PARKING FEES ANDGENERAL SALARY INCREASE

May 10, 2007

1. The individual salary rates of all employees in CSUEU-represented bargaining units shall be increased by one percent (1.0%), retroactive to January 1, 2007.

2. The minimum, SSI maximum and the maximum of all salary ranges shall be increased by one percent (1.0%), retroactive to January 1, 2007.

3. The following increases in parking fees shall be effective upon the implementation of a program to equalize faculty and student parking fees. Effective July 1, 2007, parking fees for employees in CSUEU-represented bargaining units shall be increased by the cumulative percentage amount of the General Salary Increase (GSI) for FY 2006/07 [four percent (4%)].

4. For FY 2007/08, parking fees for employees in CSUEU-represented bargaining units shall be increased by the percentage amount of the General Salary Increase (GSI) for FY 2007/08. If the CSU receives revenues in its final budget consistent with provisions 20.5 and 20.6 of the CSUEU-CSU Agreement, then the increase will take effect no earlier than the first pay period thirty (30) days after the final approval of the CSU budget. If the CSU does not receive revenues in the final CSU budget consistent with provisions 20.5 and 20.6 of the CSUEU-CSU Agreement and the parties reopen bargaining on salary pursuant to Article 29 (Duration & Implementation), then the increase will take effect no earlier than the first pay period thirty (30) days after the implementation of the GSI for that year. Deductions will be retroactive to the date of the first pay period thirty (30) days after the final approval of the CSU budget for that fiscal year.

5. In each fiscal year of the CSUEU-CSU agreement thereafter, parking fees will be increased by the percentage amount of the General Salary Increase (GSI) for that fiscal year. If the amount of the GSI has been contractually established by the parties prior to the commencement of the fiscal year, then the increase will take effect no earlier than the first pay period thirty (30) days after the final approval of the CSU budget. If the parties re-open bargaining on salary in FY 2008/09 and/or 2009/10, pursuant to Article 29 (Duration & Implementation), then the increase will take effect no earlier than the first pay period thirty (30) days after the implementation of the GSI for that fiscal year. Deductions will be retroactive to the date of the first pay period thirty (30) days after the final approval of the CSU budget for that fiscal year.

6. Under no circumstances shall parking fees on any campus exceed those paid by CSU students in any given fiscal year. As of the date of this Side Letter, should student parking fees on any campus be less than those parking fees paid by CSUEU-represented employees, they will not be lowered to the student rate.

7. CSUEU-represented employees employed at two or more campuses shall not be required to purchase multiple parking passes. Procedures to implement the terms of this provision shall be determined by the CSU. This procedure will permit parking at all campuses where a CSUEU-represented employee is employed, provided that the employee has purchased a parking permit during the same timeframe at a CSU campus.

8. This Side Letter supersedes Article 21, provisions 21.16 and 21.17, as well as Side Letter 9 on Parking Fees, dated October 27, 2006.