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Indian River County Commissioners July 8, 2019 Page two of four Negotiations with IUPA for the Deputy bargaining unit began in August of 2018. Based on anticipated salary dollars to be appropriated by the County Commission, the Sheriff offered to IUPA a wage proposal consisting of the following: 1. A 5%across the board increase in base pay effective the first full pay period in October 2018 for those Deputies not within 5%of the maximum of the pay grade and who have not reached the maximum of the pay grade; 2. For those Deputies who are within 5%of the maximum of the pay grade and their base salary increase to the top of the pay grade is less than $1,500,their salary would be increased to the top of the pay grade and any difference between the amount of the base salary increase and the $1,500 would be paid in a lump sum; 3. For those Deputies who are topped out,a lump sum increase of$1,500; 4. Bargaining unit members hired after April 30, 2017 would have their salary adjusted from $38,950 to$42,500 effective the first full pay period of October 2018; 5. Bargaining unit members hired after April 30, 2018 would have their salary adjusted from $38,950 to$42,000 effective the first full pay period of October 2018; and 6. Newly hired bargaining unit employees would start at$42,000. The Union summarily rejected this proposal and instead offered two alternative counter- proposals. Option 1 only included an increase in the starting pay (and the pay for those hired after April 30, 2017) from $38,950 to $41,000. Option 1 also included a provision requiring that bargaining unit members who have at least twenty years of experience with the Sheriff's Office who have not reached topped out salary be brought up to the maximum of the pay grade($63,151). The latter component of the Union's first alternative proposal would have resulted in fifteen (15) bargaining unit members receiving between a 2.6% and an 8.8% increase in pay, with the vast majority (11) receiving the 8.8% increase. Option 2 of the Union's proposals simply eschewed Option 1 in favor of an increase in pay to all bargaining unit members of$3,550. The Sheriff rejected the Union's two options. Option I was rejected because, as more fully set forth below: (1) the Union's proposal did not raise starting pay to a level that allowed the Sheriff to be competitive with comparable jurisdictions ($42,000); and (2)the Union's proposal unfairly favored those more senior bargaining unit employees at the expense of those at the lower end. (R.57-58). Option 2 was rejected because: (1) it was far costlier than the Sheriff's proposal and inconsistent with the dollars that had been allocated to the Sheriff by the County Commission for salary increases; (2) it was wholly inconsistent with that agreed to and provided to other Sheriff's employees; and (3) as a "flat amount" increase versus a percentage, it disproportionately favored newer employees at the expense of more senior deputies. Ultimately, the Sheriff gave the Union a proposal that was designed to encourage the bargaining unit members to either accept it or face economic consequences. Specifically, on November 2, 2018, the Sheriff proposed to implement its previous offer retroactive to the first pay period in October of 2018 if the Union ratified the Agreement prior to November 30, 2018. Otherwise any subsequent agreement for salary increases would not be made retroactive. The Union rejected this proposal and declared impasse. 2