City of Bremerton

And

Bremerton Police Offices Guild

Interest Arbitration

Arbitrator:      Gary L. Axon

Date Issued:   08/03/1998

 

 

Arbitrator:         Axon; Gary L.

Case #:              12924-I-97-00279

Employer:          City of Bremerton

Union:                Bremerton Police Officers Guild

Date Issued:      08/03/1998

 

 

IN THE MATTER OF                                                          )                      

                                                                                                )          

                                                                                                )             

INTEREST ARBITRATION                                               )     PERC CASE 12924-I-97-279                                                                                                                  )

            BETWEEN                                                                 )           ARBITRATOR'S OPINION

                                                                                                )          

BREMERTON POLICE OFFICERS GUILD,                   )           AND AWARD

                                                                        Guild,              )

                                                                                                )           1997-99 AGREEMENT

                                                                                                )

                                                                        and                  )

            THE CITY OF BREMERTON,                               )

            WASHINGTON,                                                       )

                                                                                                )

                                                                        City.                )          

 

 

HEARING SITE:                                                                  City Hall

                                                                                                Bremerton, Washington

 

HEARING DATES:                                                              April 20 and 21, 1998

 

POST-HEARING BRIEFS DUE:                                        Postmarked June 1, 1998

 

RECORD CLOSED ON RECEIPT OF BRIEFS:              June 4, 1998

 

REPRESENTING THE GUILD:                                         James M. Cline

                                                                                                Sydney D. Vinnedge

                                                                                                Cline & Emmal

                                                                                                Attorneys at Law

                                                                                                Suite 250

                                                                                                6800 E Greenlake Way

                                                                                                Seattle, WA 98115

 

REPRESENTING THE CITY:                                             Glenna Malanca

                                                                                                City Attorney

                                                                                                City of Bremerton

                                                                                                239   4th Street

                                                                                                Bremerton, WA 98337

 

INTEREST ARBITRATOR:                                               GaryL. Axon

                                                                                                1465 Pinecrest Terrace

                                                                                                Ashland, OR 97520

                                                                                                (541) 488-1573

 

 

Table of Contents

 

ISSUE                                                                                                 Page

 

Introduction                                                                                        1

Comparability                                                                         7

1 -  Wages                                                                                          18

2 - Salary Advancement                                                                    40

3 - Longevity Pay                                                                               44

4 - Reassignment Non-Probationary Einployees                             48

5 - Health and Welfare Medical Co-Pay                                          49

6 - Non-Uniform Allowance                                                               52

7 - Entire Agreement                                                             55

8 - Deferred Compensation                                                               56

9 - Duration                                                                                        60

10 - Sick Leave Donation                                                                  64

11 - Master Police Officer                                                                

           

 

I.          INTRODUCTION

 

            The parties  are  signatory  to a written Collective

Bargaining Agreement in effect for the period January 1, 1995,

through December 31, 1996.  Guild Ex. 5  In early 1996 the parties

began preparations to negotiate a successor contract.  The parties

held several negotiating sessions- -but were unable to resolve their

differences.  Subsequent mediation sessions failed to resolve the

dispute.

 

            On January 24, 1997, the PERC certified eleven issues for

interest arbitration pursuant to RCW 41.56.450.   The case was

originally set for hearing on November 3, 4, and 5, 1997.  Due to

health problems of the Guild attorney, the Guild requested the

hearing postponed.  The City objected to the postponement of the

hearing.  In a letter to the parties dated October 26, 1997, the

Arbitrator held the Guild had shown good cause to postpone the

hearing.  The November 1997 hearing dates were canceled.

 

            A  significant  amount  of  time  elapsed  after  the

postponement of the November 1997 hearing dates until new hearing

dates could be agree on.  The parties ultimately rescheduled the

hearing for April 20, 21, and 22, 1998.  Following negotiations and

mediation, the parties remained at issue over several key subjects

until the April 1998 hearing dates.

 

            The City of Bremerton is located in Kitsap County,

Washington.  The City is situated along the western shore of the

Central Puget Sound region.   Guild Ex.  2.   Because of its

relatively water-bound situation, Kitsap County depends on the

Washington State Ferry System for direct access to King, Pierce,

and Snohomish counties.  Highway passage to the eastern side of the

Puget Sound area is by driving to the south and across the narrows

at Tacoma, Washington.

 

            The population of Bremerton is approximately 38,600.

Kitsap County had an estimated population in 1995 of 220,600,

ranking it the 6th largest of Washington's  39 counties. The county

population increased from 189,731 in 1990 to 220,600 in 1995.  The

Puget Sound Navel Shipyard and related naval operations play a

significant role in the economic health cf the area.  Guild Ex.

106.     Community leaders are seeking to expand Bremerton's economic

base beyond the strong government related business and employment

opportunities which exist in the Bremerton area.

 

            The Bremerton Police Department is managed by Chief Paul

L. DuFresne.  The Guild represents 63 sworn officers in the rank of

sergeant or below.  The parties most recent contract covered a two-

year period and expired on December 31, 1996.

 

            At the commencement of the arbitration hearing, the

opening statements of the parties revealed a deep division on the

issue of comparability.  In addition, the parties also disagreed

over the methodology and means by which to compare the wages and

benefits of Bremerton police officers with their counterparts in

other cities.  A significant amount of hearing time was devoted to

the statutory factor of comparability. The Arbitrator directed the

parties to address this issue at the beginning of their post-2

hearing briefs.   The Arbitrator advised the parties he would

address the comparability issue at the commencement of the Award.

 

            This case is an interest arbitration conducted pursuant

to the Public Employees Collective Bargaining Act.  The parties to

this dispute are the Bremerton Police Officers Guild (Guild) and

the City of Bremerton, Washington (City) .  The Guild and the City

are parties to Collective Bargaining Agreements dating back to the

1970s.  The parties went to interest arbitration in 1979   The

interest arbitrator issued an award dated August 14, 1979.  Guild

Ex. 3.

 

            Bargaining between the parties produced agreement on

several  issues.    However,  the parties were unsuccessful  in

resolving all of  the  issues  that divided them in contract

negotiations.   Eleven fundamental issues were presented by the

parties for interest arbitration.  To the credit of the parties,

they were able to reach agreement on four of the impasse issues

during the course of the April 1998 arbitration hearing.

 

            The hearing in this case took two days for each side to

present their evidence and testimony.   Because there were few

stipulations by the parties, it was necessary for the Guild and the

City to present detailed evidence on the issues for the purpose of

establishing the terms of the successor Agreement to the 1995-96

contract.   The majority of the hearing time was consumed with

different  attempts  by  the  parties  to  make  comparisons  of

compensation among the comparator jurisdictions

 

            The hearing was tape-recorded by the Arbitrator as an

extension of his personal note taking.  Testimony of the witnesses

was received under oath. At the hearing the parties were given the

full opportunity to present written evidence, oral testimony, and

argument. Both the Guild and the City provided the Arbitrator with

substantial written documentation in support of their respective

cases.

 

            The parties also submitted comprehensive and lengthy

post-hearing briefs in support of their respective positions taken

at arbitration.  The approach of this Arbitrator in writing the

Award will be to summarize the major and most persuasive evidence

and argument presented by the parties on each of the issues. After

the introduction of the issue and positions of the parties, I will

state the basic findings and rationale which caused the Arbitrator

to make the award on the individual issues. A considerable portion

of the evidence and argument related to more than one of the issues

and will not be duplicated in its entirety in the discussion of the

separate issues.

 

            This Arbitrator carefully reviewed and evaluated all of

the evidence and argument submitted pursuant to the criteria

established by RCW 41.56.465.  Since the record in this case is so

comprehensive, it would be impractical for the Arbitrator in the

discussion and Award to restate and refer to each and every piece

of evidence and testimony presented.  However, when formulating

this Award the Arbitrator did give careful consideration to all of

the evidence and argument placed into the record by the parties.

 

            The statutory criteria are set out in ROW 41.56.465(1):

 

            (1)        In making its determination, the panel

            shall be mindful of the legislative purpose

            enumerated in RCW 41.56.430 and, as additional

            standards or guidelines to aid it in reaching

            a decision, it shall take into consideration

            the following factors:

 

                        (a)        The  constitutional  and  statutory

                        authority of the employer;

 

                        (b)        Stipulations of the parties;

 

                        (c) (i)  For employees listed in RCW

                        41.56.030(7)(a) through (d); comparison

                        of the wages, hours, and conditions of

                        employment of personnel involved in the

                        proceedings with the wages, hours, and

                        conditions   of   employment   of  like

                        personnel of like employers of similar

                        size on the west coast of the United

                        States;

                                    (ii)        For employees listed in RCW

                        41.56.030(7)(e) through (h), comparison

                        of the wages, hours, and conditions of

                        employment of personnel involved in the

                        proceedings with the wages, hours, and

                        conditions   of   employment  of  like

                        personnel of public fire departments of

                        similar size on the west coast of the

                        United States. However, when an adequate

                        number of comparable employers exists

                        within the state of Washington, other

                        west  coast  employers  may  not  be

                        considered;

 

                        (d)        The average consumer prices for

                        goods and services, commonly known as the

                        cost of living;

 

                        (e)        Changes in any of the circumstances

                        under (a) through (d) of this subsection

                        during the pendency of the proceedings;

                        and

 

                        (f)        Such other factors, not confined to

                        the factors under (a) through (e) of this

                        subsection,   that   are  normally  or

                        traditionally taken into consideration in

                        the determination of wages, hours, and

                        conditions of employment.   For those

                        employees listed in RCW 41.56.030(7) (a)

                        who are employed by the governing body of

                        a city or town with a population of less

                        than fifteen thousand, or a county with a

                        population of less than seventy thousand,

                        consideration must  also be  given  to

                        regional  differences  in  the  cost  of

                        living.

 

            Because of the voluminous record in the case, the parties

waived the thirty-day period an arbitrator would normally have to

publish an award under the statute. The parties later accepted the

Arbitrator's need for additional time to prepare the Award due to

a personal situation in the Arbitrator's immediate family which

delayed publication of this Award.

 

 

 

II.        COMPARABILITY

 

 

            A .       Background

 

            The threshold issue to be resolved by the Arbitrator

involves the statutory factor of comparability.   Both parties

offered strong and compelling arguments as to why their respective

list of cities should be the one adopted by the Arbitrator to

utilize in formulating an Award for police wages and working

conditions in Bremerton.  The differences between the parties on

the issue of comparability were further complicated because each

party used a different methodology for selecting the purported

comparable jurisdictions to Bremerton.

 

            The disparity between the parties was demonstrated by the

lack of substantial agreement on cities which should be used as the

comparators. The Guild offered a list of 14 cities drawn from what

it believed to be the Central Puget Sound labor market.  In reply,

the City presented a list of 11 jurisdictions which it asserted had

historically been applied by the parties in developing a fair wage

schedule.    The  City's  list  previously  included  Vancouver,

Washington,  but because of massive annexations of land and

population growth in Vancouver, the city of Vancouver was dropped

from the City's list of comparables.

 

            A review of the 14 comparators presented by the Guild and

11 offered by the City revealed agreement on only 6 jurisdictions

out of the 25 jurisdictions offered by the parties as comparators.

The initial task of your Arbitrator is to formulate a list of

comparable jurisdictions that is consistent with the statutory

mandate enumerated in RCW 41.56.465(1).   The following is the

statement of the positions of the parties and your Arbitrator's

resolution of the comparability issue.

 

 

            B.        The Guild

 

            The Guild takes the position that the Award should be

based on a principled application of the statute rather than a

compromise between each party's position. According to the Guild,

the City has engaged in posturing both through negotiations and in

interest arbitration.   The Arbitrator should reject the City's

implicit invitation to compromise and be rewarded with terms and

conditions they could not otherwise achieve by voluntary agreement.

 

            The Guild's approach towards comparability is more

consistent and more reasonable than the approach taken by the City.

Comparability has long been recognized as the predominant criteria

used in interest arbitration proceedings.   Arbitral authority

instructs that the reliance on comparability data is that such a

comparison allows a "presumptive test to the fairness of a wage."

Because these comparisons carry an aura of fairness, they create an

opportunity to produce a result acceptable to the parties to a

labor dispute.

 

            The Guild asserts its method for selecting comparables is

superior to the method advocated by the City.   The Guild's

arguments with respect to why its comparables should be adopted are

summarized as follows:

 

            1.         The statute specifically mandates that

            comparisons be based on "like personnel of

            like employers of similar size." According to

            the Guild, this requirement has generally been

            interpreted to mean that comparison is made

            between  commissioned  police  officers  of

            similar rank in municipal police departments.

            "The requirement that comparisons be made

            between  employers  of  'similar  size'  has

            usually been interpreted to mean population

            jurisdictions at issue."  Population provides

            a rational basis  to measure comparability

            because  it  is  a  good  indicator  of  the

            complexity of a city and the type of crime

            problems and working conditions an officer

            would face in the jurisdiction.

 

            2.         If  demographic  factors  other  than

            population  are  to  be  used  in  selecting

            comparables, a wide range of factors should be

            used and not just assessed valuation.   It

            makes little sense in Washington State to rely

            heavily on assessed valuation while ignoring

            such measures as sales tax and business and

            occupation tax revenues.   The tax base for

            Washington municipalities is much broader than

            the value  of  land  and  buildings.    The

            Arbitrator should reject the City's invitation

            to  develop  a  list  of  comparables  based

            exclusively  on  population  and  assessed

            evaluation. The demographic data introduced by

            the Guild concerning the various proposed

            comparables  is  available  for  use  as  a

            screening device to limit or fine-tune the

            comparable list.

 

            3.         The comparables should be selected only

            from the relevant Puget Sound labor market.

            Arbitrators  have  a  long  tradition  of

            recognizing  labor  market  and  geographic

            proximity   as   a   factor   in   selecting

            comparables.   Jurisdictions which share a

            defined   labor   market   deserve   special