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10 Staff Report.POA Vacation Side Letter with attachments PREPARED BY: Katy Nomura Assistant Town Manager Reviewed by: Town Manager, Town Attorney, 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: 06/18/2024 ITEM NO: 10 DATE: June 10, 2024 TO: Mayor and Town Council FROM: Laurel Prevetti, Town Manager SUBJECT: Approve and Authorize the Town Manager to Execute a Side Letter of Agreement Between the Town of Los Gatos and the Police Officers Association (POA) to Modify the Vacation Accrual Cap through June 30, 2025 RECOMMENDATION: Approve and authorize the Town Manager to execute a Side Letter of Agreement (Attachment 1) between the Town of Los Gatos and the Police Officers Association (POA) to modify the vacation accrual cap through June 30, 2025. REMARKS: On May 2, 2023, the Town Council approved a side letter with POA to temporarily increase POA members’ vacation accrual maximum cap by 100 hours (from 344 hours to 444 hours). This was done due to unusually low staffing levels in the Police Department that prevented many POA members from using their accrued vacation leave. This vacation accrual maximum cap increase is currently set to end on June 30, 2024. The Town’s negotiating team met and conferred in good faith with POA representatives to negotiate a one-year extension of that side letter (Attachment 1). If approved, the temporary vacation accrual maximum cap increase would end June 30, 2025, and effective July 1, 2025, the vacation accrual maximum cap would return to 344 hours. At that time, if an employee’s vacation balance is above 344 hours, the hours will remain in the employee’s vacation leave bank for future use or cash out per the terms of the Memorandum of Understanding (MOU), and vacation accruals will not resume until an employee’s balance is below 344 hours. PAGE 2 OF 2 SUBJECT: Approve a Side Letter of Agreement Between the Town of Los Gatos and the Police Officer Association (POA) to Modify the Vacation Accrual Cap Through June 30, 2025 DATE: June 10, 2024 REMARKS (continued): The parties agree that the preceding language temporarily modifies the maximum accrual of vacation hours as indicated in Section 23. Vacation Schedule of the 2024-2027 Memorandum of Understanding (Attachment 2). The parties acknowledge that this side letter is subject to Council approval. FISCAL IMPACT: The maximum fiscal impact of the side letter will be absorbed in the Police Department’s Fiscal Year 2024/25 operating budget. If any adjustments are needed, they will be requested at that time. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachments: 1. 2024 POA Vacation Side Letter of Agreement 2. 2024-2027 POA Memorandum of Understanding ATTACHMENT 1 SIDE LETTER OF AGREEMENT BETWEEN THE TOWN OF LOS GATOS AND POLICE OFFICERS’ ASSOCIATION JUNE 18, 2024 Having met and conferred in good faith, the Town of Los Gatos and the Police Officers’ Association agree as follows: Whereas current low staffing levels in the Police Department have prevented POA members from using their accrued vacation leave, the Town shall maintain its temporary increase to POA members’ vacation accrual maximum cap from 344 hours to 444 hours. The temporary increase shall end June 30, 2025. Effective July 1, 2025, the vacation accrual maximum cap shall return to 344 hours. At that time, if an employee’s vacation balance is above 344 hours, the hours will remain in the employee’s vacation leave bank for future use or cash out per the terms of the MOU, but vacation accruals will not resume until an employee’s balance is below 344 hours. The parties agree that the preceding language temporarily modifies the maximum accrual of vacation hours as indicated in Section 23. Vacation Schedule of the 2024-2027 Memorandum of Understanding. The parties agree that this side letter is subject to Council approval. FOR POA: TOWN OF LOS GATOS: Greg Borromeo, President Laurel Prevetti, Town Manager Bill Hoyt, Sergeant Katy Nomura, Assistant Town Manager Mike Birley, Detective Lisa Charbonneau, Liebert Cassidy Whitmore Riley Frizzell, Detective Peter Hoffman, Rains Lucia Stern St. Phalle & Silver, PC APPROVED AS TO FORM: Gabrielle Whelan, Town Attorney TOWN OF LOS GATOS AND LOS GATOS POLICE OFFICERS’ ASSOCIATION MEMORANDUM OF UNDERSTANDING April 1, 2024 – June 30, 2027 DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E ATTACHMENT 2 This page left intentionally blank. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 MEMORANDUM OF UNDERSTANDING BETWEEN THE TOWN OF LOS GATOS AND THE LOS GATOS POLICE OFFICERS ASSOCIATION THIS AGREEMENT IS ENTERED INTO AS OF April 16, 2024, BETWEEN THE TOWN OF LOS GATOS, HEREINAFTER REFERRED TO AS THE "TOWN", AND THE LOS GATOS POLICE OFFICERS ASSOCIATION, HEREINAFTER REFERRED TO AS "POA". Pursuant to Town Resolution 1974-41 of the Town of Los Gatos and Section 3500 et. seq. of the Government Code, the duly authorized representatives of the Town and POA, having met and conferred in good faith concerning the issues of wages, hours, and terms and conditions of employment, as herein set forth, declare their agreement to the provisions of this Memorandum of Understanding. FOR THE TOWN: FOR POA: Laurel Prevetti, Town Manager ______________________________________ Greg Borromeo, President Katy Nomura, Assistant Town Manager ______________________________________ Lisa S. Charbonneau Liebert Cassidy Whitmore Bill Hoyt, Sergeant ______________________________________ Mike Birley, Detective ______________________________________ Riley Frizzell, Detective APPROVED AS TO FORM: ______________________________________ Gabrielle Whelan Town Attorney ______________________________________ Peter Hoffmann, Rains Lucia Stern St. Phalle Silver, PC DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E 4/22/2024 4/23/2024 4/22/2024 4/23/2024 4/22/2024 4/23/2024 4/30/2024 5/1/2024 5/3/2024 Attest: Wendy Wood Town Clerk 5/3/2024 Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 This page left intentionally blank. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 Preamble ..................................................................................................... 1 Term ..................................................................................................... 1 1.Employer-Employee Relations ............................................................... 1 2.Savings Clause ........................................................................................ 1 3.Payroll Deduction .................................................................................. 1 4.Non-Discrimination ................................................................................ 2 4.1 General Provisions Regarding Americans with Disabilities Act (ADA) and the Fair Employment and Housing Act (FEHA) ........... 2 5.Salary ..................................................................................................... 2 5.1 Intent............................................................................................ 2 5.2 Effective Upon Approval .............................................................. 2 5.3 Effective 2025 .............................................................................. 2 5.4 Effective 2026............................................................................... 2 6.PERS Benefits ......................................................................................... 2 6.1 PERS 3% at 50 Retirement Option Classic Members ................... 3 6.2 PERS 2.7% at 57 Retirement Option New Members ................... 3 7.Education Incentive Pay ........................................................................ 3 7.1 Four-Year Degree Incentive ......................................................... 3 7.2 Two-Year Degree Incentive Pay ................................................... 3 7.3 Commencement of Educational Incentive Pay ........................... 3 7.4 Re-Opener .................................................................................... 4 7.5 CalPERS…………………………………………………………………………………….4 8.POST Certification Pay ……………………………………………………………………….4 9.Special Pays ............................................................................................ 4 9.1 Special Assignment Pay................................................................ 4 9.2 Bilingual Pay ................................................................................. 5 9.3 Canine Pay .................................................................................... 5 9.4 Field Training Officer Training Premium ...................................... 6 9.5 Trailing Canine Pay ...................................................................... 6 9.6 Therapy Canine Pay……………………………………………………………….….6 9.7 Posting for Special Assignments…………………………………………….....7 10.Acting Sergeant Pay .......................................................................... …..7 11.Reimbursement of Expenses ................................................................. 7 12.Tuition Reimbursement ......................................................................... 7 DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 13. Health and Welfare Benefits and Rate of Town Contribution............... 7 13.1 Cafeteria Plan ............................................................................... 7 13.2 Dental ........................................................................................... 8 13.3 Medical ........................................................................................ 8 13.4 Vision............................................................................................ 8 13.5 Cash-In-Lieu Plan .......................................................................... 8 13.6 Supplemental Health and Welfare Benefits ................................ 8 14. Retiree Health ........................................................................................ 9 14.1 Retiree Health Benefit for Eligible Retirees Hired on or Before October 1, 2018…………………………………………………………….………….9 14.2 Retiree Health Benefit for Eligible Retirees Hired After October 1, 2018………………………………………………………………….…..10 15. Uniforms .............................................................................................. 11 16. Mileage Reimbursement ..................................................................... 11 17. Payroll Periods ..................................................................................... 11 18. Paychecks............................................................................................. 11 19. Deferred Compensation ...................................................................... 11 20. Overtime .............................................................................................. 11 21. Duty Extension ..................................................................................... 12 22. Call Back ............................................................................................... 12 23. Vacation Schedule ............................................................................... 13 24. Vacation and Compensatory Time Off Cash-Out………………….…………..13 25. Shift and Vacation Selection Procedures ...................................... .......13 26. Holidays and Holiday Pay ..................................................................... 13 27. Personal Leave ..................................................................................... 14 28. Sick Leave ............................................................................................. 14 29. Sick Leave Cash-Out Program .............................................................. 14 29.1 Annual Sick Leave Cash-Out for Employees Hired Prior to October 1, 2018 ......................................................................... 14 29.2 Sick Leave Cash-Out Upon Termination for Employees Hired Prior to October 1, 2018 ............................................................ 14 29.3 Unused Sick Leave Upon Retirement......................................... 15 30. Military Leave ...................................................................................... 15 31. Bereavement/Compassion Leave ........................................................ 15 32. Leave Without Pay ............................................................................... 15 DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 33. Accrual of Benefits ............................................................................... 16 34. Workers’ Compensation ...................................................................... 16 35. Jury Duty .............................................................................................. 16 36. Outside Employment ........................................................................... 16 37. Residency Requirement ....................................................................... 16 38. Layoff Policy ......................................................................................... 16 39. Paid Family Leave ................................................................................ 17 40. Promotions .......................................................................................... 17 41. Probationary Period ............................................................................. 17 42. Performance Evaluations ..................................................................... 17 43. Reinstatement ..................................................................................... 18 44. Re-Employment ................................................................................... 18 45. Grievance Procedures .......................................................................... 18 46. Attendance .......................................................................................... 19 47. Completeness of MOU ........................................................................ 19 48. Association Notification or Communications ...................................... 19 49. Labor-Management Committee……………………………………………………….19 50. Catastrophic Time Bank ....................................................................... 19 51. Me Too Clause ..................................................................................... 20 Salary Schedule Exhibit A DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 1 12409313.1 LO007-016 Town of Los Gatos and Los Gatos Police Officers Association Comprehensive Memorandum of Understanding On Salaries, Fringe Benefits and Working Conditions Preamble The authorized representatives of the Town of Los Gatos, hereinafter referred to as the "Town" and the authorized representatives of the Town of Los Gatos Police Officers Association hereinafter referred to as "Association" do jointly accept and agree to all the terms and conditions of employment set forth in this comprehensive memorandum of understanding pursuant to Town Resolution 1974-41 of the Town of Los Gatos. This understanding shall apply to represented employees assigned to those classifications listed on Exhibit A when classifications are created which fall under the representation of POA, this understanding shall also apply. The terms and conditions of employment set forth in this understanding have been discussed in good faith by the authorized representatives of the Town and the authorized representatives of the Police Officers Association. They agree to recommend acceptance by the employees of all terms and conditions set forth herein. Following said acceptance by the Association, authorized representatives of the Town agree to recommend to the Town Council that all terms and conditions set forth herein be approved by resolution. Upon adoption of said resolution, all terms and conditions so incorporated shall become effective without further action by either party. Term The term of this Memorandum of Understanding shall be three years, commencing on April 1, 2024, and terminating on June 30, 2027. Section 1. Employer-Employee Relations The Association recognizes the existence of Town Resolution 1974-41, and its successor if any, during the term of this MOU. Recognition of any amendments to this resolution does not imply POA has agreed to the changes. Section 2. Savings Clause If any provision or the application of any provision of this agreement as implemented should be rendered or declared invalid by any court action or decree or by reasons of any preemptive legislation, the remaining sections of this agreement shall remain in full force and effect for the duration of this agreement. Section 3. Payroll Deduction Any employee may sign and deliver to the Association an authorization for payroll deduction of membership dues. The Town agrees to remit to the Association all monies deducted accompanied by a list of workers for whom such deductions have been made and indicating any changes in personnel from the list previously furnished. The Association shall certify in writing to the Town any changes in the amount of membership dues. The Town shall not be obligated to put into effect any new, changed, or discontinued deduction until the pay period commencing thirty (30) days or longer after such submission. The Association shall indemnify and hold harmless the Town against any and all suits, claims, demands, and liabilities that may arise out of, or by reason of, any action or omission of the Town in complying with this Section. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 2 12409313.1 LO007-016 Section 4. Non-Discrimination The Town and Association agree that all provisions of this agreement shall be applied equally to all employees covered herein without favor or discrimination because of race, religious creed, color, sex (including pregnancy, childbirth, and related medical conditions), age (over 40), gender, gender identity, gender expression, sexual orientation, national origin, ancestry, political or religious affiliation, Association membership or activity on behalf of the Association, marital status, military or veteran status, or physical disability, mental disability, medical condition, or genetic information or any other basis prohibited by applicable federal, State or Town law. Association and Town support equal employment opportunity in hiring and will support all State and Federal regulations regarding equal employment opportunity. 4.1 General Provision regarding the Americans with Disabilities Act (ADA) and the Fair Employment and Housing Act (FEHA) 4.1.1 Because the ADA and the FEHA require accommodations for individuals protected under the Acts, the Association recognizes the Town's obligation to comply with all provisions of the ADA and the FEHA on a case-by-case basis. 4.1.2 The Association recognizes that the Town has the legal obligation to meet with the individual employee to be accommodated before any adjustment is made in working conditions. The Association will be notified of these proposed accommodations. 4.1.3 Any accommodation provided to an individual protected by the ADA and the FEHA shall not establish a past practice. Section 5. Salary 5.1 Intent It is the intent of the Town to maintain salaries and benefits at a level that attracts and retains quality employees. The parties agree that surveys of the wages and benefits of police officers performing comparable work for comparable agencies provide information useful in ensuring that the Town continues to meet this goal. 5.2 Effective Upon Approval Effective April 1, 2024, the salary rate for all classifications shall be increased by six- and one-half percent (6.5%). 5.3 Effective 2025 Effective the first full pay period in July 2025, the salary rate for all classifications shall be increased by five percent (5%). 5.4 Effective 2026 Effective the first full pay period in July 2026, the salary rate for all classifications shall be increased by four percent (4%). Section 6. PERS Benefits The Town contracts with the California Public Employees’ Retirement System (CalPERS or PERS) to provide Town employees with retirement benefits. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 3 12409313.1 LO007-016 6.1 PERS 3% at 50 Retirement Option Classic Members For employees that are not “New Members” as defined under Government Code section 7522.04(f), commonly referred to as “Classic Members,”, the Town provides the 3% at 50 option for members of the bargaining unit. The Town’s contract with CalPERS for the 3% at 50 option also includes the following optional benefits:  Single Highest Year  1959 Survivor Benefit Level 4  Conversion of Unused Sick Leave to Service Credit Classic Members contribute 12% towards PERS (3% more than required by statute) in accordance with Government Code section 20516(a). 6.2 PERS 2.7% at 57 Retirement Option for New Member Employees Hired on or After January 1, 2013 For employees hired on or after January 1, 2013, who meet the definition of New Member under Government Code 7522.04(f), the Town provides the 2.7% at 57 retirement benefit. The Town’s contract with CalPERS for the 2.7% at 57 option also includes the following optional benefits:  36-month final average compensation (Gov’t Code 20037)  1959 Survivor Benefit Level 4  Conversion of Unused Sick Leave to Service Credit New Members contribute toward CalPERS an amount that is equal to one half (1/2) the normal cost of their CalPERS pension as determined annually by CalPERS, or the current contribution rate of similarly situated employees, whichever is greater (Government Code 7522.30(c)). Section 7. Education Incentive Pay 7.1 Four-Year Degree Incentive Pay The Town shall pay two and one-half percent (2.5%) of base salary to any member who possesses a four-year degree that enhances their ability to do their job. Employees must submit proof of the four-year degree to Human Resources in order to be eligible for the payment. 7.2 Two-Year Degree Incentive Pay For employees hired prior to June 30, 2008, the Town shall pay two and one-half percent (2.5%) of base salary to any member who possesses a two-year degree or meets the minimum requirements to obtain an Associates of Arts Degree that enhances their ability to do their job. Employees must submit proof of the two-year degree or completion of the minimum requirements to obtain an Associates of Arts Degree in a related field to Human Resources in order to be eligible for the payment. The incentive pay for a two-year degree does not stack with incentive pay for a four-year degree; the maximum education incentive pay any member may receive under this section 7 is two and one-half percent (2.5%) of base salary. 7.3 Commencement of Educational Incentive Pay Educational Incentive Pay is effective the first full pay period after the employee provides Human Resources with sufficient proof that the employee has obtained the requisite degree or education for Educational Incentive Pay. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 4 12409313.1 LO007-016 7.4 Re-Opener If the law changes on the education requirements for California police officers, the Town has the right to reopen this section 7. 7.5 CalPERS The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(2) and 571.1(b)(2) as Education Incentive. Section 8. POST Certificate Pay Qualified employees shall receive one of the following payment amounts in accordance with Exhibit A: 8.1 Employees in their represented classifications who have been awarded an Intermediate POST Certificate: An additional 5% of base salary. 8.2 Employees in their represented classifications who have been awarded an Advanced POST Certificate: An additional 2.5% of base salary for a total of 7.5%. 8.3 The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(2) and 571.1(b)(2) as Education Incentive. Section 9. Special Pays Officers are limited to one special assignment pay or canine pay. Officers who qualify for bilingual pay may receive bilingual pay in addition to a special assignment pay or canine. 9.1 Special Assignment Pay Town shall provide a 5% special assignment pay to Association represented personnel who are routinely and consistently assigned as follows: 9.1.1 Motorcycle Patrol Premium - For unit members who operate and/or patrol on motorcycle. 9.1.2 School Resource Officer Duty Pay - For unit members who are assigned to School Resource Officer duty. 9.1.3 Detective Division Premium - For unit members who are routinely assigned to a detective or investigative division. 9.1.4 Police Administrative Officer-for unit members who are assigned to police administration to provide support for the Police Chief and Command Staff in the operation of the Police Department. Assignment for special pay purposes shall be done using Town Personnel Action Forms. Association represented personnel removed from specialty positions on a temporary basis for departmental purposes and through no fault or request of their own shall continue to receive specialty pay for a maximum of 30 calendar days. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 5 12409313.1 LO007-016 The parties agree that to the extent permitted by law, special assignment pays are special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR 571(a)(4) and 571.1(b)(3) as Special Assignment Pay. 9.2 Bilingual Pay The Town will pay an additional 2.5% above base pay for employees who are routinely and consistently assigned to communicate in languages other than English. Bilingual pay will be for Spanish, Russian, Arabic, Chinese, Vietnamese, and any other language designated by the Chief of Police. The Town will determine the qualifying criteria including the test and the application to the specific job assignment. The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(4) and 571.1(b)(3) as Bilingual Premium. 9.3 Canine Pay Officers who are routinely and consistently assigned to handle, train, and board a canine in accordance with this section are eligible for Canine Officer/Animal Premium. Officers assigned to the canine unit are required to care for, train, groom, feed, and bathe their assigned dog. The parties agree that two hours per week is a reasonable amount of time to care for the canine. The Town compensates Canine officers a total of five (5) hours per week for additional time spent caring for the canine. Two (2) hours of this additional time is outside of the regular shift. The remaining three (3) hours is provided as release time. Call-back as defined in the MOU shall not apply for the purposes of caring for the dog. Compensation provided during the additional paid time and release time is mutually acknowledged to compensate for additional time required to care for, train, groom, feed, and bathe the assigned canine. 9.3.1 Canine Pay Premium - Compensation for the 2 hours outside of the regular shift is paid as a 5% premium on all hours worked. The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR 571(a)(4) and 571.1(b)(3) as Canine Officer / Animal Premium. 9.3.2 Canine Release Time - Canine Officers on a 4-10 schedule shall be released in a paid capacity for 0.75 hours prior to the “normal” conclusion of each regularly scheduled shift (4 shifts per week equaling 3 hours per week) for the normal care of the canine, including but not limited to training, grooming, feeding, bathing, and routine veterinarian care. Canine Officers on a 12-hour schedule shall be released in a paid capacity for 1.0 hours prior to the “normal” conclusion of each regularly scheduled shift (3 shifts per week equaling 3 hours per week) for the normal care of the canine, including but not limited to training, grooming, feeding, bathing, and routine veterinarian care. In the event that a Canine Officer is not released in sufficient time prior to the conclusion of his or her shift, the officer will be paid for additional time after the end of shift to compensate them for 0.75 or 1.0 hours of Canine care time as appropriate. The Town recognizes that this may result in overtime. 9.3.3 Commute Time with Canine - Commute time with the canine shall not be considered working time. If there is an event requiring emergency veterinarian care, travel to the veterinarian will be compensable work time. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 6 12409313.1 LO007-016 9.4 Field Training Officer Training Premium In addition to the above special pays, officers assigned by the Chief of Police as Field Training Officers shall also receive the 5% incentive whenever providing training to a Department member for which a training observation report is required or when completing special assignments directly related to the Field Training Officer Program with prior approval of the Chief of Police. Attendance at FTO meetings, training provided at briefings, or other training provided in conjunction with the Department’s annual Advanced Officer Training or other on-going general training to Department members does not qualify for the 5% incentive. The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(4) and 571.1(b)(3) as Training Premium. 9.5 Trailing Canine Pay Officers that personally own a certified and properly equipped Trailing Canine and have been identified as a Department Trailing Canine Handler will provide the Los Gatos-Monte Sereno Police Department with the use of the Trailing Canine when tracking, trailing and related canine services are required. Deployment of the Trailing Canine Team may be requested for location of missing persons, fugitive apprehension, and evidence recovery. With the approval of the Chief of Police, the Trailing Canine Team may also be deployed to other jurisdictions. Trailing Canine Handlers are responsible for the maintenance and care of the canine, in addition to recurring in-service training, at no cost to the Town. 9.5.1 Trailing Canine Premium - Officers will receive a five percent (5%) specialty pay premium only during approved deployment and use of services and will submit an approved time sheet noting the specialty pay during the pay period in which the services were rendered. The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR 571(a)(4) and 571.1(b)(3) as Canine Officer / Animal Premium. The Town will reimburse Officers up to, but not to exceed, $150.00 per month premium for private pet insurance. Officers will submit receipts for payment on a quarterly basis to Finance — Accounts Payable for reimbursement. The Town will also reimburse Officers for insurance deductible payments up to $250.00 per injury/illness incurred to canine while deployed for use on Town assignments. 9.5.2 Trailing Canine Training - Trailing Canine Handlers will maintain required recurring in-service training and associated records, within the scope of policies and procedures of the Los Gatos-Monte Sereno Police Department. Officers will be reimbursed for annual canine recertification course registration fees not to exceed $800.00 per year. Officers are responsible for cost of travel, lodging, and per-diem related to the annual recertification course. Up to 40-hours of paid release time annually will be allowed to attend re-certification course. The approved re- certification course constitutes scheduled Department training for which the release time will be honored. 9.6 Therapy Canine Pay The parties agree that one half-hour per day, outside of their regularly scheduled workday, is a reasonable amount of time for officers assigned to handle a canine as part of the Department’s Therapy Canine Program to care for their canines off duty. Therefore, effective the first full pay period after July 1, 2024, an officer assigned to handle a canine under the Department’s Therapy Canine Program shall receive one half hour of pay per day, totaling seven hours per pay period, at an hourly rate of one- and one-half times the state minimum wage. As of January 1, 2024, the California state minimum wage is $16.00 per hour, which would equate to a therapy canine payment of one hundred and sixty- eight dollars ($168) per pay period. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 7 12409313.1 LO007-016 9.7 Posting for Special Assignments Any opening for a special assignment shall be posted for a minimum of two weeks, unless extraordinary circumstances warrant otherwise. Section 10. Acting Sergeant Pay Police Officers working as acting supervisors shall be compensated at Step "4" of the Sergeant’s rate of pay. Town shall periodically review the actual time use of acting supervisor designations in order to determine the necessity of additional permanent supervisory personnel. The parties agree that to the extent permitted by law, this is special compensation for “Classics” only and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(3) as Temporary Upgrade Pay. Section 11. Reimbursement of Expenses The Town shall pay claims for reimbursement within 30 days following the complete and accurate submission of claims as approved by the Finance Director. Section 12. Tuition Reimbursement Town will reimburse 100% of the cost of books, university/school fees (except parking) and tuition. Tuition and school fees shall be reimbursed up to the full-time rates of San Jose State University at applicable Undergraduate or Graduate rates per school term. The maximum reimbursement per employee per fiscal year is equivalent to two (2) semesters. The reimbursement shall be only for courses that are directly related to the employee’s position as determined by the Town Manager, including general education courses that are generally related to attainment of a job-related degree or certification. General education courses not generally related to the employee’s position will not be eligible for reimbursement. Reimbursement shall be taxed pursuant to the State and Federal Regulations. Application for Tuition Reimbursement shall be made to the Town before the course begins. Prior to reimbursement of costs, all course work must be completed with a passing grade of “C” or equivalent when numerical score or pass/fail is given. Individuals requesting reimbursement must currently be employed by the Town to be eligible for reimbursement. Any employee who terminates employment with the Town within one year from the completion of a class or classes, for which tuition reimbursement was paid, shall refund all tuition paid under this provision, unless required to attend by the appointing authority. Section 13. Health and Welfare Benefits and Rate of Town Contribution The Town contracts with CalPERS for the purpose of providing employees and their eligible dependents with medical insurance benefits. The Town’s maximum monthly contribution for each eligible active employee shall be equal to the minimum employer contribution required under Public Employees’ Medical and Hospital Care Act (PEMHCA), currently $149 per month, as may be adjusted by CalPERS from year to year. 13.1 Cafeteria Plan During the term of the MOU, the Town agrees to maintain a Cafeteria Plan, pursuant to Section 125 of the Internal Revenue Code, for the purpose of providing eligible active employees with access to various health and welfare benefits. Benefits available through the Cafeteria Plan include medical insurance, dental insurance, vision insurance and life insurance benefits. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 8 12409313.1 LO007-016 13.2 Dental Employees choosing this option instead of Cash-in-Lieu will be provided 100% of the Delta Dental DPO Plan premium less a $15.00 employee contribution. If the premium cost of the dental plan exceeds the Town contribution, the employee shall pay through payroll deductions the difference between the monthly premium and the amount contributed by the Town. The Town will pay 100% of the premium for employees choosing to participate in the DeltaCare USA Plan. 13.3 Medical The Town will provide active employees with a medical allowance equal to 100% of the cost of the Kaiser Bay Area Medical Insurance Program premium offered by the Public Employees’ Retirement System Health Benefit Medical Program at the Employee Only level of participation. For dependents, the Town will pay 90% of the difference between Kaiser Employee Only and Kaiser level of participation (Employee Plus One or Employee Family, depending on family status). If the employee chooses medical coverage under a program more expensive than Kaiser Bay Area, the employee will pay the difference between the Town-provided medical allowance and the cost of the more expensive program through payroll deduction. The Town’s contribution towards medical insurance set forth in Section 13 (the PEMHCA minimum) will be deducted from the amount of contribution provided by this Section. 13.4 Vision The Town shall pay for employee-only coverage under the Town’s Vision Service Plan (VSP). Employees may enroll eligible dependents at their own cost. 13.5 Cash-In-Lieu Plan Employees have the option of choosing all available coverages or, upon providing proof of other medical coverage, may choose to opt out of the Town’s coverage and be provided with cash-in-lieu. Employees who choose to receive the cash-in-lieu must first show proof of alternative minimum essential medical coverage for the employee and employee’s tax family (individuals for whom the employee expects to claim a personal exemption deduction). Individual coverage, and individual coverage from Covered California does not qualify as alternative minimum essential coverage under this section. Employees must provide reasonable evidence of alternative minimum essential coverage each plan year, during open enrollment. The Town will not make the cash payment if it knows or has reason to know that the employee or tax family does not have alternative minimum essential coverage. Any amount received in cash is taxable. Employees choosing to receive taxable cash will have the option of receiving it in two equal amounts in December and June, or the first two paychecks of each month (24 times a year).  For employees hired before January 1, 2006, the Town contribution to the Cash-In-Lieu program will be equal to Nine Hundred and Twenty-two Dollars ($922) per month.  For employees hired after January 1, 2006, the Town contribution to the Cash-In-Lieu program will be Four Hundred Dollars ($400) per month. The parties agree to meet and confer at the Town’s request on any changes that are within the mandatory scope of bargaining related to its Town sponsored Medical Insurance and Cash In-Lieu Plan that may be related to the compliance and implementation of the Affordable Care Act or the Fair Labor Standards Act as it relates to the regular rate of pay for overtime. 13.6 Supplemental Health and Welfare Benefits 13.6.1 Life - Coverage of $50,000 plus $50,000 accidental death: Town to pay for premium. Additional life insurance may be purchased by the employee equal to once or twice the employee's base salary, not to exceed $200,000. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 9 12409313.1 LO007-016 13.6.2 Disability - Short Term Disability Policy effective 8th calendar day; coverage of 60% of weekly earnings up to maximum of $1,300/week for 13 weeks. Long Term Disability benefits begin on the 91st day of disability; coverage of 60% of monthly earnings up to a maximum of $6,000/month. 13.6.3 Employee Assistance Program - Premiums shall be paid by the Town. 13.6.4 Unemployment Insurance - Premiums shall be paid by the Town to provide State coverage. Section 14. Retiree Health The Town provides retiree health benefits in accordance with the PEMHCA for employees who qualify as eligible PERS retirees who receive a PERS retirement allowance and are PEMHCA annuitants entitled to such benefits under the PEMHCA. The Town’s maximum monthly contribution for each eligible annuitant shall be equal to the minimum employer contribution required under the PEMHCA, currently $149 per month, as may be adjusted by CalPERS from year to year. The provisions of PEMHCA will govern medical insurance coverage for annuitants. 14.1 Retiree Health Benefit for Eligible Retirees Hired on or Before October 1, 2018 An employee hired on or prior to October 1, 2018, or provided with a final offer confirmation of employment prior to October 1, 2018, is eligible for Health Reimbursement Account (HRA) retiree health benefits in accordance with this Section. 14.1.1 The employee retired from the Town taking a service or disability retirement from CalPERS as a retiree receiving a PERS retirement allowance and is a PEMHCA annuitant; and, 14.1.2 The employee must actually draw a CalPERS pension within ninety (90) days of separation from the Town, provided the employee remains with the Town’s health plan through COBRA. 14.1.3 The amount of the supplemental retiree health benefit allowance will be equal to 100% of the cost of the premium for Kaiser Bay Area Retiree Only and 90% of the difference between the Kaiser Employee Only and Kaiser level of participation (Employee Plus One or Employee Family, depending on family status). The Town will pay $ $1,947.16 per month towards a Retiree Plus One or More plan, as of the 2022 plan year. This amount will increase by $100.00 each year until it is equal to the active employee contribution. 14.1.4 The Town’s contribution towards retiree health insurance set forth in Section 14 (the PEMHCA minimum) will be deducted from the amount of contribution provided by this Section (14.1). 14.1.5 Employees retiring on or after February 1, 2016 and upon becoming eligible for Medicare will cease to receive any retiree health benefit allowance under this Section (14.1) and will become eligible for Supplemental Medicare equal to the cost of Kaiser Senior Advantage Bay Area Medicare rates up to a maximum of 100% Retiree Only, 90% for Retiree Plus One or 90% for Retiree Plus One or More less the amount of the employee contribution provided under Section 14 (the PEMHCA minimum). This benefit is available to the eligible retired employee only after he or she has reached the DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 10 12409313.1 LO007-016 age of 65 and is Medicare eligible or as otherwise specified by law. 14.1.6 The benefits described by this Section (14.1) will be provided to annuitants through CalPERS by means of a Health Reimbursement Account (HRA). 14.2 Retiree Health Benefit for Eligible Retirees Hired After October 1, 2018 The Association will establish participation in a retiree medical plan administered by the PORAC Retiree Medical Trust (PORAC RMT). This agreement to participate will apply to every employee, represented by the Association, hired by the Town after October 1, 2018. The cost of establishing and maintaining the Trust shall be at no cost to the Town, including administrative fees. The Town is not a party to the Trust, aside from transferring funds, and has no obligations to the management, regulatory compliance, or performance of the trust. In the event the Trust becomes insolvent or unable to pay, the Town has no financial obligation to the Trust or the contributing members of the Association. The Town will transfer a monthly employee contribution of one hundred dollars ($100.00) for each Association member deducted in fifty dollars ($50.00) increments from the first two paychecks of each month (24 times per year). These contributions shall be on a pre-tax basis if permitted by law. As each member will contribute the same predetermined dollar amount, no member election forms designating the amount will be needed, allowed, or requested; and there shall be no member election available to take the member contribution amount in cash, or to determine the member contribution amount. These contributions shall be included as salary for purpose of calculating retirement benefits as determined by the California Public Employees Retirement System (CaIPERS). Effective the first full pay period in July 2024, in addition to the employee contributions set forth above, the Town shall contribute twenty-five dollars ($25) per month to the PORAC Retiree Medical Plan for all members hired after October 1, 2018. Effective the first full pay period in July 2025, the Town contribution shall increase to fifty dollars ($50) per month. The Town will comply with reasonable procedures set by the Trust Office with regard to reporting and depositing the required contributions set forth above, typically involving providing the Trust Office with the name, social security number and amount paid for each Association member. In the event that the reporting requirement of the Trust requires reporting beyond that which the Town typically provides, the Town may require the Association to pay for any costs related to programing or producing such reports. Prior to engaging in any activity that could result in such an expense, the Town will secure the Association's authorization. The Association agrees to defend, indemnify, and hold the Town harmless from any liabilities of any nature which may arise as a result of the operating of the PORAC RMT, except for the obligation of the Town to make and report the non- elective transfer of Association member contributions as described above. The monies contributed to the Trust fund shall only be used for retiree health insurance premiums or health care expenses, as allowed by law. There shall be no Association member election/option available to take such amount in unrestricted cash. The purpose of this Trust shall be to provide for retiree health care expense reimbursement benefits. The Trust shall be and remain separate and apart from any Town health insurance funding program, unless changed by mutual written agreement of the parties. The contributions set forth above, unless otherwise dictated by law or rules set forth by CalPERS, shall be included as salary for purpose of calculating pension benefits. The Town hereby acknowledges receipt of the Trust Agreement governing the Trust. The Town will cooperate with the Trust in allowing a payroll audit only for the purpose of ascertaining if the proper number of contributions have been made. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 11 12409313.1 LO007-016 Section 15. Uniforms The Town will provide a full set of uniforms and equipment (per Department Uniform Policy) to each new employee. Employees are expected to maintain fitting uniforms, including a maintained, fitting Class A uniform. The Town will replace authorized uniform items damaged in the performance of duty as approved by the Chief of Police. The Town will pay bargaining unit employees a uniform allowance of One Hundred Fifteen Dollars ($115) per month (paid the first two pay periods of each month) for the repair, maintenance, and replacement of uniforms. The parties agree that to the extent permitted by law, this is special compensation for “Classic Members” only and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(5) as Uniform Allowance. Section 16. Mileage Reimbursement If no Town vehicle is available, employees may use personal vehicles on official Town business with the prior written or electronic approval of their supervisor. In the event an employee is approved to use their personal vehicle on official Town business, the employee shall be reimbursed at the mileage rate established by the I.R.S. Private vehicles used for Town business shall comply with the California Vehicle Code. Mileage reimbursement requests must be submitted within 30 days of the date accrued. Section 17. Payroll Periods The Town and Association agree to the continuation of a biweekly payroll period. The following conditions are in effect: 17.1 Employee pay shall not be withheld more than seven (7) calendar days from the end of the payroll period; however, a maximum of two days overtime may appear on the next payroll period if it is worked following the submittal of time sheets, or during a pay period with a Town holiday which requires early submittal of time sheets and early distribution (before Friday) of pay checks. This may also occur at the end of the fiscal or calendar year. 17.2 The Town shall provide an optional electronic check deposit system for use by employees. Section 18. Paychecks Payroll deductions and accruals shall appear on all paychecks. Section 19. Deferred Compensation The Town shall continue to offer a program of deferred compensation to its members in the represented classifications. The Town makes no representation on the merit of the plan nor any of the investment products or instruments which may be offered by the plan. The responsibility for evaluating the options within the plan is the responsibility of the individual participant. The Town shall not be obligated to offer more than one Deferred Compensation carrier. Section 20. Overtime Overtime is time worked beyond any scheduled work shift. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 12 12409313.1 LO007-016 All overtime worked shall be compensated at time and one-half. The employee may choose whether overtime shall be paid in cash or accumulated as Compensatory Time Off (CTO), subject to a maximum accumulated CTO of one hundred and forty (140) hours. On or before the pay period which includes December 15 of each calendar year, an employee may make an irrevocable election to cash out up to 40 hours of CTO twice per year (paid at the regular rate of pay in whole hour increments) which will be earned in the following calendar year. In the first full pay period of June and December in the following year, the employee will receive cash for the amount of CTO the employee elected to cash out in the prior year. However, if the employee’s CTO balance is less than the amount the employee elected to cash out (in the prior calendar year) the employee will receive cash for the amount of the CTO the employee has accrued at the time of the cash out. Annual review of the impact of those changes will occur to determine if there is any adverse impact on scheduling. For private duty contracts, officers may only receive pay. Overtime is to be approved by a supervisor as soon as practical. Overtime payroll sheets are the responsibility of the employee to have approved and forwarded to the division commander by the appropriate payroll deadline. Section 21. Duty Extension Compensation is made for actual time worked and shall be computed in minimum quarter-hour blocks. Personnel whose work hours would normally terminate within one hour or less from the time of the scheduled court, meeting, or training commencement will be compensated from the termination of their normal work hour through the termination of the scheduled event. Duty extension is paid at time and one half. Section 22. Call Back Requests that personnel return to duty, attend mandatory meetings, court appearances and training classes are call backs and compensated at a 3-hour minimum or actual time, whichever is greater. Mandatory meetings where a minimum of two weeks’ notice has been given are not a call back and will be compensated at a one (1) hour minimum or actual time worked whichever is greater. Call backs for officers assigned to Watch I (midnight shift) who have worked the night before shall receive a minimum of 4 hours. Personnel are considered on duty for the duration of a call back. Court appearances-hearings-depositions: Required off duty attendance at judicial or administrative hearings is compensated at a 3-hour minimum (4 hours for midnight if shift worked the night before appearance), or actual time, whichever is greater. Should there be more than one appearance, including separate court locations, within the 3- or 4-hour time period, only one minimum will be granted. Call back is paid at time and one half. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 13 12409313.1 LO007-016 Section 23. Vacation Schedule The following vacation schedule shall apply to all employees: Months of Employment / Experience Accrual Days Per Year Accrual Hours Per Pay Period Accrual Hours Per Year 0 to 36 10 3.08 80 37 to 60 15 4.62 120 61 to 120 20 6.46 160 121 to 180 23 7.08 184 181 months 25 7.70 200 Effective April 1, 2024, the individual rate of accrual for all members and future members shall be increased to account for total years of experience working in a sworn peace officer position that requires possession of a basic POST certificate. Maximum accrual of vacation hours shall be 344 hours. On or before the pay period which includes December 15 of each calendar year, an employee may make an irrevocable election to cash out up to 80 hours of vacation twice per year (in whole hour increments) which will be earned in the following calendar year. In the first full pay period of June and December in the following year, the employee will receive cash for the amount of vacation the employee irrevocably elected to cash out in the prior year. However, if the employee’s vacation balance is less than the amount the employee elected to cash out (in the prior calendar year) the employee will receive cash for the amount of vacation the employee has accrued at the time of the cash out. Section 24. Vacation and Compensatory Time Off Cash-Out Employees who terminate from Town service shall have all accrued vacation and compensatory time off cashed-out. This will terminate their status as an employee of the Town. Section 25. Shift and Vacation Selection Procedures Patrol shift selection and vacation bidding shall commence approximately ten weeks prior to shift change unless circumstances require otherwise. The Town agrees to continue efforts to transition to an online mechanism for shift and vacation selection. Section 26. Holidays and Holiday Pay The following holidays will be observed by non-uniform personnel:  January 1.  the third Monday in January.  the third Monday in February.  the last Monday in May.  Juneteenth.  July 4.  the first Monday in September.  Thanksgiving Day.  the Friday following Thanksgiving Day.  December 25.  Four hours on December 24 and December 31 DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 14 12409313.1 LO007-016  Every day declared a Holiday by the Mayor as a result of a national holiday declared by the President or State Governor. Holidays which fall on Saturday shall be observed on the Friday prior and holidays which fall on Sunday shall be observed on the following Monday. Uniform personnel assigned to shift work (Patrol and Traffic) receive compensation in-lieu of holiday time off in the amount of 4.4% of base salary per pay period. The parties agree that to the extent permitted by law, this is special compensation and shall be reported as such to CalPERS, pursuant to Title 2 CCR Section 571(a)(5) and 571.1(b)(4) as Holiday Pay. Section 27. Personal Leave Employees shall have the option of either taking personal leave off equal to twenty-four (24) hours of base pay annually or receiving in-lieu compensation equal to same if the personal leave is not used by the end of November. Employees may use personal leave hours during the month of December; however, employees desiring to receive compensation for those hours shall do so in conjunction with the annual cash out in November. Section 28. Sick Leave Accumulation rate shall be 8 hours per month (3.70 hours per pay period) with a maximum accrual of 1180 hours. The Town may require association represented employees to provide a doctor statement of proof of illness for any use of sick leave beyond one working day. Section 29. Sick Leave Cash-Out Program 29.1 Annual Sick Leave Cash-Out for Employees Hired Prior to October 1, 2018 On or before the pay period which includes December 15 of each calendar year, employees eligible to cash out under this section may make an irrevocable election to cash out up to 40 hours of their accumulated sick leave at 50% of current salary two times per year (in whole hour increments) which will be earned in the following calendar year. In the first full pay period of June and December in the following year, the employee will receive cash for the amount of sick leave the employee irrevocably elected to cash out in the prior year. However, if the employee’s sick leave balance is less than the amount the employee elected to cash out (in the prior calendar year) the employee will receive cash for the amount of sick leave the employee has accrued at the time of the cash out. 29.2 Sick Leave Cash-Out Upon Termination for Employees Hired Prior to October 1, 2018 Employees who terminate employment with the Town for any reason other than retirement or disciplinary termination, may cash-out their accumulated sick leave as follows: Months of Employment 1-59 months 25% 60-119 months 37.5% 120 months or more 50% In order to be eligible for the sick leave cash-out program, an employee must have a sick leave accrual balance of at least 200 hours at the time of termination. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 15 12409313.1 LO007-016 29.3 Unused Sick Leave Upon Retirement Upon retirement, eligible employees may choose from the following options: 29.3.1 Eligible employees may convert unused sick time to service credit in accordance with provisions established by CalPERS. 29.3.2 Sick Leave Cash Out for Employees Hired Prior to October 1, 2018 - All eligible employees who retire with a sick leave accrual balance of at least 200 hours may elect to be paid in cash in accordance with the same provisions as Section. 29.3.3 Sick Leave Cash-Out Upon Termination - Sick Leave Conversion for Employees Hired Prior to January 1, 2009 - All employees who retire with a sick leave accrual balance of at least 200 hours may convert 100% of this accumulated sick leave to a dollar equivalent at their hourly rate of pay at the time of retirement. This amount shall be held in an account. The employee’s portion of the medical insurance premium payment will be withheld from their monthly retirement payment by PERS. The Town agrees to pay the retiree quarterly in advance on the first pay period of January, April, July, and October of each year after retirement. The first payment will be pro-rated to the nearest quarter. Retiree’s (including dependents of the retiree) portion of medical payments will be paid from this account by the Town until all monies are depleted from the account. This account will not accrue interest and will not be paid in cash to the retiree or any beneficiaries. The retirees shall be responsible for 100% of their share of future medical insurance premiums once the account is exhausted. Section 30. Military Leave Military leave and benefits shall be granted in accordance with State and Federal Law, including the continuation of employee salary and benefits if applicable. Generally, employees with more than one year service will receive up to thirty (30) calendar days of paid military leave annually while engaged in military duty ordered for purposes of active military training. Section 31. Bereavement/Compassion Leave Up to 40 hours paid leave upon the death of a family member. For purposes of this section, family member is defined as spouse, domestic partner, parent, parent-in-law, grandparent, grandparent in law, child, grandchild, sibling, or sibling-in-law. Days of bereavement leave need not be consecutive but shall be completed within three months of the date of death of the family member. If requested by the Town, the employee shall provide documentation of the death of the family member within 30 days of the first day of the leave. Appropriate documentation for this purpose is defined in California Government Code section 12945.7(f). It is recognized that bereavement leave is separate from employee’s accumulated sick leave, vacation, or CTO. Section 32. Leave Without Pay Leave without pay shall be subject to approval of the Chief of Police and the Town Manager. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 16 12409313.1 LO007-016 An employee who is on leave without pay shall not earn any employment benefits (including, but not limited to, such benefits as vacation leave, medical benefits, sick leave, retirement, credit for time employed or seniority entitlement of any kind) for the duration of such leave. Vacation or sick leave or time worked shall not be used intermittently during an extended leave to interrupt a determination that an employee is on leave without pay. The Town may, at its discretion, approve leave beyond the specific amount provided above. Section 33. Accrual of Benefits Benefits shall not accrue to employees on unauthorized leave, suspension without pay, or leave without pay. Section 34. Workers’ Compensation Employees shall be provided benefits in compliance with State law. Section 35. Jury Duty Employee salary and benefits shall be continued during jury duty; employee turns over to the Town any compensation from the courts or other source of jury duty on regular workdays. Section 36. Outside Employment Outside employment shall be subject to approval of the Chief of Police and the Town Manager, subject to the following limitations: no security work within Town limits; no use of Los Gatos uniform, badge, ID, or Los Gatos issued items; vacation or CTO to be used for court appearances resulting from private employment. Approval must be obtained prior to engaging in the outside employment and shall be renewed prior to July 1 of each year. In order to best maintain the safety and integrity of the LGMSPD workforce and its delivery of services to the Los Gatos and Monte Sereno communities, requests for full-time sworn staff to “double-badge” (e.g. temporarily serve as a member of another law enforcement agency) shall be automatically denied unless the requesting employee has at least five (5) years of experience as a sworn peace officer in a position that requires possession of a basic POST certificate and with at least four (4) years of service with the Town Section 37. Residency Requirement There is no residency requirement for represented employees. Section 38. Layoff Policy Association recognizes the right of the Town to determine the resources to be made available to the police department. Although a reduction in force (layoff) is not anticipated, it is recognized that it is the sole right of the Town to determine when such reductions in force are necessary. Reductions in force shall be by classification with the determination of affected employees by the Town based on seniority counted as total time employed by the Town. Affected employees shall be provided a minimum thirty (30) calendar days’ notice of layoff. Employees in the classification of Police Sergeant and designated for layoff shall have the right to return to positions previously held with the Town and represented by the Association. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 17 12409313.1 LO007-016 Section 39. Paid Family Leave Upon request from the Association between July and December 2024, the Town and the Association shall meet to agree to identify and implement paid parental leave benefits through Lincoln-Financial via PRISM-EIA, New York Life, or any other provider that are equal to or greater than those provided under the California Paid Family Leave program. Section 40. Promotions The Town and Association agree that it is in the best interest of both the Town and its employees to foster promotion of incumbent employees. The Town and Association recognize the Town's sole right to determine the examination process for the selection of Town employees. Qualified employees who are invited to participate in the examination process shall be allowed up to two (2) hours of time-off from regularly scheduled work in order to participate in the examination process if the examination process is scheduled during the employee's normal work period. To the best of its ability, the Town shall maintain a current promotional list for the positions of Police Corporal and Police Sergeant. Any opening for Police Corporal or Police Sergeant positions shall be posted for a minimum of three weeks, unless extraordinary circumstances warrant otherwise. Section 41. Probationary Period The Town and the Association agree that all original appointments to the rank of Police Officer will include a probationary period of 18 months from date of hire to allow the department to fully evaluate the officer following the academy and FTO training. Individuals hired as a lateral transfer must have a valid P.O.S.T. Basic Certificate at the time of hire and will be subject to a 12-month probationary period. Any individual on an 18-month probationary period will be eligible to receive a step increase after 12 months. All promotional appointments to the positions of Corporal and Sergeant shall be subject to satisfactory completion by the employee of a 12-month probationary period. The Chief of Police may extend the probationary period of an employee for a period not to exceed an additional six (6) months. Section 42. Performance Evaluations Performance evaluations shall take place at least every three (3) months for all probationary employees and shall take place at least annually thereafter on the anniversary of an employee’s employment with the Town. Employees eligible for step increases shall receive their performance evaluation no later than fifteen (15) days prior to their employment anniversary date. All performance evaluations shall be discussed with the employee prior to the evaluation being completed. Employees may sign their individual performance evaluations as evidence of discussion having taken place; employee signature does not necessarily imply agreement with the evaluation. If an employee chooses not to sign an evaluation, the supervisor will note that the employee has read the evaluation and chooses not to sign. An employee may attach separate written comments to their evaluation. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 18 12409313.1 LO007-016 Section 43. Reinstatement Subject to the approval of the Town Manager, a permanent employee who has resigned from employment with the Town may be reinstated within two (2) years of their resignation to their former position, if vacant. Upon reinstatement, the employee shall be considered as though they had received an original appointment, unless other conditions are made a part of the reinstatement by the Town Manager. Section 44. Re-Employment The names of employees affected by layoff shall be placed on appropriate re-employment lists in the order of total continuous cumulative time served in paid status. Such names shall remain thereon for a period of eighteen (18) months unless such persons are sooner re-employed. When a re-employment list is to be used to fill vacancies, the Personnel Officer shall certify from the top of such list the number of names equal to the number of vacancies to be filled, and the appointing power shall appoint such persons to fill the vacancies. Section 45. Grievance Procedures Grievances shall be defined as alleged violations of this agreement or disputes regarding interpretations, application, or enforcement of this agreement to Town ordinances, resolutions, and written policies related to personnel policies and working conditions. Grievances shall not include disagreements, disputes, or activities regarding or pertaining to examinations for employment or promotion, disciplinary action, performance evaluations, and probationary terminations. No act or activity which may be grievable may be considered for resolution unless a grievance is filed in accordance with the procedure contained herein within sixty (60) calendar days of the date the grievable activity occurred or the date the employee could reasonably have known such activity occurred. The parties agree that all grievances will be processed in accordance with the following procedure: Any employee who has a grievance shall first try to get it settled through discussion with their immediate supervisor without undue delay. Every effort shall be made to find an acceptable solution at the lowest possible level of supervision. If after such discussion the employee does not believe the grievance has been satisfactorily resolved, they may file a formal appeal in writing to the command officer responsible for supervision of the employee’s immediate supervisor within ten (10) calendar days after receiving the informal decision of their immediate supervisor. The command officer shall respond within ten (10) calendar days of the filing of the appeal. If the employee does not believe the grievance has been satisfactorily resolved by the command officer, the employee may then file a formal appeal in writing to the Chief of Police within ten (10) calendar days after receiving the informal decision of the command officer. The Chief of Police shall render his written decision within ten (10) calendar days after receiving the appeal. If after receipt of the written decision of the Chief of Police, the employee is still dissatisfied, they may appeal the decision of the Chief to the Town Manager. Such appeal shall be made by filing a written appeal to the Town Manager within five (5) days after the receipt of the written decision of the Chief. The Town shall render a written decision within twenty (20) working days after the appeal is made. If after receipt of the written decision of the Town Manager the employee is still dissatisfied, he/she/they may appeal the decision of the Town Manager to the Personnel Board. Such appeal shall be made by filing a written appeal to the Chair of the Personnel Board within five (5) days after receipt of the written decision of the Town Manager. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 19 12409313.1 LO007-016 The Personnel Board shall establish a hearing date within 30 days of receipt of the written appeal. The Personnel Board shall conduct a closed hearing giving opportunity for presentation by the employee or their representative and the Town Manager. The Personnel Board shall render a written decision within 30 days after the appeal is made. If after receipt of the written decision of the Personnel Board, the employee is still dissatisfied, they may appeal the decision of the Personnel Board to the Town Council. Such appeal shall be made by filing a written appeal with the Mayor. The Mayor shall schedule a closed hearing with the Town Council within 30 days after receipt of the appeal. At this hearing, the employee and the Town Manager may make presentations. The Town Council decision shall be final. The Town Council shall render a decision within 30 days after the hearing. An open hearing may be conducted by the Personnel Board or Town Council with mutual consent of the Town and person(s) filing the grievance. The time limitations for filing and responding to grievances may be waived or extended by mutual agreement of the parties. If either party to the grievance so requests, an informal hearing shall be conducted at the Chief of Police or Town Manager appeal levels. Employees may be represented by counsel or other person at any stage in the grievance process. Section 46. Attendance Employees shall be in attendance at their work in accordance with the rules regarding hours of work, holidays and leave. An employee whose absence is not authorized will not receive pay or benefits for the absent period and shall be subject to discipline. Failure on the part of an employee absent without leave to return to duty shall be grounds for discharge. It shall be the responsibility of an employee absent without leave to notify the department head of the reason the employee is absent and of the employee’s availability for duty. Section 47. Completeness of MOU The Town and the Association acknowledge and agree to abide by the provisions of the Meyers-Milias-Brown Act. Section 48. Association Notification or Communications The Town and the Department will make every reasonable effort to keep the Association President informed on issues related to the working conditions of the Association members. Section 49. Labor-Management Committee As part of a continuing effort to promote healthy labor relations, the Department and the Association shall establish a Police Labor-Management Committee to meet on at least a quarterly basis to promote open communication and the sharing of information. It is the intent of the parties that the Chief or designee and the Association President or designee will attend these meetings. Upon request from the Town, the Association agrees to meet to agree with the Town on Department shift schedules. Section 50. Catastrophic Time Bank If an employee is catastrophically ill or injured, or if the spouse or child of such employee becomes catastrophically ill or injured, the employee may request of the Town Manager that a catastrophic time bank be established. This request should be in writing. The catastrophic time bank will enable other employees to donate accrued CTO, holiday credits, or vacation credits to the requesting employee in accordance with departmental policies. Specific procedures for the administration of the catastrophic time bank will be developed by the department. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 Page 20 12409313.1 LO007-016 Section 51. Me Too Clause The Town shall not enter into an agreement with another bargaining unit, local union, or management unit so that unit, local or bargaining unit can receive any compensation related to any salary or total compensation increase obtained by the POA. DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 SALARY SCHEDULE EXHIBIT A (New schedules inserted) DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E Town of Los Gatos Los Gatos Police Officers’ Association April 1, 2024 – June 30, 2027 12409313.1 LO007-016 . DocuSign Envelope ID: 3FDF5F0A-D932-4686-AFD0-7E07D4D6FB8E