Common use of – Fiscal Crisis Clause in Contracts

– Fiscal Crisis. ‌ If, during the term of this MOU, the City of Tempe experiences loss of revenues or legal requirements, that if not resolved during the budget year would result in the layoff of employees or the serious curtailment of City services provided to the residents of Tempe, this MOU may be reopened. This provision shall only apply if the general population of employees is subject to the same or greater reduction of pay or benefits negotiated as a result of this re-opener provision. The following provisions shall apply to this circumstance: a. The City shall notify the Association President in writing of the need to reopen this MOU. Such notice shall include the reasons for the reopening and the anticipated amount of citywide budget shortfall that needs to be resolved in order to alleviate the need to lay off employees or severely curtail City services provided to the residents of Tempe. b. The City shall supply the President with all available current budget information including, but not limited to, projected revenue shortfalls. c. The parties shall meet and confer/negotiate in a good faith effort to reach agreement on what, if any reduction in pay and/or benefits shall occur for Unit Members in order to address the City’s budget shortfall. d. The meet and confer/negotiation process will be for a period of no more than thirty (30) calendar days. During this thirty (30) day period, the parties shall meet at least weekly unless mutually agreed otherwise. e. If the parties are unable to reach an agreement on the issues identified for this process, the issues will be submitted directly to the City Council which shall make a final determination. The determination of the City Council shall be final and binding on the parties.

– Fiscal Crisis. ‌ If, during the term of this MOU, the City of Tempe experiences loss of revenues or legal requirements, that if not resolved during the budget year would result in the layoff of employees or the serious curtailment of City services provided to the residents of Tempe, this MOU may be reopened. This provision shall only apply if the general population of employees is subject to the same or greater reduction of pay or benefits negotiated as a result of this re-opener provision. The following provisions shall apply to this circumstance: a. The City shall notify the Association President in writing of the need to reopen this MOU. Such notice shall include the reasons for the reopening and the anticipated amount of citywide budget shortfall that needs to be resolved in order to alleviate the need to lay off employees or severely curtail City services provided to the residents of Tempe. b. The City shall supply the President with all available current budget information including, but not limited to, projected revenue shortfalls. c. The parties shall meet and confer/negotiate in a good faith effort to reach agreement on what, if any reduction in pay and/or benefits shall occur for Unit Members in order to address the City’s budget shortfall. d. The meet and confer/negotiation process will be for a period of no more than thirty (30) calendar days. During this thirty (30) day period, the parties shall meet at least weekly unless mutually agreed otherwise. e. If the parties are unable to reach an agreement on the issues identified for this process, the issues will be submitted directly to the City Council which shall make a final determination. The determination of the City Council shall be final and binding on the parties.