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of this Memorandum of Understanding he/she believes to have been violated, and, if possible, the nature of the determination desired. The City Manager shall have fourteen (14) days in which to consider the grievance and render a decision. No grievance may be processed under paragraph (4) below which has not first been filed and investigated in accordance with this paragraph (3). (4) The Association may appeal the decision of the City Manager by requesting that the grievance be referred to an impartial arbitrator. The Association's decision to refer the grievance to arbitration shall be made within fourteen (14) days of the notification of the city manager's decision. The arbitrator shall be designated by mutual agreement between the Association and the City Manager. The fees and expenses of the arbitrator and court reporter shall be shared equally between the City and the Association. Each party, however, shall bear the cost of its own presentation, including preparation and post hearing briefs, if any. An employee may proceed to arbitration only in grievances involving discipline and only if the Association elects not to represent the employee in the grievance. The arbitrator shall be selected by mutual agreement between the employee and the City Manager. The fees and expenses of the arbitrator and of a court reporter shall be shared equally by the employee and the City. Each party, however, shall bear the cost of its own presentation, including preparation and post hearing briefs, if any. (5) Decisions of the arbitrators on matters properly before them shall be final and binding on the parties hereto, to the extent permitted by law or the terms of this Agreement. 23.3 The time limits previously set forth shall be considered maximums and every effort shall be made to expedite the process. The limits specified may, however, be extended by mutual agreement of the parties. 23.4 No arbitrator shall entertain, hear, decide or make recommendations on any dispute unless such dispute involves a position in a unit represented by the Association and unless such dispute falls within the definition of a grievance as set forth in subsection 23.1. 23.5 Proposals to add to or change this Memorandum of Understanding or written agreements or addenda supplementary hereto shall not be arbitrable and no proposal to modify, amend or terminate this Memorandum of Understanding, nor any matter or subject arising out of or in connection with such proposal, may be referred to arbitration under this Section. No arbitrator shall have the power to amend or modify this Memorandum of Understanding or written agreement or addenda supplementary hereto or to establish any new terms or conditions of employment. 23.6 No grievance involving demotion, reduction in pay, suspension, dismissal of an employee will be entertained unless it is filed in writing with the City Manager within seven (7) working days of the time at which the affected employee was notified of such action. 23.7 If the City Manager in pursuance of the procedures outlined in subsection 23.2(3) above, resolves the grievance which involves suspension or discharge, he/she may agree to payment for lost time or to reinstate with or without payment for lost time. 26