Staff Report
PREPARED BY: LISA VELASCO
Human Resources Director
Reviewed by: Town Manager, Town Attorney, Assistant Town Manager and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 02/07/2017
ITEM NO: 6
DATE: JANUARY 24, 2017
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: APPROVE A LABOR AGREEMENT BETWEEN THE TOWN OF LOS GATOS AND
THE POLICE OFFICERS’ ASSOCIATION AND AUTHORIZE THE TOWN
MANAGER TO EXECUTE THE MEMORANDUM OF UNDERSTANDING
RECOMMENDATION:
Approve a labor agreement between the Town of Los Gatos and the Police Officers’ Association
(POA) for the period of October 1, 2016 through September 30, 2018 and authorize the Town
Manager to execute the Memorandum of Understanding (Attachment 1).
BACKGROUND:
In accordance with the Town’s Employer-Employee Relations Resolution No. 1974-41,
representatives of the Town and POA have met and conferred in good faith and within the
scope of representation in an effort to reach agreement for a successor Memorandum of
Understanding (see Attachment 1). The Memorandum of Understanding is a labor agreement
that identifies specific terms and conditions of employment applicable to the employees
represented by that agreement.
The Town has two other represented groups, Association of Federal, State, County and
Municipal Employees (AFSCME) and the Town Employees’ Association (TEA). An agreement
was reached between the Town and AFSCME and approved by Council on November 15, 2016.
An agreement was also reached between the Town and TEA and approved by Council on
December 20, 2016.
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SUBJECT: APPROVE A LABOR AGREEMENT BETWEEN THE TOWN OF LOS GATOS AND
THE POLICE OFFICERS’ ASSOCIATION AND AUTHORIZE THE TOWN MANAGER
TO EXECUTE THE MEMORANDUM OF UNDERSTANDING
DATE: FEBRUARY 7, 2017
S:\COUNCIL REPORTS\2017\02-07-17\POA\POA MOU Staff Report FINAL.docx 2/2/2017 8:51 AM LV
DISCUSSION:
The Town’s current agreement with POA expired on September 30, 2016. In July 2016, the
Town and POA began negotiating for a successor agreement. A tentative agreement for a two-
year term was reached in December 2016 and subsequently ratified by POA members in
January 2017.
Major provisions of the agreement:
1. Term: October 1, 2016 to September 20, 2018
2. Salary:
a. 2.5% salary increase retroactive to the first full pay period that includes October
1, 2016.
b. 2.5% salary increase effective at the beginning of the pay period that includes
October 1, 2017.
3. Bilingual Pay: Adding Russian, Chinese, Vietnamese and any other language designated
by the Chief of Police as eligible for 2.5% bilingual pay.
4. Uniforms: Increase from $50 per month to $100 per month.
The Town and POA have also agreed to various MOU language updates . These updates clarify
existing language, delete obsolete language, and ensure compliance with potential legislative
changes related to the Affordable Care Act. The updates do not change existing benefits nor is
there a related fiscal impact (see Attachment 1).
CONCLUSION:
The POA agreement has been prepared within the parameters provided to Town’s negotiators
by the Town Council and has been ratified by the POA membership. It is recommended that
the proposal be approved and that the Town Manager be authorized to execute the
Memorandum of Understanding.
FISCAL IMPACT:
The anticipated fiscal impact for the across-the-board increases in FY 2016/2017 is $161,012
and the impact for FY 2017/2018 is $181,197. The total two year on-going cost is $503,221.
The anticipated additional cost of bilingual and uniform pay changes is $33,900 per fiscal year.
The total impact will be absorbed in the Town’s existing operating budget.
Attachments:
1. October 1, 2016 through September 30, 2018 POA Memorandum of Understanding