MANAGEMENT PROPOSAL REGARDING TERM OF AGREEMENT June 14, 2017 lective ment Between the Employers and SEIU-UH St Francis Medical Center, St. Vincent Medical Center, St. Louise Regional Hospital and O'Connor Hospital ("te Employers") and SEIU-UHW agree as follows: 1. The parties agree to a contract term of November 1, 2018-October 3, 2021, 2, The parties agree that all terms of the November 1, 2015-October 31,2018 egreement, including Side Leters shall continue to apply, The parties agree thatthe wage increases with step progression for this period shall be + Effective the first pull pay period following November 1, 2018, a three percent (346) wage increase forall employees, classifications and tenure steps ‘Effective the first pull pay period following November 1, 20:9, a three percent (3%) wage increase forall employees, classifications and tenure steps, ‘Effective the frst pull pay period following November 1, 2020 three percent (3%) wage increase forall employees, classifications and tenure steps, © The applicable wage grids are attached to this Agreement. 4, The parties understand that during the term ofthis renewed contract there may be a need to eview certain provisions that relate to Hospital operations, staffing, the quality of patient service in the context of workforce assignment, oo address the Employers! ‘business needs and financial conditions. ‘At any time during the tem of the renewed collective agreement, ether party may oquest a meet and confer meeting. The parties agree to meet and explore resolution of the issues raised. Neither party is obligated to agree to any modification of any provision inthe collective bargaining agreement. ‘To avoid any ambiguity, this provision does not confer the unilateral right to any party o reopen the collective bergaining agreement, pee DATE: June 14,2017 Pascale Sonia-Roy, Vice President General Counsel DATE: June 14,2017 Page 1 of 2Page 2 0f2MANAGEMENT PROPOSAL REGARDING ARTICLE 6: SUBCONTRACTING & ARTICLE 38: CHANGE OF OWNERSHIP, MERGERS, SALES, CLOSURES, AND ‘TRANSFERS: June 14,2017 ARTICLE 6: SUBCONTRACTING ‘There will bno subcontracting of bargaining unit work performed by Employees, except by mutual agreement between the Employers ant the Union. Upon request by an Employer, the Union agrees to meet and confer withthe Employer regarding its need to subcontract work. The Union will undertake its best good fith efforts to try to rash an agrecment with the Employer tat provides fora viable solution to achieve the objectives intended by the proposed subcontracting. ‘The Employer may continue to subcontract bargaining unit work tat has historically been subsonracted ‘Unless ofhewise agreed, the Eplovers shall not proceed with such subcontatine/outsourse ‘smployment and recognizes the Union as the bargaining represenave of current barging unit ‘employees i be outsourced The subvontretng/outsouce company shall agree fo assume the parties! ‘slletive bargining agreement except for te detinod bencit Gesrbed in Atle 28, which shall Fens the sole and exclusive lisbility/oblgation of tae Emplovers. The will maintain employer's defined heneft pension ability on pa with existing employees. ARTICLE 35: CHANGE OF OWNERSHIP, MERGERS, SALES, CLOSURES AND. ‘TRANSFERS Inthe even of merger, sae, closure, leasing assignment, divestiture, or other transfer of ownership snd/or management oft operation in whole ori pa, the Exployer: shall comply withthe following. Thisartcle shall not apply to subcontracting or outsourcing ofa department or service. In thal event Atel 6 shall apy. A. Notification “The Employes shall notify the Union in writing at least ninety (90) days prior to laking any action dsccbed inthe preceding paragraph, except for hospital closure for which six (6) months advance noice is require, B, Successor ‘This agreement shall be binding upon the Union ad the Fnployers or su successor ‘thereof whether the succession i by any ofthe means desribed above a it applies to the business ofthe Employers, in whole o in par, or to any ehange in management companies. C. Conditions ana Liapiities In the event the Employers desir o sell or otherwise transfer the establishment or engage in any fature acts tt forth above and covered by thie Agreement, it shall bbe condition ofthe sle andlor transfer and inserted into any agreement of sle or Page 1 of 3‘management contract that tis collective bargaining agreement and all its obligations thereof shall be binding upon any purchaser or transferee. Prior to taking any actin described inthis provision, the Employers shall be lable for ll the compensation and payment due and owing fo the Employees or the Union. pe DATE: June 14,2017 ‘scale Sons Roy, Vice President General Counsel DATE June 14,2017 Gregory Paliman, Chief of Staff, SET Page 2 of3Pree of 3MANAGEMENT PROPOSAL TO SEIU June 14, 2017 si Letter Regarding Restoration of PTO, Step Progression, and President's Das St Francis Medical Center, St. Vincent Medical Center, St. Louise Regional Hospital and (OConnor Hospital ("the Employers") and SETU-UHW enter into the following side letter which shall modify the terms ofthe parties collective bargaining agreement which expires October 31, 2018: |, ‘The terms and obligations ofthis Side Letter shall nat bocome effective until the frst fll pay porio after ratification ofthis Side Letter; the EPO proposal; Management Proposel Regarding Anicle 6: Subcontracting & Article 35: Change of Ownership, Mergers, Sales, Closures, and Transfers; and Management Proposal Regarding Term of ‘Agresment, which are attached hereto. There shall be no retroactive application of any of these terms 2, Article 20; Paid Time Off 4, ‘The Employers agree that PTO acerul for employees shal be as follows end shal replace the Rate Per Hour end Rate Per Days. Yearof “Kecrual Rate Employment 10H 0.1308 0.1423 0.1461 0.1500 0.1530 0.1578 OF 0.1615 a 4 bb. The new accrual rate shall aot be retroactive. The Maximum Annual Accrust Cap is eliminated. The Maximum Accrual Cap in Article 20, H shall remain. 3. Article 18: Classification and Wages ‘The Employers agree that on an employee's anniversary date an employee shall be placed fon the step corresponding to his or her year of service as provided inthe applicable wage arid. Any employee who qualifies for step progression effective January 1, 2017 shall be Page | of 4advanced as provided in this section, The step placement shall be effective the first fll pay period following ratification. To avoid any ambiguity, no employee will receive retroactive payment forthe 2015 end 2016 step progression, ‘The above paragraph does not apply to St. Vincent employees and O'Connor technical employees who were placed on the applicable wage grid following the parties’ bargaining jn 2016. Thephase in step placement agreement remains in place. However, prior to or on October 31, 2018, employees shall be placed on the step corresponding to his or her yeur of service as provided in the applicable wage grid. There shall be no retroactive payments male to these employees. Article 24: Holidays The E 4 iployers shall recognize Presiden's Day as 8 holiday forthe purposes of Article DATE: June 14,2017 Pascale Sonie-Roy, Viee President General Counsel DATE: June 14, 2017 Gregory Pullman, Chief of Staff, SEIU Page? of 4Page 3 of 4Pree 4 of 4MANAGEMENT PROPOSAL REGARDING ARTIC! 25: HEALTH INSURANCE June 14,2017 ‘The below shall replace Article 25 ints entirety ARTICLE 25, HEALTH INSURANCE A. General Provisions 1. Coverage. Health Insurance, Dental and Vision coverage shal be limited to Regular Full-time and Regular Par-Time Employees as provided inthis Article, Coverage for ‘new Regular employees shall commence as ofthe first ofthe month following completion ofthe employee's waiting period. In the case of resignation or termination, coverage shall terminate as fof the last calendar day inthe mouth of termination, Plans te offered Wo qualifying employees ‘and their qualified dependents (including spouse, registered domestic partner and children), 2. Payroll Deduetion or Payments, Employee contributions for medicel, Outpatient surgery performed at a free-standing ambulatory surgery center; ‘+ Outpatient surgery performed in a hospital or afiiated ambulatory surgery center; ‘+ Outpatient services for treatment of illness or injury and necessary supplies; + Radiological and nuclear imaging (CT scans, MRI's, PET scans); © Inpatient physician services; and © Inpatient non-emergency facility services. However, should Verity ora Verity Prefered Partner provide additional services not included in the ist above, those services will be added to thelist and wil be subject tothe 202% co-insurance applicable to Verity EPO Tier 2. Should Verity or a Verity Prefered Partner provide additional services nat included in the lst above, these additional services to the Verity EPO Tier | and corresponding Verity Tier Medical Benefits will be communicated/implemented onan anaual basis Verity will honor employees’ and qualified dependents” coordination of benefits, ‘The Verity EPO Tier 1 and Tier 2 plans, which will replace the BlueShield HMO, must hhave qualities that meet or exceed the qualities of the BlueShield HMO that tis replacing, Such {quulites must include, but are not limited to, choice of doctors on the BlueShield PPO. Network end services, and as otherwise stated herein. The radius forthe Verity EPO Verity Tier 1 services wil be thirty-five (35) miles measured from employees’ residential zip code to the Verity facility zip code, and with a “Special Transportation Exception.” Every year, the Employers will provide a lst of zip codes which reflect which employees (and their covered dependents) fall within the thirty-five (35) mile radius If there is no Verity facility within the thirty-five (35) mile radius or the Special Transportation Exception applies, the employee may goto any facility within the BlueShield PPO Network. The Special Transportation Exception means that no employee andlor any {qualified dependent seeking services or treatment will be required to travel to another geographic Tocation that under normal, non-crcuitous driving circumstances, would require travel aross a ‘bridge (for example, without limitation, from Oakland to San Francisco, or from San Rafael 10 Richmond). Every year, alist of zip codes which reflect the areas that qualify forthe Special ‘Transportation Exception shall be released at open enrollment, 2If there is no Verity facility within thirty-five (35) miles of where the eraployee or the employee's qualified dependent rotidt, o the needed rervice of treatment ie act avilable at ‘Verity facility, including those with the Special Transportation Exception, the employee or the ‘employee's qualified dependent may go to any facility within the BlueShield PPO network, a the same cost structure as the Verity EPO Tier 1 fective January 1, 2018, the Employers will replace the Blue Shield POS “buy up" plan with the Verity PPO for those employees choosing the alternative “buy up” plan. The employee and their qualified dependents’ costs for share ofthe Verity PPO plan premiums, total costs for ‘out of pocket expenses, annual deductibles, and annual out of pocket maximums, will be increased by no mare than three percent (3%) during the life ofthis contrat, over similar costs of the Blue Shield POS in effect on June 1, 2016. As of January 1, 2017, the “Wellness Assessment” required of certain employees and their qualified dependeats will no longer be required. Its the intent ofthe Employers to provide a health plan that will ensue the privacy of ‘employees under the plans. If any employee has a privacy concer related to a service and/or procedure that would be performed by the employee's own-department-at-a Verity facility or 3 1 disruption of care or if the emplos admitting privileges at Verity facility, the Employers’ Benefits Services Manager will not ‘uneasonably deny any request to receive such services and/or procedures at an altemative facility inthe Verity/Blue Shield PPO network. Such request must be made directly tothe Benefits Services Manager atleast five (5) business days prior tothe procedure. C. Dental Plans ‘The Employers will provide a Delta Dental Basic Plan, or its equivalent, fully paid by the ‘Employer for the employee and hisher dependents (including spouse, registered domestic partner and children). The Employers will maintain the PPO Dental plan, i any, on the same terms as currently provided to employees. D. Vision Plan ‘The Employers will provide the Vision Service Plan (VSP), or its equivalent, fully paid by the Employers forthe employee and hishher dependents (including spouse, registred domestic parmner and children). ‘The Employers will offer a voluntary VSP Premier Buy-up option. Any employee clectng this Buy-up option wil pay the difference between the Buy-up and the standard VSP option, E, Voluntary Short Term Disability Plan ‘The Employers will offer a voluntary Short Term Disability Plan option on an employee paid basis,FVoluntary Lang Term Care Plan The Employers will offer a voluntary Long Term Care Plan option on an employee paid basis,MANAGEMENT PROPOSAL FOR SIDE LETTER REGARDING DISCUSSION OF ‘CATH LAB STEP PLACEMENT June 14, 2017 ‘The partes agree that they shall discuss the placement and job description ofthe Cath Lab techs and whether these Cath Lab techs were appropriately placed on the wage scale in 2016 at St Vincent and OConnor Hospital. DATE: Tune (4, 2017 Pascale Sonie-Roy, Vice President General Counse] DATE: June 14,2017 Gregory Pullman, Chief of Staff, SEIU Page | of?Page 2 of 2