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Article 7 - UNION BUSINESS

A. _ A grievant and one representative shall each be allowed one (1) hour
(without loss of pay if either or both are on duty) during duty hours to process
grievances at steps 1, 2 and 3 of Article 19.

B. | The Union President, Vice President, Secretary-Treasurer, Steward-at-
Large and stewards shall each be allowed one duty shift per month to attend to
Union functions, provided they comply with Article 24, section C.

The President of the Union, or designee, shall be granted a total of up to
eight (8) duty shifts of paid leave annually for the purpose of Union business,
provided the Chief is given at least five (5) days’ notice prior to the leave
occurring,

C. All personnel shall have such additional rights, if any, as are granted
them under New Hampshire Revised Statutes Annotated Chapter 273-A (RSA
273-A).

D. Any officer of the Union who is required to attend a Union function or
perform other duties on behalf of the Union necessitating a leave of absence shall
apply in writing to the Chief and the Board of Fire Commissioners and may be
granted such leave without pay when in the opinion of the Chief it will not affect
the effective operation of the Fire Department. In the event an officer of the Union
is granted leave, he/she shall be required to provide a replacement who 1s qualified
in the opinion of the Chief or designee.

Article 8 - NEGOTIATIONS

All contract negotiations will be conducted by the Local #789 Executive
Committee with the Mayor and Board of Fire Commissioners, the Chief of the
Department and any other duly authorized personnel.

Article 9 - DISCIPLINARY PROCEDURES

A. It is agreed that the City has the right to discipline or discharge
employees for just cause. Discipline shall be corrective in its nature and
progressive in its severity. Disciplinary actions shall normally follow the order
below:

Verbal warning

Written warning
Suspension without pay
Discharge

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The City may deviate from the order above when the occasion or severity of
the offense warrants. In the event of suspension, demotion, or discharge, or any
other disciplinary action the reasons for the action taken will be given in writing to
the employee and the Union within 24 hours.

B. _ It is specifically agreed that any employee may be discharged for
reporting to work under the influence of intoxicating liquor or illegal substances,
becoming under the influence of intoxicating liquor or illegal substances while on
the job, or offenses involving moral turpitude. A sobriety test and/or the
appropriate testing for substance abuse is mandatory and any employee who
refuses such test(s) may be discharged at the option of the Department.

If any invasive test: blood, urine, breath or other test is used, a split sample
will be provided and the complete test results, procedures and chain of custody will
be made available to the Union and the employee within twenty-four (24) hours of
receipt.

C. Any employee disciplined or discharged shall, except in cases
involving conviction of a felony during the term of this agreement, be entitled to
the provisions of the Grievance Procedure under Article 19, and will be allowed a
representative of his or her choosing. If requested in writing by the employee, a
hearing must be held by the Fire Commission within seven (7) calendar days of the
disciplinary action or discharge.

D. — Provided that the employee has had no recurrence of discipline within
the specified period, verbal warnings will be removed from the verbal warning file
after six (6) months, and written warnings will be removed from the employee's
personnel file after twelve (12) months upon the employee’s written request.
Records pertaining to suspension shall be removed from the employee’s personnel
file after sixty (60) months upon the employee’s written request. The parties agree
that the warnings as well as the employee’s request shall be removed from the file
and returned to the employee within thirty (30) days of the request. The prior
unexpired discipline is carried during the period of any subsequent equal or greater
discipline.

Article 10 - UNION DUES

A. The City agrees to deduct, once each week, dues in an amount
certified to be current by the treasurer of the Union, from the pay of those
employees who individually request in writing that those deductions be made. The
total amount of the deductions shall be remitted by the City to the treasurer of the
Union. At the request of the Union, such remittance may be made by direct
deposit or electronic transfer to the Union's Bank.

B. The City shall have no obligation to collect dues or service fee
deductions in the event that an employee has no pay coming to him or her, or the
check is not large enough to satisfy the dues deduction, no deduction will be made
for that week.

C. In no case will the City collect fines or assessments for the Union
other than under A above.

D. The Union shall indemnify and save harmless the city in and on
account of any and all claims, suits and damages arising out of or in relation to
such dues or service fee deductions.

Article 11 - PROTECTION OF CITY PROPERTY AND EQUIPMENT

It shall be the responsibility of any employee having custody of any equipment and
property to see that it is properly cared for, kept clean and returned to its proper
place of storage. Drivers shall be responsible for all tools and equipment on their
assigned apparatus.

Article 12 - SAFETY AND HEALTH

A. | The City and Union shall cooperate in matters of safety, workers
compensation claims prevention, health and sanitation affecting the employees.
There shall be established a departmental safety committee, a truck committee, an
equipment committee and other committees as may be mutually agreed upon by
the parties, each comprised of one private and one officer named by the Union and
the Chief or designee. The committee shall meet as necessary and will keep
minutes of all proceedings. A copy of the minutes and any reports issued by the
committee shall be posted at each station, and a copy forwarded to the Fire
Commission and the Union. There shall be compensation paid for attendance at
committee meetings by members of the bargaining unit unless they are on duty.

B. |Noemployee shall be required to ride the rear of a hose wagon alone
except when a second employee is on emergency leave as specified in Article 15 or
24, or has called in sick under Article 22 unless the second employee is responding
to the same incident in another vehicle. The first employee will then ride alone
only until the second employee returns or his or her substitute arrives as specified
under Article 15 or 24.

C. The Department will first respond to each incident other than a brush
fire with an engine/aerial having not less than an officer, a driver and two fire
fighters. In the event of response by additional personnel, not less than two fire
fighters and one officer shall be assigned to each hose line. Under normal
operating conditions, any apparatus in active operation at a fire scene shall have an
operator. The only exceptions to the foregoing shall be as follows:

1. When one member of the group responding is engaged in first
responder duties.

2. When an officer is engaged in group training with other officers. In
that event an officer shall respond to a structure fire at the same time as the
first dispatch via separate vehicle.

3. When an employee is on emergency leave as specified in Article 15 or
24 or has called in sick under Article 22. In that event, less than the above
numbers of personnel will respond only until the absent employee on
emergency leave returns or his or her substitute arrives as specified under
Article 15 or 24.

4. When an employee becomes unable to perform his/her duties due to
illness or injury and leaves work after 0800 hours on the day shift or after
1800 hours on the night shift. Under no circumstances, however, will this
subparagraph result in more than one unfilled slot on a shift.

5. When a member is responding with another vehicle.

6. During EMS traming there will be no more than 3 companies out of
service or 2 companies out of service and one company short one person
(every effort possible will be made to place as many members as possible on
a single piece of apparatus for the purpose of placing it out of service for
traming).

D. The minimum number of fire suppression personnel on duty on any
given shift will be based on the following formula for each piece of fire apparatus
designated by the Commission as being in service for that duty shift.

1. Total number of engines times four personnel.
2. Total number of aerials times four personnel.

3. Shift Management Technician. Position to be filled during the 2015
fiscal year.

The total number of personnel designated by the above formula shall be
temporarily reduced by any personnel absent as set out in Paragraph C,
subparagraphs 1, 2, 3, 4 and 5 above. The designation of the above formula for
safety purposes shall not operate as a restriction on the stations or pieces of
apparatus to which individual personnel may be assigned. The Fire Commission
will designate in writing which pieces of apparatus are to be in service at each
station for each duty shift. Ten (10) days’ notice will be given in writing prior to
any change in designation which results in a piece of apparatus being taken out of
service for seven (7) days or less. Twenty-one (21) days’ notice will be given in
writing prior to any change in designation which results in a piece of apparatus
being taken out of service for any period in excess of seven (7) days.

Specialty vehicles are any vehicles which are operational but not in service
on a full time status, or manned. Examples could be CFR 1, Utility, Forestry,
Spare apparatus (engines or ladders), Command van, etc. Specialty vehicles are
subject to the provisions of Article 12, Paragraph C.5.

E. There shall also be provisions for proper working facilities,
equipment, tools, safety devices, protective clothing and other modern implements
of fire rescue services so as to provide the City with an efficient and safety-minded
fire fighting organization to give the City full protection within the limits of the
annual budget as passed by the Mayor and the Board of Aldermen.

F. After the four Dispatch Supervisors are hired, there shall be no less
than three Fire Dispatchers or Dispatch Supervisors on duty at all times, with the
exception of time taken under Article 15, F. Ifa third Fire Dispatcher or Dispatch
Supervisor is needed, every effort will be made to call in a third Fire Dispatcher or
Dispatch Supervisor from the remaining pool of Fire Dispatchers and Dispatch

Supervisors. If unable to secure replacement from off duty Fire Dispatchers and
Dispatch Supervisors, the dispatch center will operate with the remaining two
members for the remainder of the shift. This language only applies 1f a member
must leave after their shift has begun.

F.1. Ifthree Fire Dispatchers are working on a shift, the most senior of the
three Fire Dispatchers working will receive Article 34 Working Out of
Classification pay for performing the duties of a Dispatch Supervisor. As the
Dispatch Supervisor salary grids do not have a probation rate column, the “2
years” column will be used as the probationary rate for that position. The specific
pay in the “2 year” column will be based on any Dispatch Supervisor certifications
that the Fire Dispatcher has.

G. The Department will implement and fund an “Infectious Disease
program that will provide employees who choose to, the opportunity to receive:

-Hepatitis — A inoculation.

-Hepatitis — B titer for those members who have had the Hepatitis — B series and
are not aware of their immunity.

-Hepatitis — C baseline screening.
-Tuberculosis screening annually.
Article 13 - SALARIES

A. — Effective July 1, 2019, a 3.5% cost of living increase in wages will be
added to the payroll grade and step grid by the City. All eligible members in those
grades will also be placed on the payroll grade and step grid as determined by
classification and certification as set forth in Appendix A of this Agreement.

B. Effective July 1, 2020, a 2.5% cost of living increase in wages will be
added to the payroll grade and step grid by the City. All eligible members in those
grades will also be placed on the payroll grade and step grid as determined by the
classification and certification as set forth in Appendix B of this Agreement.

C. — Effective July 1, 2021, a 2.0% cost of living increase in wages will be
added to the payroll grade and step grid by the City. All eligible members in those

Na

PENNICHUCK 25 MANCHESTER STREET
PO BOX 1947

MERRIMACK, NH 03054-1947

(603) 882-5191
FAX (603) 913-2305

WWW. PENNICHUCK.COM

VIA HAND DELIVERY

February 2, 2016

Mr. Stephen Bennett
Corporation Counsel
City of Nashua

229 Main Street
Nashua, NH 03060

Re: Pennichuck East Utility, Inc. — Request for Approva! of Loan with CoBank, ACB

Dear Attorney Bennett:

Introduction. As you know, the City of Nashua, New Hampshire (the “City”) is the sole
corporate shareholder of Pennichuck Corporation (“Pennichuck”). The City has been the sole
shareholder since the acquisition of Pennichuck on January 25, 2012.

The purpose of this letter is to request that the City, acting in its capacity as sole shareholder,
approve resolutions authorizing Pennichuck’s regulated public water utility subsidiary,
Pennichuck East Utility, Inc. (““PEU”), to enter into a term loan with CoBank, ACB (““CoBank”).

Background. As part of the City’s acquisition of Pennichuck, in accordance with special!
legislation enacted by the State Legislature, and as unanimously approved by the Mayor and
Board of Aldermen on January 11, 2011, the corporate structure of Pennichuck and its utility
subsidiaries was retained. This corporate structure was retained for several reasons. First, the
Mayor and Board of Aldermen desired to maintain stability and continuity for customers and
employees of the Pennichuck utilities and the communities they serve. Second, retaining the
corporate structure provided continuity for the existing relationships with regulatory agencies
and financial/banking partners. Third, the Mayor and Board of Aldermen unanimously agreed
that the corporate structure would encourage business-smart decisions and rely upon well-
established governance principles of corporate law, pursuant to Pennichuck’s Articles of
Incorporation and its by-laws.

in,

grades will also be placed on the payroll grade and step grid as determined by the
classification and certification as set forth in Appendix C of this Agreement.

See also Article 32, section A.2, for a possible additional 0.5% increase in
wages on July 1, 2021.

D. Effective July 1, 2021, the payroll and step grids in Appendix C and
D will show the former “25+” step as “25 not 30” and will have a new “30+” step,
with a difference between these two steps of 1.0%

E. — Effective July 1, 2021, increase the payroll and step grids in Appendix
C by 3.0% for step 15 not 20, then increase steps 20 not 25, 25 not 30, and 30+ to
maintain a 1.0% difference between steps.

F. Effective July 1, 2022, a 2.0% cost of living increase in wages will be
added to the payroll grade and step grid by the City. All eligible members in those
grades will also be placed on the payroll grade and step grid as determined by the
classification and certification as set forth in Appendix D of this Agreement.

See also Article 32, section A.2, for a possible additional 0.5% increase in
wages on July 1, 2022.

G. — Effective July 1, 2022, increase the payroll and step grids in
Appendix D by 3.0% for step 10 not 15, then increase steps 15 not 20, 20 not 25,
25 not 30, and 30+ to maintain a 1.0% difference between steps.

H. All members of the bargaining unit who have completed ten or more
years of service with the Nashua Fire Rescue as of July 1, 1997 shall be considered
certified for purposes of grade and step grid.

The members to which this subsection pertains, agree to make a good faith
attempt to secure certification specific to the members position, provided traming
is available locally. The City agrees to endeavor to make the training necessary for
said certification available within the department while on duty.

All members of the bargaining unit achieving 10 years of service with
Nashua Fire Rescue after July 1, 1997 or promoted after July 1, 1997 will be
required to have the certification specific to the member’s position to receive the
certified grade on payroll grid.

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Fire Fighters and Fire Dispatchers who were employed before July 1, 2003
and are not currently certified as set forth in this Article shall be entitled the
appropriate percentage based wage increase as described in Article 13, sections A
and B.

Certifications for the purpose of recerving the certified grade on the payroll
grid is subject to specific certification being available in New Hampshire.

Any member currently certified prior to the effective date of this Agreement,
shall participate in necessary training to remain certified. However, they are not
subject to any additional requirements.

I. All step increases are effective July 1, annually except:

1. Probation, which advances a step on the payroll grade and step
grid after successful completion of probation; and

2. FF and Dispatcher members with less than four (4) years of
departmental service shall be paid at the appropriate grade and step on
the payroll grade and step grid effective on the date of certification or
the date of their departmental anniversary, whichever comes later.

J. Effective July 1, 2012, the base weekly pay for certified members will
include compensation equal to one-half (1/2) times hourly rate for certifications for
Hazardous Materials: Awareness, Operation and Decon and EMT-B or higher or, if
hired before July 1, 2000, First Responder, Oxygen Therapy, Back Board and
AED. Those members who do not obtain or maintain these certifications will be
paid at the appropriate grade.

Kk. | Members in a Special Division who currently receive a stipend for
any certification or any member whois hired, promoted or transferred to a Special
Division in the future, will receive stipends currently available to existing
members.

L. — Additional Stipend shall be paid to members who hold, maintain, and
participate in the following Certifications:

L.1. Hazardous Materials Team Members shall receive additionally one (1)
time hourly rate weekly (Emergency Services Personnel ONLY).

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Hazardous Materials Alternate Team Members shall receive additionally one
half (1/2) times hourly rate weekly (Emergency Services Personnel ONLY).

L.2. Effective July 1, 2004 or when Emergency Dive Team 1s placed in
service whichever comes first.

Emergency Dive Team: Dive Tenders/Boat Operators shall additionally
receive one half (1/2) times hourly rate weekly.

Emergency Dive Team Members shall receive shall receive for this
certification additionally one (1) times hourly rate weekly.

L.3. NFR will make available all refresher courses and recertification for
EMT — Intermediate, EMT — Basic, and First Responder on duty. NFR will cover
EMT — Paramedics for 1 shift (10 hr day/14 hr night) for the purposes of receiving
their EMT — Paramedic recertification.

Article 14 - HOURS OF DUTY

A. The following employees shall work four (4) ten-hour days: Fire
Alarm Superintendent, Fire Alarm Assistant Superintendent, Fire Alarm Lineman,
Superintendent of Fleet, Assistant Superintendent of Fleet, Mechanic, Fire
Marshall, Inspector/Investigator, Inspector/Public Education Officer, Captain of
Training, Assistant Superintendent of Training and Training/Safety Lieutenant.
The schedules shall be arranged as follows:

1 The four (4) ten-hour days shall be worked on a Monday to Friday
with the following exceptions:

a. One person from each division may be required to work one
Saturday or one evening shift per month on a rotation basis if 7 days’ notice
is provided.

b. All employees covered by this subsection 14A-1 shall work
from 7:30 A.M. to 5:30 P.M. or 8 A.M. to 6 P.M. as assigned by the
Division Supervisor. Starting times for the individuals affected by this
Subsection 14-1, b may be varied with the mutual agreement of the Union
and the Chief of the Department.

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