City Council Approves New Cost-Cutting Deals With Firefighters

The East Providence City Council approved agreements with firefighters Tuesday night that should save the city $3.2 million over four years.

The tentative contracts between the city and the International Association of Firefighters, Local 850 cover from Nov. 1, 2009 through Oct. 31, 2014. They have not officially signed off on the agreements, but are expected to shortly.

"We’ve set a new foundation that’s going to save the city $3.2 million in this round," special labor counsel Michael A. Ursillo told the council.

A change to HSA health insurance will save the city hundreds of thousands of dollars, Ursillo said. And firefighters will start contributing to their health care for when they retire.

The agreements call for the city's firefighters to start contributing initially 1/2 of a percent of their earnings toward their retirement benefits, which will increase to one percent in fiscal year 2013-2014, according to the calculations that were done by former Interim Finance Director Donald Gray.

The amount of overtime a firefighter can work will also be capped at 96 hours per year, Ursillo said. Firefighters in the city have been working an average of 150 overtime hours per year, he said.

Beginning in the fiscal year that starts Nov. 1, 2011, firefighters will also see an annual 3 percent salary increase, according to Gray's calculations. The city is still expected to net $3.2 million in savings over four years.

Councilman William Conley said he thought this represents a "landmark" contract for the city. 

"The savings, as you pointed out, will be immediately significant to us," Conley said. And more importantly, he noted the potential for savings over the long term. The process began with arbitration in 2009, Ursillo said.

Both he and Mayor Bruce Rogers commended firefighters for their willingness to bargain.

"They’ve given a lot of concessions," Rogers said. "This is a fine example of contract negotiations at its best."

The city is also waiting to hear back whether it has received a federal grant that will provide money to hire 20 more firefighters. The grant would pay for the first two years and the city for the third year, if the council approves it.