01 Staff Report - MOU Between Town and Police Officers AssociationtowN of MEETING DATE: 03/03/08
ITEM NO.
COUNCIL AGENDA REPORT
~g GASO
DATE: February 25, 2008
TO: MAYOR AND TOWN COUNCIL
FROM: GREG LARSON, TOWN MANAGER
SUBJECT: ADOPT RESOLUTION APPROVING THE MEMORANDUM OF
UNDERSTANDING (MOU) BETWEEN THE TOWN OF LOS GATOS AND
THE LOS GATOS POLICE OFFICERS' ASSOCIATION FOR THE PERIOD
JANUARY 1, 2008 THROUGH JUNE 30, 2011 AND AUTHORIZING THE
TOWN MANAGER TO EXECUTE THE MOU
RECOMMENDATION:
Adopt resolution approving the Memorandum of Understanding (MOU) between the Town of Los
Gatos and the Los Gatos Police Officers' Association for the Period January 1, 2008 through June
30, 2011 and authorizing the Town Manager to execute the MOU.
BACKGROUND:
In accordance with the Town's Employer-Employee Relations Resolution No. 1974-41,
representatives of the Town and the Los Gatos Police Officers' Association met and conferred in
good faith and within the scope of representation. The parties reached agreement on a package
proposal and the employees represented by POA ratified the proposed agreement.
DISCUSSION:
The proposed agreement covers a three-and-one-half year period from January 1, 2008 through
June 30, 2011. The agreement provides a retroactive 4% cost-of-living increase and a 4% equity
adjustment in the first year-and-one-half of the agreement and a 4% cost-of-living increase for each
subsequent year of the agreement. The proposal also includes a restructuring of the education
incentive program. The restructure aligns the Town's pay practices for Peace Officers Standards
and Training (POST) pay with other Bay Area police departments and additionally provides
PREPARED BY: RUMI PORTILLO l
Human Resources Di c
N:AMGR\AdminWorkFiles\2008 Council Reports\POA MOU Council Report for 03-03-08.doc
Reviewed by: h' Assistant Town Manager Town Attorney Clerk Administer
- Finance Community Development Revised: 02/28/2008 8:37 AM
Reformatted: 5/30/02
N:\MGR\AdminWorkFiles\2008 Council Reports\POA MOL Council Report for 03-03-08.doc
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: ADOPT RESOLUTION APPROVING THE MEMORANDUM OF
UNDERSTANDING (MOU) BETWEEN THE TOWN OF LOS GATOS AND
THE LOS GATOS POLICE OFFICERS' ASSOCIATION FOR THE PERIOD
JANUARY 1, 2008 THROUGH JUNE 30, 2011 AND AUTHORIZING THE
TOWN MANAGER TO EXECUTE THE MOU
FEBRUARY 25, 2008
incentives for college degrees. The proposal also includes a slight increase in the comp time cap
and a new holiday leave option that allows POA members to take time off instead of receiving
holiday leave pay. Language has also been included in the proposal to permit employees to deposit
accumulated sick leave into a Voluntary Employee Benefits Account (VEBA) for health expenses
consistent with IRS regulations.
As previously adopted by resolution, Police Sergeants are provided the same salary adjustments
granted to the employee association representing sworn positions. Therefore, salaries for Police
Sergeants shall be adjusted consistent with the agreement as approved for POA.
CONCLUSION:
The POA and Town negotiators, with the assistance of the State Mediation and Conciliation
Service, have worked diligently to develop this proposed agreement. The proposed agreement is
intended to maintain salaries and benefits at a level that attracts and retains quality employees.
Thus, the attached resolution approving the Memorandum of Understanding for POA-represented
positions is recommended for adoption.
ENVIRONMENTAL ASSESSMENT:
Is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
Funds to implement this agreement are included in the Adopted FY 2007-08 Annual Budget.
Funding for future years included in the agreement will be included in the proposed annual budgets
for FY 2008-09, FY 2009-10 and FY 2010-11.
Attachment:
Resolution approving the Memorandum of Understanding between the Town of Los Gatos and the
Los Gatos Police Officers' Association (w/Exhibit A: Proposed Agreement Ratified by the POA
Membership and Exhibit B: Salary Exhibits)
RESOLUTION NO. 2008-
RESOLUTION OF THE TOWN OF LOS GATOS
APPROVING THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE
TOWN OF LOS GATOS AND THE LOS GATOS POLICE OFFICERS' ASSOCIATION FOR
THE PERIOD JANUARY 1, 2008 THROUGH JUNE 30, 2011 AND AUTHORIZING THE
TOWN MANAGER TO EXECUTE THE MOU
WHEREAS, representatives of the Town and the Los Gatos Police Officers'
Association, in accordance with the Town's Employer-Employee Relations Resolution No.
1974-41, have met and conferred in good faith within the scope of representation, and
WHEREAS, the representatives of the Los Gatos Police Officers' Association
bargaining team have indicated that the union membership ratified the proposed Memorandum of
Understanding (attached hereto as Exhibit "A" and incorporated herein by this reference).
RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa
Clara, State of California, that the Town Council approves the Memorandum of Understanding
between the Town of Los Gatos and the Los Gatos Police Officers' Association (Exhibit A) for
the period January 1, 2008 through June 30, 2011 and that the Town Manager is hereby
authorized to sign the agreement on behalf of the Town.
PASSED AND ADOPTED at a regular meeting of the Town Council of the
Town of Los Gatos, California, held on the 3`d day of March, 2008 by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
Town of Los Gatos Proposal for
POA Memorandum of Agreement
L Term - January 1, 2008 through June 30, 2011
II. Salaries
A. For 2008, all salary steps will be increased by Four percent (4%) effective
January 1, 2008 and an additional four percent (4%) effective July 1, 2008.
B. For 2009, all salary steps will be increased by four percent (4%) effective July
1, 2009.
C. For 2010, all salary steps will be increased by four percent (4%) effective July
1, 2010.
III. Reimbursement of Expenses
The Town is in the process of evaluating the travel and reimbursement policy.
The new policy will address advancement of per diem costs. No change in MOU
language.
IV. Dental Plan
The parties are committed to working together during the term of this agreement
to address the issue of adequate dental coverage for Town employees. Therefore,
the POA agrees to participate in the Town-wide Dental Benefits Committee,
which will include representatives from the Town and other bargaining units. The
committee will request quotes from various providers to be submitted to the Town
by May 1, 2008. The will review alternative dental plans and make
recommendations for increasing coverage and benefits. Committee
recommendations are not binding upon the POA or the Town, and the parties
must meet and confer before making negotiable changes in Dental benefits. It is
the intent of both parties, if feasible, to recommend a new plan to the Town
Council in time to have the plan implemented in the 2009 plan year.
V. Sick Leave Cash-Out Program
31.1 Annual Sick Leave Cash-Out
• Employees may cash-out up to 40 hours of their accumulated sick
leave at 50% of current salary in December of each year (provided
employee choice does not violate IRS requirements).
• Employees who have a minimum of 200 hours of accumulated sick
leave as of December 1st of each year shall cash out forty hours of
their accumulated sick leave at 100% of current salary in December
of each year for deposit into the employee's VEBA.
EXHIBIT A
Town of Los Gatos Proposal for
POA Memorandum of Agreement
31.3 Sick Leave Cash-Out Upon Retirement
All unit members who retire with a sick leave accrual balance of at least
200 hours shall 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 it a aeeet nt deposited into the employee's
VEBA. The employee's portion of the medical insurance premium will
be withheld from their monthly retirement payment by PERS.
VI. Overtime
All overtime worked shall be compensated at time and one-half. The employee
may choose whether overtime worked shall be paid in cash or accumulated as
Compensatory Time Off (CTO), subject to a maximum accumulated CTO of one
hundred and testy forty (412-44) (140) hours.
VII. Holiday and Holiday Pays
Uniform personnel assigned to shift work (Patrol and Traffic) shall receive
compensation in-lieu of holiday time off equal to eighty (80) hours of base pay
annually. Employees shall have the option of taking Holiday leave off equal
to eighty hours (80) or receive in-lieu compensation. If the employee selects
to receive in-lieu compensation, forty (40) hours of holiday pay will be received
in the last payroll of November and the second forty (40) hours will be received in
the last payroll of May, and will be included on the regular check. In-lieu pay
shall cease whenever an employee is reassigned to other than shift work. The
employee shall observe holidays as descried above.
(Parties to discuss administration of those employees selecting leave in lieu of
compensation. All annual holiday hours must be taken in leave or
compensation each calendar year.)
In the event that an additional holiday is observed by the Town during the term of
this agreement, the in-lieu compensation shall be increased by the additional
hours holiday time made available to on-uniform personnel.
VIII. Eliminate re-qualification requirement from Education Incentives and re-structure
Education and Retention Incentive as follows:
• Increase Intermediate Certificate pay to 5% of base salary.
• Increase Advanced Certificate pay to 7.5% of base salary.
• Additional 2.5% of base salary for any member who posses a four year
degree.
• For employees hired prior to January 1, 2008; who qualify to participate in the
Town's Education Incentive program prior to July 1, 2008; served a minimum
of fifteen years with the Town of Los Gatos; and possess an Associates of
Arts Degree or meet the minimum requirements to obtain an Associates of
Page - 2 -
Town of Los Gatos Proposal for
POA Memorandum of Agreement
Arts Degree in a related field, shall be eligible for an additional 2.5% increase
in base salary effective the first full pay period following their fifteenth
anniversary date from his/her hire date (members with a four year degree are
not eligible for this benefit).
• For employees who are in the process of being hired prior to January 1, 2008;
who qualify to participate in the Town's Education Incentive program within
six months of hire; served a minimum of fifteen years with the Town of Los
Gatos; and possess an Associates of Arts Degree or meet the minimum
requirements to obtain an Associates of Arts Degree in a related field, shall be
eligible for an additional 2.5% increase in base salary effective the first full
pay period following their fifteenth anniversary date from his/her hire date
(members with a four year degree are not eligible for this benefit).
• Eliminate Retention Incentive pay for ten and fifteen years.
XI. Los Gatos Police Officers Association to withdraw all remaining Association
proposals.
X. All remaining provisions of the current MOU stay in place
Page - 3 -
TOWN OF LOS GATOS
AND
LOS GATOS POLICE OFFICERS' ASSOCIATION
MEMORANDUM OF UNDERSTANDING 2007-2011
POLICE OFFICER SALARY SCHEDULE
Effective December 30, 2007
4% increase
RANGE
STEP
HOURLY
RATE
POLICE OFFICER
711
1
$37.79
2
$39.68
3
$41.66
4
$43.74
5
$45.93
Effective June 29, 2008
4% increase
RANGE
STEP
HOURLY
RATE
POLICE OFFICER
711
1
$39.30
2
$41.26
3
$43.33
4
$45.49
5
$47.77
Effective June 28, 2009
4% increase
RANGE
STEP
HOURLY
RATE
POLICE OFFICER
711
1
$40.87
2
$42.91
3
$45.06
4
$47.31
5
$49.68
Effective June 27, 2010
4% increase
RANGE
STEP
HOURLY
RATE
POLICE OFFICER
711
1
$42.50
2
$44.63
3
$46.86
4
$49.20
5
$51.67
POA Council Report Exhibit B Salaries.xlsPOA2007-1 1
EXHIBIT B
TOWN OF LOS GATOS
AND
LOS GATOS POLICE OFFICERS' ASSOCIATION
MEMORANDUM OF UNDERSTANDING 2007-2011
CORPORAL SALARY SCHEDULE
Effective December 30, 2007
4% increase
RANGE
STEP
HOURLY
RATE
CORPORAL
715
1
$39.67
2
$41.65
3
$43.74
4
$45.92
5
$48.22
Effective June 29, 2008
4% increase
RANGE
STEP
HOURLY
RATE
CORPORAL
715
1
$41.26
2
$43.32
3
$45.49
4
$47.76
5
$50.15
Effective June 28, 2009
4% increase
RANGE
STEP
HOURLY
RATE
CORPORAL
715
1
$42.91
2
$45.05
3
$47.31
4
$49.67
5
$52.15
Effective June 27, 2010
4% increase
RANGE
STEP
HOURLY
RATE
CORPORAL
715
1
$44.62
2
$46.86
3
$49.20
4
$51.66
5
$54.24
POA Council Report Exhibit B Salaries. XISCORPORAL2007-1 1
TOWN OF LOS GATOS
POLICE TRAINEE
95% OF POLICE OFFICER STEP 1
TEMP EMPLOYEE WIMISC PERS
Effective December 30, 2007
4% increase
RANGE
STEP
POLICE TRAINEE
710
1
base pa
$35.90
Effective June 29, 2008
4% increase
RANGE
STEP
POLICE TRAINEE
710
1
base a
$37.33
Effective June 28, 2009
4% increase
RANGE
STEP
POLICE TRAINEE
710
1
base a
$38.83
Effective June 27, 2010
4% increase
RANGE
STEP
POLICE TRAINEE
710
1
base a
$40.38
POA Council Report Exhibit B Salaries.xlsPOATRAINEE2007-1 1