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12 - Revised Standby Policy Costa Mesa Sanitary District …an Independent Special District Protecting our community’s health and the environment by providing solid waste and sewer collection services. www.cmsdca.gov Memorandum To: Board of Directors Via: Scott Carroll, General Manager From: Anna Sanchez, Administrative Service Manager Date: September 26, 2013 Subject: Revised Stand by Policy Summary Due to recent events, the District’s Standby Policy was reviewed and is being recommended for revision. Staff Recommendation The Board of Directors authorize the General Manager to approve the revised Standby Policy and appropriate the additional funding for the new schedule. Analysis Currently, C&R Drains is the District’s first responder when called during non -regular business hours for emergencies such as a pump station failure or sewer overflow. C&R Drains has been under contract with the Costa Mesa Sanitary District to perform these services since 2006. Because of their expertise and they are located locally, they have always met the requirements of the contract. After arriving to the scene of an emergency call, from time to time, C&R Drains will need to rely on District staff’s expertise and knowledge with regards to the system so they contact staff to seek advice or obtain direction. The standby schedule is currently set up where the Maintenance Supervisor is C&R Drain s’ contact Monday through Thursday and on ITEM NO. 12 Board of Directors September 26 , 2013 Page 2 of 3 weekends and holidays, the District schedules all four non -exempt employees on a rotating basis to assist C&R Drains . The District currently compensates employees on the rotating standby schedule at a rate of $50.00 per day, Friday through Sunday, and on holidays. Last fiscal year, the Maintenance Supervisor responded to 32 emergencies during the weeknights. This averaged approximately 1 response every 1.6 weeks. Since July 1, 2013, the Maintenance Supervisor has responded to 10 emergencies during weeknights. This averages to nearly 1 response per week, in addition to the Maintenance Supervisor’s weekend standby duty rotation. At this time, staff recommends changing the standby schedule rotation so there is a m ore equitable distri b u tion of work a m ong the four field staff. Staff recommends changing the standby schedule to reflect a 7 -day rotating schedule. Doing so would ensure standby staff are properly restricted and are effective when serving as secondary re sponse to emergency calls. Restrictions include the following , as outlined in the current Standby Policy :  Standby personnel must not be under the influence of alcohol and/or be on prescription and/or over the counter medication that would impair his/her a bility to perform call out duties  Standby personnel shall wear a cellular phone for District communication purposes during the entire standby period  While on standby duty, personnel shall immediately answer his/her cellular phone and respond if necessary  Standby personnel must be located (while driving in a District or private vehicle) within one -hour (1) travel time distance of District boundaries while on standby duty According to Fair Labor Standards Act (FLSA), if employees are restricted and are effec tively “engaged to wait” then compensation is required. However, the amount of compensation is determined by the employer. In 2011, the Board approved compensating employees on standby duty a flat fee of $50.00 per day while on standby status. Staff rec ommends continuing the flat fee compensation with the new standby schedule. With the exception of increasing the number of standby days from weekends and holidays to seven (7) days per week, all other terms and conditions of the Standby Policy remain the s ame. Board of Directors September 26 , 2013 Page 3 of 3 Strategic Plan Element & Goal This item complies with Strategic Element 5.0, Administrative Management , which states: “Objective: To create, maintain and implement policies and procedures to ensure sound management of the District .” “Strategy: We will conduct periodic reviews, refine and implement policies and procedures, and assure the General Manager has the direction and tools necessary for successful District operations.” Legal Review Not applicable. Financial Review The District budgeted $9,550 for Stan dby Pay for Friday, Saturday, Sunday, and holidays. Increasing the Standby schedule from weekends and holidays to a seven -days -per -week schedule increases Standby Pay costs by $8,700.00 per year. This funding was n ot budgeted and therefore requires an appropriation by the Board . Public Notice Process Copies of this report are on file and will be included with the entire agenda packet for the September 26 , 2013 Board of Directors Regular Board Meeting at District headquarters and on District’s website. Alternative Actions 1. Maintain the existing Standy Policy schedule . 2. Refer the matter back to staff for more information. Attachment A: Revised Standby Policy Reviewed by: Stacey Cuevas Finance Manager Section 4.4. STANDBY POLICY . A. PURPOSE. The purpose of this policy is to establish administrative and procedural guidelines and ensure compliance with the Fair Labor Standards Act (FLSA) regulations regarding the compensation of classified (non -exempt) employees who are required to perform duties during non -scheduled, non -regular hours. This policy applies to all classified employees who are required to be on standby and are called out to work in order to respond to emergencies during non -re gular work hours. B. POLICY. The District will compensate employees who are required by the District to be on standby or respond to a call for service, which is received after normal working hours within a required response time. C. DEFINITIONS. 1. FLS A Requirements – According to the FLSA, employees who “…are not required to remain on their employer’s premises, but are merely required to leave word at their home or with company officials where they may be reached, are not working …” However, if employe es are restricted and are effectively “engaged to wait” then compensation is required. Based on FLSA regulations, “…the requirement that an employee not report to work while under the influence of alcohol is a common requirement that does not trigger FLSA overtime.” 2. Standby Duty – Classified employees who are responsible for responding to emergency locations that occur after regular normal working hours from Monday to Monday shall be considered on standby duty if memorialized in a writing or e -mail sig ned by the General Manager. D. PROCEDURE. 1. Scheduling a. Special assignment (as determined by the employee supervisor or the General Manager) may be given to classified employees in order to make them available for work during non -regularly schedule d hours. b. Standby personnel may trade scheduled standby time with other employees only with prior approval of their supervisor or the General Manager. 2. Responsibilities a. Standby personnel shall wear a cellular phone for District communication purposes during the entire standby period. b. While on standby duty, personnel shall immediately answer his/her cellular phone and respond if necessary. c. If standby personnel are required to respond to an incident the employee shall notify his/her supe rvisor of their arrival at the location. d. Standby personnel must not be under the influence of alcohol and/or be on prescription and/or over the counter medication that would impair his/her ability to perform call out duties. If the employee is taking prescription medication(s), he/she will provide a doctor’s note to his/her supervisor that releases the employee to work while taking the prescription medication. e. Standby personnel must be located (while driving in District or private vehicle) within one -hour travel time distance of District boundaries while on standby duty. Such one -hour response time shall take into account the day of the week and time of day for gauging a one - hour response time. E. COMPENSATION. 1. Standby Pay – For each day on s tandby duty, employee will be paid a flat rate of $50.00 per day. If the employee is called for advice or called out during the standby period, the employee receives “Phone Advice Pay or Call Out Pay” in addition to Standby Pay. 2. Phone Advice Pay – Sta ndby personnel handling incidents by the phone during a standby period will be paid at his/her regular hourly rate of pay for a minimum of one hour for each hour he/she is required to be on the phone to troubleshoot or otherwise provide phone advice. Pers onnel shall be entitled to one full hour’s pay at straight time for any hour in which he is required to be on the phone for such purposes. Said phone advice pay is in addition to standby pay. 3. Call Out Pay a. If standby personnel are “called out” during a standby period, they will be compensated in accordance with overtime for the hours worked during the “call out,” with the clock starting at the time of the call out and terminating upon clock out. b. Such call out pay is in addition to standby pa y and any phone advice pay if personnel separately try to provide advice by phone to fix the problem but are then required to respond in person. 4. Failure to Respond If contact cannot be made with an employee who is on standby status or if that employee fails to perform the work required, that employee is ineligible for standby pay.