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• •� 0 Item No: 05D Meeting Date November 24, 2025 Type of Business: Consent Agenda City Administrator Review: City of Mounds View Staff Report To: Honorable Mayor and City Council From: Rayla Sue Ewald, Human Resource Director Item Title/Subject: Resolution 10177, Approving a Three -Year Labor Agreement with the Public Works Collective Bargaining Unit Effective January 1, 2026 through December 31, 2028 Introduction: The previous labor agreement with the Public Works Collective Bargaining Unit expires at the end of 2025. The City and the Bargaining Unit conducted a series of negotiation sessions and have come to an agreement on terms for a three-year period beginning January 1, 2026. Discussion: The Agreement provides for the following changes: ARTICLE 21, INSURANCE 21.1 The EMPLOYER will contribute a maximum amount of $1,305 per month in 2026 to each full- time permanent EMPLOYEE for group health, dental, and employee life insurance. The monthly EMPLOYER contribution in 2027 and 2028 shall be based on the percentage change in health insurance premiums as follows: Health Insurance Premium Increase Monthly EMPLOYER Contribution Increase Less than 1 % No change 1% to 5.99% + $15 6% to 10.99% + $30 11 % to 15.99% + $45 Greater than 16% + $60 21.2 As of January 1, 2026, a program known as the Family and Medical Benefit Insurance Program will be available to covered employees as defined under Minnesota Statute Chapter 268B. As provided in Minnesota Statute 26813.14 Subd. 3, covered employees shall pay 50% of the total premium due under this state program. In accordance with Minnesota Statute 268B.14 Subd. 1, payment is calculated on the taxable wages the employer pays to employees in covered employment. ARTICLE 23. CLOTHING Increased clothing allowance from $570 during the term of the agreement to $700. And, added all work apparel must have the City logo embroidered upon it. Embroidery will be paid for by the City. ARTICLE 28. RETIREMENT HEALTH SAVINGS PLAN Employees elected to update their retirement health savings plan (RHS) contributions. This is a mandatory employee contribution program. Employees under the age of 45 will contribute 1 % of their salary to the RHS. Employee 45 and older will contribute 2% to the plan per payroll. ARTICLE 29. WAGES Wages were settled at 4% for 2026, 3% for 2027, and 3% for 2028. ARTICLE 31. DEPARTMENT AND LEAD DESIGNATION Article 31 was removed as this no longer applies since the implementation of the Non -Union Foreman position. Other Changes: • MOU relating to the addition of the General Election Holiday was added to the Contract. • Areas throughout the document were better organized for clarity to current and future staff.