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Montgomery County Organizational Reform Commission b. Comparison o f wages, hours, benefits and conditions o f employment o f similar employees, of other public employers, in the Washington Metropolitan Area and in Maryland; c. Comparison o f wages, hours, benefits and conditions o f employment o f other Montgomery County personnel; d. Wages, benefits, hours and other working conditions of similar employees of private employers in Montgomery County; e. The interest and welfare of the public; and f. The ability of the employer to finance economic adjustments and the effect of the adjustments upon the normal standard of public services by the employer. The problem with these criteria can be seen in the most recent arbitration awards under the County collective bargaining laws. For example, Arbitrator David Vaughn described his understanding of the statutory criteria as follows: "This provision does not require that any particular factor be considered or that all ofthem be considered. It simply identifies the factors that I may consider. Thus, I am free to determine whether any particular factor or factors weigh more heavily than others... " (MCGEO Arbitration Decision of March 22, 2010) In the 2010 Police arbitration decision, Arbitrator Herbert Fishgold, applying these criteria, found that the FOP's last offer for a 3.5% step increase, at a cost of $1.2 million, and a reinstated tuition assistance program, at a cost of $455,000, was more reasonable than the County's offer of no pay increase or tuition assistance. Mr. Fishgold found that the FOP had already given up a previously negotiated 4.5% cost-of-living increase each of the past two years and had, therefore, done enough to help balance the County's budget. The Council subsequently rejected both of these economic provisions and required all County employees to take furloughs, including police officers, in order to close an unprecedented budget deficit. The arbitrator should consider the funds available to pay personnel costs before considering comparative salaries and past collective bargaining agreements. The bill, as enacted, requires the arbitrator to evaluate and give the highest priority to the County's ability to pay before consideringtheotherfivefactors. TheamendmentthattheCouncilultimatelyrejectedwould have gone further by requiring the arbitrator to determine first if the final offers were affordable without raising taxes or lowering the existing level of public services. Although we support the bill as enacted without this amendment, the amendment would have added important guidance to the arbitrator to determine affordability based upon existing resources only. >- We recommend new legislation that would include the amendment that was originally supported by the Council's Government Operations and Fiscal Policy Committee on December 7. - 39PDF Image | Montgomery County Organizational Reform
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