AGREEMENT BETWEEN THE BOROUGH OF HANOVER AND AMERICAN FEDERATION OF STATE, COUNTY, AND MUNICIPAL EMPLOYEES, AFL-CIO WHITE COLLAR UNIT

January 1, 2019- December 31, 2021

{L0831959.1} 1 THIS AGREEMENT, entered into by The Borough of Hanover (hereinafter referred to as Employer), and the American Federation of State, County, and Municipal Employees, AFSCME White Collar Nonprofessional Employee Union (hereinafter referred to as the Union)

WITNESSTH: The parties hereto, intending to be legally bound, covenant and agree as follows:

ARTICLE 1- RECOGNITION

Section 1: The Union is recognized as the exclusive representative for collective bargaining purposes for employees within the classifications established by a certification of the Pennsylvania Labor Relations Board, dated December 17th, 2018, referred to as all full-time and regular part-time white collar nonprofessional employees, including but not limited to, office clerks, counter clerks, police receptionist, receptionist, clerks, payroll assistants, water department billing employees, water accounts payable employees, and excluding management level employees, , first-level supervisors, confidential employees, and guards as defined in Act 195. Reference Pera-R-18-19-E

Section 2: This agreement pertains only to those employees falling within the certification referred to in this Article. The term employee when used in this Agreement refers only to those persons falling within the classification of the certification.

ARTICLE 2- UNION SECURITY

Section 1: Each employee who, on the effective date of this Agreement, is a member ofthe Union, and each employee who becomes a member after that date shall maintain membership in the Union provided that such employee may resign from the Union in accordance with the following procedures:

a. The employee shall send a certified letter, return receipt requested, of to the headquarters of Council 89, AFSCME AFL-CIO and a copy ofthe letter to the Employer. The official membership card, if available, shall accompany the .

b. The letter shall be postmarked during the 15 day period prior to the expiration date of this Agreement and shall state that the employee is resigning membership in the Union and where applicable is revoking check-off authorization.

Section 2: The employer shall furnish the Union with two (2) executed agreements and one (1) electronic copy within forty-five (45) days following execution ofthis agreement by both parties.

(L0831959.1} 2 ARTICLE 3- DUES DEDUCTION

Section 1: The employer agrees to deduct the Union bi-weekly membership dues and an annual assessment, if any from the pay of those employees who individually request in writing that such deductions be made. The amounts to be deducted shall be certified by the employer and by the Union, and the aggregate deductions of all employees shall be remitted together with an itemized statement to the Union by the last day of the succeeding month, after such deductions are made. This authorization shall be irrevocable during the term of this Agreement.

Section 2: The Union shall indemnify and hold the employer harmless against any and all claims, , orders or judgements brought or issued against the employer as a result of any action taken or not taken by the employer under the provisions of this article.

Section 3: The Borough will provide AFSCME District Council 89 an updated bargaining unit list every three {3) months on an excel spreadsheet with the following information: Employees name, Employees address, Employees phone number, Employees hire date member or non­ member status, and ifthe employee is full-time or part-time.

ARTICLE 4- POLITICAL ACTION COMMITTEE

Section 1: The Employer agrees to deduct from the paycheck of employees covered by this Agreement voluntary contributions to the Union's Political Action Committee. The Employer shall make such deductions only in accordance with the written authorization of respective employees which shall specify the amount of the bi-weekly deductions. Employees shall be allowed to discontinue such deductions no more than 1 time per calendar year.

Section 2: The Employer shall transmit the monies deducted in accordance with this Article to the Union's Political Action Committee in accordance with the procedures agreed to by the Employer and the Union.

Section 3: The Union shall reimburse the Employer annually for the Employer's actual costs for the expenses incurred in administering this Article.

Section 4: The Union shall indemnify and hold the Employer harmless against any and all claims, suits, orders, or judgment's brought or issued against the Employer as a result of the action taken or not taken by the Employer under the provisions of this Article

{l0831959.1} 3 ARTICLE 5- HOURS OF WORK

Section 1: Full-time employees normal work week will consist of five {5} consecutive work days with eight {8} consecutive hours per day. The normal work will be Monday thru Friday but may include Saturday or Sunday hours, as needed. The foregoing is not a guarantee of any particular work schedule nor is it a guarantee of any particular number of hours per year. The Borough retains the right to set the number of hours of work and the schedule of hours to be worked in any period of time.

Part-time receptionist normal work week will consist of twenty-five {25} hours per week. The normal work schedule will be Monday thru Friday but may include Saturday or Sunday hours, as needed. . The foregoing is not a guarantee of any particular work schedule nor is it a guarantee of any particular number of hours per year. The Borough retains the right to set the number of hours of work and the schedule of hours to be worked in any period of time.

Section 2: All employees shall be granted a thirty {30} minute unpaid lunch period, if scheduled more than five {5} hours in a day, which must be taken during the time scheduled by the office manager. Employees are required to notify the office manager before taking lunch outside of the normal scheduled lunch period.

Section 3: The Borough of Hanover on occasion will close the office, due to inclement weather or other reasons at management discretion; employees shall be paid for the full day provided that the employee reported to work that day. Employees who do not report to work on these days will have the option to take the full day unpaid or use accrued vacation time.

Section 4: The Borough will provide employees with one {1} weeks' notice of a change in the normal work schedule, set forth in Section 1 of this Article, with the exception of emergency circumstances. The Borough and the Union agree to meet and discuss any and all issues in connection with this section.

ARTICLE 6-

Section 1: Time and one half ofthe employee's regular rate of pay shall be paid for any work performed in excess of forty {40} hours per week.

Section 2: Employees shall not work more than eight {8} hours per day, or be permitted to take work home to complete, unless extenuating circumstances exist. Overtime must be preapproved by the Borough Manager or his designee.

Section 3: Employees who attend mandatory meetings held outside of normal business hours shall be paid overtime.

{l0831959.1} 4 ARTICLE 7- HOLIDAYS

Section 1: The following days shall be recognized as holidays for full-time employees: New Year's Day Memorial Day Independence Day Labor Day Thanksgiving Day Black Friday (Friday after Thanksgiving) Christmas Day Six (6) Floating Holidays

Section 2: The office shall be closed and employees shall be guaranteed one day of at his/her regular pay for the above-mentioned holidays. If a holiday falls on a Saturday, the office will be closed to observe the holiday the prior Friday. If the holiday falls on a Sunday, the office will be closed to observe the holiday the following Monday.

Section 3: If a holiday is observed while an employee is on paid leave, the day will not be charged against sick or other accrued leave, and the employee will be paid for the holiday.

Section 4: Floating holidays are intended to be taken at the discretion of the employee, subject to the approval of the office manager. New full-time employees hired after the effective date of this agreement must be employed no less than six months before being entitled to the six (6) floating holidays. New employees hired after July pt in the calendar year, shall be entitled to three (3) floating holidays in the first calendar year which they are hired. No more than two (2) floating holiday may be used consecutively, their consecutive use must be approved by the manager or designee and floating days cannot be combined with any other leave time but may be combined with one recognized holiday.

Section 5: Part-time employees hired after January 1, 2019 shall not receive full-time employee holidays.

ARTICLE 8- VACATION

Section 1: Full time employee shall be eligible to use accrued vacation after one (1) years' service with the employer. Vacation shall be earned according to the following schedule:

SERVICE ANNUAL ACCRUED VACATION 0 mos. thru 12 mos. One week- 40 hours 12 mos. thru 72 mos. Two weeks- 80 hours 72 mos. thru 144 mos. Three weeks -120 hours 144 mos. and up Four weeks- 160 hours

{L0831959.1) 5 Section 2: A week of paid vacation shall be equivalent to the average number of scheduled hours worked each week during the contract year exclusive of overtime.

Section 3: All vacation schedules shall be determined and approved by the office manager, or his designee. Where there is a conflict in selection of vacation dates, preference shall be determined on the basis of seniority.

Section 4: Vacation time scheduled around holidays, will be granted on a rotating basis with the person who had the day off on the previous year having last pick the following year.

Section 5: Voluntary accumulation of up to forty-five (45) unused vacation days by the employee shall be permitted to carry over from year to year. Any accumulated unused vacation days over the forty-five (45) day maximum shall not carry over from year to year. Upon termination of for employees hired on or after the ratification date ofthis Agreement, such accumulated vacation days, up to a maximum ofthirty (30) days, shall be paid at the employee's regular rate per day. Incumbent employees shall receive such accumulated vacation days, up to a maximum of forty-five (45) days, paid at the employee's regular rate per day.

Section 6: Employees are required to use five consecutive days of vacation annually.

Section 7: The current vacation accruals that the part-time employee receives will be accrued until end of their employment.

ARTICLE 9 -

Section 1: Full-time employees shall earn sick leave from their date of hire at the rate of one (1) day for each month of service. Full-time employees with over ten (10) years of service will earn sick leave at the rate of one and one half (1 ~) days per month. Full-time employees shall be eligible to take such leave after thirty (30) days of service with the employer. All sick leave not used by an Full-time employee in a given calendar year shall be carried forward and shall be credited as accrued sick leave up which may be used in the following calendar years. Upon termination of employment resulting from , , or death, the Full-time employees hired on or after the ratification date of this Agreement, shall be paid a maximum of thirty (30) days of accumulated sick leave at the Full-time employee's regular rate per day. Upon termination of employment resulting from retirement, layoff, or death, incumbent Full­ time employees shall be paid a maximum of seventy-five (75) days of accumulated sick leave at the Full-time employee's regular rate per day.

Section 2: In the event that an employee shall utilize three consecutive eight (8) hour sick days, a physician's certificate for such sick leave days is required. However, in the event that the

(L0831959.1} 6 employer shall have reasonable grounds to believe that an employee is abusing sick leave, a physician's certificate may be required for sick day's usage of less than three (3) working days.

Section 3: During periods of prolonged illness or injury, sick leave shall be charged only in the amount sufficient to cover the difference between the employee's regular weekly pay and the $200.00 weekly disability benefit provided by the borough for a maximum of 26 weeks (Schedule B).

Section 5: An Full-time employee may utilize a maximum ofthree {3) days of sick leave per calendar year for an illness or injury in his/her immediate family. Immediate family is defined as the spouse, children, and parents of the employee as well as any other members of the same household.

Section 6: The current sick leave accruals that the part-time employee receives shall be accrued until end of their employment.

ARTICLE 10 - LEAVES OF ABSENCE

Section 1: Full-time employees shall be eligible for paid or unpaid leaves of absence after six months with the employer.

Section 2: Service credit shall continue to accrue during paid leaves of absence, but shall not accrue during unpaid leaves of absence. However, the employee shall be entitled upon return from leave without pay to all service credits earned up to the date leave commenced if permitted by law.

Section 3: All requests for leave must be submitted in writing to the employee's immediate and shall be answered in writing. The time when leave is taken is within the discretion of the employer.

Section 4: Requests for any type of leave to which an employee is entitled under this agreement and which is not to exceed one (1) month shall be answered by the employer within seven (7) days. If the requested leave is in excess of one (1) month, the request shall be answered within fourteen (14) days.

Section 5: The following shall be considered leaves with pay:

1. Bereavement Leave

a. Bereavement leave for the death of a spouse, parent, child, brother, sister, aunt, uncle, grandparent, and grandchild from the day of death up to and including the day following the funeral; not to exceed five (5) working days. In addition, at the discretion

{l0831959.1} 7 and approval of the Borough Manager, additional time off for bereavement may be taken provided such leave is charged to either accrued vacation or sick leave.

b. In all other cases of the death of a family member, the employee may take either the day of the viewing or the funeral.

c. Death leave- as same would relate to a step-parent, half-sibling, step-sibling, and step-children, it would be the borough's interpretation that the same benefit would apply as to mother, father, brother, sister, or children of the employee in those cases where the deceased is or had been a living part of a household with the employee as to establish the normal close relationship that would exist within an integral family unit.

2. Jury Duty: Full-time employees called for jury duty or subpoenaed to attend court shall be granted leave while attending court. Evidence of such duty in the form of a subpoena or other written notification shall be presented to the employee's supervisor as far in advance as practicable.

a. The employee shall be paid the difference between his regular rate of pay and any fees, less travel and maintenance expenses, which the employees receives for a period not exceed three months.

b. If an employee is called to court to testify in a -related case outside of normal working hours or while on scheduled leave, they shall be paid at the for their appearance so long as this is not a grievance.

3. Military Leave ~The Borough will provide all leave to which a member of the armed forces or a reserve component is entitled under either federal or state law.

Section 7: The following shall be considered leaves without pay:

1. Employees may be granted leaves without pay at the sole discretion of the employer for any reason for a period not to exceed one (1) year. A decision to deny leave is not subject to the grievance procedure.

2. Employees who are appointed to work as a staff representative shall at the written request of the employee be granted leaves without pay for the maximum term of office, not to exceed two (2) years. Such leaves may be renewed or extended by written mutual consent of the Union and the employer.

3. Members ofthe Union elected as official delegates to the annual convention of the Union shall be granted up to four (4) weeks leave without pay each year, where such time is necessary to attend the annual convention.

{L0831959.1} 8 4 . After completing one (1) year of service, an employee may be granted a without pay at the discretion of the employer for educational purposes.

ARTICLE 11- JOB RELATED / MILEAGE

Section 1: Employees that attend seminars to attain or maintain job proficiency, shall be paid their regular rate of pay for the day, and upon submission of paid invoices, be reimbursed for all reasonable out of pocket expenses for the cost of the seminar including mileage and meals, not to exceed ten dollars ($10.00} per meal.

Section 2: Mileage shall be paid at the IRS prevailing rates per mile for round trip travel in those cases where the employee uses his/her own car. This shall also apply to demonstrations, lectures, picking up of training aids or for any other duty requiring the employee to use his/her own personal vehicle.

ARTICLE 12- AND JOB CLASSIFICATIONS

Section 1: Effective January 1, 2019 the starting rates for each position shall be as follows:

Title Pay: Grade Starting Hourly: Rate 1L1L2019 Hourly: Rate Receptionist 1 $12.00 $13.50 Counter Clerk 2-1 $12.50 $14.00 2-2 $13.00 $16.00 Garbage Billing Clerk 3 $14.00 $14.00 Police Receptionist 3 $12.50 $14.00 Water Billing Clerk 4 $14.50 $17.00 Water Accounts Payable 4 $16.00 $17.00 Payroll Clerk 5 $15.50 $17.00 Payroll & Benefits Coordinator 6 $18.00 $22.00 Administrative Clerk to Police Chief 6 $16.00 $23.00* *(inclusive of prior longevity)

January 1, 2020 all bargaining unit employees will receive a 2% increase to their base hourly rate.

January 1, 2021 all bargaining unit employees will receive a 2% increase to their base hourly rate.

Section 2: All employees covered by this agreement shall have their direct deposited to a financial institution of their choice. No paychecks will be given out.

{L08319S9.1} 9 Section 3: Any employee who is assigned to fulfill duties outside of his pay grade for five (5) hours or more of his shift shall be paid the standing rate for that pay grade for the full day. If the demands ofthe office require work in a lower pay grade, the employee's rate of pay will not be reduced.

ARTICLE 13- SENIORITY

Section 1: Seniority standing shall be granted to all Full-time employees. The standing is to be determined on the basis of actual length of continuous service from the latest date of with the employer. All new employees shall be placed on the seniority list as of the first day of employment, upon the completion of a period of not to exceed six (6) months before appointment or promotion is made complete during which a probationer may be discharged or reduced by the employer or a department head provided, however, each probationer shall be reviewed after six months for permanent employment.

Section 2: Full-time employee shall lose his seniority standing upon voluntary resignation from employment or upon discharge for cause based upon the action of the employee. An employee's seniority shall not be terminated because of authorized leave of absence or layoffs. The employee shall return to work within fifteen (15) days of written notice or recall served personally or by certified mail to his last known filed address or forfeit his seniority rights or rights to recall.

Section 3: An employee whose job is eliminated shall have the right to be considered for a vacant position for which they are qualified. The determination of whether or not a position is vacant is in the Borough's sole discretion. The period of consideration is one (1) year from the date on which the individual is separated from employment with the Borough.

ARTICLE 14-

Section 1: All employees are required to in a manner suitable for a business office. Monday- Friday, attire- includes suits, pants, jacket, shirt, skirts and . Clothing must be appropriate and non-low cutting. No jeans or t-shirts/shirts with graphic prints, and no sneakers or flip-flops at all.

Section 2: At the discretion of management, the Monday- Friday may be modified to accommodate "casual Friday" attire as determined by management.

ARTICLE 15- PROBATIONARY PERIOD

Section 1: New employees shall serve a six month probationary period of and shall have no seniority rights during such period nor any rights to file a grievance. Upon satisfactory

(L0831959.1} 10 completion of the probationary period, the probationary period shall be considered and computed as part of the seniority time for such employee.

ARTICLE 16-

Section 1: Full time employees shall be eligible to receive the following health insurance on the eighty-ninth (89th) day of employment with the Borough. Medical, Surgical and Hospitalization:

a. The employer shall provide medical, surgical, and hospitalization insurance comparable to the PPO Plan currently offered through High mark for employees and their immediate dependents upon the terms and conditions set forth in the Group Plan for The Borough of Hanover, a summary of which is hereto attached. (Schedule A) In the case of an employee whose dependents are presently covered by another employer with medical, surgical, and hospitalization insurance, and said dependents for any reason become ineligible for such coverage, the employee can add such dependents to the Hanover Borough Policy upon furnishing the Borough's insurance carrier with such evidence of insurability as is normally required under the Borough policy.

b. Prescription Insurance-The employer shall provide prescription coverage under the terms and conditions set forth in the Group Plan for The Borough of Hanover, a summary of which is hereto attached (Schedule A).

c. Dental Insurance- The employer shall provide Dental insurance coverage under the terms and conditions set forth in the Group Plan for The Borough of Hanover, a summary of which is hereto attached (Schedule C) .

d. Vision Insurance -The employer shall provide Dental insurance coverage under the terms and conditions set forth in the Group Plan for The Borough of Hanover, a summary of which is hereto attached (Schedule D).

e. The employee's weekly contribution towards insurance premiums will be as follows: beginning with the first pay period in 2020.

Year 1/1/2020 1/1/2021

Single $10.00 $12.50

H&W $15.00 $17.50

Family $20.00 $22.50

{l0831959.1} 11 f. The employee shall be responsible for all deductibles, co-pays, co-insurance amounts, out of network costs and other user cost required under the Plan, as described in Schedule A (attached).

Section 2: The Borough shall have the right to change carriers and/or plans provided the level of cove rage is comparable to or better than the existing level of coverage. Should there be mandatory Federal Health Care Changes the Borough shall have the ability to modify the health plan to conform with the Law. Should there be discretionary changes mandated by law which potentially effect the health care benefits provided by the Borough (including the so-called "Cadillac" or excise tax), either party shall have the right to reopen the contract to negotiate health care changes. If no agreement is reached within fourteen (14) days, either party shall have the right to demand arbitration regarding desired health care changes if an agreement cannot be reached . The parties will proceed to an expedited arbitration proceeding with an arbitrator selected pursuant to the terms of the Collective Bargaining Agreement's grievance and arbitration procedure. The sole purpose for that expedited arbitration proceeding will be for the arbitrator to modify the plan, plan design and/or plan carrier in order to eliminate the exposure discretionary changes mandated by law which potentially effect the health care benefits provided by the Borough. The decision of the arbitrator on this issue shall be issued within forty (40) calendar days of his or her appointment.

Section 3: All members of the Bargaining Unit shall be eligible to purchase their Health Insurance upon retirement at Borough cost for the plan during the employee's retirement. Employees hired on or after January 1, 2019 shall not be eligible to purchase post-retirement healthcare upon retirement.

Section 4: The foregoing including, schedules A, C, and D attached, is a summary of the insurance plan and in all cases the provision of The Borough of Hanover Group Plan Contract will be the governing factor in determining coverage and eligibilities. It is specifically understood between the parties that disputes relating to the administration of or coverage decision made by any insurance policy which are not the result of the Borough direction, choice or decision, but rather are made strictly under the sole discretion of the carrier, shall not be subject to the contractual grievance procedure. This does not preclude the filing of an appeal with the insurance carrier.

ARTICLE 17-

Section 1: Employer shall cover each employee with a life insurance policy in the amount of two {2) times the employee's annual with a maximum of fifty thousand dollars ($50,000.00).

Section 2: Employee, at his/her option, may carry additional life insurance in increments of two thousand five hundred dollars ($2,500.00) up to a maximum of seven thousand five hundred dollars ($7,500.00) at employee's sole expense at the group life insurance rate in effect under group life insurance policy of employer. This optional insurance may be carried by an employee

(l0831959.1} 12 when retired and continued into retirement at the then current group life insurance rate at sole expense of retired employee. This option must be exercised no more than ninety (90) days following hiring date. Each policy shall pay double indemnity in case of accidental death.

Section 3: Eligibility for any benefits or changes to eligibility, payment or coverage shall be determined by the Plan documents for the benefits set forth in Sections 1 and 2. Any decision derived by the language of the Plan documents for the benefits set forth in Sections 1 and 2 shall not be subject to the grievance procedure.

ARTICLE 18- / RETIREMENT

Section 1: Employee shall normally be eligible for retirement upon reaching the age of fifty-five (55) years with twenty-five (25) years of service or the age of sixty two (62) years with ten (10) years of service whichever is applicable. The normal retirement pension shall be equal to one and five-tenths percent (1.5 %) of the average monthly pay multiplied by the total number of complete years of service at the time of retirement. Average monthly pay is based upon the highest consecutive thirty-six (36) months of pay out of the last sixty (60) months preceding retirement. The plan will be 414(H) pickup-pretax benefit to employees. The employee's contribution shall be three percent (3%) of employee's compensation and such contributions shall be pre-tax deduction from the pay of each employee.

Section 2: Employees shall be required to give a minimum of four (4) months' notice, in writing, to the employer for planned normal retirement. If the full amount of notice is not given, employee forfeits 50% of any benefits to be paid out for accrued sick and vacation time. This does not apply to that may be required due to medical conditions, injuries, or other extenuating circumstances.

Section 3: The Employer will administer a plan providing for payroll deductions into 457 plan accounts established by employees. The employer shall not contribute to this plan.

ARTICLE 19 DISCIPLINE, DEMOTION, , DISCHARGE

Section 1: The Employer shall not demote, suspend, discharge or take any disciplinary action against an employee without just cause; an employee may appeal a demotion, suspension, or discharge beginning at the second step of the grievance procedure, subject to any conditions set forth in the grievance procedure under Article 20. The Union shall be notified by the Employer of any demotion, suspension, or discharge.

Section 2: Any action instituted under Section 1 of this Article shall be implemented within a reasonable period of time after the event giving rise to such disciplinary action or knowledge thereof.

{L0831959.1} 13 Section 3 The provisions of Section 1 shall not apply during the initial six months of probationary employment.

Section 4: The employer shall not coerce employees in the exercise of their rights under this Agreement.

ARTICLE 20- GRIEVANCES AND ARBITRATION

SECTION 1. Any grievance or dispute which may arise concerning the application, meaning or interpretation of this agreement shall be settled in the following manner:

Step 1-The employee, either alone or accompanied by the Union representative where entitled, shall present the grievance in writing to the office manager within ten (10) working days of the date of its occurrence or knowledge of its occurrence. The supervisor shall attempt to resolve the matter and report the decision to the employee in writing within ten (10) working days of the presentations.

Step 2 -In the event the grievance is not settled at Step 1, the appeal must be presented in writing by the employee or Union representative to the Borough Manager with ten (10) working days after receiving the supervisor's response. The Borough Manager (together with such other person as he deems desirable or who are designated by employer) shall meet with representatives of the Union or the aggrieved employee, or both of them (together with such other persons as the Union or the aggrieved employee deem advisable) and attempt to resolve the grievance. The Borough Manager receiving the written appeal, or his designated representative, shall respond in writing to the employee and the Union representative within ten (10) working days after the grievance meeting.

Step 3-By agreement of both parties within ten (10) working days of Management's answer at Step Two, either party may appeal the grievance decision to the PA Bureau of Mediation for grievance mediation. In the event the parties do not agree to mediate the grievance, then the grievance shall proceed to step 4 within ten (10) working days of the answer of the Borough Manager.

Step 4-The grievance may be appealed to arbitration by the Union or the Borough upon written notice to the other party and the American Arbitration Association by certified mail within ten (10) working days of the answer ofthe Borough Manager. The arbitration shall proceed in accordance with the current rules of the American Arbitration Association.

Section 2: Each case shall be considered on its merits and the collective agreement shall constitute the basis upon which decisions shall be rendered. The decision at Steps 1 and 2 shall not be used as a precedent for any subsequent case.

{l0831959.l) 14 Section 3: The arbitrator shall neither add to, subtract from, nor modify the provisions of this agreement. The arbitrator shall confine himself/herself to the precise issue submitted for arbitration and shall have no authority to determine any other issues not so submitted to him/her.

Section 4: The decision of the arbitrator shall be final and binding on both parties except where the decision would require an enactment of legislation, in which case it shall be binding only in such legislation is enacted. The arbitrator shall be requested to issue his/her decision within thirty (30) days after the hearing or receipt of the transcript of the hearing.

Section 5: All fees and expenses ofthe arbitrator shall be divided equally between the parties. Each party shall bear the costs of preparing and presenting its own case.

Section 6: All ofthe time limits contained in this section may be extended by mutual agreement.

Section 7: An employee shall be permitted to have a representative of the Union present at each step of the grievance procedure up to and including Step 2.

Section 8: Employees selected by the Union to act as Union representatives shall be known as stewards. The Union shall furnish the employer with the names and work locations of grievance representatives and shall notify the employer of any changes.

Section 9: A reasonable number of witnesses, when required, shall be allowed to participate in the grievance procedure.

Section 10: An aggrieved employee and Union representative, if employees of the employer, shall be granted reasonable time during working hours, if required, to process grievances in accordance with this Article without loss of pay or leave time.

ARTICLE 21- PEACE AND STABILITY

Section 1: The Union agrees there shall be no strike slowdown or other unfair labor practices, as that term is defined under the Public Employee Relations Act, during the term of this agreement, nor shall any officer, representative or official of the Union authorize, assist or encourage any such strike during the life of this agreement.

Section 2: The Employer reserves the right to discipline, suspend, demote or discharge any employee or employees who violate the provisions ofthis article.

Section 3: The Employer will not engage in any lockout during the term ofthis Agreement.

{L0831959.1} 15 ARTICLE 22- GENERAL PROVISIONS

Section 1: No Union member or representative shall solicit members to engage in organizational work or participate in other Union activities during working hours on the Employer's premises. Union representatives shall discuss grievances with the employer during working hours on the Employer's premises.

Section 2: The President of the Union, or their Vice President if unavailable, shall represent the Union on all matters with the Employer above the level of the Manager.

Section 3: The Employer agrees to provide bulletin board space in all rooms for the purposes of announcement of meetings, election of officers to the Union, and other materials related to union business. The Union agrees not to post material detrimental to the labor management relationship nor of political or controversial nature.

Section 4: Both the employer and the Union agree not to discriminate against any employee on the basis of race, creed, color, sex, age, national origin, Union membership, or political affiliation.

Section 5: Committees composed of representatives of the Union and the Employer are to be established to resolve problems dealing with the implementation of this Agreement and to discuss other labor-management problems that may arise.

ARTICLE 23-MANAGEMENT RIGHTS

The Borough reserves all the customary rights, privileges or authority of management, except as modified by the terms of this Agreement, including, but not limited to, the following:

a. To manage, select and direct its employees, including, but not limited to, the right to select, hire, promote, transfer, assign, evaluate, recall, reprimand, suspend, dismiss or discipline for just cause, to maintain discipline among employees; reductions in force for economic reasons, transfer employees, establish new job classifications, complete performance evaluations, prepare and revise Job descriptions and assure continuation of all municipal services.

b. To manage and determine the location, type and number of physical facilities, equipment, programs and the work to be performed;

c. To determine the Borough 1s goals, objectives, programs and services, and to utilize personnel in a manner designed to effectively and efficiently meet these purposes;

{L0831959.1} 16 d. To determine the size and composition of the work force and the Borough's organizational structure, including the right to lay off employees for the purpose of economy and efficiency, due to lack of funds or due to lack of work.

e. To determine the hours of work, work schedules, and to establish the necessary work procedures for all employees;

f. To determine when a job vacancy exists, when or if a vacancy is to be filled, the duties to be included in any job classification, and the standards of quality and performance to be maintained;

g. To determine the necessity to schedule reasonable overtime and the amount required thereof;

h. To determine the Borough's budget and uses thereof;

i. To maintain the security of records and other pertinent information;

j. To determine and implement necessary actions in emergency situations.

k. To exercise all matters of inherent managerial policies, including but not limited to, its overall budget, utilization of technology and organizational structure.

L. The Employer shall not subcontract or contract out any work or duties to a third party subcontractor if the subcontract or employment of the contractor shall result in the necessity for the layoff of bargaining unit members except that the Employer shall have the sole right to contract out for services where: 1) the Employer determines that the work or project is an emergency (including snow removal); 2) the Employer determines that the work or project requires expertise not possessed by the bargaining unit; 3) the Employer determines that the work or project requires equipment that the Borough does not own; 4) the Employer determines that the bargaining unit cannot complete the work or project within the timeframe required by the Borough; 5) the Employer determines that the cost of the work or project is prohibitive to complete with Borough employees.

ARTICLE 24-ENTIRE AGREEMENT

Section 1: The Employer and the Union acknowledge that this Agreement represents the results of collective negotiations between said parties conducted under and in accordance with the provision of the Public Employee Relations Act and constitutes the entire Agreement between the parties for the duration of the life of said Agreement; each party waiving the right

{L0831959.1} 17 to bargain collectively with each other with reference to any other subject, matter, issue, or thing whether specifically covered herein or wholly omitted here form and irrespective of whether said subject was mentioned or discussed during the negotiations preceding the execution of this Agreement.

ARTICLE 25- SEPARABILITY

Section 1: In the event that any of the terms or provisions of this Agreement shall be found invalid or declared unenforceable by reason of any Federal or state statute or Federal or state directive, rule or regulation now in effect or hereinafter to become effective, or impair any other term or provision are directly affected by the Section of this Agreement that is declared invalid or unenforceable.

Section 2: in the event any provision is deemed invalid because of any Court decisions, statutes or regulations, the parties agree to immediately begin negotiations on that portion declared invalid to bring it into conformity with the state or Federal statutes, regulation or Court decision affecting such Paragraph.

Section 3: Changes in this Agreement, whether by addition, waiver, deletion, amendment, or modification, must be reduced to writing and executed by both the Employer and the Union.

ARTICLE 26- TERM

Section 1: This Agreement shall be effective as take effect January 1, 2019 and shall remain in full force and effect until December 31, 20211t shall automatically be renewed from year to year thereafter unless either party shall notify the other in writing by such time as would permit the parties to comply with the collective bargaining schedule under the Public Employee Relations Act. (Act 195).

{L0831959.1} 18 SIGNATURES & SEAL

IN WITNESS WHEREOF, Employer has caused these present to be executed by the President of Council and attested by its Secretary after legal approval of the same by The Hanover Borough Council and Mayor, and Union has caused these present to be executed by its President and attested by its Secretary after ratification by its membership at a regularly scheduled meeting at which a quorum was present, the day and year first above mentioned.

THE BOROUGH OF HANOVER

ATTEST: 'I,.,.

BYBil<~E~ . r . ''- COUNCIL PRESIDENT

AMERICAN FEDERATION OF STATE, COUNTY, AND MUNICIPAL EMPLOYEES, AFL-CIO DISTRICT COUNCIL 89

Vickie Roberts

(L0831959.1} 19 SCHEDULE A: INSURANCE SUMMARY

None $325

80% after deductible Plan Pays - payment based on the plan allowance 100% Out-of-Pocket Limit (Once met, plan pays 100% coinsurance for the rest of the benefit period) Individual None $380 None Total Maximum Out-of-Pocket (Includes deductible, coinsurance, copays, prescription drug cost sharing and other qualified medical expenses, Network only)(2) Once met, the plan pays 100% of covered services for the rest of the benefit period. Individual

(L0831959.1} 20 Benefit Network I Out-of-Network 100% after:_ $35 I_ 80% after deductible Speech & Occupational Therapy c_~ -- Limit: 30 visits per therapy/benefit period 1 00% after $35 co~y- 80% after deductible Spinal Manipulations -·---·-- I Limit: Unlimited visits/benefit period Other Therapy Services (Cardiac Rehab, Infusion Therapy, 100% 80% after deductible Chemotherapy, Radiation Therapy and Dialysis) I

80% after deductible Inpatient Detoxification I Rehabilitation 100%

Outpatient Mental Health Services (includes virtual behavioral 80% after deductible 100% after $35 capay health visits) 80% after deductible Outpatient Substance Abuse Services 100%

100% 80% after deductible 100% 80% after deductible

100% 80% after deductible Durable Medical Equipment, Orthotics and Prosthetics Diabetic Pump and Diabetic Pump supplies- covered re codes A9276 Home Health Care

None None Prescription Drug Program(8) Retail Drugs (30-day Supply) Soft Mandatory Generic $17 generic capay Defined by the National Pharmacy Network- Not Physician $27 formulary brand capay Network. Prescriptions filled at a non-network pharmacy are not $52 non-formulary brand capay covered. Maintenance Drugs through Mail Order (90-day Supply) $30 generic capay Your plan uses the Comprehensive Formulary with an Incentive $50 formulary brand capay Benefit non-formula brand llilliliil~ ~~~~~~~~~

{L0831959.1} 21 Benefit Network I Out-of-Network Insulin and Diabetic Supplies Covered Smoking Deterrents (prescription) Covered Vitamins (prescription) Covered Impotence Drugs Covered Weight Loss Drugs Covered Prescription Hair Growth Products Not Covered ~:~:: .,v, :... 3f~ •~ jo")~·! ~-. ~~RE ' MANAGEMENT . P.ROGRAMS~0::7~~~-y-~-l!!:.•y-·:- ~~:'~j ::;.:< l l,;;t..u.:Ji..~lll.- ..~ ----"-" ------1!.,10~...-~~-~•., ,. ._. ..4.J.• .L ·:..1'- J-it ~ _ • ~- -,-- .J~ •• Exclusive Pharmacy Provider Applies - selected high cost prescription drugs are covered only when they are dispensed through an exclusive pharmacy provider. Quantity Level Limits on selected prescription drugs Applies - the quantity dispensed under your plan per new or refill prescription may be limited per recommended guidelines. Managed Rx Coverage Applies on selected prescription drugs Managed Prior Authorizations Applies on select high cost drugs

{L0831959.1} 22 SCHEDULE B: DISABILITY BENEFIT SUMMARY

Weekly disability benefit: Classification Weekly Disability All employees $200.00

Weekly disability benefit provisions: The amount of weekly benefit is subject to a limit of 70% of your average weekly earnings as defined in the group policy at any time that no federal social security benefits are payable.

At any time that Federal social security benefits are payable, the amount of your weekly benefit will not exceed an amount which, when added to any benefit payable for the same weekly period under the Federal Social Security Act, would equal 70% of your weekly earnings.

The term "any benefit payable under the Federal Social Security Act will include disability or retirement benefits payable to you or your spouse, ch ildren or dependents by reason of your retirement or disability under that Act and is not limited to benefits actually received, but include benefits which would have been available if the individual had complied with the provisions for making claim for such benefits.

Wait period days: First seven days of any disability period due to disease. There is no waiting period for a disability period due to injury.

Maximum period of payment: 26 weeks

(L0831959.1} 23 SCHEDULE C: DENTAL CARE -INSURANCE SUMMARY

Basic program: 100% usual, customary & reasonable charge Examination & cleaning- once in any period of six consecutive months Full mouth x-rays- once in any period of 36 consecutive months fluoride application­ children under 19 years of age-once in any period of six consecutive months.

Orthodontics: 50% usual, customary & reasonable charge Only children under 19 years of age Maximum payment- $1,600 lifetime

Caps, Crowns: 50% usual, customary & reasonable charge Maximum payment- $1,600 lifetime Predetermination is required for: All treatment plans of $150.00 or more Extraction of six or more teeth Orthodontics

(l0831959.1} 24 SCHEDULED: EYE CARE -INSURANCE SUMMARY

Examinations

Usual, customary & reasonable charge Under 19 years of age- once during 12 month period Over 19 years of age-once during 24 month period

Frames Allowance- $80.00

Type of Lenses

Single Vision Allowance - $60.00 per pair

Bifocal Allowance- $90.00 per pair

Trifocal Allowance- $115.00 per pair

Aphakic (replaces natural lens of eye) Allowance- $275.00 per pair

Contact Lenses Allowance per pair

Hard $150 Soft $200 Cosmetic $100 (Yearly)

{L0831959.1} 25