Golden Gate Bridge, Highway & Transportation District’s

LAST BEST AND FINAL OFFER

September 22, 2019

The District's last, best and final proposal to the Union is as follows:

I. Wages and Term

1. Term: date of ratification to August 31, 2021.

2. Wages:

Date of ratification: 6% increase (from $28.80 per hour to $30.55 per hour)

September 1, 2020: 3% increase ($31.47 per hour)

II. Pension

1. The District will increase its annual contribution to the ATU pension plan by an
additional 6.5% of wages (for a total contribution of 28.015% of wages per year).
This amounts to an additional one million six hundred thousand dollars
($1,600,000) (approximately) each year based on current payroll. There will be
no increase to the bus operators' contributions, unless required by law.

2. Section 36.4 and corresponding LOU (2% deferral to Health and Welfare trust)
will be eliminated. The deferral will not be returned to bus operator wages;
rather, it will offset the cost of the District's increased pension contribution.

3. Modify Section 36.2 as follows;

The District will contribute an amount equal to 15.165%of each full time
bus operator's gross earnings to the Pension Trust. Of this amount, the
District will deposit the amount of $160,000 into the Health and Welfare
Trust annually to defray the cost of retiree medical benefits. The deferral
of $160,000 to the Health and Welfare Trust will only occur in years when
the Trust does not have sufficient funds under the rules of the Trust to
make the payments required in Section 2(A) of the Health and Welfare
Trust Modifying Amendment. Cash payouts for casual vacation days and
floaters and payouts of cash incentives from the Attendance Recognition
Program shall not be considered gross earnings for purposes of pension
contribution.

Modify Health and Welfare Trust documents accordingly.

4. To help the pension plan become financially solvent, the awarding of service
credit to employees who are not working (and thus not making pension
contributions) needs to be curtailed. Thus, the District and the ATU agree to
recommend to the ATU Pension Board the following changes:

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 a. An employee who is in District unpaid status for more than five (5) days,
whether consecutive or not, will not earn pension credit after the fifth day;
AND

b. An employee who is not in District paid status for thirty (30) single days in
a calendar year will not earn one quarter (1/4) of a year of pension credit.
Each successive thirty (30) single days in District unpaid status will mean
another one quarter (1/4) of a year of pension credit will not be earned.

The Pension Board must agree to implement these changes by July 31,
2020. If fails to do so, the District's additional 6.5% contribution to the
pension plan will cease.

III. Attendance

1. Article 43, Section 1.E. "Pattern of Absence" will be eliminated.

2. Educational Program: The District and the Union will work together to create a
program to educate the Bus Operators on the importance of having a workforce
that understands all of the elements of and effects involved in excessive
absenteeism in the workplace.

3. Modify occurrence program as follows:

Occurrences do not roll off when an employee is absent for five or more days.
The employee will return to work after the absence with the same number of
occurrences as prior to the absence. The dates occurrences are scheduled to
roll off will be extended by the number of days of the absence.

A B
District Proposal for:
OCCURRENCE
Current Unexcused Absences, No Shows &
#
sick/injury absences
Freebie Nothing Eliminate
Freebie Nothing Eliminate
1 Nothing No Change
2 Nothing No Change
3 Nothing No Change
No Change + provide educational
Verbal (in
4 material on importance of coming to
writing)
work.
Written Reprimand.
5 Nothing
In-person Counseling: Union + District
(“Serious” meeting)
Written
6 3-Day Suspension
Reprimand
7 Nothing 5-Day Suspension
8 Up to 5-day 30-Day Suspension
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 A B
District Proposal for:
OCCURRENCE
Current Unexcused Absences, No Shows &
#
sick/injury absences
suspension
9 Nothing Discharge
10 Discharge Eliminate
30-day
2nd 8th Eliminate
suspension
3rd 8th Discharge Eliminate

4. Medical Certification as evidence in support of request for medical leave:

Before a Medical Leave of Absence is granted, employees must provide a written

doctor's note from the treating medical provider stating that the employee
has a serious medical condition within the meaning of the Family Medical Leave
Act/California Family Rights Act, with sufficient information as to the employee’s
functional limitations and providing the probable duration of the medical
condition. The District will review the request to determine whether the employee
can be accommodated on the job or if a MLOA is most reasonable. MLOA will
be provided as allowed as long as the employee submits an updated written
doctor’s note every 30 days. The District may request a Fitness for Duty upon
release to return to work.

Alternatively, an employee may apply for FMLA/CFRA according to District

policy. MLOA runs concurrently with unpaid FMLA/CFRA.

5. Modify Article 17.5 as follows:

. . . During such medical leaves of absence the District shall only be obligated to
maintain the employees' health and welfare benefits for a period of nine (9)
months. An employee who is on sick leave or disability leave and returns to work
for a period of less than forty-five (45) one hundred and fifty (150) calendar days
and then goes back on sick leave or disability leave shall be considered as not
having broken the leave period from which he or she presently returned.

6. When calling in to notify the District that they will not report to work, employees
must give at least 45 minutes notice prior to the scheduled report time for a run.
If the employee fails to give proper notice, the absence will be considered a no-
call/no-show.

7. Modify Article 43.2.E as follows: All operators with perfect attendance for the full
calendar year will be eligible for an additional incentive drawing of a $600 cash
award. Only one such cash amount will be awarded for the full year receive a
$600 cash award.

IV. Active Medical

1. New Employees
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 New employees hired after ratification will be required to enroll in a high
deductible (bronze) Kaiser plan for the first two open enrollment periods of their
employment.

2. Current Employees

Employees pay the following monthly premium shares:

Plan Current Ratification 9-1-20

Traditional Plan

Blue Shield PPO 150 200 225

Blue Shield HMO 125 150 165

Kaiser HMO 60 70 75

Bronze Plan

Bronze Plan PPO 110 140 160

Bronze Plan HMO 50 70 80

Kaiser HMO 10 15 15

V. Retiree Medical

1. Eligibility for retiree medical is determined as follows:

Minimum Age of 55 years plus Years of Service which total a number of points
equal to;

For CURRENT EMPLOYEES

75 points, retiree receives health benefits at same benefit levels

as active employees.

70-74 points, retiree pays 20% of COBRA cost base of health benefits
plus same benefits levels as active employees;

Less than 70 points, retiree does not receive any retiree health benefits
paid in whole or in part by the District.

PLUS: Employees will be eligible for family medical benefits when they
achieve 15 years of service instead of 20 years of service (the current
requirement).

FOR NEW EMPLOYEES (HIRED AFTER RATIFICATION)

80 points or higher, retiree receives health benefits at same benefits levels

as active employees;
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 75-79 points, retiree pays 20% of COBRA cost base of health benefits
plus same benefits levels as active employees;

70-74 points, retiree pays 30% of COBRA cost base of health benefits
plus same benefits levels as active employees;

Less than 70 points, retiree does not receive any retiree health benefits
paid in whole or in part by the District.

PLUS: Employees will be eligible for family medical benefits when they
achieve 15 years of service instead of 20 years of service (the current
requirement).

EXPLANATION OF FORMULA
Employee Age + Years of Service = Total Points

Example: An employee is 57 years old and retires with 18 years of District

service.
57 + 18 = 75 total points
(Current employee would have to pay no extra cost for early
retiree medical benefits PLUS employee is eligible to receive
family medical benefits)

Example: An employee is 55 years old and has 16 years of District service.

55 + 16 = 71 total points
(Current employee would have to pay 20% of COBRA cost base
for early retiree medical benefits PLUS employee is eligible to
receive family medical benefits)

2. Retirees and their spouses covered by the District’s health plans and who are not
yet eligible for Medicare are required to make a monthly contribution to the
District until they become Medicare eligible. The contribution rate is equivalent to
the Medicare Part B Premium rate established by the Social Security
Administration and may be subject to change annually. Once the retiree
becomes Medicare-eligible, the retiree will make the current monthly payment to
Medicare instead of the District.

If a retiree chooses to enroll in one (1) of the three (3) Bronze Plan options
in retirement, this monthly contribution to the District is waived.

3. Beginning January 1, 2020, the use of retiree HRA funds for non-health care and
non-prescription items (i.e other Section 213(d) allowable items such as Part B
premiums, dental, vision, etc.) is prohibited.

VI. Miscellaneous

1. Article 7.2: Discipline Increase the time the District has to issue a notice of
intent from fifteen (15) calendar to fifteen (15) business days.
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2. Article 64. Probation: The probationary period begins on the first day of
scheduled work following graduation from the new bus operator training
program instead of the hire date.

3. The ATU must revoke its notice to discontinue the workers' compensation
alternative dispute resolution procedure.

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