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Payment of Accrued Vacation Pay: Any regular employee who is laid-off, retires, or resigns is
entitled to receive accrued vacation pay prorated to the date when active employment ceases.
All accrued vacation time shall be paid in a lump sum to the Employee’s Estate, if death occurs
while employed by the Nashua Police Department.

Requesting Use of Vacation Time:

1. Probationary Personnel: Because of the importance of the Field Training
Program for new personnel, employees must complete (4) four months of
continuous service before taking any accrued vacation time.

2. Approval of Vacation:

A.

Employees will have the appropriate time accrued before use of vacation
time is approved, except as provided in paragraphs "B" and "C" listed
below.

An employee may be allowed to take vacation time if it has not yet been
accrued if authorized by the Chief of Police, a Deputy Chief, or the
Bureau Commander, but limited to a total of 49-80hours (S-10days) for
full-time employees. However, approval of advanced time will be denied
if the employee is not able to earn sufficient vacation time to offset the
advanced time before the end of the calendar year.

In accepting the use of unaccrued vacation time in advance, the
employee agrees to pay back the time through accrued vacation time.
Should the employee retire or resign prior to accruing the fronted
vacation time, the employee authorizes the City of Nashua to deduct any
compensation time they owe to the City from their final paycheck and/or
severance pay.

Once advanced vacation is approved, no additional vacation days will be
approved until the advanced time is earned.

3. Vacation block week requests will be defined as one calendar week and will run
from Saturday to Friday. Block weeks take precedence over personal days and
individual vacation days.

A.

Block weeks will be chosen by seniority each January 1 of every year.
Once a member is advised by a supervisor that it is his turn to pick, the
member will have 3 days from the date advised to submit the vacation
week request. Members not choosing vacation block weeks during the
3-day limit will result in their choices being bypassed by the next senior
member selecting. Once a block week has been selected and approved,
the approval is final.

Block weeks requested at a later date for less senior employees on a
particular shift shall have their vacation request for block weeks and
individual vacation days signed off by all senior employees on the shift
before submitting same to the Services Bureau Commander or designee
for initial approval. If a senior employee refuses to sign off on a vacation
week, the senior employee shall sign and state refused, with the time
and date on the form. The vacation request shall be turned in at that
time. If the senior employee does not request that vacation week within

1 week from the submittal, the block week shall be approved for the
junior employee.

C. Employees cannot take more than two (2) consecutive work weeks off at
any one time, except as approved by the Chief of Police or Deputy Chief
of Operations; said time shall not include any combinations of personal
days and swaps, etc., beyond two (2) additional days.

Employees are allowed to use one day of vacation at a time only upon approval
of their Services Bureau Commander or designee. Individual vacation days take
precedence over personal days.

In written form, the employee is to request the use of vacation time at least two
(2) weeks prior to the date of use, unless waived by the Chief of Police or
designee.

One Communications Division employee per shift, per side (Communications
Technician I's and Communications Technician Il’s_ represents the
Communications side and the Dispatcher and Shift Leader represent the
Dispatch side) is approved to be on a block week vacation at any one time. The
Services Bureau Commander or designee may authorize an additional
Communications Division employee to be on a block week vacation if conditions
(potential workloads, manpower requirements, etc.), allow approval.

Potential workloads or manpower requirements are considerations of a
supervisor before initially approving a block week, other than the two guaranteed
block weeks as described in paragraph #6 above, or individual vacation day
usage.

The approval of vacations is subject to the Grievance Procedure through Step 3,
Deputy Chief of Operations level, at which point, the decision shall be final and
binding upon the parties.

Final Approval of Vacation Time:

1.

Before final approval by the employee’s supervisor, the accrual of the necessary
vacation time needed must be verified by the appropriate personnel in the
Administrative Bureau.

A. The appropriate form will be completed by the supervisor or employee,
and forwarded to the appropriate Administrative Bureau personnel.

B. After approval, the form will be sent back to the employee’s Services
Bureau Commander or designee and the employee will be notified.

If a conflict arises in the use of vacation time among employees, the Services
Bureau Commander or designee will resolve any conflict through the Department
seniority date.

Once a vacation is approved and the dates are to be changed or canceled by the
employee, the employee must reapply. The employee must complete the
appropriate form canceling the vacation and the entire process must be
reinitiated.

Recall of Vacation: The approved vacation block week or individual vacation day is subject to
recall by the Chief of Police or designee for any emergencies (crisis, disaster, or tragedy) that

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arise. Employees shall be paid time and half of their regular rate of pay for a callback when on
vacation and granted an additional vacation day, which may be banked for future use.

SECTION Il — ACCRUAL RATE

Full-time Employees covered by this Agreement shall accrue vacation in accordance with the
following schedule, and shall be eligible to use accrued vacation after four (4) months of
continuous service:

1. LESS THAN 5 YEARS OF CONTINUOUS SERVICE: 11 DAYS PER YEAR: 40-
hour a week employees = 88 hours, accrued at the rate of 7.33 hours per month
worked

2. 5 YEARS, BUT LESS THAN 10 YEARS OF CONTINUOUS SERVICE: 15 DAYS

PER YEAR: 40-hour a week employees = 120 hours, accrued at the rate of 10
hours per month worked

3. 10 YEARS, BUT LESS THAN 15 YEARS OF CONTINUOUS SERVICE: 22
DAYS PER YEAR: 40-hour a week employees = 176 hours, accrued at the rate
of 14.66 hours per month worked

4. 15 YEARS, BUT LESS THAN 20 YEARS OF CONTINUOUS SERVICE: 25
DAYS PER YEAR: 40-hour a week employees = 200 hours, accrued at the rate
of 16.66 hours per month worked

Additional or new benefits contained in Section II “Accrual Rate” shall commence on July 1, 2017,
and shall only be retroactive to that date and after this Agreement has received all required
approvals.

ARTICLE 14 - HOLIDAYS

For the purposes of this article, a "holiday' means an eight (8) hour day for full-time employees
averaging 37 v2 hours a week. After completing the first thirty (80) calendar days of employment,
full-time employees will receive a day's pay at their regular straight time rate for the below
holidays.

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In order to qualify for holiday pay, full-time employees who are off-duty on the day of the holiday,
must have worked their last scheduled duty day prior to the holiday and the first scheduled duty
day after the holiday, or been absent on authorized leave on either or both of these days.
"Authorized leave" is defined as an occupational injury, bereavement leave, vacation or sick
leave, jury duty, military reserve or National Guard duty, paid leave, court appearance by
subpoena, or other compensatory time off, determined by the employee's supervisor.

Full-time employees are eligible to receive twelve (12) holidays per year plus the Presidential
Election Day (every fourth year beginning 7/1/2020)

Holidays that fall on Saturday are celebrated on Friday, and ones that fall on Sunday are
celebrated on Monday.

Standard Holidays: Nine (9) of the holidays are the same from year to year. The nine standard
holidays are:

NEW YEAR'S DAY BLAS—_Bfae VETERANS’ DAY
INDEPENDENCE DAY

CIVIL RIGHTS DAY IDES ES DESCE THANKSGIVING
DAYLABOR DAY

MEMORIAL DAY LABOR, CHRISTMAS DAY

BAYCOLUMBUS DAY
Presidential Election
Day (every 4 year
beginning 7/1/2020)

Floating Holidays: Three (3) holidays are determined by the Board of Police Commissioners or

the Chief of Police in January of each year. FRese-replace the traditionalFast Day Presidents
Bos-encd Collapse Dow bolicteuc

Holiday Pay for Essential Employees: [Essential full-time employees are required to work
holidays if they fall on their regularly scheduled workday. [Essential full-time employees shall
receive one day's pay at their regular rate for the above holidays in addition to their regular pay.

All Communications personnel are considered essential employees.

ARTICLE 15 - UNIFORMS. DRESS & GROOMING CODE

It is the policy of the Nashua Police Department to provide certain guidelines to insure a
professional image in the grooming and dress of its employees. Duetetours—and wsis—trem

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Communications Personnel Dress: It is the policy of the Nashua Police Department that its
employees project_a professional image in their grooming and dress. Communications
personnel are allowed to wear Business Casual attire. A_list_of_acceptable Business
Casual Attire and Unacceptable Business Casual Attire can_be found under Rules and

Regulations Chapter 6.

Uniforms:

1.

The Chief of Police may institute the wearing of uniform for Communications
Division personnel at any time. Said Uniform Program will be at the
Department's expense and is subject to allotment and replacement policies as
established by the Department. If uniforms are instituted, Communications
Division personnel will not be permitted to wear civilian clothing; therefore, the
above language under “Giviian—Clething*?Communications Personnel Dress will
no longer apply except for probationary employees or those who have not yet
been issued their uniforms by the Department. There will be an appropriate
transition period set aside by the Chief of Police or designee for the conversion
from civilian clothing to uniforms.

Upon approval by the Chief of Police or designee, damaged or worn uniform
clothing will be replaced at the Department's expense upon notice by the
employee through an intradepartmental communication. The article of damaged
or worn uniform clothing will be presented for inspection to an appropriate
supervisor at the time of the request and submission of the intradepartmental
communication.

The Chief of Police may discontinue the wearing of uniform for Communications
Division personnel at any time. _ If the wearing of civilian clothing is instituted,
Communications Division personnel will not be permitted to wear uniforms. There
will be an appropriate transition period set aside by the Chief of Police or
designee for the conversion from uniforms to civilian clothing.

Grooming: Personal appearances of all male and female employees should be clean and neat.
Mustaches, beards, and hairstyles should be neatly trimmed and groomed.

ARTICLE 16 —- INSURANCES

MEDICAL & HEALTH INSURANCE

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SECTION I —- HEALTH INSURANCE

Except as otherwise provided in this Article 16, upon the request of an eligible member of the
bargaining unit, the City shall provide the premium for an individual, two-person, or family
plan of one but not more of, the following plans, if available, or a comparable plan if the
following plan(s) are not available:

a. Point-of-Service Plan;
b. _HMO Plan;
bec. et High Deductible Health Plan with Health Savings Account (HDHP_w/

eo

H.S.A.

ed. The City may make additional plans available to members with benefit
levels and premium cost sharing determined by the City in its sole
discretion.

EFFECHVE Upen-SigningEffective July 1, 2021 (FY2022): The city shall contribute 70% of
the premium of option “a” and 80% of the premium of option “b”_and “c’.. Alt-plarnsThe following
plans offered by the City shall have the following co-pays and deductibles:

Option “a”: Point of Service:

1) Twenty Dollars ($20.00) per medical visit:

2) One Hundred Dollars ($100.00) per emergency room visit:

3) Two Hundred Fifty Dollars ($250.00) per person, Five Hundred Dollars
($500.00) per two-person/Family Inpatient/Outpatient Facility Deductible:

4) Three (3) Tier Pharmacy Benefit of $5/15/35 ($5/30/70 mail order).

Option “b”: HMO Plan:

a} Fwerty Twenty-five Dollars ($29.09$25.00) per medical visit;

b}2 One Hundred Dollars ($100.00) per emergency room visit;(co-payment
waived if admitted)

6}3 Fwe-Hundred _FiftyFifteen Hundred Dollars ($259-001500.00) per person,
Five—HundredIhree Thousand Dollars ($569-693000.00) per two-
person/Family Inpatient/Outpatient Facility Deductible;

aj4 Three (3) Tier Pharmacy Benefit of $545/85—($5/30/40—mail
erden$ 10/$30/$50 ($20/$60/$100 mail order).

Option “c” High Deductible Health Plan with Health Savings Account (HDHP w/ H.S.A.):

The deductibles for this plan will be $2000 for an individual plan and $4000 for a 2-person or
family plan. The City will contribute $1500 of the $2000 for the single plan (the remaining $500
will be the responsibility of the employee) and $3000 of the 2-person or family plan (the remaining
$1000 will be the responsibility of the employee).

The Gity H.S.A contribution will be distributed in 2 installments, one on or about July 1 and one on
or about October 1 of each year. If an employee is required to pay more towards his/her
deductible than the initial 50% contribution, upon presentation of suitable documentation, the City
will contribute the remaining 50% prior to October 1. Employees who retire between July 1 and
October 1 will receive their July 1 City contribution. If the retired employee keeps the City

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Attachment C

GUARANTEE OF PAYMENT
(CONTINUING)

THIS GUARANTEE OF PAYMENT (this "Guaranty") is executed as of February 9, 2010, by
PENNICHUCK CORPORATION, a New Hampshire corporation (hereinafter referred to as the
"Guarantor"), in favor COBANK, ACB (hereinafter referred to as "CoBank").

BACKGROUND

Pennichuck East Utility, Inc. (the "Company") has obtained or may desire at some point in time
and/or from time to time to obtain loans, advances and other financial accommodations from CoBank.
Owing to Company's financial condition and/or other factors, CoBank is not willing to extend or continue to
extend credit to the Company without the guaranty of the Guarantor. Having a financial interest in the
Company and expecting to benefit from such credit, the Guarantor is willing to furnish that guaranty.

NOW, THEREFORE, in order to induce CoBank to extend credit to the Company and for good
and valuable other consideration, the receipt and sufficiency of which are hereby acknowledged, the

Guarantor agrees as follows:

SECTION 1. Guaranty. The Guarantor hereby unconditionally and irrevocably guarantees to
CoBank the punctual payment when due, whether at stated maturity, by acceleration or otherwise, of all
indebtedness, obligations and liabilities of the Company to CoBank, whether now existing or hereafter
incurred, including, but not limited to, those under or arising out of or in connection with any loans,
advances, acceptances, letters of credit, indemnities, foreign exchange contracts or any other kind of
contract or agreement under which the Company may be indebted to CoBank in any manner, whether for
principal, interest, fees, surcharges, expenses or otherwise. For ease of reference: (i) all such indebtedness,
obligations and liabilities shall hereinafter be collectively referred to as the "Guaranteed Obligations"; and
(ii) all instruments, documents and agreements evidencing or relating to the Guaranteed Obligations
(including all loan agreements, promissory notes, reimbursement agreements, security agreements,
mortgages and deeds of trust) shall hereinafter collectively be referred to as the "Loan Documents," Without
limiting the foregoing, the Loan Documents shall include (but shall not be limited to) the: (1) Master Loan
Agreement dated as of February 9, 2010, between the Company and CoBank (as amended or restated from
time to time, the “MLA”); (2) Promissory Note and Supplement dated as of February 9, 2010, between the
Company and CoBank and numbered RX0848T1I; (3) Promissory Note and Supplement dated as of
February 9, 2010, between the Company and CoBank and numbered RX0848T2; (4) all future Promissory
Notes and Supplements issued under the Master Loan Agreement; (5) the ISDA 2002 Master Agreement
dated as of February 9, 2010, between the Company and CoBank, and all schedules executed at any time in
connection therewith; and (6) all amendments to and restatements of each of the foregoing.

SECTION 2. Guaranty of Payment; Waiver of Defenses, Etc. This Guaranty is a guarantee of
payment and not of collection. The Guarantor acknowledges and agrees that this Guaranty is an absolute
and independent obligation of the Guarantor, and therefore waives any right to require that any action be
brought against the Company, another guarantor or any other person or entity which is liable for all or any
part of the Guaranteed Obligations, or to require that resort be had at any time to any security for the
Guaranteed Obligations or to any right of setoff or similar right. The Guarantor’s obligations hereunder
Shall be payable on demand and shall be absolute and unconditional irrespective of (and the Guarantor
hereby expressly waives any defense or claim of discharge based on): (i) the alteration or modification from
time to time (whether material or otherwise) of the Guaranteed Obligations, including the date, time, and
place of payment, an increase or decrease in the rate or rates of interest accruing on the Guaranteed
Obligations, the period during which the Guaranteed Obligations may be made, the amount of the
Guaranteed Obligations or otherwise; (ii) the waiver by CoBank of the Company's compliance with any of

The option of the health care plan is at the sole discretion of the City. It is agreed by all parties
concerned that the City reserves and shall have the right to change insurance carriers provided
the benefits to participants are comparable and the City elects the least expensive plan available
to provide such benefits.

Should the City determine that it is in the best interests of the City to offer a “comparable” plan to
either option “a” or “b”, it shall provide at least one hundred twenty (120) days prior written notice
to the Union and documentation of the cost to members and the benefits that will be provided
under the comparable plan. Should the Union determine that the proposed plan is not
comparable, the grievance shall not be subject to the grievance procedure (Article 12), and shall
be submitted directly for arbitration no later than thirty (80) days after the Union is notified of the
proposed change to the comparable plan. The grievance shall be heard in an expedited manner.

The decision of the arbitrator shall be binding on both parties.

For the purposes of this article, a “comparable” plan means: a comparable plan means one that offers
the same type of benefits, but benefits do not have to be exactly the same. In addition, the plan must
provide reasonable access to health services and physicians, including specialists and hospitals.

Restrictions for Newly Hired Employees: After the signing of the Contract: Newly hired
employees must sign up for a minimum of one (1) year with plans “b” or “c” and may change to
another plan during the normal group re-opening period.

In the event that any employee’s spouse is employed by the City of Nashua, the Nashua School
District, or another agency of the City, the employee shall be entitled to health insurance premium
coverage either pursuant to this article or pursuant to the coverage afforded to his/her spouse,
but not both.

Any eligible member of the bargaining unit requesting initial membership in a plan may enter
during a specified enrollment period. Any eligible member desiring to select a different plan may
make such a change only during the annual enrollment period. Eligible members moving into or
out of a plan’s service area may change plans within a specified period after such move to the
extent permitted by the plans.

Eligible members of the bargaining unit shall be defined as full-time employees.

JOINT LABOR/MANAGEMENT COMMITTEE: For the duration of this Agreement, either party
to the Agreement may request that a joint Labor/Management Committee be convened to
consider the performance of the aforementioned plans, any changes thereto.

ANNUAL AUDIT: The City of Nashua hereby agrees to conduct a yearly loss ratio analysis of all
health insurance plans offered to employees and return all employee overpayments in the form of
a Health Insurance Premium Holiday at the completion of the analysis.

SECTION Il — LIFE INSURANCE

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Full-time employees, averaging 37 ‘2 hours or more a week, are eligible to participate in the city’s
group term life insurance benefit. The benefit is equal to one times the annual basic rate of pay
of each employee. If an employee elects to participate, the city will pay 100% of the premium
cost. This item is not retroactive and shall become effective upon approval of cost items by the
Board of Aldermen.

This benefit also provides for optional term life insurance and is 100% employee paid. The
benefit amounts are determined by the insurance carrier and the cost of optional coverage is
determined by the employee’s age.

SECTION Ill— DENTAL INSURANCE

The Commission shall ensure through the City of Nashua that full-time employees, averaging
37% hours a week, are provided a 2-person Dental Plan, Coverage A (100%), B (85%) and C
(50%), at no cost to the employee, except for single employees who shall receive a 100% paid 1-
person Dental Plan. This item is not retroactive and shall become effective upon approval of cost
items by the Board of Aldermen.

1. Employees may request a family plan; however, the employee will be responsible
for paying any differences in the 2-person plan premium versus the family plan
premium through payroll deductions.

2. Any employee requesting initial membership in one of the plans may enter only
during a specified enrollment period (group re-opening}. Any employee desiring
to select a different plan, after having enrolled in one of the plans, may make that
selection only once during one (1) calendar year.

High Option Plan:

Effective September 1, 2015, those employees covered by dental insurance under this article
may elect to participate in the High Option Plan available through Delta Dental. The
employee shall be responsible for paying the full additional premium cost for the High Option
Plan.

SECTION IV — SHORT TERM DISABILITY COVERAGE

The City of Nashua will offer Short Term Disability coverage to all employees covered under this
CBA. Participation in this program will be completely optional and funded entirely at the
employee’s expense.

SECTION V— LONG TERM DISABILITY COVERAGE
Employees who are covered by this Agreement may be eligible for Long-Term Disability under

the City’s Long-Term Disability Plan in accordance with the provisions thereof as the same may
be amended from time to time. There shall be no cost to the employee for this benefit.

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ARTICLE 17 - SICK LEAVE
SECTION I - ACCRUAL RATES

For Employees Hired On or After July 1, 2000: Effective July 1, 2008, full-time employees
covered by this Agreement (averaging 37% hours a week or more) on the active payroll shall
accrue: 8 hours each month or 96 hours (12 days) a year. All additional and new benefits
under this Section shall commence effective July 1, 2008 and after this Agreement has received
all required approvals. Prior to June 30, 2008, the benefits contained under this Section in the
parties’ prior collective bargaining agreement shall be in effect.

For Employees Hired On or After July 1, 2000: Effective July 1, 2014, full-time employees
covered by this Agreement (averaging 37 Ye hours a week or more) on the active payroll shall
accrue: 9 hours each month or 108 hours (13.5 days) per year.

For Employees Hired on or After July 1, 2000: Effective July 1, 2015, full-time employees
covered by this Agreement (averaging 37 Ye hours a week or more) on the active payroll shall
accrue: 10 hours each month or 120 hours (15 days) per year.

For Employees Hired Before July 1, 2000: Full-time employees covered by this Agreement
(averaging 37% hours a week or more) on the active payroll covered by this Agreement, shall
accumulate at the rate below per calendar month: 10 hours each month or 120 hours (15 days)
a year, cumulative to a maximum of 720 hours (90 days).

SECTION Il - ACCRUAL POLICIES

For the purposes of this article, full-time employees averaging 371% hours a week will be
considered 40-hour-a-week employees. Accruals and deductions will be based on eight (8) hour
days.

Full-time employees must be employed for at least 15 calendar days, beginning the first of any
month, or on approved sick or vacation leave, to accrue sick time for that particular month. A
newly hired employee is not entitled to payment for sick leave until completion of six (6)
continuous months, and such payments may not be applied retroactively.

Employees must have the appropriate time accrued before use of sick time is approved. At no
time shall an employee be paid sick time if it has not yet been accrued. During an unpaid leave
of absence, an employee does not accrue any sick time.

Sick leave shall not be considered a privilege which an employee may use at his discretion. It
shall be allowed only in the case of necessity and actual sickness or disability of the employee, or
to take physical and dental examinations or other sickness prevention measures, or under the
Family Medical Leave Act.

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