City of Alexandria, Virginia
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MEMORANDUM
DATE: JANUARY 8, 2026
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER
FROM: ERNESTO TAMAYO, CHIEF LABOR RELATIONS OFFICER
DOCKET TITLE:
TITLE
Public Hearing on the Fiscal Impact Study of the Tentative Collective Bargaining Agreement with the American Federation of State, County and Municipal Employees and Consideration of a Resolution indicating City Council’s Good Faith Commitment to Appropriate the Funding Necessary to Implement the Agreement. [ROLL-CALL VOTE].
BODY
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ISSUE: Consideration of a resolution reflecting City Council’s good faith commitment to appropriate funding necessary for the City to meet its obligations under the tentative collective bargaining agreement reached between the City and the American Federation of State, County, and Municipal Employees District Council 20, Local 3001 (AFSCME).
RECOMMENDATION: That City Council, following a public hearing, adopt the attached resolution indicating its good faith commitment to appropriate funding necessary to implement the tentative collective bargaining agreement between the City and AFSCME, subject to annual appropriation with the approval of the budget in each fiscal year the agreement is in effect.
BACKGROUND: The City and the Administrative and Technical bargaining unit, represented by the American Federation of State, County, and Municipal Employees, District Council 20, Local 3001 (AFSCME), are parties to a collective bargaining agreement governing wages, hours, and other terms and conditions of employment for bargaining unit employees.
Ordinance No. 5336 establishes five bargaining units. Section 2-5-72(c) creates the Administrative & Technical bargaining unit, consisting of non-supervisory and non-managerial employees who perform administrative or office support work and who are not confidential employees excluded from collective bargaining pursuant to City Code.
AFSCME submitted a Petition for Representation Election dated July 26, 2024. The Labor Relations Administrator (LRA) ordered an election from November 18, 2024, through November 25, 2024. On January 13, 2025, the LRA certified AFSCME as the exclusive representative of employees in the Administrative and Technical bargaining unit for the purposes of collective bargaining with the City.
Pursuant to the City’s collective bargaining ordinance, the parties commenced negotiations for an initial agreement.
DISCUSSION: On November 21, 2025, the Parties reached a tentative agreement on employee wages and benefits for a three-year contract term beginning July 1, 2026, through June 30, 2029.
Following an initial impasse, the Parties negotiated wage increases for all bargaining unit employees for each year of the contract term, informed by recommendations from a factfinder. Specifically, the agreement provides for a 3% wage increase in FY 2027, a 2.75% wage increase in FY 2028, and a 1.5% wage increase in FY 2029. These pay scale adjustments support recruitment and retention and help avoid pay compression.
In addition, the Parties agreed to provide annual one-time longevity bonuses for employees at the top of their pay scale. Employees with at least five years but fewer than ten years of service will receive a $1,000 net longevity bonus, and employees with ten or more years of service will receive $3,000 net longevity bonus.
With respect to standby pay, which is a form of premium pay, the Parties agreed to increase the number of compensable standby hours by thirty (30) minutes for employees assigned standby Monday through Friday. Employees on standby Monday through Friday will receive a maximum of 7.5 hours of standby pay per week, resulting in a meaningful increase in compensation for standby assignments.
The Parties also agreed to provide a boot allowance voucher of up to two hundred dollars ($200) per pair of boots, up to two pairs per year, to offset employees’ costs of required footwear.
Regarding benefits, the Parties agreed to maintain the status quo. The agreement also expands participation on the existing Benefits Committee established by the City’s Department of Human Resources by adding two additional bargaining unit slots to review existing benefits and make recommendations related to cost containment.
The City’s collective bargaining ordinance requires City Council to specify, by resolution, its good faith commitment to appropriate funding necessary for the City to meet its obligations under the tentative agreement as set forth in the fiscal impact study, with the express understanding that any such resolution remains subject to actual annual appropriation. The attached resolution contains the required language.
FISCAL IMPACT: The Administrative and Technical collective bargaining agreement is estimated to cost $12.5 million over the three-year term (FY27-FY29).
|
Fiscal Impact |
FY 2027 |
FY 2028 |
FY 2029 |
Total |
|
Ongoing Costs |
2.80M |
4.38M |
5.31M |
12.49M |
The agreement provides for gradual increases in base compensation broken out to $2.8 million in FY27 (a 3% increase), $4.4 million in FY28 (2.75%), and $5.3 million in FY29 (1.5%).
These estimates represent the incremental difference between salary and benefit costs estimated under the tentative agreement and a baseline scenario assuming current salaries, annual step/merit increases, and standby pay that would otherwise have occurred under the existing pay scale/classification structure.
ATTACHMENTS:
1. Resolution
2. Tentative Collective Bargaining Agreement between the City and the American Federation of State, County, and Municipal Employees District Council 20, Local 3001
STAFF:
Cheran Ivery, City Attorney
Alethea Predeoux, Deputy City Manager
Jane Christensen, Deputy City Manager
Meghan Roberts, Deputy City Attorney
Robert S. Porter, Assistant City Attorney
Morgan Routt, Director, Office of Management and Budget