursue this year, please let me know.

Upcoming Events:
I will be in the following locations as indicated. If you have any questions, or would like me to come to your office to discuss items of concern with you and your co-workers, please don’t hesitate to contact me.
8/11 - Transfer Station Q&A, 12:00-2:00
8/13 – Public Employee Appreciation Day – Salt Lake County Government Center – 11:30-1:30 (There will be hot dogs, chips, drinks, and prizes!)
8/18 – Salt Lake County Jail Q&A, 1:00-3:00
8/19 – Environmental Health, Ice Cream Social, 1:00-2:30
8/20 – Public Employee Appreciation Day – Salt Lake County Public Works – 6:00 am – 8:00 am (Breakfast and prizes!)
8/24 - Salt Lake Public Health Clinic Q&A - Room 200 - 11:30 - 1:30
8/26 – District Meeting Youth Services Administration, Main Conference Room- 12:00 - 1:00
8/27 – Public Employee Appreciation Day – Salt Lake County Jail – 1:00-3:00 (There will be hot dogs, chips, drinks, and prizes!)
Again, if you have any questions, comments, suggestions, etc…, please don’t hesitate to contact me. My door is open. In addition, if you would like me to come to your location and attend a staff meeting, hold a Q&A, please call or email me.

Thanks for all you do!

Employee Appreciation!

2009-07-27T10:47:00.000-07:00

I just wanted to announce that the UPEA Salt Lake Valley Local Government District will be holding the following events throughout the next month. Everyone is invited. Come enjoy food, fun, and prizes in appreciation for your hard work! We will also have up to date information available and UPEA staff on hand to answer any questions you may have regarding employee issues.

Ice Cream Socials
July 29th, 2009, 2:45 p.m. - 4:15 p.m., Youth Services Administrative Break Room, 177 W. Price Ave. (3610 S.)
August 19th, 2009, 1:00 p.m. – 2:30 p.m., Environmental Health Conference Room, 788 Woodoak Lane, Murray.

Employee Appreciation Days (Hotdogs)
August 13th, 2009, 11:30 a.m. – 1:30 p.m., Salt Lake County Government Center, 2001 S. State St.
August 20th, 2009, 6:00 a.m. – 8:00 a.m., Salt Lake County Public Works Crew Room, 7125 S. 600 W, Midvale.
August 27th, 2009, 1:00 p.m. – 3:00 p.m., Salt Lake County Jail, 3300 S. 900 W.

We are still working on some other locations, as well. So, if you have any suggestions, or requests, please don’t hesitate to contact Kory Cox at korycox@upea.net.

Item of Concern

2009-07-27T10:42:00.000-07:00

I wanted to address an issue that many UPEA members have brought to my attention. Many of you have been contacted recently by a national union, AFSCME, that is attempting to make some inroads into the county. Some have heard that they are making promises and saying that County employees can have a “strong, new voice for better jobs and a better Salt Lake County.” The reality is that UPEA already has a strong voice and is doing a great job at making Salt Lake County a great place to work. UPEA has been involved at the state level for 50 years, and at the county for over 35 years. As a local organization, we have been instrumental in creating the Utah Retirement System, PEHP, and in gaining support each and every year for merit and COLA increases for Salt Lake County employees. Because of UPEA, employee compensation and benefits are the first thing discussed come budget time. UPEA has, over the course of the past 35 years, been able to meet with County elected officials to discuss working conditions, and negotiate pay and benefits. The bottom line is that we are the most recognized and respected public employee organization in the state of Utah.

UPEA is taking it very seriously that AFSCME is contacting county employees unsolicited, and has met with the Salt Lake County Human Resources Division to bring your concerns forward. Personnel has assured UPEA staff that they are investigating the issue, and have referred the information to the District Attorney’s office for further review. If you are receiving any additional contacts from AFSCME, please let me know, so that we can address your concerns.
As noted in previous emails, you have been able to see that UPEA is out there representing you. We have been busy protecting your compensation and, more recently, working on retirement concerns. I am dedicated to getting the message out that UPEA is committed to truly representing Salt Lake County employees. If you would like me to come visit your office to discuss the latest issues or just simply to explain what UPEA is to your co-workers. I am working very hard to be proactive and get the face of UPEA out there.

Meeting with Sheriff Winder

2009-07-09T10:20:00.000-07:00

UPEA Employee Relations Representative, Kory Cox, met with Sheriff Winder on Tuesday, July 7th. The Sheriff indicated that due to a 50% reduction in Point of Sale tax revenues, there are going to be some difficult days ahead. In the meeting he indicated that the jail is going to have to cut $1.5 million dollars in 2010, if he cannot find other resources to cut. He stated that currently his options are (a.) a hard closure of 2 units at the Adult Detention Center or (b.) closing Oxbow, which would include laying off 22 new employees. In organization 1430, he stated that there most likely would need to be 3-4 layoffs. And, in Protective Services, there would likely need to be 7-9 RIF's. Due to his stance on keeping employees in their jobs, the Sheriff is trying to find other resources to make up the difference so employees do not lose their jobs.

Winder has taken a look at how much in salary cuts he could make to offset the shortfalls. Salary cuts may be too deep to offest the budget gaps (3.5% salary cut). So, Winder is looking at the possiblity of furloughs to make up the difference in budget shortfalls that the Sheriff's Office will be experiencing. 8-10 days of furlough would be enough to cover the shortfall. In effect, this is the same as a salary cut. The Sheriff is supportive of this idea because it is temporary in nature.

The Sheriff indicated that he was glad that UPEA is working to represent employees at the jail. He feels very strongly that the employees need strong representation.

Retirement Articles

2009-07-09T07:51:00.000-07:00

There are many potential changes that may occur to the retirement system this next year. In the Salt Lake Tribune today, there is an article that underscores the likelihood that changes will be made to the Utah Retirement System, due to the beating the fund took over the course of the last year. Please also note that UPEA is at the table and involved in the discussions on the retirement issue.
http://www.sltrib.com/news/ci_12788912

The Daily Herald also discussed the same issue in the article linked below.
http://heraldextra.com/news/local/article_4dc2da14-a5f9-5455-8007-cd9cc4c68335.html

1% COLA Rollback Off the Table

2009-07-08T15:49:00.001-07:00

I wanted to provide an update regarding some good news that UPEA has been working toward. I met with Mayor Corroon this afternoon, and in our meeting he committed to withdrawing his proposal to rollback the 1% COLA for the remainder of 2009. So, depending on the Council, the proposal is currently off of the table for this year.

Although there is good news, we have a battle ahead of us. The Mayor, however, did mention that 2010 does not look very good. So, there is much work to be done. The current Point of Sales tax revenues are down 50% so far this year (from $18 million to $9 million). Mayor Corroon mentioned that they are looking at all avenues in regards to potential budget cuts. One of the options that they are exploring is another early retirement option. The Mayor’s Office mentioned that they are open to ideas and possible opportunities for incentivizing individuals to take advantage of the option. So, if you have any suggestions besides the 75% sick leave buyout, please let me know.

In the meeting UPEA staff talked about looking at opportunities to appreciate and help employees progress through these tough times. We offered the following suggestions to encourage better morale and career development:

1. Hold appreciation days in July and August. UPEA is holding a few appreciation days in July and August to thank the employees for their hard work and dedication to public service in Salt Lake County.
2. Public Employee Salute. UPEA has a recognition program in place to recognize the hard work of public employees that have gone above and beyond the call of duty. The award is given out weekly to an outstanding public employee.
3. Workshops. UPEA has a list of several speakers that can present on Delegate/Political Training, Earthquake Preparedness, Health Insurance (PEHP), Documenting Employment, Preventing Discrimination (UALD), Personal Finance, Wills and Trust, Identity Theft Prevention, Planning for Retirement, Saving Energy, Veteran’s Issues, Vacation Planning, Winter/Summer Weatherization, Collectible, Antique and Currency Appraisals and Presentations, and Gardening.
4. Institution of an informal mentoring program. UPEA has prepared some materials to show how mentoring can be beneficial to public employment. Employees within the county would choose a mentor outside their normal reporting relationship to help them set and accomplish goals, talk about difficult job situations, and accelerate growth and learning.
5. Continuation of the Salt Lake County Annual Longevity Luncheon. UPEA is prepared to recognize the employees that have served the County for 25 years or more.
6. Mini-courses. This would include enhanced training and career pathing to prepare employees for stepping into opportunities when times get better. This can be done with current resources using current trainers. This is important for morale to give employees a sense of accomplishment and a feeling there is hope at the end of the tunnel.

The Mayor was open to these suggestions, and willing to work with us. He committed to meeting with UPEA bi-monthly to discuss concerns that UPEA members may have.

Utah Retirement Systems and Pension Reform

2009-07-07T15:15:00.000-07:00

UPEA was instrumental in the creation of a state employee retirement system in the 1960s. The employee retirement benefit is an asset that attracts, retains and transitions an efficient workforce. Since the 1960s, Utah’s age demographics have changed the workforce in ways that impact the public employee pension system. Throughout the next year there will be much discussion regarding potential changes to employees’ retirement benefits. UPEA has assembled a taskforce to discuss possible legislative action that may affect public employee pensions.

Why change the system?
The legislature are discussing potential changes for the reasons listed below.
1. Cost. There has been discussion regarding the budget problems, and the amount of money the current retirement system costs the state. Can they make the system less costly to the state?
2. Portability. Employees do not have the option to port their retirement benefit (Defined Benefit) upon termination. If an employee is not vested in the retirement system, they lose their benefit.
3. Choice. There are few options that employees have to choose from to invest their retirement and plan for the future.
4. Budgeting. The Defined Benefit contribution rates change periodically and there is no set number for budgeting.
5. Liability. There is risk involved with the state by overseeing their retirement benefit. Does the state reallocate the risk to the employee?

What changes can be made?
“Under the contractual view, state legislatures may reasonably alter the term or modify the retirement system to improve it or keep it on a sound basis prior to retirement for purposes of maintaining the integrity of the system.”
Ellis v. Utah State Retirement Board
757 P. 2d 882, 886 (Utah App. 1988)

Changes for current employees must show that modifications to the pension system must improve or maintain the system’s solvency. UPEA is dedicated to upholding the pension system and protecting the benefits for current employees and retirees.

Possible Changes
Although nothing definite has been proposed, the following is a list of items that may be offered as alternatives to the current retirement system.

· Suspend/Lower the 1.5% contribution to 401(k).
· Suspend/Lower Post Retired (“Double Dippers”) contribution to 401(k).
· Extend final Average Salary Period (i.e. from 3 years to 5 years).
· Make COLAs Discretionary/ Delay COLA.
· Increase the vesting period (i.e. from 4 years to 6 years).
· Put a minimum age condition on the 30 year benefit (55, 57, 60, etc…).
· Partial benefit payments until certain age (phase retirement).
· Reduce the multiplier (2% to 1.9%).
· Increase 20 year public safety and firefighter requirement to 25 years.
· Put a minimum age condition on the 20 year public safety and firefighter benefit (48, 50 , 52, etc…).
· Change to the contributory system. Employees are currently on the non-contributory system.
· Create a hybrid contributory/non-contributory system.
· Make the retirement benefit optional – employees can choose how they would like to participate at the time of hire.Turn the defined benefit system into a defined contribution (401 (k)) system.

Survey Results

2009-07-06T09:17:00.000-07:00

A couple of weeks ago Mayor Corron asked Salt Lake County employees to respond to a survey regarding how the County should proceed in making budget reductions. The Mayor received over 2,500 survey responses and over 1,000 individual comments.

As noted , there were several different ideas and suggestions given to the Mayor. On Tuesday, June 30th, Mayor Corroon proposed several items to the Council, including a 1% COLA rollback that will affect all county employees. UPEA is opposed to cuts in employee compensation or benefits.

If you have any questions, please don't hesitate to contact Kory Cox at (801) 264-8732 ext. 218 or korycox@upea.net.

Council Mid-Year Budget Review 6/30/09

2009-07-01T13:42:00.000-07:00

Yesterday morning (6/30/09), the Salt Lake County Mayor sent out an email to the Salt Lake County employees indicating that some cuts that he was proposing “will require some reductions in compensation and in the services we provide.”

In the County Council meeting yesterday, the Mayor proposed several different items as an alternative to raising taxes in Salt Lake County. Most notably, he proposed a 1% COLA rollback for 2009 and 2010 ($818,000 savings in 2009, and $1,637,000 in 2010). No furlough days were requested by the Mayor. UPEA is in the process of setting up a meeting with the Mayor’s office to clarify the 1% COLA rollback.

In addition, the Mayor suggested that in 2010 the following cuts would take place:
Administrative Services ( 5.3%) –$863,652
Community Services ( 5.7%) –$2,412,211
Human Services (1.4%) –$899,643
Public Works (3.4%) – $363,000
The Mayor also requested that the other elected officials reduce their budgets by 2.5%.

The Mayor, in his proposal, stated that the 2009 budget is balanced and does not need any additional cuts. However, the Council indicated that more of the budget needs to be shaved in 2009 in order to have a sound budget for 2009 and 2010. So, the debate continues. The Council and the Mayor’s office will continue their budget discussions in the Council meetings on 7/14/09 and 7/21/09.