One of the unions representing city employees gets a new contract

City employees who are members of the American Federation of State, County and Municipal Employees Union can expect annual raises over the next five years with the unanimous approval of a new contract by the City Council last night.

The three key components to the new contract, according to City Manager Jason Molino, are elimination of retiree health benefits for new hires, putting AFSCME members on the same wellness program as other city employees, and a reduction in the salary schedule for new hires going forward.

While those changes are expected to save the city money, the anticipated direct expense of the new contract is an additional $265,000 over the next five years. Annual raises are built in at 2.50 percent in three of the five years and 2.75 percent in the remaining two years.

This year, the council was asked to approve a shift of $63,100 from the contingency fund to cover the increased costs.

Molino is proud of the city's wellness program and glad to get the AFSCME members involved.

"It's a very good wellness plan and we're starting to see some results with it," Molino said.

Negotiations have been ongoing since March, 2012.

"It was a long and challenging process," Molino said.