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As funds fall, Palo Alto cuts managers' benefits
New terms would freeze salaries, eliminate bonuses, require greater medical contributions

by Gennady Sheyner
Palo Alto Weekly Staff

Posted by Wha?, a resident of Another Palo Alto neighborhood, on Nov 19, 2009 at 4:14 pm

Here is the link to the management contract:

Web Link

They have a FAR sweeter deal than SEIU, so of course they didn't object.

Posted by once again, a resident of the Barron Park neighborhood, on Nov 19, 2009 at 4:18 pm

What this article neglected to point out is that the city Management Association contract allows those employees to keep their "Professional Development" hours (80)which they can cash in and buy back their bonus, similar to a vacation cash out. They can keep the $2500 "flex spending" which can be used to compensate any loss due to their contribution to health care. They can keep their $1500 tuition reimbursement and last but certainly not least, their pension remains untouched! So, tell me again where the cuts are?

Posted by anon0, a resident of another community, on Nov 19, 2009 at 4:26 pm

Wow...Management is even keeping their $1500 computer money..I thought it was reduced to $500...I guess not...

SEIU sure got the shaft...no wonder they're so pissed

Posted by observer, a resident of another community, on Nov 19, 2009 at 4:44 pm

It's gotten bad. 20+ SEIU are retiring this week alone. This is because of the deadline for people to lock in their benefits and not be affected by the new contract. People are jumping ship. Morale is at all time low. No cuts to fire, police, or management. SEIU has become the whipping boy.

Posted by cc, a resident of the Southgate neighborhood, on Nov 19, 2009 at 5:32 pm

And what happens when the whipping boy gets tired of it? Take a guess...the stats are everywhere. Buy some life insurance.

Posted by H.Grail, a resident of the Old Palo Alto neighborhood, on Nov 19, 2009 at 5:52 pm

So why do City of Palo Alto employees continue to pay SEIU fees? If you belong to a union that provides no service and won't stand up to Palo Alto management, why not form an employee union that consists of Palo Alto employees and serves Palo Alto employees? SEIU has failed in every aspect of the current negotiations. Yippee, they protested in front of larry klein's law office. I'm sure larry was smiling proudly in his victory of SEIU's non-response of council imposed benefit reductions! What a shame! City of Palo Alto employees, it is time for a change and SEIU is not the answer! The main reason employees are moving on is the lack of union confidence. Stand up to SEIU and tell them no service means no service fees!

Posted by C'est dommage, a resident of Another Palo Alto neighborhood, on Nov 19, 2009 at 6:05 pm

Couldn't Larry Klein do something so that they could keep their bonuses. Council member Klein has never seen a manager who did not deserve a bonus. After all if they do not get bonuses they will go somewhere else and palo alto will lose the high quality of services we get. Giving a bonus for just showing up to work is the palo alto way

Posted by A Noun Ea Mus, a resident of the Professorville neighborhood, on Nov 19, 2009 at 6:43 pm

H. Grail thinks that the city workers should form their own local PA union. ?

This would no doubt make management ecstatic. A local puny union with no clout.

This isn't over. The union has filed a complaint as regards the city not negotiating in good faith. (which their price fixing scheme is in evidence of such).

The union voted on it's response.

I imagine the city was bracing for a potential strike when they (at least temporarily) imposed the conditions.

Why should the unionized workers strike just yet anyway when they may win legally first. Forcing the city back for real negotiations.

Posted by Brian Wilson, a resident of the Midtown neighborhood, on Nov 19, 2009 at 6:50 pm

I agree with H.Grail. What a pity that SEIU so poorly represented city employees. If city employees feel cheated by management, they should feel equally cheated by their representation. SEIU only cares about maintaining the SEIU bottom line,which is SEIU local and national finances. I agree that employees would be better represented by a city employee group who are better able to assure that employee concerns and local issues are addressed and who would be more proficient at handling future negotiations.

Posted by opus, a resident of the College Terrace neighborhood, on Nov 19, 2009 at 7:26 pm

A Noun Ea Mus worries that an employee union would be a "puny local union with no clout" Really? You mean like SEIU who just gave away employee benefits without a fight? Can't wait for the legal battle SEIU plans to front Should take a couple of years to resolve in the courts, meanwhile, employees are left short changed. If SEIU employees are so confident in their union, why are 20+ retiring this week alone? Singing songs and marching in front of city hall doesn't pay the bills. SEIU's time has come and gone, I agree it's time for a change! Just a quick note, most of the benefits SEIU members enjoyed in recent years were negotiated and provided by the first local puny employee union formed by Palo Alto City Employees in the late 60's and early 70's. How unfortunate that recent SEIU union members gave those benefits up so easily.

Posted by DD, a resident of the Ventura neighborhood, on Nov 19, 2009 at 7:30 pm

The Weekly should investigate the many (20+) Double Dippers (recent retirees who return to same jobs at a contractor's higher salary but take their pension with full medical benefits.)

Posted by Liza, a resident of Mountain View, on Nov 19, 2009 at 9:55 pm

This is bigger than the SEIU,. Look at the Pension Reform initiatives that the California Foundaion for Fiscal Responsibility filed on November 5th. Web Link

Posted by Lineman for the City, a resident of another community, on Nov 19, 2009 at 10:14 pm

What's with all the comments about SEIU giving up benefits. How soon you forget. SEIU came up with creative ways to save the City the money they wanted to save. Our ruthless City Council voted to impose the changes after declaring a premature impasse.

Posted by Retired Staffer, a resident of another community, on Nov 20, 2009 at 12:55 am

This deal was to keep the managers from organizing with the Teamsters Union.

Posted by Perplexed, a resident of another community, on Nov 20, 2009 at 8:15 am

Folks, your City of Palo Alto council and city managers (past and present) have been giving BONUSES to management with tax payer money for 30+ YEARS!!

They have also been using the "Final Year Adjustment" for YEARS!!!

Why have the citizens of your community not questioned your Council leadership on these matters?

And now I read your City Council/City Manager are preparing to fight the Federal Government in Court over shenanigans pulled by management staff? Are bonuses bases on the amount of shennagignas pulled? That can only justify the high salaries for the apparent lack of leadership.

Good luck to the worker bees who are taking the hit.

Posted by Bull, a resident of the Esther Clark Park neighborhood, on Nov 20, 2009 at 9:20 am

Quoting ..."The Palo Alto Professional Firefighters Union, meanwhile, has backed off from its prior proposal to trim compensation by $700,000 because of concerns the salary cuts would result in lower pensions for the retiring members of the union."

Yes that's true .... and EXACTLY the way it works EVERYWHERE in the Private Sector when a pension is a function of final pay ....... join the rest of the world ... your not "special" !

Posted by m'ron, a resident of the Adobe-Meadows neighborhood, on Nov 20, 2009 at 10:14 am

"Our ruthless City Council voted to impose the changes after declaring a premature impasse."

Premature? Do you know how long negotiations had been going on? Do you know how many sessions? How long do negotiations have to go on until an impasse declaration is no longer considered "premature".

The union was already organizing strikes *before* the impasses was declared. For all the good it did them...

Posted by Walt, a resident of the College Terrace neighborhood, on Nov 20, 2009 at 11:17 am

There needs to be a sweeping clean up of City Hall management. Don't spare HR, the City Manager's office, or the City Attorney's office. Clear the decks for new leadership. Clean up the mess. Bring in ethical people.

Posted by Wha?, a resident of Another Palo Alto neighborhood, on Nov 20, 2009 at 12:46 pm

Why so many managers in Palo Alto vs. other cities? Why don't the highest paid in the city have a percentage of thier checks going to balance the city budget long term? Let's keep asking questions!

Posted by Truth of the matter, a resident of the Barron Park neighborhood, on Nov 20, 2009 at 1:20 pm

The reason the City Council gave Management Association their sweet deal was because Managers threatened to unionize with the Teamsters. The City Council approved consent agenda item (not well publicized) provided for: no additional cost to healthcare: their $2,500 flex spending for healthcare benefit can compensate for payment, no loss of retirement credited VMC bonus (can buy bonus VMC with benefit of 80 Professional Development Hours), no loss to wage for pension, and essentially no loss to wage or $1,500. tuition monies.

SEIU on the other hand ...had city council members Burt, Klein and Morton that SEIU had shown no movement in negotiations or no significant movwement...Mayor Drekemeirer then replied in Council Meeting on Oct. 24 at the time of the vote that (re: Morton, Burt, Klein comments)... "that is not entirely true". The ocuncil then votede 7 - 1 to impose terms on SEIU.

As Lawyer Alan Davis stated to council that evening "this is unfair labor practice and that "not all means have been exhausted".

The current city council's heavy handedness and lack of procedure to actually negotiate a contract is equally troubling... by the fact that seated council members retiring who voted for SEIU and even management payments into healthcare, will they themselves, recieve healthcare for "lifetime" and yet said nothing about this to the public.

The lack of openess by council regarding their own benefits is even more perplexing in the face of the current national healthcare issues.

Posted by sorry to see things go, a resident of Another Palo Alto neighborhood, on Nov 20, 2009 at 2:46 pm

Many services are being cut without notification or choice to the community...here is another example as to where the city officials are cutting our chances of involvement....They are threatening to cut the crime prevention position...

My last day with the Palo Alto Police Department is Friday, November 20, 2009. I will be retiring after 24 years of service. It was a very bittersweet decision, one that had to be made in a very short time. It comes with sadness, but also a tremendous amount of joy and fulfillment in being able to do the work I loved so much.

It has been my privilege and an honor to know and work with you through the different community outreach programs. I will miss being behind in the driver seat of the many valuable programs. Through the various programs, I was able to make so many friends that will be remembered with fond memories.

With my departure, I am inclined to tell you what I know about the proposed cuts. The City Manager’s Proposed Budget FY 2010 & 2011, “Second Tier” cuts for the Police Department lists the Traffic Team, School Resource Officer, Crime Analyst and Community Outreach.

My position is identified to be eliminated to relieve budget issues. I have listed the various programs and services that many of you have come to count on, that will be impacted by being cut from the budget. In essence, these may not continue. Programs under the guidance of the Community Outreach position:

· Citizens Police Academy program (Level 1 – Basic and Level 2 – Advanced)

· Neighborhood Watch program – Educational Crime Prevention presentations

· Bicycle Licensing program – offer free bicycle licenses at schools, Fire Stations and events

· Community Outreach Requests & Events for the PD – requests for police and staff to: visit preschools & classrooms, attend special events, block parties, coordinate community meetings, perform demonstrations, give safety presentations, staff informational booths at events, license bikes, coordinate police station tours, etc.

· HEADS UP Newsletter – a quarterly informational newsletter posted online and distributed by e-mail.

· E-Mail Distribution List – maintenance of the List to send out police related bulletins, press releases, announcements, community meetings, etc.

· National Night Out – the citywide block party annual awareness event, to involve City of Palo Alto staff and neighborhood groups.

· Community Liaison – assist community members with resources, such as the Palo Alto Mediation Services.

There are no plans to fill my position in the interim. It is not known what will happen as the City Council Members and Finance Committees meet to discuss the budget cuts from each department, scheduled for December 1, 2009. It is my understanding that it is not the decision of the police department to cut or finalize the future of these programs, but that of City Council. It is recommended to forward your comments to the City Council Members.

If you wish to make a request for any one of the above services, I recommend that you direct them by email to: PD@cityofpaloalto.org and it will be reviewed. At this time, I’ve been asked to tell you that all programs are on hold, indefinitely.

In any event, please know that it has been an honor to work with all of you in the various programs that have become integral to your community.

Posted by city worker, a resident of Mountain View, on Nov 20, 2009 at 6:42 pm

And I'll tell you what else is happening as a way for the city to save monney in the long-run. Some professional employees are being told that because of labor shortages that they will be doing the work of paraprofessonals. This will result in declassification. Who will run the place?

Posted by Sonny, a resident of the College Terrace neighborhood, on Nov 20, 2009 at 6:48 pm

City Worker,

They'll most likely do a better job! Let them get down to the nuts and bolts of running a city rather than dictating orders.

Posted by City worker, a resident of Mountain View, on Nov 20, 2009 at 7:17 pm

Sonny

Sorry, it's not about management. It's about having professionals doing clerical work and being down-graded. In a union environment there are questions.

Posted by Who cares?, a resident of the Green Acres neighborhood, on Nov 21, 2009 at 12:18 am

The current city council has not anticipated the repercussions to the city utility departments of the cuts to employee benefits and the resulting enmass retirements of older experienced employees...Or have they? Does the current city council care about public safety?

Larry Klein says that he does not anticipate the coming negotiations will "be drastically different"...Does this mean the continued heavy handed declaration of "imposed terms"?

AND the resulting lack of consideration to public safety; and a blind eye to staffing and funding needed meeting regulatory requirements and staffing for our public utilities?

What is the goal? Driving employees to their knees so they can contract out? Is that Larry's goal? How about it Pat? it is one thing to have a plan...it is another to have arbitrary retirements (age discrimination for those over 50) across the board with out thought to city needs.

Currenty Palo Alto Utilities do not meet utility water, or wastewater regulatory requirements...does the city council and the media intend to again blame "workers"? How about it Jay and Dave?

When will you tell the truth?

Posted by Sonny, a resident of the College Terrace neighborhood, on Nov 21, 2009 at 12:06 pm

Who Cares?

The City Utility department may not meet regulations in water and wastewater, but how about gas requirements by the DOT? I think that's far more serious. After the exodus of the seasoned professionals it will only get worse. I fear we do not have qualified personnel to perform their appropriate duties. Wait until the gas department test scandal comes to light. I think we're in for a long, bumpy ride.

Posted by Lineman for the City, a resident of another community, on Nov 21, 2009 at 1:48 pm

Sonny

"They'll most likely do a better job! Let them get down to the nuts and bolts of running a city rather than dictating orders"

The court order that I was served as an essential worker stated my supervisor, manager, nor assistant director could do my job. They were all linemen at one time. They made these statements under the penalty of perjury.

Posted by Retired Staffer, a resident of another community, on Nov 21, 2009 at 3:48 pm

IMHO, Palo Alto needs a great big fat strike.

Posted by Sonny, a resident of the College Terrace neighborhood, on Nov 21, 2009 at 4:31 pm

Lineman,

I'm unsure about your comment. Do you mean that management employees are forbidden to do your job? I thought that was the reason management personnel were classified as management. They could not strike and were used to fill in for the striking workers. Am I missing something?

Posted by Enough, a resident of the Downtown North neighborhood, on Nov 21, 2009 at 4:55 pm

[Post removed by Palo Alto Online staff.]

Posted by Lineman for the City, a resident of another community, on Nov 21, 2009 at 10:24 pm

Sonny,

In the event of a strike management would have to take over for the striking workers. Management in my department wrote declarations stating they don't have the physical ability to still do the work. Some don't even have licenses to drive the trucks out of the yard.

Posted by Walt, a resident of the College Terrace neighborhood, on Nov 22, 2009 at 1:57 pm

Sonny,

"Wait until the gas department test scandal comes to light."

When will the scandals at City Hall ever end?

Posted by Jon, a resident of another community, on Nov 23, 2009 at 9:31 am

After 40 years in the workforce, and 10 years of working for Palo Alto, I can say that I have never in my life seen such a dysfunctional organization as the management structure of Palo Alto.

And the sad part is, it's self perpetuating.

In the past, the City treated their employees as assets, now we are

treated as liabilities. This is a sad state of affairs for all

employees. I saw this change start in the previous contract negotiations several years ago. Now it has become much more pronounced. Almost like a feeling of hatred from the management

in the ivory tower at City Hall. Employees of all organizations

should be treated with dignity and respect. This does not happen

in Palo Alto.

I will be very glad to leave this organization.

Posted by Retired Staffer, a resident of another community, on Nov 23, 2009 at 12:22 pm

Walt--

The scandals will not end until managers are hired or promoted for their ability to manage rather than their ability to engage in union bating.

Posted by Wha?, a resident of Another Palo Alto neighborhood, on Nov 23, 2009 at 1:00 pm

Jon,

I agree with you. Other cities treat their employees with more respect, and I am not referring to just City managment, but also citizens.

Palo Alto, this is your city. If you don't like it, change it. It is a reflection of YOU! In the past, citizens valued their city and the employees, making this a premiere place to work. You attracted talented people. Now, many are hostle towards their own workers. Like "12% and rising". So sad. You get what you ask for, citizens. You want less, you are going to get it.

Another employee who will leave once qualified for retirement.

Posted by Bob, a resident of the Barron Park neighborhood, on Nov 23, 2009 at 1:05 pm

> “Services Being Cut”

> Citizens Police Academy program (Level 1 – Basic and Level 2 –

> Advanced)While this might be “nice”, how does it reduce crime?

> How many crimes have been proven to be thwarted by providing

> this “service”?•

> Neighborhood Watch program – Educational Crime Prevention

> presentations Programs like this need not have a $150K

> (with 90% pension) employee coordinating.

> Bicycle Licensing program – offer free bicycle

> licenses at schools, Fire Stations and events

There is no reason that this sort of thing can’t be run thru a web-page for sign up. If a physical plate is needed, it could be mailed, or picked up from the local fire station, or City Hall.

>Community Outreach Requests & Events for the PD – requests for

> police and staff to: visit preschools & classrooms, attend

> special events, block parties,

> coordinate community meetings, perform demonstrations,

> give safety presentations,

> staff informational booths at events, license bikes,

> coordinate police station tours, etc.

It is difficult to see that any of these activities actually make us safer. It almost seems like the police have become some how ensconced in the local party scene.

> HEADS UP Newsletter – a quarterly informational newsletter

> posted online and distributed by e-mail.

And this publication accomplishes what?

> E-Mail Distribution List – maintenance of the List to send out

> police related bulletins, press releases, announcements,

> community meetings, etc.

A web-page is all that is needed for auto-maintenance of this list.

> National Night Out – the citywide block party annual

> awareness event, to involve

> City of Palo Alto staff and neighborhood groups.

And this actually reduces crime? How come there are no stats published yearly by the City to make this claim?

> Community Liaison – assist community members with resources,

> such as the

> Palo Alto Mediation Services

And the taxpayers need to pay $150K a year (base salary and overtime) to help people living in $1M-$2M homes “obtain services?” While there may be some need for a better “information finder” capability on the City’s web-site .. paying cops the outlandish salaries that they make these days to play “social worker” to people to lazy to use Google is beyond sustainable.

It is well past time for these “services” to go away.

Posted by 12% and rising, a resident of the Community Center neighborhood, on Nov 23, 2009 at 1:55 pm

Wha?, Hostile? Nah! Just call it as I see it. If employees feel that way, they only have themselves to blame. After all, they are just "another employee who will leave once qualified for retirement."

Posted by Jon, a resident of another community, on Nov 23, 2009 at 9:18 pm

In response to 12%and rising,

In 90 days I will make like a baby and head out.

But I will stay in touch.

Posted by 12% and rising,, a resident of the Community Center neighborhood, on Nov 24, 2009 at 7:46 am

Jon, congratulations and enjoy your retirement.

Posted by Sonny, a resident of the College Terrace neighborhood, on Nov 24, 2009 at 2:59 pm

Jon,

Don't you have to head out before January to reap the best retirement benefits?