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 International Association of Fire Fighters Local 2141 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 International Association of Fire Fighters, Local 2141 (IAFF Local 2141).
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 IAFF Local 2141, subject to annual appropriation by City Council with the approval of the budget in each fiscal year the agreement is in effect.
BACKGROUND: The City and the Fire and Emergency Medical Services bargaining unit, represented by the International Association of Fire Fighters, Local 2141 (IAFF), are parties to a collective bargaining agreement governing wages, hours, and other terms and conditions of employment for uniformed Fire and EMS personnel. The current agreement expires on June 30, 2026. Pursuant to the City’s collective bargaining ordinance, the parties commenced negotiations for a successor agreement.
Negotiations began on March 28, 2025, and were conducted in accordance with the City’s collective bargaining ordinance. The objective of the negotiations was to reach a successor agreement that maintains effective fire and emergency services, supports employee recruitment and retention, and aligns compensation and benefits with the City’s financial capacity and obligations to other bargaining units.
Throughout negotiations, the parties exchanged proposals addressing both economic and non-economic issues, including but not limited to wages, overtime, staffing, leave provisions, and working conditions. The City’s negotiating team was guided by adopted budget parameters, long-term fiscal sustainability, internal equity among employee groups, and the City’s public safety service delivery goals.
Negotiations concluded on November 18, 2025, with the parties reaching a tentative agreement. The bargaining unit ratified the tentative agreement on December 2, 2025. The agreement is now submitted to the City Council for consideration. If approved, the successor agreement will take effect on July 1, 2026, and remain in force through June 30, 2029.
DISCUSSION: On November 18, 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.
The Fire and Emergency Medical Services bargaining unit consists of employees in the following classifications: Firefighter I, Firefighter II, Firefighter III, Firefighter IV, Medic II, Medic III, Medic IV, Deputy Fire Marshal I, Deputy Fire Marshal II, Deputy Fire Marshal III, Fire Lieutenant, EMS Lieutenant, Fire Captain, and EMS Captain.
The Parties agreed to maintain the existing pay structure for all positions within the bargaining unit. At the outset of negotiations, the IAFF identified scheduling for employees assigned to a suppression/EMS shift as a primary focus. Accordingly, the Parties agreed that, by December 31, 2028, employees assigned to suppression/EMS shifts will be scheduled to work an average of forty-six (46) hours per week. Reducing scheduled hours within the regular tour of duty has the effect of increasing an employees’ effective hourly rate of pay.
In addition, the Parties negotiated a 1.0% annual pay scale adjustment in Fiscal Years 2027 and 2028. These adjustments support recruitment and retention, avoid pay compression, and position Alexandria as a regional leader in scheduling practices for employee group among our Virgina comparator jurisdictions.
The Parties further agreed to maintain existing merit increase levels. Employees who do not meet performance expectations will remain ineligible for merit increases.
The Parties also agreed to increase the annual longevity bonus for employees at the top of their pay scale from $500 to $750, for the term of this contract.
In addition, the Parties agreed to include a 25-year Deferred Retirement Option Plan (DROP). This DROP will allow employees with at least 25-years of service to retire under the pension plan for benefit calculation purposes while continuing to work for up to three additional years. These wage and benefit provisions are memorialized in the attached tentative collective bargaining agreement.
The City’s Office of Management and Budget prepared a fiscal impact study analyzing the cost of the tentative agreement, which is summarized below.
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 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 appropriation. The attached resolution contains the required language regarding Council’s good faith commitment to appropriate necessary funding.
Staff recommend that City Council adopt the resolution reflecting its good faith commitment to fund the negotiated wages and benefits under the tentative agreement, as set forth in the fiscal impact study. Staff note that the resolution remains subject to Council’s annual appropriation of funds.
FISCAL IMPACT: The collective bargaining agreement for FY 2027 through FY 2029 is estimated to cost $8 million, reflecting wage impacts and other recurring costs for approximately 300 covered positions and ongoing costs of contracted grounds maintenance. These estimates represent the incremental difference between salary and benefit costs under the tentative agreement and a baseline scenario that assumes regular annual step increases under the existing pay scale and classification structure.
Costs associated with the tentative agreement include increased salaries and the resulting impact on fringe benefits at current FY 2026 rates and overtime. Actual salary and benefit costs may vary due to employee turnover and future changes in benefit rates. The estimates include a 1.0% annual pay scale adjustment in fiscal years 2027 and 2028.
Notably, the agreement removes prior language allowing the reopening of bargaining if inflation exceeded 2.5% in any 12-month period, thereby providing greater budget predictability and fiscal stability over the term of the contract.
A breakdown of these costs is presented in the table below.
|
Fiscal Impact |
FY 2027 |
FY 2028 |
FY 2029 |
Total |
|
Wages |
1.64M |
2.09M |
2.07M |
5.8M |
|
Total |
1.64M |
2.09M |
2.07M |
5.8M |
The collective bargaining agreement also provides for increased staffing. Specifically, the estimates below reflect the addition of 14 positions to support the reduction of firefighter work schedules from 49 hours per week to 46 hours per week. The table below illustrates the estimated cost of adding these positions in equal increments over the three-year term of the agreement. The actual implementation schedule may vary based on operational needs and staffing considerations.
|
Fiscal Impact |
FY 2027 |
FY 2028 |
FY 2029 |
Total |
|
Increased Staffing |
0.21M |
0.65M |
1.34M |
2.20M |
|
Total |
0.21M |
0.65M |
1.34M |
2.20M |
In total, the collective bargaining agreement for FY 2027 through FY 2029 is estimated to cost up to $8 million over the three-year term, including up to $1.9 million in FY 2027, up to $2.7 million in FY 2028, and up to $3.4 million in FY 2029.
ATTACHMENTS:
1. Resolution
2. Tentative Collective Bargaining Agreement between the City and the International Association of Fire Fighters, Local 2141
STAFF:
Cheran Ivery, City Attorney
Yon Lambert, Deputy City Manager
Jane Christensen, Deputy City Manager
Meghan Roberts, Deputy City Attorney
Julio Munoz, Assistant City Attorney
Morgan Routt, Director, Office of Management and Budget