201 S. Anaheim Blvd.
Suite #501
Anaheim, CA 92805
Tel: (714) 765-5111
Fax: (714) 765-5215
www.anaheim.net
CITY COUNCIL AGENDA REPORT
City of Anaheim
HUMAN RESOURCES DEPARTMENT
DATE: MAY 13, 2025
FROM: HUMAN RESOURCES DEPARTMENT
SUBJECT: LETTER OF UNDERSTANDING BETWEEN THE CITY OF
ANAHEIM AND THE ANAHEIM POLICE ASSOCIATION
AMENDING ARTICLE 35 HOLIDAYS BRINGING LANGUAGE
INTO COMPLIANCE WITH CALPERS
ATTACHMENT (Y/N): YES ITEM # 23
GOVERNMENT CODE § 84308 APPLIES: NO
RECOMMENDATION:
That the City Council, by Resolution, approve a Letter of Understanding (“LOU”) between the City of Anaheim and the Anaheim Police Association, dated May 7, 2025, amending Article 35 – Holidays, of the Memorandum of Understanding covering June 28, 2019 through the extended date of June 30, 2026.
DISCUSSION:
The Anaheim Police Association (“APA”) and the City of Anaheim (“City”) entered into a Memorandum of Understanding (“MOU”) for the term of June 28, 2019 through an extended term of June 30, 2026. Through a circular letter, the California Public Employees’ Retirement System (“CalPERS”) issued guidance to contracting agencies clarifying reporting requirements for holiday pay to be considered compensation earnable under the California Public Employees’ Retirement Law (“PERL”).
The City worked with CalPERS to revise the MOU language to meet the requirements of the California Code of Regulations §571 and 571.1, et seq., which governs special compensation eligibility and also requires approval and adoption by the City Council.
The proposed LOU will ensure compliance with applicable provisions of CalPERS and Government Code Sections 20636 and 7522.34. It will allow for proper classification and reporting of Holiday Pay as compensation earnable and will not adversely affect any current or past APA members employed during the term of the MOU. Further, this action and application is consistent with historical payments approved by CalPERS under the APA MOU.
Approval of the resolution and LOU retroactively applies the updated language to the MOU covering June 28, 2019 through the extended date of June 30, 2026.
Resolution Approving an LOU to Amend Article 35 of APA MOU May 13, 2025
IMPACT ON BUDGET:
There is no impact to the General Fund. The proposed amendments align existing compensation practices with CalPERS reporting requirements and full compensation is appropriately budgeted in the Police Department’s budget.
Respectfully submitted,
Linda N. Andal
Human Resources Director
Attachments:
1. Resolution
2. Letter of Understanding (Exhibit to Resolution)