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HomeMy WebLinkAbout~Master - Diminution of Power Plant Coal Handler positions RESOLUTION NO. 16-424 RESOLUTION AUTHORIZING DIMINUTION OF POWER PLANT COAL HANDLER POSITION FOR THE CITY OF AMES WHEREAS, Electric Services has two coal-fired high-pressure steam turbine electric generating units referred to as Unit Nos. 7 and 8, and these units are currently be converted to burn natural gas; and, WHEREAS, to handle the coal, Electric Services has historically had four full-time staff positions—three coal handlers and one lead coal handler,and their duties included receiving the coal, maintaining the coal pile, and transferring coal from the pile into the Power Plant; and, WHEREAS, in November 2013,the City Council decided to convert the primary fuel used at the City's Power Plant from coal to natural gas,and by the end of March 2016,the conversion of Unit#8 from coal to natural gas will be complete and the Unit#7 conversion will start; and, WHEREAS,this fuel transition makes the coal handler positions unnecessary,because with natural gas delivery by pipe and no ability to store or maintain a natural gas reserve,there will be no need for equivalent natural gas handler positions; and, WHEREAS,Electric Services management has been working with the affected employees, offering them several alternatives; two have transferred to employment in other City positions, and two have submitted retirement requests effective in May and June; and, WHEREAS, should these last two employees change their minds and not retire, however, they would,by law,have"bumping"rights into other Civil Service positions previously held; and, WHEREAS, although it appears there will be no lay-offs or bumping due to the elimination of these positions,it is still prudent to treat this action as a"diminution of employees"(a diminishing or decreasing of employees; also known as a reduction in force); and, WHEREAS, therefore, the following actions are appropriate: 1. Per Section 12.2 of the City's labor contract with the International Union of Operating Engineers Local 234,the City Council should declare by resolution that the public interest requires a layoff of employees; 2. Per Section 400.28 of the Code of Iowa, when the public interest requires a diminution of employees in a classification or grade under Civil Service, the City Council, acting in good faith, may take one of the following two actions: a. Council may abolish the office and remove the employee from the classification, b. Council may reduce the number of employees in any classification or grade by suspending the necessary number; and, WHEREAS, rather than abolish the offices of coal handler and lead coal handler as in 2(a) above, it is recommended that Council reduce the number of employees to zero as in 2(b) above; and, WHEREAS, under state Civil Service law, either option will lead to the creation of a "preferred list"by the City's Civil Service Commission; such a list guarantees laid off employees the"first right"to re-fill these positions in the event that the City needs coal handlers over the next three years; and, WHEREAS, in actuality, there is virtually no chance of that occurring, since the City has entered into a five-year agreement to purchase natural gas; and, WHEREAS, staff anticipates that by April 1, Unit#8 will be operating on natural gas, and that Unit#7 will be undergoing its conversion from coal to natural gas; and, WHEREAS, following the last use of coal for generation, the two remaining coal handlers will be retained until their scheduled retirements to clean and mothball equipment, offices, and material handlers, and to carry out needed site work at the coal yard; and, WHEREAS, although the four coal handler positions will then be vacant, staff is not recommending a reduction in authorized staffing levels at this time, as these FTEs are being reviewed by staff for possible reclassification into other technical positions within Electric Services to fill other pressing needs. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that authorization of a layoff of the lead coal handler and coal handler by declaring that the public interest requires a layoff of these two employees is hereby approved, and reduction of the number of employees in the lead coal handler and coal handler classifications by suspending one individual in each position is hereby further approved. ADOPTED THIS 22nd day of March, 2016. A. Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Nelson Seconded by: Betcher Voting aye: Betcher, Beatty-Hansen, Corrieri, Gartin,Nelson, Orazem Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 22nd day of March, 2016.