Memo Re: Collective Bargaining With The Department of Water & Power

December 18, 2024

Abigail Peterson

To: City Manager, City Attorney, Police Chief, Fire Chief


Introduction:

I am writing this memo to prepare the City Council for negotiations with our Department of Water and Power (DWP) union representatives. I will be making suggestions for the Collective Bargaining Agreement (CBA) that will support the dedicated employees of the DWP in their integral role in providing healthy drinking water to over 20,000 community members. First, I will contextualize our discussions within a historical framework. Then, I will acknowledge present challenges, review best practices, and propose recommendations for a collaborative negotiation.

Historical Background:

The American Federation of State, County & Municipal Employees (AFSCME) has roots dating back to the 1930’s, with Colorado represented by Chapter 18. (AFSCME, n.d.) The Utility Workers Union of America (UWUA) was chartered in 1945, and Colorado is represented by District 5. Colorado has a long history of pro-union legislation, starting in 1943 with the Labor Peace Act, which prohibited any interference with unionization. (Colorado Department of Labor and Employment, 2024a) Under the Colorado Partnership for Quality Jobs and Services Act, the Division of Labor and Statistics within the Colorado Department of Labor and Employment (CDLE) has the authority to investigate and litigate labor violations. (Esga, Arnd, Becker, Benavidez, Bird, et al., 2020) A recent law named Collective Bargaining by County Employees (COBCA) allows public works employees the right to negotiate CBAs. However, many counties do not meet the population criteria, meaning “only 38 of Colora-do’s 64 counties will be allowed to form a union if they choose.” (Heres & Lee, 2022) With 20,000 residents, our city does surpass the 7,000 minimum; thus, it is important we familiarize ourselves with COBCA and anticipate our DWP workers will organize.

Present Challenges:

Balancing union demands with fiscal responsibility presents a significant challenge. Some argue that “public sector unions have greatly distorted state spending priorities and made it more difficult for states to devise innovative public goods that would benefit their citizenry as [a] whole.” (Mcginnis & Schanzenbach, 2010) Investing in higher wages means divesting from other priorities and redirecting limited resources away from our infrastructure and improvement projects.

Another reality that must be addressed is the long, sometimes frustrating, initial agreement timeline. The US Department of Labor reports that only 36% of new unions reach their first contract within one year, 58% within two years, and 66% within three years.(2023) There is also the potential of reaching an impasse, where negotiations stall due to conflict over the terms of the agreement.

Review of Best Practices:

The National Labor Relations Board (NLRB) details a long list of prohibited practices: do not “engage in bad-faith, surface, or piecemeal bargaining… refuse to furnish information the union requests,… [or] modify any term of a collective-bargaining agreement without the union’s consent.” (n.d.) Heres and Lee describe the responsibilities of the county organization, including requiring union representation during disciplinary investigations. (2022) The CDLE published Interpretive Notice & Formal Opinion (“INFO”) #5B detailing the regulations regarding displaying CDLE posters describing labor rights. (CDLE, 2024d)

Additionally, county organizations are required to include arbitration in the terms of their CBA. Should the negotiations reach an impasse, there are two options. The first is mediation, where both parties agree to a mediator or utilize the Federal Mediation and Conciliation Service and split the cost. If mediation fails, a party may request a fact-finder who will recommend a solution. (CDLE, 2024b)

Recommendations:

Our workers are also our community members, meaning they are both personally and professionally invested in their work, we should invest in them. I recommend the following priorities for inclusion in the collective bargaining agreement:

Promote a culture of collaboration and deliberation in decision-making processes, ensuring workers’ insights and perspectives are integrated into strategic planning and policy development. By inviting workers to participate in executive decision-making, the organization benefits from their buy-in and commitment. Given potential budgetary limitations, it’s essential to be strategic about allocating resources to balance the needs of the DWP employees with the city’s fiscal responsibilities. I recommend solutions such as outcome-based incentives or non-monetary benefits to supplement compensation while ensuring infrastructure projects are adequately funded.

Prioritize regular meetings and updates to ensure that all parties are informed about the progress and challenges of the negotiation process. This consistency will help build trust and understanding, ultimately facilitating smoother negotiations. Although it is required by law, displaying worker’s rights is good practice to promote transparency.

Conclusion:

In conclusion, I urge the City Council to prioritize the negotiation of a fair and comprehensive collective bargaining agreement with the DWP. It is crucial that we work collaboratively with the employees of the Water Department to address these challenges effectively. A fair and equitable collective bargaining agreement will not only acknowledge the hard work and dedication of our water utility workers but also provide them with the necessary resources, support, and incentives to continue their important work safeguarding public health.

References

AFSCME Council 18: Colorado. (n.d.). About Us. Retrieved April 21, 2024, from

https://www.afscme18.org/colorado/about-us

American Federation of State, C. & M. E. (n.d.). History _ American Federation of

State, County and Municipal Employees (AFSCME). Retrieved April 23, 2024,

from https://www.afscme.org/about/history

Colorado Department of Labor and Employment. (n.d.). DEPARTMENT OF

LABOR AND EMPLOYMENT DIVISION OF LABOR STANDARDS AND

STATISTICS COLLECTIVE BARGAINING UNIT PETITION. Retrieved April 23,

2024, from https://cdle.colorado.gov/sites/cdle/files/CBU-

Certification%20election%20petition%20Aug%202016.pdf

Colorado Department of Labor and Employment. (2020). The Colorado

Partnership for Quality Jobs and Services Act Unfair Labor Practice Complaint.

https://cdle.colorado.gov/sites/cdle/files/ULP Complaint2.pdf

Colorado Department of Labor and Employment. (2024a). INFO # 15A: Colorado

Labor Relations Rules and Procedures.

https://cdle.colorado.gov/sites/cdle/files/INFO %2315A Colorado Lab

or%20Relations%20Rules%20and%20Procedures%2010.21.22%20accessible.p

df

Colorado Department of Labor and Employment. (2024b). INFO #5 Summary –

Retaliation or Interference Against Exercising Labor Rights 02.15.2024

accessible.

https://cdle.colorado.gov/sites/cdle/files/INFO %235 Summary –

%20Retaliation%20or%20Interference%20Against%20Exercising%20Labor%20

Rights%2002.15.2024%20accessible.pdf

Colorado Department of Labor and Employment. (2024c). INFO #5A: What’s

“Retaliation” or “Interference”: What Activity Is Protected? What Acts Are Illegal?

https://cdle.colorado.gov/sites/cdle/files/INFO %235A Retaliation Prot

ections%2002.15.2024%20accessible.pdf

Colorado Department of Labor and Employment. (2024d). INFO #5B:

Compliance Duties: Notice and Postings p.2/3 (A) Notice of Whistleblowing and

Personal Protective Equipment. https://cdle.colorado.gov/sites/cdle/files/CBU-

Certification%20Employee%20Aug%202016.pdf

Colorado Department of Labor and Employment. (2024e). INFO #5C Complaints,

Investigations, & Remedies.

https://cdle.colorado.gov/sites/cdle/files/INFO %235C Complaints%2C%2

0Investigations%2C%20%26%20Remedies%2002.15.2024%20accessible.pdf

Colorado Department of Labor and Employment. (2024f). Interpretive Notice &

Formal Opinion (“INFO”) #15B.

https://cdle.colorado.gov/sites/cdle/files/INFO %2315B County Collec

tive%20Bargaining%2006.08.2023%20accessible.pdf

Esga, Arnd, Becker, Benavidez, & Bird. (2020). HOUSE BILL 20_1153

COLORADO PARTNERSHIP FOR QUALITY JOBS AND SERVICES ACT.

https://leg.colorado.gov/sites/default/files/2020a_1153_signed.pdf

Heres, J., & Lee, L. (2022). Unionization of Public-Sector Jobs in Colorado_ The

Collective Bargaining by County Employees Act.

https://www.jdsupra.com/legalnews/unionization-of-public-sector-jobs-in-

2705278/2/16

Mcginnis, J. O., & Schanzenbach, M. (2010). The Case Against Public Sector

Unions. In POLICY REVIEW (Vol. 162).

http://www.hoover.org/publications/policy-review/article/43266

National Labor Relations Board. (n.d.). Bargaining in good faith with employees’

union representative (Section 8(d) & 8(a)(5)). Retrieved April 23, 2024, from

https://www.nlrb.gov/about-nlrb/rights-we-protect/the-law/bargaining-in-good-

faith-with-employees-union-representative

Office of Labor-Management Standards. (2023). OLMS Fact Sheet Labor-

Management Reporting and Disclosure Act.

https://www.dol.gov/agencies/olms/compliance-assistance/fact-sheet/lmrda

US Department of Labor. (2023, April 5). Helping Employers and Workers Build

Relationships and Reach Agreements. https://blog.dol.gov/2023/04/05/helping-

employers-and-workers-build-relationships-and-reach-agreements

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