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Dear GGU Member: I will periodically update you during this legislative session regarding the status of the approval and funding by the State Legislature of the monetary terms of our July 1, 2004 to June 30, 2007 Collective Bargaining Agreement. As required by Alaska Statute 23.40.215, the Administration submitted the monetary terms of our contract to the Legislature by the 10th day of the legislative session. A letter and memo outlining the monetary terms of the contract were submitted to both the State House of Representatives and the State Senate on Tuesday, January 18. In the letter the Commissioner of Administration requested "that the Legislature approve the monetary terms of this agreement pursuant to AS 23.40. 215 (b)". As you are aware, the following monetary terms are retroactive to July 1, 2004: (a) an increase in the employers health insurance contribution of $58.00 per member per month, (b) one additional day of annual or personal leave to be credited to your leave account on the pay period following July 1 of each year, and (c) an employer contribution at the first pay period following July 1 of $8.00 per member to an injury leave account. Funding for these terms should be included in the current fiscal year's (FY 05) supplemental budget request. Alaska Statute 37.07.070 requires that the supplemental budget request be submitted to the Legislature by the 30th day of the legislative session which is February 8. Even with the specific statutory deadlines for the submission of the monetary terms letter and submission of the supplemental budget it is not possible to predict with any certainty how soon the Legislature will approve the contract terms and appropriate the funds. We are urging quick action by the Legislature. However, it is likely to be mid session or later before the Legislature will approve the contracts and appropriate the required funds. I am currently working with the Administration to reach an agreement on how quickly after approval of the contract and appropriation of the funds you will receive the $58.00 per month retroactive to July 1, 2004. Be assured that I will do everything possible to ensure that you receive your retroactive contribution as soon as possible after the approval of the contract terms by the Legislature. Section 31 of the FY 06 State Operating Budget (HB 67 & SB 45) submitted to the Legislature by the Governor specifically states that the proposed budget contains the funds necessary to fund the collective bargaining agreement with ASEA for the General Government Unit for the period of July 1, 2005 through June 30, 2006. The following monetary terms will be effective July 1, 2005: (a) an employer increase in the health insurance contribution. The amount of the increase should be determined by mid April of this year, (b) a wage schedule increase of 1 1/2 %, (c) one additional day of annual or personal leave to be credited to your leave account, and (d) an employer contribution of $8.00 per member to the injury leave account. The operating budget for the next fiscal year is historically the last item approved by the Legislature during the session. Approval by the Legislature of the monetary terms of our contract, early funding through the supplemental budget of the increased employer health insurance contribution and other FY 04 monetary terms, and the approval of our contract's monetary terms contained in the FY 06 Operating Budget are the Union's highest priority this legislative session. Lobbyist Fate Putman and I are very optimistic that the terms and funding will be approved this legislative session. I will keep you informed as the Legislature takes action on our contract terms. Please feel free to contact Fate Putman or me if you have any questions. Jim Duncan Business Manager |
