INTEREST ARBITRATIONS

Decision Information

Decision Content

International Association of Fire Fighters, Local No. 29

And

City of Spokane

Interest Arbitration

Arbitrator:      Alan R. Krebs

Date Issued:   09/26/1988

 

 

Arbitrator:         Krebs; Alan R.

Case #:              07150-I-87-00166

Employer:          City of Spokane

Union:                IAFF; Local 29

Date Issued:     09/26/1988

 

 

IN THE MATTER OF

CITY OF SPOKANE

AND

INTERNATIONAL ASSOCIATION OF FIRE FIGHTERS,

LOCAL NO. 29

     

PERC No. :       7150-I-87-166

Date Issued:      September 26, 1988

 

INTEREST ARBITRATION OPINION AND AWARD

OF

ALAN R. KREBS

 

ARBITRATION PANEL

 

NEUTRAL CHAIRMAN:                      ALAN R. KREBS

CITY APPOINTED MEMBER:            PAT DALTON

UNION APPOINTED MEMBER:        MICHAEL J. McGOVERN

 

Appearances:

CITY OF SPOKANE                                               Otto G. Klein, III

                                                                                   Bruce L. Schroeder

INTERNATIONAL ASSOCIATION OF FIRE

FIGHTERS, LOCAL NO. 29                                  James H. Webster

 

 

TABLE OF CONTENTS

PROCEDURAL MATTERS                                                2

APPLICABLE STATUTORY PROVISIONS                     3

ISSUES                                                                                   5

PROPOSALS                                                                         6

COMPARABLE JURISDICTIONS                                    6

COST OF LIVING                                                                15

A.  Change in Consumer Price Index                                   15

B.  Cost of Living Difference Between

      Spokane and the Comparators                                        18

OTHER CONSIDERATIONS                                             23

A.  Ability to Pay                                                                    23

B.  Settlements With Other City

      Bargaining Units                                                              28

C.  Productivity                                                                      29

D.  Comparison by Statewide Ranking                                 30

E.   Turnover                                                                           30

FIRE EQUIPMENT OPERATOR POSITION                   30

MEDICAL BENEFITS                                                         37

WAGES                                                                                  40

 

 

IN THE MATTER OF

CITY OF SPOKANE

      AND

INTERNATIONAL ASSOCIATION OF FIRE FIGHTERS,

LOCAL NO. 29

 

OPINION OF THE NEUTRAL CHAIRMAN

 

PROCEDURAL MATTERS

      In accordance with RCW 41.56.450, an interest arbitration

hearing involving certain uniformed personnel of the city of

Spokane was held before an arbitration panel consisting of

three persons.  City of Spokane appointed Patrick Dalton as

its designee on the Panel.  International Association of Fire

Fighters, Local No. 29  appointed Michael J. McGovern as its

designee on the Panel.  Arbitrator Alan R. Krebs was selected

as the Neutral Chairman of the Panel.  The hearing was held  in

Spokane, Washington, on May 9, 10, and 11, 1988.  The City was

represented by Otto G. Klein, III and Bruce L. Schroeder of

the law firm Heller, Ehrman, White & McAuliffe.  The Union was

represented by James H. Webster of the law firm Webster, Mrak

& Blumberg.

      At the hearing, the testimony of witnesses was taken under

oath and the parties presented documentary evidence.  A court

reporter was present, and, subsequent to the hearing, a copy

of the transcript was submitted to the Neutral Chairman.  In

view of the lengthy record, the parties agreed to waive the

statutory requirement that the interest arbitration award be

issued within 30 days following the conclusion of the hearing.

      The parties agreed upon the submission of post-hearing

briefs.  The briefs of the parties were received by the

Neutral Chairman on July 21 and 22, 1988.  On July 25, the

Neutral Chairman received an attachment to the Union's brief,

which, the Union explained, had been inadvertently omitted

when it had mailed its brief.  On August 26, the Neutral

Chairman met and consulted with the other members of the

Arbitration Panel.

 

APPLICABLE STATUTORY PROVISIONS

      Where certain public employers and their uniformed

personnel are unable  to reach agreement on new contract terms

by means of negotiations and mediation, RCW 41.56.450 calls

for interest arbitration to resolve their disputes.  In

interest arbitration, an arbitrator or arbitration panel

adjudicates a resolution to contract issues regarding terms

and conditions of employment, which are at impasse following

collective bargaining negotiations.  RCW 41.56.030 defines

"uniformed personnel," for whom interest arbitration are

available, as encompassing fire fighters.  The parties agree

that RCW 41.56.450 is applicable to the bargaining unit of

fire fighters involved here.

      RCW 41.56.460 sets forth certain criteria which must

be considered by an arbitrator in deciding the controversy:  

 

            41.56.60  Determination of bargaining

            unit--Bargaining representative.  In

            making its determination, the panel shall

            be mindful of the legislative purpose

            enumerated in RCW 41.56.430 and as

            additional standards or guidelines to aid

            it in reaching a decision, it shall take

            into consideration the following factors:

                        (a)        The constitutional and statutory

                                    authority of the employer;

                        (b)        Stipulations of the parties;

                        (c)        * * *

                        (ii)        For employees listed in RCW

            41.56.030(6)(b), comparison of the wages,

            hours, and conditions of employment of

            personnel involved in the proceedings with

            the wages, hours, and conditions of

            employment of like personnel of public fire

            departments of similar size on the west

            coast of the United States.  However, when

            an adequate number of comparable employers

            exists within the state of Washington,

            other west coast employers shall not be

            considered:

                        (d)        The average consumer prices for

            goods and services, commonly known as the

            cost of living;

                        (e)        Changes in any of the foregoing

            circumstances during the pendency of

            proceedings; and

                        (f)        Such other factors, not confined

            to the foregoing, which are normally or

            traditionally taken into consideration in

            the determination of wages, hours and

            conditions of employment.

 

      RCW 41.56.430, which is referred to in RCW 41.56.460,

reads as follows:

 

            41.56.430  Uniformed personnel--

            Legislative declaration.  The intent and

            purpose of this 1973 amendatory act is to

            recognize that there exists a public policy

            in the state of Washington against strikes

            by uniformed personnel as a means of

            settling their labor disputes; that the

            uninterrupted and dedicated service of

            these classes of employees is vital to the

            welfare and public safety of the state of

            Washington; that to promote such dedicated

            and uninterrupted public service

            there should exist an effective and adequate

            alternative means of settling disputes.

 

ISSUES

      The Union represents 295 of the uniformed employees in the

City's fire department, up to and including the rank of

captain.  The Union and the City are parties to a collective

bargaining agreement which expired on December 31,  1987.  They

were unable to reach an agreement on a new contract despite

their efforts in negotiations and the efforts of a mediator. 

In accordance with RCW 41.56.450, the executive director of

the Washington State Public Employment Commission certified

that the parties were at impasse on a number of issues.  The

statutory interest arbitration procedures were invoked.  

Additional negotiations reduced the number of unresolved

issues to four:

 

1.   Wages

2.   Hours

3.   Medical Benefits

4.   Maintenance of the fire equipment operator position

 

With the exception of these four issues, the parties have

agreed to all contract  provisions for a one-year agreement,

effective from January 1, 1988.

 

PROPOSALS

      The City proposes that the base wage for all bargaining

unit employees, other than fire equipment operators, be

increased by 2 percent.  The City  proposes deletion of the

fire equipment operator position and suggests that all money

saved from this position's deletion be utilized to increase

the base fire fighter wages.  These additional monies would be

provided to the bargaining unit employees in addition to the

proposed 2 percent wage increase.  The City  proposes retaining

current contract language on hours.  Finally, the City

proposes that its contribution rate for medical benefits be

established at 108 percent of the level paid in 1987.  All

additional amounts necessary would be paid by the  employee.

      The Union proposes that all base pay rates be increased by

7.25 percent.  The Union opposes the City's proposal to

abolish the position of fire equipment operator.  The Union

proposes that the number of hours worked be modified in order

to reduce the average workweek from 52 to 50 hours.  The Union

further proposes that the city continue to pay 100 percent of

the premiums for medical coverage under its current medical

plan.

 

COMPARABLE JURISDICTIONS

      One of the primary standards or guidelines enumerated in

RCW 41.56.460 upon which an arbitrator must rely in reaching a

decision is a "comparison of the wages, hours, and conditions

of employment of personnel involved in the proceeding with the

wages, hours, and conditions of employment of like personnel

of public fire departments of similar size . . ." The

statute specifies that the comparable jurisdictions should be

selected from within the state of Washington unless this

results in an inadequate number of comparable employers, in

which case, comparable employers should be selected from the

west coast of the United States.

      The parties stipulated that the following ten

jurisdictions should be considered as comparable for the

purpose of RCW 41.56.460(c)(ii):

 

      Tacoma

      Bellevue

      Kent

      Everett

      Bellingham

      Vancouver

      Clark County Fire District No. 5

      Spokane County Fire District No. 1

      King County Fire District No. 39

      Pierce County Fire District No. 2.

 

The parties have opposing positions regarding whether the

following cities should be considered as comparable

jurisdictions:

 

      Seattle

      Yakima

 

The parties further stipulated that they would argue the

relative weight that should be given to any particular

comparable or group of comparables.

      The statute was amended in 1987 so as to require the

selection or comparable employers by choosing "public fire

departments of similar size." Based on this language, one can

look primarily at either the population of the service area or

the number of department employee in order to determine

similarly sized jurisdictions. Listed below are the

stipulated and contested comparable jurisdictions along with

the figures representing their population and total fire

department personnel. The figures for the city of Spokane are

included and are highlighted, as are the two contested

jurisdictions.

__________

                                                                                       Total

                                                Population                      F. D. Personnel

      Seattle                              500,000                          970

      Spokane                            172,000                          313

      Tacoma                             160,000                          375

      Bellevue                           100,655                          141

      CCFD #5                          87,000                            69

      SCFD #1                           85,000                            98

      Kent                                  85,000                            110

      KCFD #39                        81,000                            94

      PCFD #1                           65,000                            80

      Everett                              60,100                            147

      Yakima                             50,000                            82

      Bellingham                       46,000                            111

      Vancouver                        45,000                            76

__________

      The City argues that Yakima must be included as a

comparable employer because it is larger in both population

and number of department employees than are other

jurisdictions which the Union stipulated as being comparable

with Spokane. As additional justification, the City points

out that there is only one other jurisdiction located in

eastern Washington on the list of comparables. Thus,

according to the City, Yakima should be included to ensure

some semblance of geographic balance.

      The City argues that Seattle is not comparable to

Spokane. Seattle's population is 328,000 more than that of

Spokane. The smallest jurisdiction which the parties agreed

to as comparable was only 127,000 below the population of

Spokane. Thus, including Seattle on the list of comparators

results in an upward population band compared with Spokane

which is three times greater than the lower band. The City

further points out that Seattle has more than three times the

number of fire department personnel than does Spokane. Unlike

Spokane, Seattle's fire department has fire boats and an

emergency medical transport capability. Seattle also has many

more high-rise buildings than does Spokane. In other interest

arbitrations involving the City of Seattle, Spokane has never

been deemed comparable to Seattle.

      The City argues that it would be inappropriate to give

special status to any one comparable jurisdiction. It asserts

that it is well recognized that the Arbitrator should select

an adequate number of comparables for a fair comparison. The

City contends that if the Arbitrator is inclined to give a

certain comparable jurisdiction greater weight, then Spokane

County Fire District No. 1 should be the only one accorded

such status, inasmuch as it is the only one located in the

same local labor market as Spokane.

      The Union argues that Seattle should be considered as a

comparable jurisdiction since it falls within the population

range of a third to three times that of Spokane. The Union

further points out that Seattle and Spokane are the state's

two largest cities. Each is the hub of economic activity for

a large part of the state. They are two of only four Class II

cities recognized in the state by the fire insurance

industry. The other two Class II departments in the state are

included on the list of comparators. All the other stipulated

comparators have lower ratings, meaning that they have been

rated as providing a lesser level of fire protection. The

Union argues that Yakima should not be considered to be an

appropriate comparable jurisdiction because it falls below

one-third the size of Spokane in the number of employees in

the fire department, assessed evaluation, and the number of

emergency responses.

      The Union argues that comparative data concerning Tacoma

deserves the greatest weight. It points out that Tacoma is by

far the closest in size to Spokane when measured by

population, assessed value, size of bargaining unit, and

number of responses. The Union points out that in the only

other interest arbitration award in a proceeding involving the

city of Spokane, Tacoma served as the only comparable

jurisdiction utilized by the arbitrator. The Union contends

that after Tacoma, the Panel should consider those departments

that fall within the population range of one third to three

times the size of Spokane. The Union asserts that since the

cities of Bellingham and Vancouver are substantially smaller

than one third the size of Spokane, these departments should

not weigh in the economic comparisons.

      It is the finding of your Neutral Chairman that Yakima and

Spokane shall both be considered as jurisdictions comparable

to Spokane. The list of stipulated comparators includes only

one eastern Washington jurisdiction. Spokane is in eastern

Washington. In view of the dominance of Puget Sound

jurisdictions on the stipulated list, the inclusion of another

eastern Washington fire department seems appropriate, so long

as the inclusion of the proposed department is defensible on

the basis of size. Given the parties' stipulation that

Bellingham and Vancouver should be on the list, there is no

reason to exclude Yakima on the basis that Yakima is too

small. Yakima services a larger population than either

Bellingham or Vancouver, and its fire department has more

personnel than Vancouver, Pierce County Fire District No. 1,

or Clark County Fire District No. 5.

      Spokane is little more than one-third the size of

Seattle. Generally, Arbitrators would view such a disparity

in size as too large to be considered "similar in size."

Moreover, the differences between Seattle and Spokane are even

more pronounced when comparing number of department employees

and assessed value. However, here, among the ten

jurisdictions which the parties have agreed should be on the

list of comparators, are one that is only one-fourth the size

of Spokane, two that are close to one-third in size, four that

are less than one-half the size, one that is barely half the

size, and one that is about 60 percent of the size of

Spokane. The stipulated list contains only one jurisdiction

that is close in size to Spokane and none that are larger. It

would not be fair to compare Spokane only with smaller

jurisdictions, most of which are much smaller, when a larger

one is available and is arguably comparable. If it can be

said that Spokane may be three times the size of a particular

jurisdiction and still be comparable, then it would seem that

a jurisdiction which is three times the size of Spokane should

also be considered comparable. The parties' stipulation of

comparable jurisdictions serves to compare Spokane with

jurisdictions which would ordinarily be considered as too

small to be considered as comparable with Spokane. Seattle,

though significantly larger than Spokane, should not be

disqualified from comparison if the smaller jurisdictions are

not.

      RCW 41.56.060(c)(ii) indicates that "an adequate number of

comparable employers" must be selected. This implies that

there should be a sufficient number of comparable

jurisdictions selected such that the Panel can determine terms

and conditions of employment which are usually negotiated by

similar bargaining units. Trends and commonly negotiated

terms cannot be ascertained by viewing a single jurisdiction.

Many factors can influence a particular jurisdiction to agree

upon contract terms which would be very different from those

which other similarly sized jurisdictions would generally

agree upon. This is why an "adequate" sample is necessary.

Relying on a single jurisdiction as a lone comparator is

inappropriate in view of the language of the statute.

      Arbitrator Richard J. Ennis, in a 1978 interest

arbitration decision involving the City of Spokane and Spokane

Police Guild, Washington State Public Employment Relations

Reporter, FA 125, did compare Spokane to a single

jurisdiction: Tacoma. For the reasons stated above, I

disagree with Arbitrator Ennis' use of only one comparator.

Moreover, as can be seen from the other interest arbitration awards

submitted by the parties, Arbitrator Ennis' approach

has not been followed by other arbitrators. City of Seattle

and International Association of Fire Fighters Local 27, et.

al., PERC Nos. 6576-I-86-150 and 151 (Michael H. Beck, 1988)

(7 comparators used) ; City of Walla Walla and Walla Walla

Police Guild, PERC No. 6213-I-86-139 (Thomas F. Levak, 1986)

(10 comparators used); City of Seattle and Seattle Police

Management Association, PERC No. 5059-I-84-114 (Alan R. Krebs,

1984) (7 comparators used); King County and Public Safety

Employees, Local 5l9, SEIU, PERC No. 5500-I-84-125 (William H.

Dorsey, Jr., 1985) (4 comparators used); City of Bellevue and

Bellevue Firefighters, Local 1604, PERC No. 6811-I-87-162

(Janet L. Gaunt, 1988) (11 comparators used).

      In each of the above-cited cases, the arbitrator compared

the average situation of the comparators with that of the

jurisdiction there at issue. Greater or lesser weight was not

given to particular comparators based on how close in size the

comparator was to the jurisdiction in dispute. Once deemed

"similar in size" each of the comparators was given equal

weight. I cannot agree with the Union's argument that of the

stipulated comparable employers, special weight should be

given to Tacoma and no weight should be given to Vancouver and

Bellingham. Once the parties stipulated to a list of

comparable employers within the meaning of RCW

41.56.060(c)(ii), they, in effect, agreed that they were all

"similarly sized" to Spokane. Therefore, they should all be

utilized in order to calculate the average situation of the

comparable jurisdictions.

      The City's argument that Spokane County Fire District

No. 1 should be given special consideration because it is in

the same labor market area as the city of Spokane has some

merit. Arbitrators frequently consider the situation in the

local labor market as one of the "other factors" which may be

considered pursuant to RCW 41.56.060(f). City of Walla Walla,

supra; City of Seattle and Seattle Police Management

Association, supra; City of Bellevue, supra. It is safe to

say that during negotiations, the parties will pay special

attention to the wages and benefits received by employees of

neighboring fire departments. However, there are a number of

reasons that limit the significance of the local labor market

here. First, there is only one other paid fire fighting

entity in the local labor market area. As previously

discussed, there are reasons not to place too much emphasis on

any single jurisdiction. Moreover, that particular

jurisdiction is already receiving consideration as one of the

comparable jurisdictions. Also, Spokane Fire District No. 1

services only about half the population, with about one-third

of the personnel, than does the city of Spokane's fire

department. Other arbitrators have held that a disparity in

size serves to reduce or eliminate the special consideration

which may be given to a neighboring jurisdiction. City of

Seattle and IAFF, supra; City of Bellevue, supra.

COST OF LIVING

            (A) Change in Consumer Price Index

      RCW 41.56.460(d) requires that the arbitrator take into

consideration "[t]he average consumer prices for goods and

services, commonly known as the cost of living." The City

asserts that the Panel should focus on the change in the

Seattle-Everett consumer price index for urban wage earners

and clerical workers (CPI-W), published by the United States

Department of Labor, Bureau of Labor Statistics, for the

period between July 1986 and July 1987. The City contends

that this is the most relevant time period for considering the

change in the cost of living because the statistics are put

out semiannually and the July figures would be used during

bargaining for a new contract, since such bargaining will

occur in the summer and fall. The Union argues that the Panel

should disregard the consumer price index because one of the

primary utilities of such data in interest arbitration

proceedings is to serve as a proxy for future compensation

changes in comparison cities during the term of the collective

bargaining agreement. The Union asserts that sufficient

comparative data is available from the comparable employers,

and that that data, not the CPI, should be used to judge the

size of the appropriate compensation increase. In any event,

the Union points to the 5.2 percent increase in the CPI-W for

"all cities" which occurred between December 1985 and December

1987. The Union asserts that it is appropriate to look at

this two-year period since the last wage increase for

bargaining unit members occurred in January 1986.

      The Union's view that changes in the cost of living

criteria should be disregarded where comparative data is

available from the comparable jurisdictions is not supported

by the applicable statute. RCW 41.56.460 does not make

comparability a superior criteria to cost of living such that

cost of living data will be insignificant if comparability

data is available. Rather, the cost of living is listed as a

primary standard for the Panel in the same manner as

comparability. Therefore, the cost of living figures will be

given significant weight for the purpose of determining the

appropriate compensation increase.

      Consideration will be given to the change in cost of

living during the period suggested by the City, since that is

the period that would most likely have been used during

collective bargaining. Consideration will also be given to

the change in the cost of living during the 1987 calendar

year, since that corresponds to the duration of the expired

agreement, and since RCW 41.56.060(e) requires the

consideration of changes which occur during the pendency of

the proceedings.  No consideration shall be given to the

change in cost of living prior to July 1986, since,

presumably, that data was already utilized in reaching the

wage and benefit packages for the 1986 and 1987 contracts.

      The parties disagree as to whether to utilize the CPI-W

index for "all cities" or the index for the Seattle-Tacoma

area.  Each has its advantages. Dr. David Knowles, a labor

economist, testified on behalf of the Union that the

Department of Labor has advised that the "all cities" index is

less volatile than the local indexes.  He testified that,

historically, the local index has usually been used for

purposes of collective bargaining, though he senses that there

has been some switching to the all cities index.  Of course

the benefit of using the Seattle-Everett index is that it is

closer geographically to Spokane, and most of the comparables

are located in western Washington as well. On the other hand,

it is not necessarily the case that the change in the cost of

living in Spokane is closer to the Seattle-Everett experience

that it is to the rest of the country. The record does not

establish whether the parties have, in past collective

bargaining negotiations relied on one cost of living index as

opposed to the other. Included below are figures using both

indexes:

__________

                                                                                                Avg. of all

                                CPI-W             CPI-W                             cities &

                                (All Cities)      (Seattle~Everett)            Sea.-Ev.

July-86 July 87      3.9%               1.4%                                2.65%

1987                        4.1%               3.4% (avg. for year)       3.75%

__________

 

(B)  Cost of Living Difference Between Spokane and the Comparators

      The City argues that the difference in the cost of living

between Spokane and the comparators must be considered. It

points out that seven of the comparators are located in the

Seattle-Tacoma metropolitan area. The City asserts that when

comparing Spokane with these comparators, which are Tacoma,

Seattle, Bellevue, Kent, Everett, King County Fire District

No. 39 and Pierce County Fire District No. 2, an adjustment

should be made to reflect a 10 percent difference in the cost

of living. The Union responds that the data presented

suggests that there is merely a 2 percent difference in

earnings between workers in Spokane and those in western

Washington urban areas.

      If it can be shown that the wages and cost of living in

Spokane are generally lower than in the comparable

jurisdictions, the differences should be considered. Such

differences are generally recognized in collective bargaining

to justify differing compensation levels between localities.

Moreover, Professor Knowles testified that economists

generally recognize that differences in the Cost of living

between localities will often correlate to differences in wage

levels.

      The City justifies its contention that there is a

10 percent differential in cost of living between Spokane and

the Seattle metropolitan area on reported differences in wages

and per capita income. The City provided data on all cities

in the state with a population of between 15,000 and 250,000.

Those cities located within 50 miles of Seattle or Portland

had a per capita income which was 23.7 percent greater, on

average, than other Washington cities. The cities on the west

side of the state had a per capita income which was 21.4

percent greater than those on the east side. Fire fighters in

metropolitan areas and those on the west side of the state

received over 9 percent higher wages than other fire fighters

in the state. Relying on the Washington City and County

Employee Salary and Benefit survey for 1987, the City also

pointed out that for public employees in 11 selected

occupations, there were substantially higher salaries on the

west side of the state and in metropolitan areas.

      These statistics are not particularly helpful here. As

Professor Knowles explained in his testimony, it is not

reasonable to group Spokane with all other non-metropolitan or

east side cities in the state. Spokane's situation in eastern

Washington is unique. Spokane has a population of 172,000.

There are no other cities in Washington which lie outside of a

metropolitan area and have a population over 50,000. There

are no cities of more than 15,000 people within 75 miles of

Spokane, and only one within 130 miles. Nothing is to be

gained by comparing Spokane with cities between one-third and

one-twelfth its size and located at considerable distance.

      On the other hand, even Professor Knowles concedes that

the cost of living in the Seattle metropolitan area is higher

than in Spokane. The city of Spokane and Spokane County Fire

Department No. 1 are both situated in Spokane County.

According to statistics collected by the United States Bureau

of the Census, the per capita income of Spokane County for

1985 is 16.5 percent less than the average for King, Pierce

and Snohomish Counties. King, Pierce and Snohomish Counties

are in the Seattle metropolitan area. Seven of the twelve

comparators are situated in these three counties. Clark

County which contains two of the comparators, has a per capita

income which is 3.2 percent higher than Spokane County.

Whatcom County, in which Bellingham is located, has a per

capita income which is 1.0 percent less than Spokane County.

Yakima County per capita income is 13.75 percent less than

Spokane County.

      Professor Knowles also provided data collected from area

wage surveys produced by the Washington State Employment

Security Department. The Department provides wage surveys, by

locality, for various categories of occupations. Professor

Knowles testified that he is familiar with the data collection

procedures of the Department, and that the data is reliable.

Professor Knowles compared all occupations contained in the

area wage surveys for Spokane, Pierce and Yakima Counties,

Seattle, and the Vancouver area. A few occupations were

omitted because they were not included in each of the

surveys. However, between 70 and 80 occupations were used.

They were divided into three categories of occupations in the

same manner as the state categorizes the jobs: clerical,

managerial-professional-technical, and general. Inasmuch as

the individual surveys were issued at different times,

Professor Knowles adjusted the figures to reflect the changes

in the cost of living. Compared to Spokane, the area wage

surveys reflect the following, with a "+" reflecting a higher

average monthly wage than that of Spokane County, and a "-"

reflecting a lower figure:

__________

                                                                  Managerial,

                                                                  Professional

                                          Clerical           & Technical       General

      Seattle                        +2.7%             +2.2%                +4.1%

      Pierce County             +3.7%             +1.1%                +8.7%(1)

      Vancouver Area         +0.6%             +1.4                    +2.1%

      Yakima County          -2.4%              -3.2%                 -3.3%

_____

(1)        The Union contends that this 8.7% figure should be

disregarded since it appears to be significantly greater than

all other comparisons. I have chosen to give consideration to

this figure since its effect has been diminished by

considering the average of the various employment categories

and also because the Union's own expert witness submitted this

figure and offered no reason why it would be inaccurate.

__________

If the six figures from Pierce County and Seattle are

averaged, the result reflects wages which are 3.75 percent

higher than that of Spokane County. while this may not

accurately reflect the precise difference in the cost of

living between the Seattle metropolitan area and Spokane, it

is the best information available to the Panel. If the

majority of comparators are to be taken from the Seattle

metropolitan area, then consideration must be given to that

region's higher wages and cost of living. The differences

between Spokane, on the one hand, and Vancouver, Yakima,

 Bellingham and Clark County on the other, tend to balance out

and will be disregarded. Viewed as a whole, the 12 comparators

have an average cost of living which is about 2 percent higher

than that of Spokane.

 

OTHER CONSIDERATIONS

      In addition to the specific criteria set forth in RCW

41.56.060(a)-(e), RCW 41.56.060(f) directs the Panel to

consider "such other factors . . . which are normally or

traditionally taken into consideration in the determination of

wages, hours, and conditions of employment." Such factors,

which are discussed below, have been considered, but with

lesser weight than that which is given to the specifically

enumerated criteria of comparability and cost of living.

 

(A) Ability to Pay

      A factor frequently raised in contract negotiations and

also considered by arbitrators is the ability of the employer

to pay wage and benefit increases. The City asserts that it

faces a very real financial crisis and that it is unable to pay

the Union's demands. The City points to its declining

reserves, its borrowings to meet payroll, its reduction in the

number of its employees, its declining bond rating, its high

rate of taxation and its limited ability to raise more. The

Union argues that the City is able to pay for its wage and

benefit demands. It contends that the City maintains

substantial unrestricted fund balances in its annual budget,

enjoys an extremely low level of bond indebtedness, has

excellent bond ratings, and has not tapped a significant

revenue source, namely, the business and occupation tax.

      It is evident that the City is experiencing financial

difficulties. This Union as well as others appear to have

recognized this in the recent past since there was a virtual

city-wide wage and benefit freeze in 1987. The City has

reduced its total work force in each of the past three years.

Revenues for the City were lower in 1987 than they were in

1986. The 1988 budget reflects projected revenues which are

less than 1 percent higher than they were in 1986.

      The City's year-end general fund balance has declined each

year since 1986. The Union suggests that the drop in the

general fund in 1987 can be attributed to expenditures for the

construction of an agricultural trade center. Half the cost of

that trade center was paid for by the state. The City paid its

share from general fund monies. That may very well have

contributed to the decline in the year-end general fund balance

during 1987.

      The Union points to the substantial balance in the City's

internal service fund. However, that fund is used, for the

most part, to fund the City's various self-insured insurance

programs. In this regard, there was no evidence presented

which would indicate that the amount contained in the internal

service fund was more than was necessary.

      The City had to borrow almost four million dollars in 1987

in order to meet its payroll. In the first five months of

1988, it has had to borrow four million dollars already. Peter

Fortin, the City's finance director, testified that since he

was hired in 1981, the City never had to borrow to meet payroll

until 1987.

      Mr. Fortin testified that the three largest current sources

of City revenue are the sales tax, the property tax, and taxes

on private utilities. The state legislature has set maximum

rates on these taxes that municipalities may impose, and the

City is at the maximum rate allowable for each of these sources

of revenue. The only potential revenue available to the City,

besides additional borrowings, would be a business and

occupation tax (B and O tax). Mr. Fortin testified that no

city in eastern Washington levies a B and O tax and that such a

tax was just not politically feasible.

      It would have been helpful to know how the tax structure of

Spokane compared with that of the comparable jurisdictions.

For instance, do all or most of the comparable cities located

in western Washington impose a B and O tax? If so, how do the

total taxes paid compare? Without this information it is

difficult to assess Spokane's tax burden as compared to that of

the comparable jurisdictions. If the B and O tax were not

considered, then it would appear that the tax burden imposed by

Spokane was among the highest. However, the B and O tax must

be considered in evaluating the tax burden and that information

was not presented to the Panel. If Spokane were unusual among

the larger cities of Washington State in not imposing a B and O

tax, and if such a tax could produce substantial revenue, then

it is the decision of the Spokane political establishment and

citizenry that its taxes be kept down. Such lower taxes 

necessarily result in lesser government services. However,

under the statutory criteria, that does not dictate that

individual fire fighters should be denied fair compensation

comparable to other similarly sized fire departments.

         The Union emphasizes the City's favorable bond ratings.

Moody's Credit Report rates the City's general obligation bonds as

Aa. Its report says:

            The city's importance as a regional

            economic center and moderate debt burden

            contribute to the high quality security.

            Continued ability to expand revenue sources

            and maintenance of adequate financial

            reserves are essential to future credit

            quality

            * * *

            Financial strain is evidenced in declining

            reserves.

      Moody's Credit Report also indicates that as of September

1987, the unemployment rate in the City is 6.2 percent, the

same as the state figure. Standard and Poor recently

downgraded the City's bond rating for bonds requiring only

city council approval from AA to AA-, while continuing the AA

rating for bonds with voter approval. The following was

reported in Standard and Poor's Credit Week:

            The downgrades are based on reduced

            financial flexibility that results from

            issuers approaching their statutory

            property tax rate limit, coupled with lower

            operating fund balances and slower tax base

            growth.

The lower bond rating may cause borrowing to be more expensive

for the City. Nevertheless, as Mr. Fortin concedes, the

City's bond ratings remain good.

      The foregoing information does not indicate that the

City's economy is booming. The slow growth in tax revenue

raises some question about the health of the economy.

However, the rate of unemployment in the City does not suggest

an economy that is severely depressed. The City does appear

to have some difficulty in raising enough revenues to pay for

the government services which it has decided to offer. As a

result, as Assistant Fire Chief Ronald Payton testified, a

number of desirable capital expenditures have been put off.

The number of. City employees has declined. Nevertheless, it

has not been shown that this has been caused by a severe

economic downturn. The City's current budget difficulties

result from tax revenues which are insufficient to pay for the

level of services it has decided to provide and which are also

insufficient to maintain its fund balances at the level which

it finds prudent. However, in order to prove that it is

unable to afford what otherwise would be considered a fair

compensation increase, the City must show that it is in

economic difficulty and cannot be expected to raise additional

revenues or shift funds. Not only has it not been shown that

the City is in a severe economic slump, it has also not been

shown how the total level of taxes imposed in the City

compares with that of other similarly sized jurisdictions in

the state. It has not been shown that Spokane cannot raise

more revenues, or shift funds, or should not be expected to,

given its economic situation when compared with other

similarly sized jurisdictions. Therefore, I am unable to

conclude that the City is without the financial means to pay

compensation which is comparable with similarly sized

jurisdictions.

            (B)  Settlements With Other City Bargaining Units

      From the standpoint of both the Employer and the Union,

the settlements reached by the Employer with other bargaining

units are significant. While those settlements are affected

by the peculiar situation of each individual bargaining unit,

still there is an understandable desire by the Employer to

achieve consistency. From the Union's standpoint, it wants to

do at least as well for its membership as the other unions

have already done. At the bargaining table, the settlements

reached by the Employer with other unions are likely to be

brought up by one side or the other. Thus, it is a factor

which should be considered by the Panel.

      Four other bargaining units of City employees settled for

wage and benefit increases in each case totaling between 2.8

and 2.9 percent for 1988. Three of these bargaining units

represented bargaining units of police or fire department

employees who were entitled to, but did not utilize, interest

arbitration. These included a bargaining unit of fire

department battalion chiefs who settled for a compensation

increase of 2.8 percent.

            (C)  Productivity

      The Union argues that consideration must be given to the

increased productivity of Spokane fire fighters over the past

decade. The Union asserts that the City's cost per fire call

has significantly decreased during this period, much more so

than the cost per police department call. The Union asserts

that the increase in fire fighter productivity has not been

reflected in the relative salaries between police and fire

employees.

      The increase in the total of fire department calls over

the past decade is mostly the result of a much larger number

of emergency medical response (EMS) calls. The number of EMS

responses have likewise increased among the comparable

jurisdictions as they have taken on this new role, so that

Spokane does not appear to be unusual in this respect.

Comparing the actual present productivity of fire fighters and

police officers is not possible based on the evidence

presented, inasmuch as the nature of their work is so

different.

            (D)  Comparison by Statewide Ranking

      The Union points out that there are 28 fire departments in

the state which pay a higher monthly wage than does Spokane.

Many are much smaller than Spokane. None of these departments

are in eastern Washington. The statute calls for comparison

of similarly sized jurisdictions. Negotiators and arbitrators

sometimes consider jurisdictions which are not similarly sized

if they are situated nearby. There is no basis in the

statutory criteria for considering jurisdictions which the

parties agree are not similarly sized and which have no

connection except that they are situated on opposite sides of

the same state.

            (E)  Turnover

      During the past six years, the Department has experienced

only one non-retirement resignation. During the last

recruitment, in 1986, there were 641 applicants for fire

fighter positions in the city of Spokane. These statistics

indicate that the compensation package paid by the City is

more than sufficient to attract and retain employees.

 

FIRE EQUIPMENT OPERATOR POSITION

      The City proposes deletion of the fire equipment operator

position. Fire equipment operators now receive a monthly

salary which is 5.1 percent higher than that of a fire

fighter. The City proposes that the bulk of the money that it

saves would be utilized to increase the base wages for all

fire fighters. The City reasons that only a very small number

of the comparable jurisdictions have a separate fire equipment

operator position, that the duties of the fire equipment

operator are routinely performed by employees classified as

fire fighters, and that those duties do not warrant more pay

than is paid to fire fighters.

      The Union argues that the fire equipment operator

classification should be retained. It asserts that the City's

proposal is illegal, since the City's civil service rules

require that it first seek permission from the Civil Service

Commission before proposing reclassification in bargaining.

The Union further argues that the fire equipment operators

have responsibilities which are deserving of extra recognition

and compensation. The Union asserts that elimination of this

classification is not justified by a comparison with the

comparable jurisdictions.

      The City is not legally precluded from negotiating the

removal of a particular classification before the matter is

acted upon by the City's Civil Service Commission. The Union

points to civil service rules that require reclassification

"by order of the Civil Service Commission subject to final

action by the City Council." The Union states in its brief

that the City is internally bound by the procedures set forth

in the city charter, and accordingly, must first seek

permission from the Civil Service Commission before proposing

the elimination of a classification. However, in Rose v.

Erickson, 106 Wn.2d 420 (1986), the Washington Supreme Court

held that the state's collective bargaining laws are dominant

over local civil services laws where there is a conflict

between the two. RCW 41.56.030(4) sanctions "collective

negotiations on personnel matters" and the execution of a

written agreement on such matters. Classifications and wage

scales are personnel matters within the meaning of RCW

41.56.030(4). Thus, the parties are free to negotiate with

regard to the fire equipment operator classification. Any

resulting agreement would prevail over the local civil service

rules. Even if this were not the case, I know of no reason

why the City could not negotiate the elimination of a

classification, subject to the later approval of the Civil

Service Commission.

      The fire equipment operator position has existed in the

City since 1969. In view of the existence of such a

longstanding practice, the City must bear the burden of

proving that a change is in order. The evidence presented was

not sufficient to prove that the fire equipment operator

position should be eliminated.

      It is not unreasonable for the fire equipment operators to

be classified separately from fire fighters and to receive a

higher wage. In recognition of the special skills required of

the job, an applicant for the position of fire equipment

operator must pass an examination. Then every three years,

recertification is required on each type of apparatus that

might be driven. The fire equipment operator serves as lead

man over fire fighters with regard to the care and maintenance

of equipment, and usually becomes acting company officer when

the officer is absent. The fire equipment officer is

responsible for the inspection, maintenance, and operation of

vehicles costing as much as $150,000 in the case of pumpers,

and often considerably more than that for ladder trucks. They

are required to have knowledge of hydraulics, pumps, and

aerial ladders. They must be skilled in the operation and

maintenance of various types of fire apparatus. They must

maneuver their apparatus through traffic at high speeds,

position the apparatus at the fire scene, and then perform the

complicated task of setting up the equipment. Thus, the fire

equipment operators operate as lead persons, are responsible

for very expensive and complicated equipment, and in general

have special responsibilities for which special recognition is

not out of order. That fire fighters fill in for absent fire

equipment operators more than one-third of the time does not

mean that the fire equipment operator does not perform work

justifying additional compensation. The parties have

heretofore agreed upon extra pay for fire fighters who

fill in for the equipment operator, just as extra pay is paid

to employees who fill in for the company officer.

         Of the stipulated 12 comparable jurisdictions, four

currently employ fire equipment operators, and one other,

Tacoma, will do so in 1989. The City asserts that the

implementation of the fire equipment operation position in

Tacoma is irrelevant, since this Panel should not be concerned

with the practice of the comparators in 1989. However, the

situation in Tacoma, following the implementation of the

equipment operator position in Bellevue this year, indicates

an expanding trend to recognize that position, not to

eliminate it. Thus, while in 1987, only 3 of 12 comparators

gave recognition to the fire equipment operator position, by

1989, 5 of 12 will. Thus, the City's practice of recognizing

that position does not stand out as significantly different

from that of the comparators. There is insufficient reason to

delete the fire equipment operator position and thereby

decrease the wages of a significant number of the bargaining

unit employees.

 

HOURS

      The Union proposes to reduce the weekly hours of duty for

24-hour shift personnel from 52 to 50 by increasing the number

of "Kelly" shifts off from one every six weeks to one every

four weeks. The Union asserts that this is justified because

personnel in the comparable fire departments generally work

fewer hours than in Spokane.

      The City argues that the current 52-hour workweek should

be maintained. It asserts that this workweek keeps Spokane in

line with its comparables, is less than that of others in the

local market, and is fair to employees. The City also asserts

that the costs associated with the Union's proposal are

exorbitant.

      The bargaining unit members work a schedule of 24 hours on

duty, followed by 48 hours off duty. During the 24 hours on

duty, in addition to their assigned work, employees have

periods for meals, rest and recreation, and sleep. Every six

weeks, each employee is entitled to one Kelly day, i.e., one

shift off. This schedule results in each employee working an

average of 52 hours per week.

      All of the comparable jurisdictions but one also work

24-hour schedules, with Kelly day adjustments. The lone

exception is Everett, which works, alternately, 10 or 14 hours

at a stretch. Thus, Everett fire fighters must report for

more shifts than do the fire fighters in Spokane or any of the

comparable jurisdictions. Inasmuch as Everett fire fighters

do not work the 24-hour shift worked by Spokane and the other

11 comparable jurisdictions, and since no evidence was

presented which would establish the extent of the significance

of this variable, I have decided to disregard Everett's

situation with regard to hours. In City of Bellevue, supra,

Everett's situation was similarly disregarded.

      Listed below are the average weekly hours scheduled by the

comparators other than Everett:        

__________

      Seattle               45.20

      Tacoma              46.60

      Bellevue            50.48

      CCFD #5           52.00

      SCFP #1             53.05

      Kent                   52.32

      KCFD #39         48.00

      PCFD #2            51.84

      Yakima              52.00

      Bellingham        51.50

      Vancouver         49.00

      Average             50.18

      Median              51.50

__________

      The hours worked by the Spokane fire fighters are less

than two hours higher than the average, but only one half hour

above the median number of hours worked in the comparators.

In the majority of the utilized comparators, the hours worked

are within about one hour, plus or minus, of the hours worked

in Spokane. Spokane County Fire Department No. 1, which is in

 the same labor market area as the city of Spokane, is one of

these. Overall, there has been no showing with regard to

hours worked, that the situation of the Spokane fire fighters

compared with the situation among the comparators is such that

it requires correction.

 

MEDICAL BENEFITS

      In the expired agreement, for each employee, the City

committed to pay a designated amount which covered the

insurance premium for the Washington State Council of

Firefighters/Blue Cross Plan. In that agreement, the parties

provided that any premium increase during the term of the

Agreement would be paid by the employee, but would be subject

to negotiation for the next contract year.

      The City asserts that its proposal to cap its contribution

rate for medical benefits for 1988 at 108 percent of the level

paid in 1987 is reasonable as a cost containment mechanism.

The City points to two very large premium increases which

resulted in medical premiums for the latter half of 1988 which

were 54.8 percent higher than they were during 1987. This was

for a medical plan which the Union insisted upon utilizing

during negotiations for the expired agreement. These

increases occurred on January 1 and July 1, 1988. The City

also points out that other City employees had no premium.

increase, with the exception of police LEOFF I employees who

had a premium increase of 13.9 percent.

      The Union proposes that the City continue to pay 100

percent of the medical premium, as it has in the past. The

Union asserts that medical insurance costs for fire fighters

have increased throughout the state. The Union recognizes

that the increased premium for medical insurance must be

factored into the total economic package.

      The following chart lists the costs for Spokane and the

comparable jurisdictions of monthly premiums for health

benefits for a fire fighter with ten years of experience and

with a wife and children. These figures encompass such items

as premiums for medical, dental, life, and disability

insurance.

__________

      Seattle                                       200

      Tacoma                                      313

      Bellevue                                    341

      CCFD #5                                   301

      SCFP #1                                     313

      Kent                                           242

      KCFD #39                                 331

      PCFD #2                                    345

      Everett                                       230

      Yakima                                      231

      Bellingham                                195

      Vancouver                                 259

 

      Average (1988)                         275

      Median (1988)                           280

 

      Spokane (1987)                         256

      Spokane (1st half - 1988)          313

      Spokane (2nd half - 1988)         367

      Spokane (avg. - 1988)               340

__________

These figures reflect that while Spokane's current

contribution would rank eighth out of 13 if grouped with the

comparators, the current cost of health premiums for Spokane

fire fighters if paid entirely by the City would be 6 percent

higher than the highest paid by a comparator. The current

premium for insurance is 33 percent higher in Spokane than is

the average among the comparables. Considering the lower

premiums paid by Spokane fire fighters during the first half

of 1988, still the average premiums for the year for Spokane

fire fighters would still be within five dollars of the

highest health insurance costs paid by a comparator, and 24

percent higher than the average.

      The cost of health premiums for Spokane fire fighters rose

a total of 43 percent during 1988. Medical premiums were 54.8

percent higher on July 1, 1988, than they had been at the end

of 1987. The Union points to several examples of other

insurance plans in the state which have had substantial

insurance premium increases during 1988. However, there has

been no showing that such increases were common among the

comparators. Such increases were not common for insurance

plans utilized by other bargaining units representing City

employees. In the expired contract, the parties had agreed

upon the concept of cost sharing for future premium increases

which occurred during 1987. Given the unusually large

increase in premiums during 1988 which is out of proportion to

the change in the cost of living or the increase in health

costs among the comparators, it is appropriate that the

employees pay a portion of that increase.

      A 10 percent increase in monthly medical benefits to

$222.20 shall be granted here. Total monthly health benefits

will amount to $276.20. This would place health benefits in

Spokane at a level which is very close to the average and the

median of the comparators. The amount required to pay the

remainder of the medical premium after the City has made its

contribution shall be paid by the employee. In view of the

substantial wage increase which is awarded, and the fact that

most of the benefit year has passed, the Panel has unanimously

agreed that the City's increase in medical premium

contributions shall not be retroactive, but rather shall be

effective as of October 1, 1988.

 

WAGES

      The City and the Union agree that a comparison of the

wages of Spokane and the comparators must take into account

the monetary premium which Spokane and four of the comparable

jurisdictions pay for the fire equipment operator. For

instance, in Spokane, since 38 percent of the fire fighters

are equipment operators, that percentage of the premium for

equipment operators was added to the base monthly wage in

order to arrive at the weighted base wage. Since the average

Spokane fire fighter has over 13 years of service, I have

based my comparisons on the basis of a fire fighter with 10

years of experience. Both parties agree that any wage

increase should be the same percentage for all ranks.

      Listed below are the 1987 monthly weighted base wages for

a fire fighter with ten years of service in Spokane and the

comparators:

__________

      Seattle              2668

      Tacoma            2756

      Bellevue           2629

      CCFD #5          2427

      SCFP #1           2427

      Kent                 2691

      KCFD #39        2725

      PCFD #2          2801

      Everett             2857

      Yakima             2519

      Bellingham       2423

      Vancouver        2559

 

      Average           2623

 

      Spokane           2530

__________

This reflects that in 1987, a Spokane fire fighter with ten

years of experience received a monthly wage which was 3.7

percent less than the average of the comparators.

      All of the comparable jurisdictions have already reached

collective bargaining agreements for 1988. Listed below are

the 1988 monthly weighted base wages for a fire fighter with

ten years of service in the comparators:

__________

      Seattle            2756

      Tacoma           2852

      Bellevue         2736

      CCFD #5        2787

      SCFD #1         2427

      Kent                2765

      KCFD #39      2808

      PCFD #2         2871

      Everett            2942

      Yakima           2519

      Bellingham     2543

      Vancouver      2654

      Average          2721

__________

The wage increase required to bring the weighted base wages of

a Spokane fire fighter to the average of that of the

comparators in 1988 is 7.5 percent.

      The 1988 weighted base wage increases for each of the

comparable jurisdictions are as follows:

__________

      Seattle                     3.0%

      Tacoma                    3.0%

      Bellevue                  4.0%

      CCFD #5                 15.0%(2)

      SCFD #1                  0.0%

      Kent                         3.0%

      KCFD #39               3.0%

      PCFD #2                  2.5%

      Everett                     3.0%

      Yakima                    0.0%

      Bellingham              5.0%

      Vancouver               4.0%

      Average                   3.79%

      Median                    3.16%

_____

2The City asserts in its brief that the large wage

increase in Clark C9unty Fire District No. 5 was attributable

to its merger with another fire district. No evidence was

presented which would substantiate or explain this assertion.

__________

      The parties agree that a comparison of compensation levels

requires more than a mere comparison of base wage levels. The

City argues that longevity pay and education premiums, in

addition to driver premiums, should be considered. The City

asserts that the plethora of other premiums that exist in

certain collective bargaining agreements should be disregarded

because there are just too many individualized premiums that

differ from jurisdiction to jurisdictjon. The City points out

that this was the approach taken in the recent City of

Bellevue decision. The City asserts that insurance premiums

should not be lumped together with wages for purposes of

comparison, but rather that insurance programs should be

separately compared. The City argues that the level of

insurance premiums does not necessarily indicate the level of

benefits offered. It also points out that, by statute,

employees hired before October 1, 1977 (LEOFF I employees) are

treated differently with respect to medical coverage than

those who were hired afterwards. (LEOFF II employees). All

LEOFF I employees are statutorily entitled to broad medical

coverage paid for by the Employer. LEOFF I dependents and

LEOFF II employees and dependents receive the level of

benefits which are established as a result of collective

bargaining. The City argues that there is no evidence in the

record with regard to the cost of health insurance for LEOFF I

employees, and that therefore it is not possible to make a

proper overall comparison of health benefits.

      The Union argues that a proper compensation comparison

should include all fringe benefits, including longevity,

holiday pay, insurance, federally mandated overtime,

retirement (other than LEOFF), and all forms of premium pay.

      I have determined to compare the entire compensation

packages, with the exception of a few items which are either

insignificant or difficult to compare. Generally, in

negotiations, the parties consider the entire compensation

package. The cost of items are generally discussed at the

bargaining table. One party or the other may request that

money be shifted from wages to benefits or vice versa. Some

jurisdictions may agree upon lower base wages, and a higher

level of benefits. Others may take the opposite approach.

The fairest comparison of compensation requires an examination

of the entire compensation package.

      Insurance costs are included, though the costs of

insurance for LEOFF I employees and for social security are

omitted, since those items were not placed into evidence.

Insurance benefits may vary from program to program, as the

City asserts. In my view, this does not provide sufficient

justification for disregarding the cost of insurance, when

comparing compensation levels. First of all, the parties are

free to negotiate different plans. Moreover, the amount of

insurance premiums paid by the employer is a very significant

aspect of compensation.

      I have not considered holiday pay inasmuch as it is paid

in lieu of compensatory time off which other jurisdictions

offer. EMT premiums are considered on a weighted basis since

it is significant in amount and application. I view it in the

same manner as the premium for the fire equipment operator

which the parties have agreed should be considered. Bellevue

and Pierce County Fire District No. 2 each have supplementary

retirement plans. The cost of those has been considered.

Finally, there are a number of premiums which are given to

relatively few employees and are insignificant in the totals.

They shall be disregarded. Federally mandated overtime is

also insignificant and shall be disregarded.

      Listed below are the total 1988 compensation figures for

fire fighters with ten years of experience in the comparable

jurisdictions. The wage figures are again weighted for the

fire equipment operator premium. Where there are differences

between the figures supplied by the City and the Union, I have

taken the average of the two figures. These differences were

not significant.

__________

      Seattle

            Wages                                  2756

            Longevity                            110

            Medical                               155

            Dental                                  45

            Total                                    3066

      Tacoma

            Wages                                  2852

            Longevity                            114

            Medical                               259

            Dental                                  44

            Life                                      9

                                                         3278

      Bellevue

            Wages                                  2736

            Education                             46

            Supp. Retirement                205

            Medical                               278

            Dental                                  57

            Life                                      5

                                                         3327

      CCFD #5

            Wages                                  2787

            Longevity                            90

            Medical                               268

            Dental                                  33

                                                         3178

      SCFD #1

            Wages                                  2427

            Longevity                            140

            Cleaning Allowance            10

            Medical                               268

            Dental                                  33

            Disability                             12

                                                         2890

      Kent

            Wages                                  2765

            Longevity                            111

            Medical                               239

            Life                                      3

                                                         3118

      KCFD #39

            Wages                                  2808

            Longevity                            50

            Medical                               268

            Dental                                  60

            Life                                      3

                                                         3189

      PCFD #2

            Wages                                  2871

            Education                             14

            Supp. Retirement                50

            Medical                               268

            Dental                                  58

            Disability                             18

                                                         3279

      Everett

            Wages                                  2942

            Longevity                            101

            Medical                               230

                                                         3273

      Yakima

            Wages                                  2519

            Longevity                            76

            Medical                               179

            Dental                                  47

            Life                                      5

                                                         2826

      Bellingham

            Wages                                  2543

            Longevity                            20

            Medical                               155

            Dental                                  40

                                                         2758

      Vancouver

            Wages                                  2654

            EMT Premium                    25

            Medical                               205

            Dental                                  45

            Life                                      5

                                                         2934

__________

The average total wages and benefits of the comparable

jurisdictions iB $3093. The following reflects the total

wages and benefits for Spokane, excluding the wage and medical

premium increases awarded here:

__________

      Spokane

            Wages                                  2530

            Longevity                            99

            Medical                               202

            Dental                                  37

            Life                                      5

            Disability                             12

                                                         2885

__________

The total wages and benefits received by Spokane fire fighters

is 7.2 percent less than the average of the comparable

jurisdictions for 1988.

      The Union urges that hourly compensation should be

compared. It calculates hourly compensation by dividing the

annual compensation figure in each jurisdiction by the number

of hours scheduled in a year, adjusted for the number of hours

corresponding to the allotted Kelly days, holidays, and

vacations. I have determined to compare monthly compensation

figures, rather than hourly figures. First of all, there is

no evidence that the parties have ever negotiated wages based

on an hourly figure. At least since 1981, all collective

bargaining agreements between the parties have listed wages on

a monthly basis and an annual basis, but not on an hourly

basis. Further, as I previously stated in a decision

involving the City of Bothell and International Association of

Firefighters, Local No. 2099, (1987), while the number of

hours worked directly relates to the level of hourly

compensation, it would be misleading to factor hours worked,

holidays and vacations into the compensation equation for

comparative purposes, and to ignore a host of other issues

related to hours. For instance in this bargaining unit,

compensation is affected by provisions relating to call back

and holdover pay, overtime, and court time. The Union's

suggested hourly wage comparison also disregards such related

items as military leave, education leave, as well as meal

periods, sleep time, and other nonactive work time which

significantly affect what may be considered the "hourly"

compensation paid by Spokane and the comparators.

      As previously discussed, Spokane fire fighters receive

total monthly compensation which is 7.2 percent less than that

received, on the average, by the comparators. Items already

agreed to during negotiations, when added to the medical

benefit increase which is being awarded for the last three

months of 1988, amount to a compensation increase of about 0.4

percent. This reduces the difference to 6.8 percent. The

best estimate of the cost of living among the comparators,

compared with that of Spokane, indicates that, on the average,

Spokane's cost of living is about 2 percent less than that of

the comparators. That leaves a 4.8 percent difference in

effective compensation. A 4.8 percent wage increase would be

significantly higher than the median 3.16 percent or average

3.79 percent wage increase among the comparators for 1988. It

is about two percentage points higher than the compensation

increases negotiated with other City bargaining units. It is

also higher that the cost of living increase, no matter which

index or time period is relied upon. For these reasons, and

in view of the statutory criteria that requires consideration

of not only comparability, but also cost of living, and other

factors normally taken into consideration in the determination

of wages, I find that a wage increase of 4.5 percent is

appropriate. That will result in a total compensation

increase of about 4.9 percent.

      A 4.5 percent wage increase would be a higher percentage

increase than that which was received in all but two of the

comparable jurisdictions. As a result of the 15 percent wage

increase which occurred in Clark County Fire Department No. 5,

Spokane's base wage ranking will drop one notch, from ninth

out of thirteen, to tenth among the comparators. Still, the

larger than average increase which is awarded here, will serve

to narrow the compensation gap between Spokane and the

comparable jurisdictions.

 

INTEREST ARBITRATION AWARD

      It is the determination of your Neutral Chairman that the

1988 Collective Bargaining Agreement between the City of

Spokane and the International Association of Fire Fighters,

Local No. 29 shall include the the following:

 

A.  The Fire Equipment operator classification shall be

      retained in the Agreement.

B.  Current contract language reflecting a 52-hour

      workweek shall be retained.

C.  Effective October 1, 1988, the City's contribution

      for medical insurance premiums shall be increased by

      10 percent.

D.  Effective January 1, 1988, the monthly rates of pay

      for all employees covered by the Agreement shall be

      increased by 4.5 percent.

 

Redmond, Washington

Dated:  September 26, 1988         /s/

                                                        Alan R. Krebs, Neutral Chairman

 You are being directed to the most recent version of the statute which may not be the version considered at the time of the judgment.