Chico >> Ann Willmann, general manager for the Chico Area Recreation and Park District, noted good budget news following the conclusion of union negotiations.
Contract negotiations were concluded with different collective bargaining and employee groups, she noted during Thursday board meeting.
According to a staff report, each employee group with receive an annual cost of living increase of 3.5 percent each fiscal year beginning July 1, 2017 and ending July 2019.
Also, employees will be contributing more for their PERS coverage, ranging from a low of 2.5 percent per year to a high of 8 percent until 2020, depending on their collective bargaining unit.
Willmann noted that $1.7 million has been set aside by CARD to cover unfunded PERS liability, the exact amount of which changes.
On Friday, Willmann noted in an email, “The COLA increase is costing the district an extra $63,582.00 in this fiscal year.
“The increase in the percentage the employees are paying for PERS is saving the district $33,256.34 in this fiscal year.”
In addition, the negotiating units also agreed to reduce the salary schedule from the current 10-step configuration to a six-step schedule, which should be reached by July 2020.
Get ready for a tax increase…CARD will do everything they can to con the voters into passing an “assessment” or bond…either way it’s a tax increase.
It’s complete insanity that they are handing out raises when they have a huge unfunded pension liability. And the raises will make that liability worse as increases in salary increase the pension liabilities. And then CARD wants to go on a spending spree and build more facilities when it can’t even afford to maintain what it has. This is total insanity. On what planet do these people live?
There should be a freeze on raises and they should make these people contribute much more to their pensions.
I think CARD should follow the lead of other small agencies and opt out of CalPERS.