AGENDA REPORT
Meeting Date: August 5, 2025
Item Number:
To: Honorable Mayor & City Council
From: Peter Brown, Labor Negotiator
Subject: MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF
BEVERLY HILLS AND THE BEVERLY HILLS POLICE MANAGEMENT
ASSOCIATION; AND
APPROPRIATION FROM THE GENERAL FUND IN THE AMOUNT OF
$82,000 FOR FISCAL YEAR 2025-26
Attachments: 1. Tracked Changed Beverly Hills Police Management Association (BHPMA) 2025-2029 Memorandum of Understanding (MOU)
2. The Beverly Hills Police Management Association (BHPMA) 2025-2029 Memorandum of Understanding (MOU) Final Version
3. Fiscal Analysis
RECOMMENDATION
It is recommended that the City Council approve the attached Memorandum of Understanding (MOU) between the City of Beverly Hills and the Beverly Hills Police Management Association (BHPMA) and authorize an appropriation from the general fund in the amount of $82,000 for fiscal year 2025-26.
G-1
Meeting Date: August 5, 2025
INTRODUCTION
The BHPMA represents the Police Lieutenants and Police Captains in the Police Department.
The last Memorandum of Understanding (MOU) between the City and the BHPMA expired on June 30, 2025. Representatives of the association and the City, having met and conferred in good faith beginning February 2025, reached a tentative agreement on June 17, 2025. The agreed upon terms are found in the attached MOU. The new MOU has a term of four years from July 1, 2025 to June 30, 2029.
DISCUSSION
Significant terms of the proposed MOU are as follows:
1) Term of Agreement
• July 1, 2025 to June 30, 2029
2) Salary
• Year One: 5.0% (effective the pay period including July 1, 2025). • Year Two: 5.0% (effective the pay period including July 1, 2026). • Year Three: 5.0% (effective the pay period including July 1, 2027). • Year Four: 5.0% (effective the pay period including July 1, 2028). 3) The Addition of a New Holiday – Juneteenth
• The BHPMA will have this holiday added to their list of holidays. The first holiday will be June 19, 2026.
4) Deferred Compensation
• An increase of $170 per month added to the deferred compensation account of each employee (effective the pay period including July 1, 2025). 5) Administrative Leave
• An increase of twenty-four (24) hours for each member of the bargaining unit (increasing from 96 to 108 hours in calendar year 2026 and increasing to 120 hours in calendar year 2027)
6) Requirement to Live Within 150 Miles
An agreement that for all employees in the unit, their primary home address must be within 150 miles of Beverly Hills Police Headquarters. Anyone whose primary home address was further than 150 miles from Beverly Hills Police Headquarters as of July 1, 2025 are grandfathered from this provision.
Meeting Date: August 5, 2025
7) General Changes
• Reorganization of articles and sections.
• Clarifying language to improve the ease of understanding and/or administration of MOU provisions.
• Corrections or revisions to language in existing contract terms. • Memorialization of procedures and practices not previously contained in the MOU.
• Removal of language no longer applicable or out of date, and addition of new language based upon current laws or regulations.
In compliance with the City’s labor relations ordinance, Beverly Hills Municipal Code, Article 5 Section 2-5-503-B, the City Council may adopt or amend a memorandum of understanding only after two (2) public meetings. The first public meeting for these Negotiations occurred during the formal City Council Meeting on November 7, 2024. In addition, a community meeting was held on October 29, 2024 to inform the public in preparation for the first public meeting on November 7, 2024. The second meeting, occurring this evening, is for the City Council to consider adoption of the negotiated terms of the memorandum of understanding between the City and the BHPMA. Additionally, as required by the ordinance, a fiscal analysis of the proposed MOU was conducted. This fiscal analysis and the proposed Memorandum of Understanding were placed on the City’s website two weeks prior to this meeting, on July 22, 2025. The same documents are included as attachments to this report.
FISCAL IMPACT
In compliance with the Beverly Hills Municipal Code, Article 5 Section 2-5-505: Economic Analysis, a fiscal impact analysis of the proposed Memorandum of Understanding was conducted by the outside firm, MGO Certified Public Accountants (Attachment 3). All calculations for the MOU were found to be correct.
Over the next four years, the BHPMA Memorandum of Understanding will result in an ongoing cost increase of $1.01 million.
Bargaining
Group
# of Full
Time
Budgeted
Positions
Year 1
Incremental
Increase
Year 2
Incremental
Increase
Year 3
Incremental
Increase
Year 4
Incremental
Increase
Total 4-Year
Increases/
Ongoing
Cost
Increase
Police
Management
Association
12 $ 0.27 $ 0.25 $ 0.24 $ 0.25 $ 1.01
*Assumes CalPERS normal costs held constant at FY24-25 rates and excludes unfunded accrued liability costs, which are paid as an annual lump sum. (Figures In Millions)
Meeting Date: August 5, 2025
It is also requested that the City Council approve an $82,000 appropriation from the General Fund to cover the difference between what was adopted in the FY2025-26 budget and what is being approved through this MOU.
On June 17, 2025, the City Council approved the Fiscal Year 2025-26 Capital and Operating Budgets, which indicated potential financial challenges on the horizon, including forecasted deficits within the next five years. The forecasted General Fund operating surplus of $1.9 million was projected before one-time public benefit contributions of $10.0 million. The chart below displays the adjusted forecasted General Fund results for Fiscal Year 2025-26 incorporating both approved and proposed mid-year appropriations.
Jeff Muir
Director of Finance
Shelley Ovrom
Director of Human Resource
Finance Approval Approved By
$ 1.90
Less Approved and Proposed Mid-Year Appropriations $ (0.08) $ 1.82
Date Agenda Item
Council MidYear
Appropriations
8/5/2025 Appropriation to Fund Police Management Association MOU $ 0.08 General Fund Summary (in millions)
Fiscal Year 2025-26 Projected Surplus before One-Time Public [1] Benefit Contributions Net Impact on General Fund Unassigned Reserves or Additional Use of One-Time Public [1] Excludes $10.0 million in anticipated one-time public benefit contributions to be considered for earmark towards Committed Fund Balance.
Attachment 1
Tentative Agreement – June 17, 2025
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF BEVERLY HILLS
AND
BEVERLY HILLS
POLICE MANAGEMENT ASSOCIATION
July 1May 24, 20252 – June 30, 20259
i
TABLE OF CONTENTS
Article Page
1. SALARIES ............................................................................................................................ 3
2. OVERPAYMENT .................................................................................................................. 4
3. APPOINTMENT AND ADVANCEMENT .................................................................................. 4 A. Placement and Movement on the Salary Schedule .............................................................. 4 B. Probationary Period .............................................................................................................. 5 C. Separation of Rank ................................................................................................................ 6 D. Special Merit Advancement .................................................................................................. 6 E. Acting Assignments ............................................................................................................... 6 F. Y-Rating ................................................................................................................................. 7
4. POLICE LIEUTENANT ASSIGNMENT PAY .............................................................................. 7
5. HEALTH BENEFITS ............................................................................................................... 8 A. Cafeteria Plan and Benefits ................................................................................................... 8 B. Flexible Spending Accounts ................................................................................................. 10
6. RETIREE MEDICAL INSURANCE .......................................................................................... 10 A. Tier 1: Retirees Hired Prior to July 1, 2012 .......................................................................... 10 B. Tier 2: Retirees Hired On or After July 1, 2012 .................................................................... 11
7. LIFE INSURANCE ............................................................................................................... 11 A. City-Provided Life Insurance ................................................................................................ 11 B. Supplemental Term Life Insurance ...................................................................................... 11
8. DEFERRED COMPENSATION .............................................................................................. 11 A. City Contribution to Deferred Compensation ..................................................................... 11 B. Employee Contribution to Deferred Compensation ........................................................... 12 C. Conversion of Sick Leave to Deferred Compensation ......................................................... 13
9. CALPERS RETIREMENT BENEFITS ....................................................................................... 13 A. For “Classic Member” Employees ....................................................................................... 13 B. For “New Members” As Defined By the Public Employees’ Pension Reform Act of 2013 (PEPRA) ................................................................................................................................ 14 C. Additional Optional Benefits For All Employees ................................................................. 14
10. HOLIDAYS ........................................................................................................................ 15 A. Holiday Pay .......................................................................................................................... 15 B. Personal Holiday .................................................................................................................. 16
11. VACATION ........................................................................................................................ 16 A. Authorization For Taking Vacation ...................................................................................... 16 B. Holidays During Vacations ................................................................................................... 17 C. Vacation Accumulation ........................................................................................................ 17
12. SICK LEAVE ....................................................................................................................... 18 A. Accrual ................................................................................................................................. 18 B. Use of Sick Leave ................................................................................................................. 18 C. New Employment ................................................................................................................ 18 D. Sick Leave Incentive ............................................................................................................. 18 ii
13. BEREAVEMENT LEAVE ....................................................................................................... 19
14. WITNESS LEAVE ................................................................................................................ 19
15. LEAVE WITHOUT PAY ........................................................................................................ 20
16. LEAVE PAYOFFS UPON SEPARATION FROM CITY SERVICE ................................................... 20 A. Sick Leave Pay-Off ................................................................................................................ 20 B. Vacation Pay-Off .................................................................................................................. 21
17. PROFESSIONAL DEVELOPMENT PROGRAM ....................................................................... 21 A. Sabbatical Leave .................................................................................................................. 21 B. Management Training: ........................................................................................................ 22
18. ADMINISTRATIVE LEAVE ................................................................................................... 22
19. OVERTIME........................................................................................................................ 23 A. Accurately Reporting Time Worked .................................................................................... 23
20. WORK SCHEDULES ........................................................................................................... 24
21. UNIFORM ALLOWANCE .................................................................................................... 24
22. RESIGNATION ................................................................................................................... 24
23. VEHICLES .......................................................................................................................... 25
24. ADMINISTRATIVE APPEAL PROCESS .................................................................................. 25 A. Disciplinary Procedure for Employees Subject to Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal ................................................................................... 25 B. Administrative Appeal for Employees Subject to Discipline Other Than Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal ......................................... 28
25. NON-DISCRIMINATION ..................................................................................................... 31
26. SAVINGS CLAUSE .............................................................................................................. 31
27. MANAGEMENT RIGHTS .................................................................................................... 31
28. GRIEVANCE PROCEDURE ................................................................................................... 32 A. Definition of a Grievance: .................................................................................................... 32 B. Timeliness of a Grievance: .................................................................................................. 32 C. Grievance Procedure: .......................................................................................................... 32 EXHIBIT A .............................................................................................................................. 36 SALARY SCHEDULES ............................................................................................................... 36 EXHIBIT B............................................................................................................................... 39 DEFINITIONS OF “NEW MEMBER” AND “CLASSIC MEMBER” PER THE PUBLIC EMPLOYEES’ PENSION REFORM ACT OF 2013 – PEPRA. ......................................................................... 39 New Member ............................................................................................................................ 39 Classic Member ......................................................................................................................... 39
BEVERLY HILLS POLICE MANAGEMENT ASSOCIATION
MEMORANDUM OF UNDERSTANDING
The Beverly Hills Police Management Association, a formally recognized employee organization, representing all Police Captains and Police Lieutenants (hereinafter “employees"), and duly authorized representative of the management of the City of Beverly Hills, (hereinafter "City") have met and conferred in good faith and have reached this Memorandum of Understanding (hereinafter “MOU”).
Now, therefore, the parties agree and mutually recommend to the City Council of the City of Beverly Hills (hereinafter "City Council") the following for its determination:
1. Integration: This document embodies a written memorandum of the entire understanding and mutual agreement of the parties as required by Government Code Section 3505.1 and supersedes all prior Memoranda of Understanding and verbal agreements between the parties hereto.
The City recognizes that certain past practices may be identified during the term of this MOU which should have been included in this document but, due to inadvertent omission, are not set forth herein. Mutual agreement between the parties shall be necessary to implement change to such past practices. All other practices, policies and procedures affecting wages, hours and working conditions may be changed only after a meet and confer process has been conducted between the parties. However, the parties agree neither party may compel the other party to negotiate regarding proposed changes to any matter within the lawful scope of bargaining (wages, hours and other terms and conditions of employment) during the term of this MOU. This is known as a “zipper clause.” The parties agree that during the term of this MOU, either side may request to reopen negotiations on the subject of modifications to performance evaluations.
2. Term: Unless otherwise specified herein, this MOU shall be effective beginning July 1, 2025 May 24, 2022 and shall expire June 30, 20259.
1. SALARIES
Effective the pay period including May 24, 2022 employees will receive a base salary increase of eight percent (8.0%).
Effective the pay period including October 1, 2022, employees will receive a base salary increase of three percent (3.0%).
Effective the pay period including June 1, 2024, employees will receive a base salary increase of three percent (3.0%).
Effective the pay period including July 1, 2025, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2026, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2027, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2028, employees will receive a base salary increase of five percent (5.0%).
The salary schedules for the duration of the MOU are attached hereto as Exhibit “A”.
2. OVERPAYMENT
If an employee receives more compensation (whether in the form of salary, overtime or any other form of compensation contained in this MOU), than he/shethey areis entitled to receive (i.e., is overpaid), the City will inform the employee. The City will work with the employee to reconcile the overpayment and if overpaid will work to try to create a repayment schedule.
If an employee is separating from the City and there is a mutual agreement between the City and employee that the employee has been overpaid, and the amount of the overpayment, the City shall recover the overpayment by reducing the value of the employee’s accrued leaves from which the employee would otherwise be entitled to receive a cash payment. If the value of such accrued leave does not cover the entire overpayment, the employee will still be required to reimburse the City for the remainder of the overpayment. If the value of accrued leaves (for which an employee is entitled to cash out) exceed the overpayment, the employee will still be cashed out for the remainder of their accrued leaves. If there is not an agreement that the employee has been overpaid and the amount of the overpayment, this paragraph shall not apply.
3. REQUIREMENT TO LIVE WITHIN 150 MILES OF POLICE HEADQUARTERS Employees’ primary home address must be within 150 miles of Police Headquarters (464 N.
Rexford Drive. Beverly Hills, California). The calculation of the 150 miles shall be made by using Google Maps driving directions.
Employees whose primary home address as of July 1, 2025 is more than 150 miles from Police Headquarters are grandfathered from this provision.
3. APPOINTMENT AND ADVANCEMENT
A. Placement and Movement on the Salary Schedule
All employees will have initial salary placement at and advance through the steps on the salary schedule (Attached hereto as Exhibit “A“). In no event will salary placement be outside a step on the established salary schedule.
Employees promoted to Lieutenant shall be placed at Step 3 on the Lieutenant salary range. Annually thereafter (i.e., the anniversary date), upon receipt of a performance evaluation of “meets standards” or better, the Lieutenant shall be eligible to receive a pay step increase until the Lieutenant reaches the top step of the salary range. Lieutenants shall advance to the next step unless they receive a timely performance evaluation (i.e., no later than one calendar week of the employee’s anniversary date) indicating that their performance does not merit an increase, in which case, the step advancement may be withheld or delayed. Such a performance evaluation may be in addition to the annual performance evaluation, otherwise due at the end of each calendar year. The effective date of the step increase shall be the first day of the pay period following his/hertheir anniversary date.
A Lieutenant promoted to Captain who is at the top step of the Lieutenant salary range, shall be placed at the top step of the Captain salary range. A Lieutenant who is not at the top step of the Lieutenant salary and who is promoted to Captain shall be placed on the step of the Captain salary range which is at least 5.5% higher than the step to which the employee is at on the Lieutenant salary range at the time of promotion. Annually thereafter (i.e., the anniversary date), upon receipt of a performance evaluation of “meets standards”, the Captain will receive a pay step increase until he/she reaches the top step on the salary range. Captains shall advance to the next step unless they receive a timely performance evaluation (i.e., no later than one calendar week of the employee’s anniversary date) indicating that their performance does not merit an increase, in which case, the step advancement may be withheld or delayed. Such a performance evaluation may be in addition to the annual performance evaluation, otherwise due at the end of each calendar year. The effective date of the step increase shall be the first day of the pay period following his/hertheir anniversary date.
An employee’s step increase may be withheld or delayed only if his/her overall performance is less than “meets standards” and his/her evaluation is given timely (i.e., within one calendar week of the first day of the pay period following his/her anniversary date).
B. Probationary Period
Every employee shall serve a probationary period of twelve (12) months. Benefits and leave rights shall be available to employees on probation as a result of accepting a promotion.
The City has the right to extend an employee’s probation as follows:
1. For the length of any leave of absence or time on modified duty while on probation in excess of one calendar week; and/or
2. At the discretion of the Chief of Police up to six months.
C. Separation of Rank
The parties agree that the top step of the Captain salary range shall be at least twelve percent (12%) higher than top step of the Lieutenant salary range.
The parties agree that the top step of the Lieutenant salary range, plus the monthly amount of deferred compensation paid to a Lieutenant, and the Police Lieutenant assignment pay in Article 4 of this MOU shall be at least 19% higher than the top step for Police Sergeant, plus the amount of deferred compensation paid to a Sergeant, the maximum education/POST pay paid to a Sergeant and the maximum assignment pay paid to a Sergeant (maximum of 8.25%). There will be a reopener to discuss this separation of rank if the POA negotiates for longevity pay during the term of the PMA MOU.
D. Special Merit Advancement
The City Manager may authorize the advancement of an employee to any step within the prescribed schedule earlier than he/shethey would normally be eligible. Special merit increases shall require a written recommendation of the Chief of Police or his/hertheir designee, as submitted to the Human Resources Director. Such salary increases shall be effective on the first day of the pay period following the approval of the City Manager, unless a different effective date is specified by the City Manager. An employee will be eligible for his/hertheir next scheduled increase one year after the date of the special merit advancement, and annually thereafter.
E. Acting AssignmentsFilling Position out of Classification (F.P.O.C.) Filling Position out of Classification (F.P.O.C.) is a temporary assignment to a higher classification for which an employee meets the minimum qualifications.
Every employee temporarily assigned to a classification higher than his/her regularly assigned classification shall receive acting assignment pay while so assigned.
While filling a position out of classificationacting, a Police Lieutenant’s the employee’s base monthly salary shall be 5.5% above his/hertheir present base monthly salary, provided that this additional amount shall not exceed the top step nor be lower than the first step of the Police Captain higher classification. For Police Captains filling a position out of classification as the Police Chief, their base monthly salary shall be 5.5% above their present base monthly salary, provided that this additional amount shall not exceed the maximum of the band nor be lower than the minimum of the band for Police Chief.
F.P.O.C.Acting assignments shall be recommended by the Chief of Police or his/hertheir designee and approved by the Human Resources Director or designee.
To be eligible for F.P.O.C.acting pay, the employee has to meet the minimum qualifications for the higher classification and be capable of performing the essential functions of the higher classification.
Employees assigned to an F.P.O.C.acting assignment shall not acquire status or credit for service in the higher classification and may be returned to their regular classification at any time.
Use of F.P.O.C. When there is a Vacant Police Captain: If there is vacant position in the classification of Police Captain (i.e., a Police Captain has left the position, not that there is position temporarily available due to a Police Captain’s leave of absence), the Chief of Police shall establish an eligibility list (which must be certified by the Human Resources Department) as provided for in the Personnel Rules. Once the eligibility list is established, the Police Chief is permitted to select one or more Police Lieutenants on a rotating basis from the eligibility list to serve in that position in an F.P.O.C. capacity. As provided for by Government Code 20480, no one Police Lieutenant is permitted to serve in the F.P.O.C. assignment for a vacant position in excess of 960 hours. In addition, the F.P.O.C. assignments for all employees selected for a vacant Police Captain position shall not exceed 12 months.
For employees who served in an F.P.O.C. assignment as Police Captain, if they are promoted to Police Captain, the time served in the F.P.O.C. assignment shall count toward time served for passing probation as a Police Captain.
The parties agree that to the extent permitted by law, filling a position out of classification pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(3) as Temporary Upgrade Pay. This pay is only reportable to CalPERS as special compensation for those who qualify as classic members as described by the Public Employees’ Pension Reform Act of 2013 – PEPRA. This pay is not reportable as special compensation for employees defined as “new members” under PEPRA. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation.
F. Y-Rating
In the event an employee in a position is Y-rated the employee's monthly salary shall not be increased until the monthly salary of the position held by that employee meets or exceeds the monthly salary paid to that employee.
4. POLICE LIEUTENANT ASSIGNMENT PAY
Police Lieutenants routinely and consistently regularly assigned as a Detective Lieutenant in the Detective Bureau shall receive a monthly payment of $410.36. This pay shall not become effective until an official personnel action form authorizing the pay is approved by the Human Resources Director or designee.
The parties agree that to the extent permitted by law, Police Lieutenant Assignment Pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(4) and 571.1(b)(3) as Detective Division Premium. However, CalPERS ultimately determines whether any form of
compensation qualifies as special compensation.
5. HEALTH BENEFITS
A. Cafeteria Plan and Benefits
New hires are eligible for Cafeteria Plan benefits and health insurance beginning on the first day of the month following their start date.
The following insurance benefits are provided through a cafeteria plan adopted in accordance with the provisions of Internal Revenue Code § 125: medical insurance, dental insurance, and optical insurance.
1. City Contribution to the Cafeteria Plan
The City will contribute to the cafeteria plan on behalf of each employee an amount (which includes the PERS statutory minimum) determined annually by the method established herein. The total City contribution amount for each year will be determined by adding to the prior year’s contribution amount an amount equal to 80% of the net increase, if any, in the total cost of the monthly premiums for the following plans: (a) the employee plus family category of the PORAC medical insurance plan available through PERS, (b) the employee plus family category of the “Safety Standard” Guardian dental plan and (c) the employee plus family category of the “Safety Standard” optical VSP plan. The cafeteria plan contribution is used to purchase the optional benefits of medical insurance, dental insurance and optical insurance. Should the total premium cost of these three benefits decrease from one year to the next, the contribution amount from the City will remain the same for the following year.
The City’s 20252 Cafeteria Plan contribution is $2,638.662,108.39. For 20263 20274, and 20285 and 2029, assuming the cost of the plans increase, the City will increase its contribution by an amount equal to 80% of each year’s increase. The same methodology will be used each year of the MOU to determine increases in the City’s contribution.
2. Medical Insurance
The City contracts with the California Public Employees’ Retirement System (“PERS”) for medical insurance. The City will contribute the PERS statutory minimum on behalf of each participant in the program, which is included in the City’s Contribution to the Cafeteria Plan described above. Eligible employees may select any of the medical insurance plans offered by CalPERS.
An employee who elects to opt out of medical coverage offered by the City must be able to provide proof of minimum essential coverage ("MEC") through another
source (other than coverage in the individual market, whether or not obtained through Covered California).
If at any time during the term of the MOU, the City is subject to penalties under the ACA, the parties agree to reopen negotiations on that provision of the cafeteria plan subjecting the City to such penalties for the limited purpose of making changes to ensure that such penalties are avoided, provided that no changes can be made without mutual agreement of the parties.
3. Dental Insurance
Employees may select a dental insurance plan available from the City’s provider, Guardian. The City reserves the right to change dental insurance providers if necessary. If it does, employees will be provided with similar benefits with the new provider and, if the amount of the new monthly premium for family coverage shall exceed that due under the former plan, the City’s monthly cafeteria plan contribution shall be increased by the amount of the premium increase.
Employees do not have to choose any dental insurance and need not provide proof of dental insurance from another source in order to make that choice.
4. Optical Insurance
Employees may select an optical insurance plan available from the City’s provider, Vision Service Plan (VSP). The City reserves the right to change optical insurance providers if necessary. If it does, employees will be provided with similar benefits with the new provider and, if the amount of the new monthly premium for family coverage shall exceed that due under the former plan, the City’s monthly cafeteria plan contribution shall be increased by the amount of the premium increase.
Employees do not have to choose any optical insurance and need not provide proof of optical insurance from another source in order to make that choice.
5. Employee Contributions for Benefit Options
If an employee chooses optional benefits whose aggregate cost exceeds the total City contribution to the Cafeteria Plan, the City will automatically deduct the excess amount on a pre-tax basis from the employee’s bi-weekly payroll.
6. The Receipt of Cash Through the Cafeteria Plan
Employees will be eligible to receive cash up to a maximum of $475 per month (subject to taxation as wages) through the cafeteria plan if they either opt out of receiving one of the optional benefits provided through the plan or if they choose optional benefits that do not cost as much as the maximum dollar amount they receive through the plan.
In order to opt out, an employee must sign an attestation that the employee and
all individuals for whom the employee intends to claim a personal exemption deduction for the taxable year or years that begin or end in or with the City’s plan year to which the opt out applies (“tax family”), have or will have minimum essential coverage through another source (other than coverage in the individual market, whether or not obtained through Covered California) for the plan year to which the opt out arrangement applies (“opt out period”). An employee must provide the attestation every plan year at open enrollment or within 30 days after the start of the plan year. The opt-out payment cannot be made and the City will not in fact make payment if the employer knows that the employee or tax family member does not have such alternative coverage, or if the conditions in this paragraph are not otherwise satisfied.
B. Flexible Spending Accounts
Employees have the opportunity to participate in both a health care and dependent care flexible spending account (each an FSA) whereby employees will be able to defer up to the maximum permitted by law to pay for any eligible out of pocket expenses related to health care or dependent care on a pre-tax basis. The provisions of both of these FSA’s will be provided in a plan document. The plan document will be available to each eligible employee upon request. Before January 1 of every year, employees will be able to elect to have their compensation for the upcoming year deducted biweekly and contributed on a pre-tax basis to the FSA. During the year (and for a short grace period thereafter), an employee can receive reimbursements under the FSA for covered expenses incurred during the year, up to the amount of the employee’s elected contributions for the year.
The FSA deductions will be withheld from employees’ regular payroll. Any amount allocated but not used within the prescribed time limits shall be forfeited.
6. RETIREE MEDICAL INSURANCE
Each employee retiring from City service is eligible to continue coverage as a retiree through the group medical insurance plans offered through the California Public Employees’ Retirement System (“PERS”).
The City shall pay the PERS statutory minimum on behalf of each retiree.
A. Tier 1: Retirees Hired Prior to July 1, 2012
1. For employees (in the bargaining unit as of the date of approval of this MOU) hired prior to July 1, 2012 who retire from the City after July 1, 1989, the City shall pay the difference between the PERS statutory minimum and the actual cost of the medical insurance premium up to the two-party rate of the PERS PORAC Plan.
2. In the event of the death of an employee who retired from the City who was hired prior to July 1, 2012, the City shall continue to pay the actual cost of single party coverage for the spouse.
B. Tier 2: Retirees Hired On or After July 1, 2012
Police Management employees hired by the City on or after July 1, 2012 who retire from the City will receive the PERS statutory minimum which will be paid directly to PERS by the City should the retiree select a medical plan through PERS. In addition, for any employee hired into the unit as a new employee of the City on or after July 1, 2012, in lieu of additional retiree medical insurance benefits, the City shall, while the employee is working for the City, contribute the sum of $388.00 per month ($194.00 per pay period)) for twenty-four (24) pay periods – there will be no contribution in the third pay period of any month which has three pay periods) to a retirement health savings account on behalf of each employee. For employees who promote(d) into the unit on or after July 1, 2012 who were City employees as of June 30, 2012, they will receive retiree medical benefits in accordance with the benefits of this MOU as though they were a member of the bargaining unit prior to July 1, 2012.
7. LIFE INSURANCE
A. City-Provided Life Insurance
Employees shall be entitled to a one hundred thousand dollar ($100,000) term life insurance policy. The full premium for such policy shall be paid for by the City under the life insurance program of its choosing.
B. Supplemental Term Life Insurance
Employees may also purchase supplemental term life insurance, if available, with deductions from their bi-weekly compensation as designated by each employee.
Employees cannot allocate cash contributions made to the cafeteria plan to pay the premiums for this supplemental term life insurance. However, they may, on a post-tax basis, allocate any cash back they receive from the cafeteria plan for that purpose as a deduction from their paycheck.
8. DEFERRED COMPENSATION
A. City Contribution to Deferred Compensation
The City shall contribute three percent (3%) of step 6 for each classification (Police Lieutenant and Police Captain) plus $200.0030.00 per month on behalf of each employee to the 457(b) a deferred compensation account.
During the term of the MOU, the above amounts are as follows:
In addition to the above amount, the City shall pay make an additional contribution to the deferred compensation accounts of Police Lieutenants and Police Captains as follows:
The City shall make a contribution to employees in the classification of Police Lieutenant in the amount of three percent (3%) of step 6 for the classification of Police Lieutenant.
The City shall make a contribution to employees in the classification of Police Captain in the amount of three percent (3%) of step 6 for the classification of Police Captain.
As addressed in paragraph B below, the parties acknowledge that there is a statutory maximum amount that may be contributed into an employee’s deferred compensation account. Given the above contributions from the City, employees are responsible for ensuring that any individual contributions employees elect to make to their own deferred compensation accounts do not cause the account to exceed the maximum permitted by law. If the maximum permitted by law is reached prior to the end of a calendar year, there will no additional City contributions for the remainder of that calendar year.
If due to the amount an employee has contributed to their 457(b) account, additional City contributions would exceed the maximum the City could contribute by law, any additional deferred compensation funds provided by the City for the rest of the year will be placed in a 401(k) account that the employee will be prompted to open if they have not already done so.
B. Employee Contribution to Deferred Compensation
Employees may elect to contribute from their regular wages to deferred compensation accounts up to the IRS-established limits. In accordance with the tax laws, any cash that an employee may receive through the cafeteria plan may not be deferred to the employee’s deferred compensation accounts directly from the cafeteria plan.
C. Conversion of Sick Leave to Deferred Compensation
Employees may elect to convert accumulated sick leave to deferred compensation. The extra pay may only be used to fund IRS designated “catch-up” contributions (which may include the pre-retirement catch-up or age 50 catch-up) to deferred compensation. The following restrictions apply to this program:
1. The employee shall have a minimum of 15 years of service with the City of Beverly Hills.
2. The individual’s sick leave balance cannot be reduced below 500 hours.
3. Contribution amounts and deferral limits will be governed by IRS Code restrictions and the deferred compensation plan rules related to “catch-up” contributions.
4. An employee may only convert the amount of sick leave he/shethey would be eligible to receive (per Article 165) if he/shethey separated from service at the time of the sick leave conversion to deferred compensation.
9. CALPERS RETIREMENT BENEFITS
The City contracts with CalPERS for retirement benefits. The definitions of “new member” and “classic member” are set forth in Exhibit “B” to this MOU.
A. For “Classic Member” Employees
1. Retirement Formula: The City contracts with CalPERS to provide the 3% at 50 retirement formula for all employees hired before July 1, 2012 as set forth in California Government Code Section 21362.2. For employees hired after July 1, 2012 who are classic members, the City contracts with CalPERS to provide the 3% at 55 retirement formula as set forth in California Government Code Section 21363.1
2. Retirement Benefit Calculation Period: The City's contract with CalPERS provides for the "Single Highest Year" retirement benefit for which “classic member” employees hired prior to July 1, 2012 in the unit are included per Government Code section 20042. For employees hired after July 1, 2012 who are classic members, final compensation will be based on the highest annual average compensation earnable during the three consecutive years of employment immediately preceding the effective date of his or hertheir retirement or any other three consecutive year period chosen by the employee as set forth in Government Code section 20037.
3. Payment of Employee/Member Contribution: Classic members shall pay their entire Member Contribution equal to nine percent (9%) of compensation earnable and the City shall pay and report zero percent (0%) of compensation earnable as
Employer Paid Member Contribution (EPMC). The City has adopted the CalPERS resolution in accordance with IRS Code section 414(h)(2) to ensure that the employee contribution is made on a pre-tax basis.
B. For “New Members” As Defined By the Public Employees’ Pension Reform Act of 2013 (PEPRA)
1. Retirement Formula: Unit members who are defined as “new members” under the PEPRA, are covered by the 2.7%@ 57 formula provided for by the Public Employees’ Retirement Law at Government Code section 7522.25(d).
2. Retirement Benefit Calculation Period: For unit members defined as “new members” under the PEPRA, each such employee’s final compensation will be based on the highest annual average compensation earnable during the three consecutive years of employment immediately preceding the effective date of his or hertheir retirement or any other three consecutive year period chosen by the employee as set forth in Government Code section 7522.32(a).
3. Payment of Employee/Member Contribution: New member employees are responsible for paying the employee contribution of one-half of the normal cost of the plan, as defined by CalPERS, through a payroll deduction. This amount is currently determined by CalPERS and will continue to be determined by CalPERS in the future. The City has adopted the CalPERS resolution in accordance with IRS Code section 414(h)(2) to ensure that the employee contribution is made on a pretax basis.
C. Additional Optional Benefits For All Employees
1. 1959 Survivor's Benefit: The City’s contract with CalPERS provides Level 4 coverage under the 1959 Survivor's Benefit per Government Code section 21574.
2. Military Service Credit: The City’s contract with CalPERS provides the Military Service Credit option set forth in Government Code section 21024.
3. Pre-Retirement Death Benefits: The City’s contract with CalPERS provides the benefit known as the pre-retirement death benefits to continue after remarriage of survivor as set forth in Government Code section 21551.
4. Cost of Living Allowance: The City’s contract with CalPERS provides the benefit known as the 2% Cost of Living Allowance Increase as set forth in Government Code section 21329.
5. Retired Death Benefit: The City’s contract with CalPERS provides the $500 Retired Death benefit as set forth in Government Code section 21620.
6. Prior Service: The City’s contract with CalPERS provides the prior service benefit as set forth in Government Code section 20055.
7. Post Retirement Survivor Allowance as set forth in Government Code section 21635, 21624/21626.
10. HOLIDAYS
A. Holiday Pay
An employee assigned to Patrol is required to work on holidays if his/hertheir work schedule falls on one of the holidays provided below. This is because the employee works in a position that requires scheduled staffing without regard to holidays. Such an employee will receive holiday-in-lieu pay for the number of hours corresponding with his/hertheir regular work schedule (e.g., an employee on a 4/10 work schedule will receive 10 hours of holiday-in-lieu pay). An Eemployees isare not precluded from requesting to use earned leave time on a holiday that falls on a regularly scheduled workday and will still receive their holiday-in-lieu pay for that holiday. If a holiday falls on one of their days off, they still receive their holiday-in-lieu pay for that holiday.
The parties agree that to the extent permitted by law, Holiday in Lieu Pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(5) and 571.1(b)(4) as Holiday Pay. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation.
Employees in an administrative assignment (non-patrol) shall receive time off with pay for any holiday which falls during his/hertheir regular work schedule. If a holiday falls on one of their days off, they shall be paid for the holiday.
For all employees (employees on patrol and employees in an administrative assignment), if a holiday falls on one of their days off, they shall be paid for the holiday.
Employees who are assigned to work a 4/10 work schedule shall receive holiday pay for the following holidays if they were in paid status for the entire day the day before and the day after the holiday (i.e., either the employee worked or was absent using paid leave for the entire day on such workdays):
New Year's Day January 1
Martin Luther King Day Third Monday in January
President's Day Third Monday in February
Memorial Day Last Monday in May
Juneteenth June 19
Independence Day July 4
Labor Day First Monday in September
Veteran's Day November 11
Thanksgiving Day Fourth Thursday in November
Day after Thanksgiving Fourth Friday in November
Christmas Day December 25
An employee who is assigned to work a 3/12.5 work schedule shall receive holiday pay for the following holidays if he/shethey worked his/hertheir regularly assigned work schedule or was absent on authorized paid leave the day before and the day after the holiday:
New Year's Day January 1
President's Day Third Monday in February
Memorial Day Last Monday in May
Juneteenth June 19
Independence Day July 4
Labor Day First Monday in September
Veteran's Day November 11
Thanksgiving Day Fourth Thursday in November
Day after Thanksgiving Fourth Friday in November
Christmas Day December 25
If an employee who works a 3/12.5 is assigned a 4/10 work schedule because he/shethey areis working a modified duty assignment, he/shethey will be provided the day off for the holiday and paid ten (10) hours for the holiday.
B. Personal Holiday
Employees shall be entitled to one additional paid holiday each fiscal year. This holiday may be taken at the employee's discretion subject to his/hertheir supervisor’s and the Chief of Police or designee’s approval. The employee shall request the holiday in writing.
If an employee does not use his/hertheir personal holiday earned within the fiscal year, he/shethey will not earn an additional personal holiday in the next fiscal year. Employees hired between April 1 and June 30 will not be credited with a personal holiday until the following fiscal year.
11. VACATION
A. Authorization For Taking Vacation
An employee entitled to vacation leave shall make a written request to use vacation in the manner and within the time directed by the Chief of Police or his/hertheir designee.
The Chief of Police or his/hertheir designee shall establish a vacation schedule for each calendar year based as much as possible upon application and seniority of the employees concerned and subject to the Chief of Police's right to plan work under his/hertheir control. He/sheThey shall notify an employee requesting vacation whether his/hertheir request is approved within a reasonable time.
B. Holidays During Vacations
For employees not assigned to patrol, when a holiday falls within an employee's vacation leave, the day will count as a holiday not vacation, unless the employee elects to be compensated for the holiday in the form of a cash payment. An employee on vacation during a holiday may elect to be compensated for up to five (5) holidays per year by using vacation on the same day.
C. Vacation Accumulation
Vacation credit shall be accrued bi-weekly to employees at the following rates:
FIRST 4 YEARS
OF SERVICE
AFTER 4 YEARS
THROUGH 14 YEARS
OF SERVICE
AFTER 14 YEARS
OF SERVICE
3.07/Hours 5.54/Hours 7.39/Hours
Bi-weekly Bi-weekly Bi-weekly
80 Hours/year 144/Hours/year 192 Hours/year
Employees with fourteen years of service or less may not accumulate more than 432 hours of vacation and will not continue to accrue vacation until their balance falls below 432 hours
Employees with more than fourteen (14) years of service may not accumulate more than 480 hours of vacation at any time and will not continue to accrue vacation until their balance falls below 480 hours.
D. Vacation Cash-Out
By December 15 of each year, employees may make an irrevocable election to cash out up to eighty (80) hours of vacation leave which will be earned in the following payrollcalendar year (defined as the year that ends at the end of the last full pay period in December where the pay day is also in December), provided that at the time of the cash out, the employee has minimum of 240 hours of accrued vacation leave.
The employee will be paid for the vacation hours (up to a maximum of eighty (80) hours) they irrevocably elected to cash out on the first pay day in January.
If an employee makes an irrevocable election to cash out vacation in the following payrollcalendar year and uses vacation in that subsequent year, the vacation used will come from vacation the employee had earned prior to January 1 of the year the employee has elected to cash out vacation. This is to ensure that assuming an employee had a vacation balance prior to January 1, the vacation used will not result in a reduction in the
amount of vacation the employee will be eligible to cash out.
In addition to the above, an employee who has an “unforeseen emergency” (defined as an unanticipated emergency that is caused by an event beyond the control of the employee and that would result in severe financial hardship to the employee if early withdrawal were not permitted) shall be entitled to make a request to the Director of Human Resources for a payoff of accrued vacation. The amount of vacation which may be paid off is limited to the amount necessary to meet the emergency. The maximum payoff the employee can receive for an emergency is limited to forty (40) hours. These forty (40) hours would be the same forty (40) hours the employee elected to cash out, not an additional forty (40) hours.
Payroll division records are the final authority for settling disputes regarding accrued and accumulated vacation.
12. SICK LEAVE
Except as is otherwise provided, employees shall accrue, use and be compensated for sick leave as follows:
A. Accrual
Each employee shall accrue sick leave at the rate of 3.69 hours for each complete biweekly period of employment. During years in which there are 27 pay dates, there will be no sick leave accrual during the 27th pay date. Payroll division records are the final authority for settling disputes regarding accrued and accumulated sick leave.
B. Use of Sick Leave
Accumulated sick leave may be used by an employee during any period of illness of the employee, spouse, child, or registered domestic partner if the illness requires the presence of the employee. In addition, an employee may use up to one half of one year’s annual accrued sick leave (48 hours per payrollcalendar year) for his/hertheir sibling, parent-in-law, grandchild or grandparent or designated person as defined by law.
C. New Employment
During the first six (6) months of employment, a new employee may use up to three (3) days of sick leave. After six (6) months, an employee may use any approved sick leave he/shethey has accrued.
D. Sick Leave Incentive
Employees who use twenty-five (25) hours or less of sick leave each payroll year (defined as the year that ends at the end of the last full pay period in December where the pay day is also in December) may elect to receive cash payment for up to twenty-five (25) hours of
the accumulated unused sick leave during the month of January of the following year.
Accrued unused sick leave shall be cashed out at separation as provided for in paragraph 165A of this MOU.
If an employee wants to cash out sick leave (because he/shethey haves used twenty-five (25) hours of sick leave or less), he/shethey must comply with the following: By December 15 of each year, employees may make an irrevocable election to cash out up twenty-five (25) hours of sick leave which will be earned in the following payrollcalendar year. If the irrevocable election is not made, the employee will not have any of his/hertheir sick leave cashed out in January of the year after it was accrued.
13. BEREAVEMENT LEAVE
Bereavement leave is an absence occasioned by the death of a family member, herein defined as a spouse, parent, brother, sister, child, step-child, grandparent, in-law (of any of the relationships identified) or registered domestic partner of the employee Up to a maximum of forty (40) hours of bereavement leave, per payrollcalendar year, (regardless of the number of family deaths) may be used in the event of the death of a family member. In the event an employee needs additional time off for this leave, he/shethey may use up to 40 hours of sick leave per payrollcalendar year.
Requests for bereavement leave shall be made in writing when feasible and shall be approved by the Chief of Police or designee.
In addition to the above (which allows an employee up to 40 hours of paid bereavement leave as well as the ability to use an additional 40 hours of sick leave for bereavement) there is a right to use additional bereavement leave under the law.
For employees who have been with the City for at least thirty (30) days) who have exhausted both their paid bereavement leave and the five additional days of sick leave which can be used for bereavement, they may use up to five (5) days of bereavement leave for each death of a family member as defined above. This leave under the law must be used within three (3) months from the date of death. Although this is not City-paid leave, employees may use any accrued and available leave that is otherwise available to the employee for this purpose.
14. WITNESS LEAVE
Employees who are required to serve as a witness pursuant to a lawful subpoena in any judicial or quasi-judicial proceeding in a matter other than one to which the employee is a party, or who is required to serve as a juror, shall be allowed time off without loss of pay to perform such duties.
In addition, per California Labor Code § 230(b) an employee shall be allowed time off but with loss of pay, if the employee is a party to the matter for reasons other than actions within the scope of the employee’s current or past public employment. All fees to which the employee is entitled by law for such service shall be paid (less transportation allowance, if any) to the City.
This Article is not applicable to those employees participating in judicial or quasi-judicial proceedings that are within the scope of their employment.
Any employee who is required to serve as a witness pursuant to a lawful subpoena in any judicial or quasi-judicial proceeding, except if the employee is a party to the proceeding and it is unrelated to their current or past public employment shall be allowed time off with pay (no need to use accrued leaves) to serve as a witness.
If the employee attends any judicial or quasi-judicial proceeding to which they are a party that is unrelated to their current or past public employment, while the City will not provide paid time off to serve as a witness, the employee may use vacation for the time off to serve as a witness. If the employee attends any judicial or quasi-judicial proceeding to which they are a party that is related to their current or past public employment, they shall be allowed time off with pay (no need to use accrued leaves) to attend such proceeding.
All fees to which the employee is entitled by law for serving as a witness pursuant to a lawful subpoena in any judicial or quasi-judicial proceeding shall be paid (less transportation allowance, if any) to the City if the employee is being paid (i.e., not using accrued leave) by the City while attending such proceeding.
15. LEAVE WITHOUT PAY
Requests for leaves of absence without pay must be submitted through the chain of command and approved by the Chief of Police or designee and shall be used only if all appropriate accrued leaves (e.g., sick leave may not be exhausted if the leave is not for a medical purpose) have been exhausted. Employees on leave of absence without pay shall not accrue vacation, leave rights, nor shall the City pay for any fringe benefits, except as required by law (e.g., benefits that must continue per statutory leave like FMLA/CFRA or PDL). Decisions whether to grant such a leave will be made based on operational needs of the Department and any other factors set forth in City policy.
16. LEAVE PAYOFFS UPON SEPARATION FROM CITY SERVICE
A. Sick Leave Pay-Off
Employees who have worked for seven (7) or more continuous years of service with the City shall be eligible for sick leave payoff upon separation of employment with the City as follows:
1. After completion of seven (7) full years of service - 21% of accrued, unused sick leave.
2. For each year after the seventh year - 5% of accrued, unused sick leave per full year of service to a maximum of 79%. The maximum rate of sick leave payoff when subparagraphs 1 and 2 are combined is 100%.
3. Sick leave pay off shall be calculated at the rate of pay received by the employee
at the time of separation which shall be equal to the identical compensation the employee would have received had theyhe used the sick leave to receive a paid leave of absence immediately prior to separation.
B. Vacation Pay-Off
Employees who separate from City service shall receive an amount equal to accrued unused vacation at the time of separation. The rate of payoff shall be based on the rate of pay at the time of separation.
An employee shall not have the option of utilizing accrued unused vacation, in lieu of receiving vacation pay-off at the time of separation which shall be equal to the identical compensation the employee would have received had he used the vacation to receive a paid leave of absence immediately prior to separation.
17. PROFESSIONAL DEVELOPMENT PROGRAM
A. Sabbatical Leave
1. A City-paid Professional Development leave of absence (sabbatical leave) program is available to employees. The granting of a sabbatical leave shall be at the sole discretion of the City Manager.
2. Approval of requests for sabbatical leave shall be based on the following criteria:
a. The content of the leave program with a requirement that the program be designed to professionally develop the employee in a manner potentially beneficial to his or hertheir City employment.
b. A plan for maintaining work continuity of the employee's duties and responsibilities during his or hertheir absence, with emphasis placed on development of subordinates through training assignments. c. The coordination with departmental priorities and workload. d. The employee's performance record.
3. A sabbatical leave may allow up to Five Hundred Dollars ($500) for expenses.
4. A sabbatical leave shall be restricted to one (1) leave, up to ninety (90) calendar days, for each employee each five (5) years, with not more than five (5) City employees participating in any one (1) year.
5. Each employee who requests a sabbatical leave shall submit to the City Manager a report summarizing the activities he/shethey intends to accomplish on the leave prior to final approval of the leave.
6. Typical Sabbatical leaves might include executive development programs, educational programs, travel study programs, or authorship sabbaticals.
B. Management Training:
Police Captains and Lieutenants shall maintain a 40-hour minimum annual level of training in Police Administration, Public Administration, Police Management, or a related field.
This training can include job related courses such as seminars or other approved training.
Prior approval shall be granted by the Chief of Police.
18. ADMINISTRATIVE LEAVE
Employees shall beare provided with 96 hours of Administrative Leave each payrollcalendar year.
This amount increases to 108 hours starting in calendar year 2026 and 120 hours starting in 2027.
Administrative Leave is provided in recognition of the work performed above normal work hours and the nature of the work performance and expectations placed upon employees in this unit.
Use of Administrative Leave shall be approved by the Chief of Police subject to the needs of the department and the necessity of having employees available for the effective functioning of the department. An employee promoted into a classification in this unit during the year shall receive a pro-rated amount (starting on the first day of the month after being hired or promoted and based on the number of pay periods/partial pay periods left in the payroll year) of administrative leave.
Administrative Leave is non-cumulative between calendar years because it does not accrue.
Employees shall be cashed out (up to forty (40) hours) of administrative leave still on the books at the end of each payroll year at their base rate of pay. The cash out will be paid in January.
By December 15 of each year, employees may make an irrevocable election to cash out up to forty (40) hours of administrative leave which they can accrue per year which will be earned in the following calendar year at the employee’s base rate of pay. In the following year, the employee can receive the cash for the administrative leave they irrevocably elected to cash out The employee will be paid for the administrative leave (up to a maximum of forty (40) hours) they irrevocably elected to cash out on the first pay day in January. However, if the employee’s administrative 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 administrative leave the employee has on the books at the time of the cash out.
If, after cashing out 40 hours of Administrative Leave, an employee still has unused Administrative Leave from that calendar year, at the beginning of the following calendar year the City will provide the employee with additional hours of Administrative Leave so that the employee has 96 hours of Administrative Leave available to use for that calendar year. At no time may an employee have more than 96 hours of Administrative Leave available to use.
In addition to the above, an employee who has an “unforeseen emergency” (defined as an unanticipated emergency that is caused by an event beyond the control of the employee and that would result in severe financial hardship to the employee if early withdrawal were not permitted) shall be entitled to make a request to the Director of Human Resources for a payoff of accrued Administrative Leave. The amount of Administrative Leave which may be paid off is limited to the amount necessary to meet the emergency. The maximum payoff the employee can receive for an emergency is limited to forty (40) hours. These forty (40) hours would be the same forty (40) hours the employee elected to cash out, not an additional forty (40) hours.
19. OVERTIME
Unless otherwise determined by the City, employees assigned to the classifications of Police Captain and Police Lieutenant qualify as employees exempt from overtime under the FLSA.
Under extraordinary circumstances, Lieutenants whose assignments require frequent assignment to extra work shifts, in addition to the normal work schedule, may receive extra compensation in addition to their base salary. Eligibility and approval for such extra compensation will be determined atin the sole discretion of the Chief of Police whose decision shall be final and shall not be subject to challenge, appeal or grievance. Extra compensation, as used in this Article, will be for hours actually worked during the extra work shifts and will be paid at his/hertheir straight time base hourly rate.
Extraordinary circumstances will generally require the frequent scheduling of extra shifts over an extended period of time as a result of operational needs or as a result of an extended period of emergency. At his/hertheir discretion, the Chief of Police may determine the appropriate staffing needs that constitute extraordinary circumstances necessitating additional shift coverage which may include scheduling of single shifts.
Police Captains and Police Lieutenants may be assigned to work Special Jobs (as defined in the Beverly Hills Police Department Manual) in addition to their normal work schedule resulting in additional compensation in addition to their base salary. Eligibility and approval for such extra compensation will be determined in the sole discretion of the Chief of Police whose decision shall be final and shall not be subject to challenge, appeal or grievance. Extra compensation, as used in this article, will be for hours actually worked during the Special Job and will be paid at his/hertheir straight time base hourly rate.
A. Accurately Reporting Time Worked
Employees are required to accurately report all time worked on their time sheets and submit all timesheets by the deadline established by the Payroll Division of the Finance Department.
Unit members shall record hours worked in one-tenth (1/10) of an hour increments of time. This is illustrated by the following:
0-3 Minutes – No additional time should be recorded
4-9 Minutes = .1 of an hour
10-15 Minutes = .2 of an hour
16-21 Minutes = .3 of an hour
22-27 Minutes = .4 of an hour
28-33 Minutes = .5 of an hour
34-39 Minutes = .6 of an hour
40-45 Minutes = .7 of an hour
46-51 Minutes = .8 of an hour
52-57 Minutes = .9 of an hour
58-60 Minutes = 1.0 full hour
The parties agree that if the City makes any timekeeping system upgrades during the term of this MOU, if there are any meet and confer/consult obligations (either impacts or any decisions which may require meet and confer) the Association and/or the City agree to promptly meet and confer/consult if requested by the other party.
20. WORK SCHEDULES
Employees in the bargaining unit work either a 4/10 or a 3/12.5 work schedule subject to the discretion of the Chief of Police. Should the Chief of Police exercise such discretion, there is no obligation for the city to meet and confer with the association.
21. UNIFORM ALLOWANCE
The City will pay a uniform allowance of $800.00 per payrollcalendar year to each employee. The uniform allowance is intended to compensate employees for the purchase and maintenance of required uniforms to perform their job. The uniform allowance shall be paid 1/26th of the annual amount each pay period. In payrollcalendar years in which there are 27 pay periods, employees shall not receive the uniform allowance payment for the 27th pay period.
The parties agree that to the extent permitted by law, the uniform allowance is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(5). The City will report as special compensation, the value of the uniforms for unit members who are classic members under the PEPRA. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation. As of the drafting of this MOU, “new members” as defined under the PEPRA, are not permitted to have the value of the uniforms reported as special compensation. If the City is permitted to do so in the future pursuant to a change in the law, it will do so.
22. RESIGNATION
To resign in good standing, an employee must inform the Chief of Police of his/hertheir intent to resign at least two weeks before the resignation date and state therein the reason for resignation.
An employee who resigns may be reemployed within one year if the request for reemployment is approved by the Chief of Police.
23. VEHICLES
The City will provide un-marked vehicles with communication and emergency equipment to the Police Captains and the Lieutenant(s) assigned to the following positions: Detective Division Commander, Executive Officer, and Crime Impact Team for use within Los Angeles and Ventura Counties or other areas when necessary to fulfill their duties. Vehicles may be assigned to additional positions at the discretion of the Chief of Police.
The above noted employees will monitor the communication equipment whenever driving these vehicles and respond as appropriate to emergencies, or other matters requiring command level attention.
The City will provide fuel, maintenance and insurance for the vehicles assigned to these employees.
24. DISCIPLINEADMINISTRATIVE APPEAL PROCESS
A. Disciplinary Procedure for Employees Subject to Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal
1. Pre-Action Due Process for Disciplinary Transfer, Step Reduction, Suspension, Demotion and Dismissal
Prior to being subject to disciplinary transfer, step reduction, suspension, demotion or dismissal, an employee will first be served with a notice of intent to discipline. This document will set forth the grounds for discipline, the facts supporting the grounds and all evidence to which the employee is entitled by law.
The notice of intent to discipline will also advise the employee of any prior discipline which the City representative issuing the notice believes is relevant to the current discipline. In addition, the notice of intent will advise the employee of his/hertheir right to respond to the proposed discipline either in writing or orally at a meeting. If the employee does not respond within the time limits, the discipline will be imposed.
If the employee chooses to respond in writing, he/shethey must insure his/hertheir response is received by the representative who issued the notice of intent to discipline within seven (7) calendar days of receiving the notice of intent to discipline. If the employee wishes to respond orally, he/shethey must call or write the City representative who issued the notice of intent to discipline within seven (7) calendar days of receiving the notice of intent to discipline informing the representative that he/shethey wishes to have an oral response. The City representative will advise the employee when the oral response (in accordance with Skelly vs. the State Personnel Board) will take place.
At the Skelly response (assuming the employee wants to respond orally) the employee has the right to be represented per Government Code section 3303(i).
The Skelly response is an opportunity for the employee and/or his/hertheir representative to respond to the notice of intent to discipline.
The City representative who will hear the response (Skelly Officer) may or may not be the person who issued the notice of intent to discipline. If the Skelly officer is not the person who recommended the discipline, he/shethey will be at or above the rank of the individual issuing the discipline. The Skelly Officer’s decision will either be to impose the proposed discipline, impose no discipline or to impose a lesser discipline. The City representative hearing the response does not have authority to impose discipline that is greater than that which was proposed.
If the discipline is imposed or if it is reduced but there is still discipline imposed which is covered by this procedure, the City representative shall issue a notice of discipline. Like the notice of intent, the notice of discipline shall set forth the grounds, and facts supporting the discipline as well as any prior discipline relied on by the City representative in imposing the discipline. The notice of discipline will also set forth the employee’s appeal rights advising the employee that if he/shethey wishes to appeal the discipline, he/shethey must do so in writing by serving a notice of appeal to the Human Resources Director within seven (7) calendar days.
The Notice of Discipline will set forth the effective date of the discipline.
2. Appeal Rights For Employees Subjected to Disciplinary Transfer, Step Reduction, Suspension, Demotion and Dismissal
The following sets forth the appeal rights for employees subjected to a disciplinary transfer, step reduction, suspension, demotion and dismissal. a. Hearing Officer Selection
i. The parties, through their respective representatives, shall mutually agree upon a hearing officer.
ii. In the event the parties are unable to agree on a hearing officer:
a. The City will request a list of seven (7) neutral hearing officers from the California State Mediation and
Conciliation Service ("SMCS"). The request will be sent by email and the employee’s representative will be cc’d on the request.
b. Once a list is received from the SMCS, the parties shall toss
a coin to determine striking order, with the winner selecting between the options of striking first or striking second. The parties shall then alternately strike names from the list until only one name remains. The remaining name shall be the
hearing officer unless the parties mutually agree to request a new list or mutually agree on a different hearing officer. b. Hearing Officer's Authority
i. The hearing officer shall have full authority to decide the appeal, including questions of fact and conclusions of law, but shall be bound by all applicable codes, rules, policies, procedures, and regulations. The hearing officer shall also be bound by the terms of this MOU.
ii. The hearing officer shall preside over a hearing at which evidence and arguments of the parties may be presented. Except as otherwise mutually agreed by the parties, the hearing officer shall determine the procedures to be followed for the hearing, with due regard for the rights of the parties.
iii. The hearing officer shall rule on all evidentiary matters and need not follow the strict rules of evidence.
iv. The burden is on the moving party to prove any charge by a preponderance of the evidence.
v. The hearing officer shall administer oaths, as authorized by law. vi. The hearing officer shall issue subpoenas and subpoenas duces tecum to compel the attendance of witnesses and the production of evidence, as authorized by law.
vii. The hearing officer shall issue a written decision within 30 (thirty) calendar days of the close of the hearing. However, failure of the hearing officer to issue a timely decision shall not constitute grounds for challenging the decision as being beyond the hearing officer's authority.
c. Final Decision, Judicial Review
i. The written decision of the hearing officer shall be the final decision within the City's administrative process.
ii. Either party may appeal the decision of the hearing officer to the
Superior Court according to the procedures and subject to the standards provided in Code of Civil Procedure § 1094.5 by filing a writ of administrative mandamus.
d. Expenses
i. Each party shall bear its own costs and attorney fees in connection with processing of a covered appeal and the hearing.
ii. Both the City and the Association shall each pay one-half of the mutually incurred costs of the hearing. The mutually incurred costs of the hearing will be limited to the reasonable fee and expenses of the hearing officer and court reporter. Except as otherwise mutually agreed, the City will provide a meeting room at Beverly Hills City Hall, or another City facility, suitable for conducting the hearing.
B. Administrative Appeal for Employees Subject to Discipline Other Than Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal The following administrative appeal process is established pursuant to Government Code § 3304.5. This procedure shall not apply to disciplinary actions for which employees already are entitled to receive an appeal hearing for disciplinary transfer, step reduction, suspension, demotion and dismissal (outlined in Section “A” above).
1. Right to Administrative Appeal Under this Procedure
a. Any employee who is subjected to punitive action (within the meaning of Government Code § 3303) other than dismissal, demotion, step reduction, suspension or disciplinary transfer; shall be entitled to receive an administrative appeal under this procedure. The employee shall not be entitled to appeal the action prior to its imposition, i.e., an employee shall not be entitled to receive a hearing akin to a Skelly hearing or other predisciplinary appeal hearing prior to imposition of the punitive action.
2. Notice of Appeal
a. Within five (5) calendar days of receipt by an employee of notification of punitive action as set forth above, the employee shall notify the Human Resources Director in writing of his/hertheir intent to appeal the punitive action.
b. The notice of appeal shall specify the action being appealed and the substantive and procedural grounds for the appeal.
3. Hearing Officer
a. The City Manager shall have twenty-one (21) calendar days from receipt of the notice of appeal to designate themselveshimself/herself as the hearing officer or appoint a neutral hearing officer who is not embroiled in the controversy, i.e., a person who did not initiate or authorize the action in question.
b. If a hearing officer is appointed by the City Manager, the hearing officer shall serve in an advisory capacity and shall be responsible for making recommended findings of fact and issuing an advisory decision to the City Manager. The City Manager may adopt, modify, or reject the hearing officer’s recommendations and advisory decision and the City Manager’s decision shall be final and binding.
4. Burden of Proof/Persuasion
a. If the punitive action being appealed does not involve allegations of misconduct (i.e., allegations that the Police Management employee has violated one or more federal, state, or local laws, and/or City or Police Department regulations, procedures, or rules) the limited purpose of the hearing shall be to provide the employee the opportunity to establish a record of the circumstances surrounding the action. The City’s burden shall be satisfied if the City establishes that the action was reasonable, even though reasonable persons might disagree about whether the action was the best one under the circumstances.
For example, if the Police Department effected a non-disciplinary transfer of an employee out of an assignment with the intent of affording other employees the opportunity to work in the assignment, the decision would not be subject to being overturned as long as it was reasonable, even if one or more persons might disagree with the decision.
b. If the punitive action involves charges of misconduct, (i.e., allegations that the employee has violated one or more laws, regulations, procedures, or rules), the City shall have the burden of proving by a preponderance of the evidence the facts which form the basis for the charge of misconduct and the burden of persuasion that the punitive action was reasonable under the circumstances.
For example, if an employee received a written reprimand for unauthorized absence from work then the City would bear the burden of proving that the employee was absent from work without authorization and that a written reprimand was reasonable under the circumstances.
5. Conduct of Hearing
a. The formal rules of evidence do not apply, although the hearing officer shall have discretion to exclude evidence which is incompetent, irrelevant or cumulative.
b. The parties may present opening statements.
c. The parties may present evidence through documents and testimony. i. Witnesses shall testify under oath.
ii. The hearing officer shall issue subpoenas for documents or testimony upon reasonable request of the parties.
d. The parties shall be entitled to confront and cross-examine witnesses. e. Following the presentation of evidence, if any, the parties may submit oral and/or written closing argument for consideration by the hearing officer.
6. Recording of the Hearing
If the punitive action involves an allegation of misconduct, then the hearing shall be stenographically recorded by a certified court reporter. Otherwise, the hearing may be tape recorded. The per diem cost of the court reporter shall be equally borne by the parties. The cost to receive a transcript of the hearing shall be borne by the party requesting the transcript.
7. Representation
The employee may be represented by an association representative or attorney of his or hertheir choice at all stages of the proceedings. All costs associated with such representation shall be borne by the employee.
The City shall also be entitled to representation at all stages of the proceedings.
8. Decision
a. If a hearing officer is appointed by the City Manager, the hearing officer shall issue his/hertheir advisory decision in writing within sixty (60) calendar days of the submission of the case by the parties for decision. The written decision shall set forth proposed findings of fact and a proposed decision.
b. Within ten (10) calendar days of receipt of the advisory decision, the City Manager shall serve the parties with written notice of his/hertheir decision
adopting, modifying, or rejecting the hearing officer’s recommendations and advisory decision. If the City Manager modifies or rejects the hearing officer’s advisory decision, then the City Manager shall review the entire record prior to making a decision.
c. If the City Manager is the hearing officer he/shethey will issue his/hertheir decision within sixty (60) calendar days of the submission of the case by the parties for decision. The City Manager’s written decision shall set forth his/hertheir findings of fact and final decision.
d. The City Manager’s decision shall be served by first class mail, postage prepaid, upon the Police Management employee as well as his/hertheir attorney or representative, shall be accompanied by an affidavit or certificate of mailing, and shall advise the employee that the time within which judicial review of the decision may be sought is governed by Code of Civil Procedure § 1094.6.
25. NON-DISCRIMINATION
The parties mutually reaffirm their respective policies of non-discrimination in the treatment of any employee because of race, religion, sexual orientation, medical condition, gender, gender identity, gender expression, color, sex, age, disability, national origin, ancestry, or any other protected classification recognized by the law.
26. SAVINGS CLAUSE
If any benefit or provision of this MOU is deemed by a court of competent jurisdiction to be illegal or otherwise unenforceable, the remaining benefits or provisions of this MOU shall remain in full force and effect. In the event of such invalidation, the City and the Association shall meet and confer in good faith concerning such invalidation including whether a replacement benefit or provision is necessary and appropriate.
27. MANAGEMENT RIGHTS
The management and the direction of the work force of the City are vested exclusively in the City, and nothing in the MOU is intended to circumscribe or modify the existing rights of the City including but not limited to the direction of the work of its employees; the right to hire, promote, demote, transfer, assign, schedule and retain employees in positions within the City; subject to the rules and regulations of the City; suspend or discharge employees for just and proper cause; to maintain and improve the efficiency of governmental operations; to relieve employees from duties because of lack of work or funds; to take action as may be necessary to carry out the City's mission and services in emergencies; to determine the methods, means and appropriate job classifications, organizational structure and personnel by which the operations are to be carried out; and to establish reasonable performance standards for personnel, including but not limited to qualifications and quantity standards. In addition to the foregoing, the parties agree that the City may demand to meet and confer over the subject of furloughs.
28. GRIEVANCE PROCEDURE
The City and the Association recognize that disputes related to this MOU will occur from time to time. It is both parties’ intent and desire that any such disputes be resolved quickly and amicably.
However, the parties recognize that occasionally disputes will need to be resolved by a neutral.
It is for that reason that the parties agree to the following provisions of their grievance procedure.
A. Definition of a Grievance:
An allegation by an employee or the Association that there has been a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice(s) of the City and/or Department. This grievance procedure is the sole and exclusive method for either an employee or the Association to allege a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the Department B. Timeliness of a Grievance:
A grievance must be filed within 30 days of the occurrence giving rise to the grievance or the time within which the grievant (either the employee or Association) knew or should have known of the occurrence.
C. Grievance Procedure:
The parties acknowledge that a grievance procedure is beneficial to resolve MOU disputes.
1. Step 1 – If the Association is the grievant – Communication with the Human Resources Department: Whenever the Association believes that there has been a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the Department, the Association shall inform the Human Resources Director in writing of the alleged violation, misinterpretation or misapplication. The Human Resources Director shall either promptly schedule a meeting with the designated Association representative to discuss the grievance or may respond in writing within thirty (30) calendar days. If a meeting is scheduled, the Human Resources Director shall present his/hertheir determination in writing within thirty (30) calendar days of the meeting. The response will be sent by e-mail to the designated Association representative.
2. Step 1 – If an employee is the grievant - Communication with department head or Designee: The employee must present, in writing, to the employee’s department head (or the department head’s designee if one is established) a document setting forth the alleged violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the
Department. The department head or designee shall either promptly schedule a meeting with the grievant (the employee (who may be represented if they wishes)) to discuss the grievance or may respond in writing within thirty (30) calendar days. If a meeting is scheduled, the department head or designee shall present his/hertheir determination in writing within thirty (30) calendar days of the meeting. The response will be sent by e-mail to the employee or designated the Association representative.
3. Step 2 –Advisory Arbitration: If the employee or the Association is not satisfied with the results of Step 1 the employee or the Association may move the grievance to advisory arbitration. To do so, the employee or the Association must present, in writing, to the Human Resources Director a document setting forth the alleged violation, misinterpretation or misapplication of the terms of this MOU rules and regulations, policies and/or any past practice of the City or the Department and requesting that the grievance be submitted to advisory arbitration. This document must be presented within ten (10) calendar days of the date the Step 1 response was e-mailed to the employee.
If the Human Resources Director or department head does not respond within the time limits for a response, the matter shall automatically be submitted to advisory arbitration or the Association representative or within ten (10) calendar days from the last date the response was due if no response is given.
4. Once moved to advisory arbitration, the Human Resources Director shall promptly send a letter to the grievant (either the employee or the Association) advising the grievant as to who the City’s representative will be. The grievant shall then contact the City’s representative for the purpose of determining whether the parties can agree on an arbitrator to hear the grievance. If the parties can agree, the representative for the City shall contact the agreed upon arbitrator to determine his/hertheir availability for the hearing. If the parties cannot reach agreement on an arbitrator, the Human Resources Director or designee will send a letter to the State Mediation and Conciliation Service requesting a list of seven (7) arbitrators.
Once the list is received, the representatives of the parties shall strike names until an arbitrator is chosen. The parties shall toss a coin to determine who shall strike the first name. Once the arbitrator is chosen, the parties will contact the arbitrator to schedule a hearing.
5. During the hearing, the formal rules of evidence do not apply. The cost of the arbitrator, a court reporter (if the parties agree on the use of a court reporter) shall be split between the City and the grievant. If the employee is pursuing a grievance without the support of the Association, the employee shall be responsible for one-half of the costs of the arbitration.
6. Once the arbitrator issues his/hertheir advisory recommendation, it will be submitted to the City Manager.
7. The arbitrator shall provide copies of his/hertheir recommendation to both parties’ representatives. Within ten (10) calendar days from the receipt of the advisory arbitration's recommendation, the Association (or the employee if proceeding on his/hertheir own) and the applicable department head may submit to the City Manager a brief statement, not exceeding three (3) double-spaced pages, stating whether they believe the advisory arbitrator's recommendation is correct or not and why. Within thirty (30) calendar days of receipt of the advisory arbitrator's recommendation, the City Manager shall issue a written decision and send such decision to the Human Resources Department. The Human Resources Department shall provide copies of the decision to the grievant and the applicable department head. If the City Manager fails to accept, reject or modify the arbitrator’s opinion and award within thirty-five (35) calendar days of receipt by the City Manager, it shall be considered accepted.
8. The City Manager may accept, reject or modify the advisory arbitrator's opinion or any part thereof. The City Manager's decision shall be final and binding. In reaching his/hertheir decision, the City Manager shall review the advisory arbitrator's recommendation, the brief statements (if any) on the advisory arbitrator's recommendation submitted by the parties to the City Manager, and the evidence, both documentary and testimonial, and arguments presented to the advisory arbitrator.
FOR THE CITY OF BEVERLY HILLS
George ChavezShelley Ovrom Date
Kirsten Rowe Date
Tatiana Szerwinski Date
Peter J. Brown Date
FOR THE BEVERLY HILLS POLICE MANAGEMENT ASSOCIATION
Elisabeth AlbaneseChris Coulter Date
Max Subin Date
_________________________ ___________________________
Andrew Myers Date
_________________________ ___________________________
Kevin Orth Date
_________________________ ___________________________
Elizabeth Silver Date
APPROVED AS TO FORM
_____________________________ ______________________________ Peter J. Brown Date
EXHIBIT A
SALARY SCHEDULES
Effective 05/21/2022
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $ 101.94 $ 8,155.39 $ 17,670.01 $ 212,040.07
L-57 2 $ 104.75 $ 8,379.66 $ 18,155.93 $ 217,871.18
L-57 3 $ 107.63 $ 8,610.10 $ 18,655.22 $ 223,862.65
L-57 4 $ 110.59 $ 8,846.88 $ 19,168.24 $ 230,018.85
L-57 5 $ 113.63 $ 9,090.17 $ 19,695.37 $ 236,344.38
L-57 6 $ 116.75 $ 9,340.15 $ 20,236.99 $ 242,843.85
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $ 100.50 $ 8,039.95 $ 17,419.89 $ 209,038.70
Q-62 2 $ 106.03 $ 8,482.15 $ 18,377.99 $ 220,535.83
Q-62 3 $ 111.86 $ 8,948.67 $ 19,388.78 $ 232,665.30
Q-62 4 $ 118.01 $ 9,440.84 $ 20,455.16 $ 245,461.89
Q-62 5 $ 124.50 $ 9,960.09 $ 21,580.19 $ 258,962.30
Q-62 6 $ 131.35 $ 10,507.89 $ 22,767.10 $ 273,205.20
EXHIBIT A
SALARY SCHEDULES
Effective 09/24/2022
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $ 105.00 $ 8,400.05 $ 18,200.11 $ 218,401.27
L-57 2 $ 107.89 $ 8,631.05 $ 18,700.61 $ 224,407.32
L-57 3 $ 110.86 $ 8,868.40 $ 19,214.88 $ 230,578.53
L-57 4 $ 113.90 $ 9,112.29 $ 19,743.29 $ 236,919.42
L-57 5 $ 117.04 $ 9,362.87 $ 20,286.23 $ 243,434.71
L-57 6 $ 120.25 $ 9,620.35 $ 20,844.10 $ 250,129.17
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $ 103.51 $ 8,281.15 $ 17,942.49 $ 215,309.86
Q-62 2 $ 109.21 $ 8,736.61 $ 18,929.33 $ 227,151.90
Q-62 3 $ 115.21 $ 9,217.13 $ 19,970.44 $ 239,645.26
Q-62 4 $ 121.55 $ 9,724.07 $ 21,068.81 $ 252,825.75
Q-62 5 $ 128.24 $ 10,258.89 $ 22,227.60 $ 266,731.17
Q-62 6 $ 135.29 $ 10,823.13 $ 23,450.11 $ 281,401.36
EXHIBIT A
SALARY SCHEDULES
Effective 06/01/2024
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $ 108.15 $ 8,652.05 $ 18,746.11 $ 224,953.31
L-57 2 $ 111.12 $ 8,889.98 $ 19,261.63 $ 231,139.54
L-57 3 $ 114.18 $ 9,134.46 $ 19,791.32 $ 237,495.89
L-57 4 $ 117.32 $ 9,385.65 $ 20,335.58 $ 244,027.00
L-57 5 $ 120.55 $ 9,643.76 $ 20,894.81 $ 250,737.75
L-57 6 $ 123.86 $ 9,908.96 $ 21,469.42 $ 257,633.05
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $ 106.62 $ 8,529.58 $ 18,480.76 $ 221,769.16
Q-62 2 $ 112.48 $ 8,998.71 $ 19,497.21 $ 233,966.46
Q-62 3 $ 118.67 $ 9,493.64 $ 20,569.55 $ 246,834.62
Q-62 4 $ 125.20 $ 10,015.79 $ 21,700.88 $ 260,410.52
Q-62 5 $ 132.08 $ 10,566.66 $ 22,894.43 $ 274,733.11
Q-62 6 $ 139.35 $ 11,147.82 $ 24,153.62 $ 289,843.40
EXHIBIT B
DEFINITIONS OF “NEW MEMBER” AND “CLASSIC MEMBER” PER THE PUBLIC EMPLOYEES’ PENSION REFORM ACT OF 2013 – PEPRA.
The parties acknowledge that the PEPRA controls over definitions such as “new member” and “classic member” and put their understanding of the definitions in their MOU for informational purposes so that employees understand their retirement benefits.
New Member
Government Code section 7522.04(f) defines “new member” as follows:
(f) "New member" means any of the following:
(1) An individual who becomes a member of any public retirement system for the first time on or after January 1, 2013, and who was not a member of any other public retirement system prior to that date.
(2) An individual who becomes a member of a public retirement system for the first time on or after January 1, 2013, and who was a member of another public retirement system prior to that date, but who was not subject to reciprocity under subdivision (c) of Section 7522.02.
(3) An individual who was an active member in a retirement system and who, after a break in service of more than six months, returned to active membership in that system with a new employer.
Classic Member
CalPERS refers to all members who do not fit the definition of new member as a classic member.
Attachment 2
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF BEVERLY HILLS
AND
BEVERLY HILLS
POLICE MANAGEMENT ASSOCIATION
July 1, 2025 – June 30, 2029
i
TABLE OF CONTENTS
Article Page
1. SALARIES............................................................................................................................ 3
2. OVERPAYMENT .................................................................................................................. 4
3. REQUIREMENT TO LIVE WITHIN 150 MILES OF POLICE HEADQUARTERS.............................. 4
4. APPOINTMENT AND ADVANCEMENT.................................................................................. 4 A. Placement and Movement on the Salary Schedule .............................................................. 4 B. Probationary Period .............................................................................................................. 5 C. Separation of Rank ................................................................................................................ 5 D. Special Merit Advancement.................................................................................................. 6 E. Filling Position out of Classification (F.P.O.C.) ...................................................................... 6
5. POLICE LIEUTENANT ASSIGNMENT PAY .............................................................................. 7
6. HEALTH BENEFITS............................................................................................................... 7 A. Cafeteria Plan and Benefits................................................................................................... 7 B. Flexible Spending Accounts................................................................................................... 9
7. RETIREE MEDICAL INSURANCE.......................................................................................... 10 A. Tier 1: Retirees Hired Prior to July 1, 2012.......................................................................... 10 B. Tier 2: Retirees Hired On or After July 1, 2012.................................................................... 10
8. LIFE INSURANCE ............................................................................................................... 10 A. City-Provided Life Insurance................................................................................................ 10 B. Supplemental Term Life Insurance ...................................................................................... 11
9. DEFERRED COMPENSATION.............................................................................................. 11 A. City Contribution to Deferred Compensation ..................................................................... 11 B. Employee Contribution to Deferred Compensation ........................................................... 12 C. Conversion of Sick Leave to Deferred Compensation ......................................................... 12
10. CALPERS RETIREMENT BENEFITS....................................................................................... 12 A. For “Classic Member” Employees....................................................................................... 12 B. For “New Members” As Defined By the Public Employees’ Pension Reform Act of 2013 (PEPRA)................................................................................................................................ 13 C. Additional Optional Benefits For All Employees ................................................................. 13
11. HOLIDAYS ........................................................................................................................ 14 A. Holiday Pay.......................................................................................................................... 14 B. Personal Holiday.................................................................................................................. 15
12. VACATION........................................................................................................................ 15 A. Authorization For Taking Vacation ...................................................................................... 15 B. Holidays During Vacations................................................................................................... 16 C. Vacation Accumulation........................................................................................................ 16 D. Vacation Cash-Out............................................................................................................... 16
13. SICK LEAVE....................................................................................................................... 17 A. Accrual................................................................................................................................. 17 B. Use of Sick Leave ................................................................................................................. 17 C. New Employment................................................................................................................ 17 ii
D. Sick Leave Incentive............................................................................................................. 18
14. BEREAVEMENT LEAVE....................................................................................................... 18
15. WITNESS LEAVE................................................................................................................ 18
16. LEAVE WITHOUT PAY........................................................................................................ 19
17. LEAVE PAYOFFS UPON SEPARATION FROM CITY SERVICE ................................................... 19 A. Sick Leave Pay-Off................................................................................................................ 19 B. Vacation Pay-Off.................................................................................................................. 20
18. PROFESSIONAL DEVELOPMENT PROGRAM ....................................................................... 20 A. Sabbatical Leave.................................................................................................................. 20 B. Management Training:........................................................................................................ 21
19. ADMINISTRATIVE LEAVE................................................................................................... 21
20. OVERTIME........................................................................................................................ 21 A. Accurately Reporting Time Worked .................................................................................... 22
21. WORK SCHEDULES ........................................................................................................... 22
22. UNIFORM ALLOWANCE .................................................................................................... 22
23. RESIGNATION................................................................................................................... 23
24. VEHICLES.......................................................................................................................... 23
25. DISCIPLINE ....................................................................................................................... 23 A. Disciplinary Procedure for Employees Subject to Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal................................................................................... 23 B. Administrative Appeal for Employees Subject to Discipline Other Than Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal......................................... 26
26. NON-DISCRIMINATION..................................................................................................... 29
27. SAVINGS CLAUSE.............................................................................................................. 29
28. MANAGEMENT RIGHTS .................................................................................................... 30
29. GRIEVANCE PROCEDURE................................................................................................... 30 A. Definition of a Grievance:.................................................................................................... 30 B. Timeliness of a Grievance: .................................................................................................. 30 C. Grievance Procedure:.......................................................................................................... 30 EXHIBIT A .............................................................................................................................. 34 SALARY SCHEDULES ............................................................................................................... 34 EXHIBIT B............................................................................................................................... 38 DEFINITIONS OF “NEW MEMBER” AND “CLASSIC MEMBER” PER THE PUBLIC EMPLOYEES’ PENSION REFORM ACT OF 2013 – PEPRA.......................................................................... 38 New Member ............................................................................................................................ 38 Classic Member......................................................................................................................... 38
BEVERLY HILLS POLICE MANAGEMENT ASSOCIATION
MEMORANDUM OF UNDERSTANDING
The Beverly Hills Police Management Association, a formally recognized employee organization, representing all Police Captains and Police Lieutenants (hereinafter “employees"), and duly authorized representative of the management of the City of Beverly Hills, (hereinafter "City") have met and conferred in good faith and have reached this Memorandum of Understanding (hereinafter “MOU”).
Now, therefore, the parties agree and mutually recommend to the City Council of the City of Beverly Hills (hereinafter "City Council") the following for its determination:
1. Integration: This document embodies a written memorandum of the entire understanding and mutual agreement of the parties as required by Government Code Section 3505.1 and supersedes all prior Memoranda of Understanding and verbal agreements between the parties hereto.
The City recognizes that certain past practices may be identified during the term of this MOU which should have been included in this document but, due to inadvertent omission, are not set forth herein. Mutual agreement between the parties shall be necessary to implement change to such past practices. All other practices, policies and procedures affecting wages, hours and working conditions may be changed only after a meet and confer process has been conducted between the parties. However, the parties agree neither party may compel the other party to negotiate regarding proposed changes to any matter within the lawful scope of bargaining (wages, hours and other terms and conditions of employment) during the term of this MOU. This is known as a “zipper clause.” The parties agree that during the term of this MOU, either side may request to reopen negotiations on the subject of modifications to performance evaluations.
2. Term: Unless otherwise specified herein, this MOU shall be effective beginning July 1, 2025 and shall expire June 30, 2029.
1. SALARIES
Effective the pay period including July 1, 2025, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2026, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2027, employees will receive a base salary increase of five percent (5.0%).
Effective the pay period including July 1, 2028, employees will receive a base salary increase of five percent (5.0%).
The salary schedules for the duration of the MOU are attached hereto as Exhibit “A”.
2. OVERPAYMENT
If an employee receives more compensation (whether in the form ofsalary, overtime or any other form of compensation contained in this MOU), than they are entitled to receive (i.e., is overpaid), the City will inform the employee. The City will work with the employee to reconcile the overpayment and if overpaid will work to try to create a repayment schedule.
If an employee is separating from the City and there is a mutual agreement between the City and employee that the employee has been overpaid, and the amount of the overpayment, the City shall recover the overpayment by reducing the value of the employee’s accrued leaves from which the employee would otherwise be entitled to receive a cash payment. If the value of such accrued leave does not cover the entire overpayment, the employee will still be required to reimburse the City for the remainder of the overpayment. If the value of accrued leaves (for which an employee is entitled to cash out) exceed the overpayment, the employee will still be cashed out for the remainder of their accrued leaves. If there is not an agreement that the employee has been overpaid and the amount of the overpayment, this paragraph shall not apply.
3. REQUIREMENT TO LIVE WITHIN 150 MILES OF POLICE HEADQUARTERS Employees’ primary home address must be within 150 miles of Police Headquarters (464 N.
Rexford Drive. Beverly Hills, California). The calculation of the 150 miles shall be made by using Google Maps driving directions.
Employees whose primary home address as of July 1, 2025 is more than 150 miles from Police Headquarters are grandfathered from this provision.
4. APPOINTMENT AND ADVANCEMENT
A. Placement and Movement on the Salary Schedule
All employees will have initial salary placement at and advance through the steps on the salary schedule (Attached hereto as Exhibit “A“). In no event will salary placement be outside a step on the established salary schedule.
Employees promoted to Lieutenant shall be placed at Step 3 on the Lieutenant salary range. Lieutenants shall advance to the next step unless they receive a timely performance evaluation (i.e., no later than one calendar week of the employee’s anniversary date) indicating that their performance does not merit an increase, in which case, the step advancement may be withheld or delayed. Such a performance evaluation may be in addition to the annual performance evaluation, otherwise due at the end of
each calendar year. The effective date of the step increase shall be the first day of the pay period following their anniversary date.
A Lieutenant promoted to Captain who is at the top step of the Lieutenant salary range, shall be placed at the top step of the Captain salary range. A Lieutenant who is not at the top step of the Lieutenant salary and who is promoted to Captain shall be placed on the step of the Captain salary range which is at least 5.5% higher than the step to which the employee is at on the Lieutenant salary range at the time of promotion. Captains shall advance to the next step unless they receive a timely performance evaluation (i.e., no later than one calendar week of the employee’s anniversary date) indicating that their performance does not merit an increase, in which case, the step advancement may be withheld or delayed. Such a performance evaluation may be in addition to the annual performance evaluation, otherwise due at the end of each calendar year. The effective date of the step increase shall be the first day of the pay period following their anniversary date.
B. Probationary Period
Every employee shall serve a probationary period of twelve (12) months. Benefits and leave rights shall be available to employees on probation as a result of accepting a promotion.
The City has the right to extend an employee’s probation as follows:
1. For the length of any leave of absence or time on modified duty while on probation in excess of one calendar week; and/or
2. At the discretion of the Chief of Police up to six months.
C. Separation of Rank
The parties agree that the top step of the Captain salary range shall be at least twelve percent (12%) higher than top step of the Lieutenant salary range.
The parties agree that the top step of the Lieutenant salary range, the monthly amount of deferred compensation paid to a Lieutenant, and the Police Lieutenant assignment pay in Article 4 of this MOU shall be at least 19% higher than the top step for Police Sergeant, the amount of deferred compensation paid to a Sergeant, the maximum education/POST pay paid to a Sergeant and the maximum assignment pay paid to a Sergeant (maximum of
8.25%). There will be a reopener to discuss this separation of rank if the POA negotiates for longevity pay during the term of the PMA MOU.
D. Special Merit Advancement
The City Manager may authorize the advancement of an employee to any step within the prescribed schedule earlier than they would normally be eligible. Special merit increases shall require a written recommendation of the Chief of Police or their designee, as submitted to the Human Resources Director. Such salary increases shall be effective on the first day of the pay period following the approval of the City Manager, unless a different effective date is specified by the City Manager. An employee will be eligible for their next scheduled increase one year after the date of the special merit advancement, and annually thereafter.
E. Filling Position out of Classification (F.P.O.C.)
Filling Position out of Classification (F.P.O.C.) is a temporary assignment to a higher classification for which an employee meets the minimum qualifications.
While filling a position out of classification, a Police Lieutenant’s base monthly salary shall be 5.5% above their present base monthly salary, provided that this additional amount shall not exceed the top step nor be lower than the first step of the Police Captain classification. For Police Captains filling a position out of classification as the Police Chief, their base monthly salary shall be 5.5% above their present base monthly salary, provided that this additional amount shall not exceed the maximum of the band nor be lower than the minimum of the band for Police Chief. F.P.O.C. assignments shall be recommended by the Chief of Police or their designee and approved by the Human Resources Director or designee.
To be eligible for F.P.O.C. pay, the employee has to meet the minimum qualifications for the higher classification and be capable of performing the essential functions of the higher classification.
Employees assigned to an F.P.O.C. assignment shall not acquire status or credit for service in the higher classification and may be returned to their regular classification at any time.
Use of F.P.O.C. When there is a Vacant Police Captain: If there is vacant position in the classification of Police Captain (i.e., a Police Captain has left the position, not that there is position temporarily available due to a Police Captain’s leave of absence), the Chief of Police shall establish an eligibility list (which must be certified by the Human Resources Department) as provided for in the Personnel Rules. Once the eligibility list is established, the Police Chief is permitted to select one or more Police Lieutenants on a rotating basis from the eligibility list to serve in that position in an F.P.O.C. capacity. As provided for by Government Code 20480, no one Police Lieutenant is permitted to serve in the F.P.O.C. assignment for a vacant position in excess of 960 hours. In addition, the F.P.O.C. assignments for all employees selected for a vacant Police Captain position shall not exceed 12 months.
For employees who served in an F.P.O.C. assignment as Police Captain, if they are promoted to Police Captain, the time served in the F.P.O.C. assignment shall count toward time served for passing probation as a Police Captain.
The parties agree that to the extent permitted by law, filling a position out of classification pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(3) as Temporary Upgrade Pay. This pay is only reportable to CalPERS as special compensation for those who qualify as classic members as described by the Public Employees’ Pension Reform Act of 2013 – PEPRA. This pay is not reportable as special compensation for employees defined as “new members” under PEPRA. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation.
5. POLICE LIEUTENANT ASSIGNMENT PAY
Police Lieutenants routinely and consistently assigned as a Detective Lieutenant in the Detective Bureau shall receive a monthly payment of $410.36. This pay shall not become effective until an official personnel action form authorizing the pay is approved by the Human Resources Director or designee.
The parties agree that to the extent permitted by law, Police Lieutenant Assignment Pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(4) and 571.1(b)(3) as Detective Division Premium. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation.
6. HEALTH BENEFITS
A. Cafeteria Plan and Benefits
New hires are eligible for Cafeteria Plan benefits and health insurance beginning on the first day of the month following their start date.
The following insurance benefits are provided through a cafeteria plan adopted in accordance with the provisions of Internal Revenue Code § 125: medical insurance, dental insurance, and optical insurance.
1. City Contribution to the Cafeteria Plan
The City will contribute to the cafeteria plan on behalf of each employee an amount (which includesthe PERS statutory minimum) determined annually by the method established herein. The total City contribution amount for each year will be determined by adding to the prior year’s contribution amount an amount equal to 80% of the net increase, if any, in the total cost of the monthly premiums for the following plans: (a) the employee plus family category of the PORAC medical insurance plan available through PERS, (b) the employee plus family category of the “Safety Standard” Guardian dental plan and (c) the employee plus family
category of the “Safety Standard” optical VSP plan. The cafeteria plan contribution is used to purchase the optional benefits of medical insurance, dental insurance and optical insurance. Should the total premium cost of these three benefits decrease from one year to the next, the contribution amount from the City will remain the same for the following year.
The City’s 2025 Cafeteria Plan contribution is $2,638.66. For 2026 2027, 2028 and 2029, assuming the cost of the plans increase, the City will increase its contribution by an amount equal to 80% of each year’sincrease. The same methodology will be used each year of the MOU to determine increases in the City’s contribution.
2. Medical Insurance
The City contracts with the California Public Employees’ Retirement System (“PERS”) for medical insurance. The City will contribute the PERS statutory minimum on behalf of each participant in the program, which is included in the City’s Contribution to the Cafeteria Plan described above. Eligible employees may select any of the medical insurance plans offered by CalPERS.
If at any time during the term of the MOU, the City is subject to penalties under the ACA, the parties agree to reopen negotiations on that provision of the cafeteria plan subjecting the City to such penalties for the limited purpose of making changes to ensure that such penalties are avoided, provided that no changes can be made without mutual agreement of the parties.
3. Dental Insurance
Employees may select a dental insurance plan available from the City’s provider, Guardian. The City reserves the right to change dental insurance providers if necessary. If it does, employees will be provided with similar benefits with the new provider and, if the amount of the new monthly premium for family coverage shall exceed that due under the former plan, the City’s monthly cafeteria plan contribution shall be increased by the amount of the premium increase.
Employees do not have to choose any dental insurance and need not provide proof of dental insurance from another source in order to make that choice.
4. Optical Insurance
Employees may select an optical insurance plan available from the City’s provider, Vision Service Plan (VSP). The City reserves the right to change optical insurance providers if necessary. If it does, employees will be provided with similar benefits with the new provider and, if the amount of the new monthly premium for family coverage shall exceed that due under the former plan, the City’s monthly cafeteria plan contribution shall be increased by the amount of the premium increase.
Employees do not have to choose any optical insurance and need not provide proof of optical insurance from another source in order to make that choice.
5. Employee Contributionsfor Benefit Options
If an employee chooses optional benefits whose aggregate cost exceeds the total City contribution to the Cafeteria Plan, the City will automatically deduct the excess amount on a pre-tax basis from the employee’s bi-weekly payroll.
6. The Receipt of Cash Through the Cafeteria Plan
Employees will be eligible to receive cash up to a maximum of $475 per month (subject to taxation as wages) through the cafeteria plan if they either opt out of receiving one of the optional benefits provided through the plan or if they choose optional benefits that do not cost as much as the maximum dollar amount they receive through the plan.
In order to opt out, an employee must sign an attestation that the employee and all individuals for whom the employee intends to claim a personal exemption deduction for the taxable year or years that begin or end in or with the City’s plan year to which the opt out applies (“tax family”), have or will have minimum essential coverage through another source (other than coverage in the individual market, whether or not obtained through Covered California) for the plan year to which the opt out arrangement applies (“opt out period”). An employee must provide the attestation every plan year at open enrollment or within 30 days after the start of the plan year. The opt-out payment cannot be made and the City will not in fact make payment if the employer knows that the employee or tax family member does not have such alternative coverage, or if the conditions in this paragraph are not otherwise satisfied.
B. Flexible Spending Accounts
Employees have the opportunity to participate in both a health care and dependent care flexible spending account (each an FSA) whereby employees will be able to defer up to the maximum permitted by law to pay for any eligible out of pocket expenses related to health care or dependent care on a pre-tax basis. The provisions of both of these FSA’s will be provided in a plan document. The plan document will be available to each eligible employee upon request. Before January 1 of every year, employees will be able to elect to have their compensation for the upcoming year deducted biweekly and contributed on a pre-tax basis to the FSA. During the year (and for a short grace period thereafter), an employee can receive reimbursements under the FSA for covered expenses incurred during the year, up to the amount of the employee’s elected contributions for the year.
The FSA deductions will be withheld from employees’ regular payroll. Any amount allocated but not used within the prescribed time limits shall be forfeited.
7. RETIREE MEDICAL INSURANCE
Each employee retiring from City service is eligible to continue coverage as a retiree through the group medical insurance plans offered through the California Public Employees’ Retirement System (“PERS”).
The City shall pay the PERS statutory minimum on behalf of each retiree.
A. Tier 1: Retirees Hired Prior to July 1, 2012
1. For employees(in the bargaining unit as of the date of approval of this MOU) hired prior to July 1, 2012 who retire from the City, the City shall pay the difference between the PERS statutory minimum and the actual cost of the medical insurance premium up to the two-party rate of the PERS PORAC Plan.
2. In the event of the death of an employee who retired from the City who was hired prior to July 1, 2012, the City shall continue to pay the actual cost of single party coverage for the spouse.
B. Tier 2: Retirees Hired On or After July 1, 2012
Police Management employees hired by the City on or after July 1, 2012 who retire from the City will receive the PERS statutory minimum which will be paid directly to PERS by the City should the retiree select a medical plan through PERS. In addition, for any employee hired into the unit as a new employee of the City on or after July 1, 2012, in lieu of additional retiree medical insurance benefits, the City shall, while the employee is working for the City, contribute the sum of $388.00 per month ($194.00 per pay period)) for twenty-four(24) pay periods – there will be no contribution in the third pay period of any month which hasthree pay periods) to a retirement health savings account on behalf of each employee. For employees who promote(d) into the unit on or after July 1, 2012 who were City employees as of June 30, 2012, they will receive retiree medical benefits in accordance with the benefits of this MOU as though they were a member of the bargaining unit prior to July 1, 2012.
8. LIFE INSURANCE
A. City-Provided Life Insurance
Employees shall be entitled to a one hundred thousand dollar ($100,000) term life insurance policy. The full premium for such policy shall be paid for by the City under the life insurance program of its choosing.
B. Supplemental Term Life Insurance
Employees may also purchase supplemental term life insurance, if available, with deductions from their bi-weekly compensation as designated by each employee.
Employees cannot allocate cash contributions made to the cafeteria plan to pay the premiums for this supplemental term life insurance. However, they may, on a post-tax basis, allocate any cash back they receive from the cafeteria plan for that purpose as a deduction from their paycheck.
9. DEFERRED COMPENSATION
A. City Contribution to Deferred Compensation
The City shall contribute three percent (3%) of step 6 for each classification (Police Lieutenant and Police Captain) plus $200.00 per month on behalf of each employee to the 457(b) deferred compensation account.
During the term of the MOU, the above amounts are as follows:
As addressed in paragraph B below, the parties acknowledge that there is a statutory maximum amount that may be contributed into an employee’s deferred compensation account. Given the above contributions from the City, employees are responsible for ensuring that any individual contributions employees elect to make to their own deferred compensation accounts do not cause the account to exceed the maximum permitted by law. If the maximum permitted by law is reached prior to the end of a calendar year, there will no additional City contributions for the remainder of that calendar year.
If due to the amount an employee has contributed to their 457(b) account, additional City contributions would exceed the maximum the City could contribute by law, any additional deferred compensation funds provided by the City for the rest of the year will be placed
in a 401(k) account that the employee will be prompted to open if they have not already done so.
B. Employee Contribution to Deferred Compensation
Employees may elect to contribute from their regular wages to deferred compensation accounts up to the IRS-established limits. In accordance with the tax laws, any cash that an employee may receive through the cafeteria plan may not be deferred to the employee’s deferred compensation accounts directly from the cafeteria plan.
C. Conversion of Sick Leave to Deferred Compensation
Employees may elect to convert accumulated sick leave to deferred compensation. The extra pay may only be used to fund IRS designated “catch-up” contributions (which may include the pre-retirement catch-up or age 50 catch-up) to deferred compensation. The following restrictions apply to this program:
1. The employee shall have a minimum of 15 years of service with the City of Beverly Hills.
2. The individual’s sick leave balance cannot be reduced below 500 hours.
3. Contribution amounts and deferral limits will be governed by IRS Code restrictions and the deferred compensation plan rules related to “catch-up” contributions.
4. An employee may only convert the amount of sick leave they would be eligible to receive (per Article 16) if they separated from service at the time of the sick leave conversion to deferred compensation.
10. CALPERS RETIREMENT BENEFITS
The City contracts with CalPERS for retirement benefits. The definitions of “new member” and “classic member” are set forth in Exhibit “B” to this MOU.
A. For “Classic Member” Employees
1. Retirement Formula: The City contracts with CalPERS to provide the 3% at 50 retirement formula for all employees hired before July 1, 2012 as set forth in California Government Code Section 21362.2. For employees hired after July 1, 2012 who are classic members, the City contracts with CalPERS to provide the 3% at 55 retirement formula as set forth in California Government Code Section 21363.1
2. Retirement Benefit Calculation Period: The City's contract with CalPERS provides for the "Single Highest Year" retirement benefit for which “classic member” employees hired prior to July 1, 2012 in the unit are included per Government Code
section 20042. For employees hired after July 1, 2012 who are classic members, final compensation will be based on the highest annual average compensation earnable during the three consecutive years of employment immediately preceding the effective date of their retirement or any other three consecutive year period chosen by the employee as set forth in Government Code section 20037.
3. Payment of Employee/Member Contribution: Classic members shall pay their entire Member Contribution equal to nine percent (9%) of compensation earnable and the City shall pay and report zero percent (0%) of compensation earnable as Employer Paid Member Contribution (EPMC). The City has adopted the CalPERS resolution in accordance with IRS Code section 414(h)(2) to ensure that the employee contribution is made on a pre-tax basis.
B. For “New Members” As Defined By the Public Employees’ Pension Reform Act of 2013 (PEPRA)
1. Retirement Formula: Unit members who are defined as “new members” under the PEPRA, are covered by the 2.7%@ 57 formula provided for by the Public Employees’ Retirement Law at Government Code section 7522.25(d).
2. Retirement Benefit Calculation Period: For unit members defined as “new members” under the PEPRA, each such employee’s final compensation will be based on the highest annual average compensation earnable during the three consecutive years of employment immediately preceding the effective date of their retirement or any other three consecutive year period chosen by the employee as set forth in Government Code section 7522.32(a).
3. Payment of Employee/Member Contribution: New member employees are responsible for paying the employee contribution of one-half of the normal cost of the plan, as defined by CalPERS, through a payroll deduction. This amount is currently determined by CalPERS and will continue to be determined by CalPERS in the future. The City has adopted the CalPERS resolution in accordance with IRS Code section 414(h)(2) to ensure that the employee contribution is made on a pretax basis.
C. Additional Optional Benefits For All Employees
1. 1959 Survivor's Benefit: The City’s contract with CalPERS provides Level 4 coverage under the 1959 Survivor's Benefit per Government Code section 21574.
2. Military Service Credit: The City’s contract with CalPERS provides the Military Service Credit option set forth in Government Code section 21024.
3. Pre-Retirement Death Benefits: The City’s contract with CalPERS provides the benefit known as the pre-retirement death benefits to continue after remarriage
of survivor as set forth in Government Code section 21551.
4. Cost of Living Allowance: The City’s contract with CalPERS provides the benefit known as the 2% Cost of Living Allowance Increase as set forth in Government Code section 21329.
5. Retired Death Benefit: The City’s contract with CalPERS provides the $500 Retired Death benefit as set forth in Government Code section 21620.
6. Prior Service: The City’s contract with CalPERS provides the prior service benefit as set forth in Government Code section 20055.
7. Post Retirement Survivor Allowance as set forth in Government Code section 21635, 21624/21626.
11. HOLIDAYS
A. Holiday Pay
An employee assigned to Patrol is required to work on holidays if their work schedule falls on one of the holidays provided below. This is because the employee works in a position that requiresscheduled staffing without regard to holidays. Such an employee willreceive holiday-in-lieu pay for the number of hours corresponding with their regular work schedule (e.g., an employee on a 4/10 work schedule will receive 10 hours of holiday-inlieu pay). An employee is not precluded from requesting to use earned leave time on a holiday that falls on a regularly scheduled workday and will still receive their holiday-inlieu pay for that holiday. If a holiday falls on one of their days off, they still receive their holiday-in-lieu pay for that holiday.
The parties agree that to the extent permitted by law, Holiday in Lieu Pay is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(5) and 571.1(b)(4) as Holiday Pay. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation.
Employees in an administrative assignment (non-patrol) shall receive time off with pay for any holiday which falls during their regular work schedule. If a holiday falls on one of their days off, they shall be paid for the holiday.
Employees who are assigned to work a 4/10 work schedule shall receive holiday pay for the following holidays if they were in paid status for the entire day the day before and the day after the holiday (i.e., either the employee worked or was absent using paid leave for the entire day on such workdays):
New Year's Day January 1
Martin Luther King Day Third Monday in January
President's Day Third Monday in February
Memorial Day Last Monday in May
Juneteenth June 19
Independence Day July 4
Labor Day First Monday in September
Veteran's Day November 11
Thanksgiving Day Fourth Thursday in November
Day after Thanksgiving Fourth Friday in November
Christmas Day December 25
An employee who is assigned to work a 3/12.5 work schedule shall receive holiday pay for the following holidays if they worked their regularly assigned work schedule or was absent on authorized paid leave the day before and the day after the holiday:
New Year's Day January 1
President's Day Third Monday in February
Memorial Day Last Monday in May
Juneteenth June 19
Independence Day July 4
Labor Day First Monday in September
Veteran's Day November 11
Thanksgiving Day Fourth Thursday in November
Day after Thanksgiving Fourth Friday in November
Christmas Day December 25
If an employee who works a 3/12.5 is assigned a 4/10 work schedule because they are working a modified duty assignment, they will be provided the day off for the holiday and paid ten (10) hours for the holiday.
B. Personal Holiday
Employees shall be entitled to one additional paid holiday each fiscal year. This holiday may be taken at the employee's discretion subject to their supervisor’s and the Chief of Police or designee’s approval. The employee shall request the holiday in writing. If an employee does not use their personal holiday earned within the fiscal year, they will not earn an additional personal holiday in the next fiscal year. Employees hired between April 1 and June 30 will not be credited with a personal holiday until the following fiscal year.
12. VACATION
A. Authorization For Taking Vacation
An employee entitled to vacation leave shall make a written request to use vacation in the manner and within the time directed by the Chief of Police or their designee. The Chief of Police or their designee shall establish a vacation schedule for each calendar year based as much as possible upon application and seniority of the employees concerned
and subject to the Chief of Police's right to plan work under their control. They shall notify an employee requesting vacation whether their request is approved within a reasonable time.
B. Holidays During Vacations
For employees not assigned to patrol, when a holiday falls within an employee's vacation leave, the day will count as a holiday not vacation, unless the employee elects to be compensated for the holiday in the form of a cash payment. An employee on vacation during a holiday may elect to be compensated for up to five (5) holidays per year by using vacation on the same day.
C. Vacation Accumulation
Vacation credit shall be accrued bi-weekly to employees at the following rates:
FIRST 4 YEARS
OF SERVICE
AFTER 4 YEARS
THROUGH 14 YEARS
OF SERVICE
AFTER 14 YEARS
OF SERVICE
3.07/Hours 5.54/Hours 7.39/Hours
Bi-weekly Bi-weekly Bi-weekly
80 Hours/year 144/Hours/year 192 Hours/year
Employees with fourteen years of service or less may not accumulate more than 432 hours of vacation and will not continue to accrue vacation until their balance falls below 432 hours
Employees with more than fourteen (14) years of service may not accumulate more than 480 hours of vacation at any time and will not continue to accrue vacation until their balance falls below 480 hours.
D. Vacation Cash-Out
By December 15 of each year, employees may make an irrevocable election to cash out up to eighty (80) hours of vacation leave which will be earned in the following payroll year (defined as the year that ends at the end of the last full pay period in December where the pay day is also in December), provided that at the time of the cash out, the employee has minimum of 240 hours of accrued vacation leave.
The employee will be paid for the vacation hours (up to a maximum of eighty (80) hours) they irrevocably elected to cash out on the first pay day in January.
If an employee makes an irrevocable election to cash out vacation in the following payroll
year and uses vacation in that subsequent year, the vacation used will come from vacation the employee had earned prior to January 1 of the year the employee has elected to cash out vacation. Thisisto ensure that assuming an employee had a vacation balance prior to January 1, the vacation used will not result in a reduction in the amount of vacation the employee will be eligible to cash out.
In addition to the above, an employee who has an “unforeseen emergency” (defined as an unanticipated emergency that is caused by an event beyond the control of the employee and that would result in severe financial hardship to the employee if early withdrawal were not permitted) shall be entitled to make a request to the Director of Human Resourcesfor a payoff of accrued vacation. The amount of vacation which may be paid off is limited to the amount necessary to meet the emergency. The maximum payoff the employee can receive for an emergency is limited to forty (40) hours. These forty (40) hours would be the same forty (40) hours the employee elected to cash out, not an additional forty (40) hours.
Payroll division records are the final authority for settling disputes regarding accrued and accumulated vacation.
13. SICK LEAVE
Except as is otherwise provided, employees shall accrue, use and be compensated for sick leave as follows:
A. Accrual
Each employee shall accrue sick leave at the rate of 3.69 hoursfor each complete biweekly period of employment. During years in which there are 27 pay dates, there will be no sick leave accrual during the 27th pay date. Payroll division records are the final authority for settling disputes regarding accrued and accumulated sick leave.
B. Use of Sick Leave
Accumulated sick leave may be used by an employee during any period of illness of the employee, spouse, child, or registered domestic partner if the illness requires the presence of the employee. In addition, an employee may use up to one half of one year’s annual accrued sick leave (48 hours per payroll year) for their sibling, parent-in-law, grandchild grandparent or designated person as defined by law.
C. New Employment
During the first six (6) months of employment, a new employee may use up to three (3) days of sick leave. After six (6) months, an employee may use any approved sick leave they has accrued.
D. Sick Leave Incentive
Employees who use twenty-five (25) hours or less of sick leave each payroll year may elect to receive cash payment for up to twenty-five (25) hours of the accumulated unused sick leave during the month of January of the following year. Accrued unused sick leave shall be cashed out at separation as provided for in paragraph 16A of this MOU.
If an employee wants to cash out sick leave (because they have used twenty-five (25) hours of sick leave or less), they must comply with the following: By December 15 of each year, employees may make an irrevocable election to cash out up twenty-five (25) hours ofsick leave which will be earned in the following payroll year. If the irrevocable election is not made, the employee will not have any of their sick leave cashed out in January of the year after it was accrued.
14. BEREAVEMENT LEAVE
Bereavement leave is an absence occasioned by the death of a family member, herein defined as a spouse, parent, brother, sister, child, step-child, grandparent, in-law (of any of the relationships identified) or registered domestic partner of the employee Up to a maximum of forty (40) hours of bereavement leave, per payroll year, (regardless of the number of family deaths) may be used in the event of the death of a family member. In the event an employee needs additional time off forthisleave, they may use up to 40 hours ofsick leave per payroll year.
Requestsfor bereavement leave shall be made in writing when feasible and shall be approved by the Chief of Police or designee.
In addition to the above (which allows an employee up to 40 hours of paid bereavement leave as well as the ability to use an additional 40 hours of sick leave for bereavement) there is a right to use additional bereavement leave under the law.
For employees who have been with the City for at least thirty (30) days) who have exhausted both their paid bereavement leave and the five additional days of sick leave which can be used for bereavement, they may use up to five (5) days of bereavement leave for each death of a family member as defined above. This leave under the law must be used within three (3) months from the date of death. Although this is not City-paid leave, employees may use any accrued and available leave that is otherwise available to the employee for this purpose.
15. WITNESS LEAVE
Any employee who is required to serve as a witness pursuant to a lawful subpoena in any judicial or quasi-judicial proceeding, except if the employee is a party to the proceeding and it is unrelated to their current or past public employment shall be allowed time off with pay (no need
to use accrued leaves) to serve as a witness.
If the employee attends any judicial or quasi-judicial proceeding to which they are a party that is unrelated to their current or past public employment, while the City will not provide paid time off to serve as a witness, the employee may use vacation for the time off to serve as a witness. If the employee attends any judicial or quasi-judicial proceeding to which they are a party that is related to their current or past public employment, they shall be allowed time off with pay (no need to use accrued leaves) to attend such proceeding.
All fees to which the employee is entitled by law for serving as a witness pursuant to a lawful subpoena in any judicial or quasi-judicial proceeding shall be paid (less transportation allowance, if any) to the City if the employee is being paid (i.e., not using accrued leave) by the City while attending such proceeding.
16. LEAVE WITHOUT PAY
Requests for leaves of absence without pay must be submitted through the chain of command and approved by the Chief of Police or designee and shall be used only if all appropriate accrued leaves (e.g., sick leave may not be exhausted if the leave is not for a medical purpose) have been exhausted. Employees on leave of absence without pay shall not accrue vacation, leave rights, nor shall the City pay for any fringe benefits, except as required by law (e.g., benefits that must continue per statutory leave like FMLA/CFRA or PDL). Decisions whether to grant such a leave will be made based on operational needs of the Department and any other factors set forth in City policy.
17. LEAVE PAYOFFS UPON SEPARATION FROM CITY SERVICE
A. Sick Leave Pay-Off
Employees who have worked for seven (7) or more continuous years of service with the City shall be eligible for sick leave payoff upon separation of employment with the City as follows:
1. After completion of seven (7) full years of service - 21% of accrued, unused sick leave.
2. For each year after the seventh year - 5% of accrued, unused sick leave per full year ofservice to a maximum of 79%. The maximum rate ofsick leave payoff when subparagraphs 1 and 2 are combined is 100%.
3. Sick leave pay off shall be calculated at the rate of pay received by the employee at the time of separation which shall be equal to the identical compensation the employee would have received had they used the sick leave to receive a paid leave of absence immediately prior to separation.
B. Vacation Pay-Off
Employees who separate from City service shall receive an amount equal to accrued unused vacation at the time of separation. The rate of payoff shall be based on the rate of pay at the time of separation.
An employee shall not have the option of utilizing accrued unused vacation, in lieu of receiving vacation pay-off at the time of separation which shall be equal to the identical compensation the employee would have received had he used the vacation to receive a paid leave of absence immediately prior to separation.
18. PROFESSIONAL DEVELOPMENT PROGRAM
A. Sabbatical Leave
1. A City-paid Professional Development leave of absence (sabbatical leave) program is available to employees. The granting of a sabbatical leave shall be at the sole discretion of the City Manager.
2. Approval of requests for sabbatical leave shall be based on the following criteria:
a. The content of the leave program with a requirement that the program be designed to professionally develop the employee in a manner potentially beneficial to their City employment.
b. A plan for maintaining work continuity of the employee's duties and responsibilities during their absence, with emphasis placed on development of subordinates through training assignments. c. The coordination with departmental priorities and workload. d. The employee's performance record.
3. A sabbatical leave may allow up to Five Hundred Dollars ($500) for expenses.
4. A sabbatical leave shall be restricted to one (1) leave, up to ninety (90) calendar days, for each employee each five (5) years, with not more than five (5) City employees participating in any one (1) year.
5. Each employee who requests a sabbatical leave shall submit to the City Manager a report summarizing the activities they intends to accomplish on the leave prior to final approval of the leave.
6. Typical Sabbatical leaves might include executive development programs, educational programs, travel study programs, or authorship sabbaticals.
B. Management Training:
Police Captains and Lieutenants shall maintain a 40-hour minimum annual level of training in Police Administration, Public Administration, Police Management, or a related field.
This training can include job related courses such as seminars or other approved training.
Prior approval shall be granted by the Chief of Police.
19. ADMINISTRATIVE LEAVE
Employees shall be provided with 96 hours of Administrative Leave each payroll year. This amount increases to 108 hours starting in calendar year 2026 and 120 hours starting in 2027.
Administrative Leave is provided in recognition of the work performed above normal work hours and the nature of the work performance and expectations placed upon employees in this unit.
Use of Administrative Leave shall be approved by the Chief of Police subject to the needs of the department and the necessity of having employees available for the effective functioning of the department. An employee promoted into a classification in this unit during the year shall receive a pro-rated amount (starting on the first day of the month after being hired or promoted and based on the number of pay periods/partial pay periods left in the payroll year) of administrative leave.
Administrative Leave is non-cumulative between calendar years because it does not accrue.
Employees shall be cashed out (up to forty (40) hours) of administrative leave still on the books at the end of each payroll year at their base rate of pay. The cash out will be paid in January.
20. OVERTIME
Unless otherwise determined by the City, employees assigned to the classifications of Police Captain and Police Lieutenant qualify as employees exempt from overtime under the FLSA.
Under extraordinary circumstances, Lieutenants whose assignments require frequent assignment to extra work shifts, in addition to the normal work schedule, may receive extra compensation in addition to their base salary. Eligibility and approval for such extra compensation will be determined at the sole discretion of the Chief of Police whose decision shall be final and shall not be subject to challenge, appeal or grievance. Extra compensation, as used in this Article, will be for hours actually worked during the extra work shifts and will be paid at their straight time base hourly rate.
Extraordinary circumstances will generally require the frequent scheduling of extra shifts over an extended period of time as a result of operational needs or as a result of an extended period of emergency. At their discretion, the Chief of Police may determine the appropriate staffing needs that constitute extraordinary circumstances necessitating additional shift coverage which may include scheduling of single shifts.
Police Captains and Police Lieutenants may be assigned to work Special Jobs (as defined in the
Beverly Hills Police Department Manual) in addition to their normal work schedule resulting in additional compensation in addition to their base salary. Eligibility and approval for such extra compensation will be determined in the sole discretion of the Chief of Police whose decision shall be final and shall not be subject to challenge, appeal or grievance. Extra compensation, as used in this article, will be for hours actually worked during the Special Job and will be paid at their straight time base hourly rate.
A. Accurately Reporting Time Worked
Employees are required to accurately report all time worked on their time sheets and submit all timesheets by the deadline established by the Payroll Division of the Finance Department.
Unit members shall record hours worked in one-tenth (1/10) of an hour increments of time. This is illustrated by the following:
0-3 Minutes – No additional time should be recorded
4-9 Minutes = .1 of an hour
10-15 Minutes = .2 of an hour
16-21 Minutes = .3 of an hour
22-27 Minutes = .4 of an hour
28-33 Minutes = .5 of an hour
34-39 Minutes = .6 of an hour
40-45 Minutes = .7 of an hour
46-51 Minutes = .8 of an hour
52-57 Minutes = .9 of an hour
58-60 Minutes = 1.0 full hour
The parties agree that if the City makes any timekeeping system upgrades during the term of this MOU, if there are any meet and confer/consult obligations (either impacts or any decisions which may require meet and confer) the Association and/or the City agree to promptly meet and confer/consult if requested by the other party.
21. WORK SCHEDULES
Employees in the bargaining unit work either a 4/10 or a 3/12.5 work schedule subject to the discretion of the Chief of Police. Should the Chief of Police exercise such discretion, there is no obligation for the city to meet and confer with the association.
22. UNIFORM ALLOWANCE
The City will pay a uniform allowance of $800.00 per payroll year to each employee. The uniform allowance is intended to compensate employees for the purchase and maintenance of required uniforms to perform their job. The uniform allowance shall be paid 1/26th of the annual amount each pay period. In payroll years in which there are 27 pay periods, employees shall not receive
the uniform allowance payment for the 27th pay period.
The parties agree that to the extent permitted by law, the uniform allowance is special compensation and shall be reported as such pursuant to Title 2, CCR 571(a)(5). The City will report as special compensation, the value of the uniforms for unit members who are classic members under the PEPRA. However, CalPERS ultimately determines whether any form of compensation qualifies as special compensation. As of the drafting of this MOU, “new members” as defined under the PEPRA, are not permitted to have the value of the uniforms reported as special compensation. If the City is permitted to do so in the future pursuant to a change in the law, it will do so.
23. RESIGNATION
To resign in good standing, an employee must inform the Chief of Police of their intentto resign at least two weeks before the resignation date and state therein the reason for resignation. An employee who resigns may be reemployed within one year if the request for reemployment is approved by the Chief of Police.
24. VEHICLES
The City will provide un-marked vehicles with communication and emergency equipment to the Police Captains and the Lieutenant(s) assigned to the following positions: Detective Division Commander, Executive Officer, and Crime Impact Team to fulfill their duties. Vehicles may be assigned to additional positions at the discretion of the Chief of Police.
The above noted employees will monitor the communication equipment whenever driving these vehicles and respond as appropriate to emergencies, or other matters requiring command level attention.
The City will provide fuel, maintenance and insurance for the vehicles assigned to these employees.
25. DISCIPLINE
A. Disciplinary Procedure for Employees Subject to Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal
1. Pre-Action Due Process for Disciplinary Transfer, Step Reduction, Suspension, Demotion and Dismissal
Prior to being subject to disciplinary transfer, step reduction, suspension, demotion or dismissal, an employee will first be served with a notice of intent to discipline. This document will set forth the grounds for discipline, the facts supporting the grounds and all evidence to which the employee is entitled by law.
The notice of intent to discipline will also advise the employee of any prior
discipline which the City representative issuing the notice believes is relevant to the current discipline. In addition, the notice of intent will advise the employee of their right to respond to the proposed discipline either in writing or orally at a meeting. If the employee does not respond within the time limits, the discipline will be imposed.
If the employee chooses to respond in writing, they must ensure their response is received by the representative who issued the notice of intent to discipline within seven (7) calendar days of receiving the notice of intent to discipline. If the employee wishes to respond orally, they must call or write the City representative who issued the notice of intent to discipline within seven (7) calendar days of receiving the notice of intent to discipline informing the representative that they wishes to have an oral response. The City representative will advise the employee when the oral response (in accordance with Skelly vs. the State Personnel Board) will take place.
At the Skelly response (assuming the employee wants to respond orally) the employee has the right to be represented per Government Code section 3303(i).
The Skelly response is an opportunity for the employee and/or their representative to respond to the notice of intent to discipline.
The City representative who will hear the response (Skelly Officer) may or may not be the person who issued the notice of intent to discipline. If the Skelly officer is not the person who recommended the discipline, they will be at or above the rank of the individual issuing the discipline. The Skelly Officer’s decision will either be to impose the proposed discipline, impose no discipline or to impose a lesser discipline. The City representative hearing the response does not have authority to impose discipline that is greater than that which was proposed.
If the discipline is imposed or if it is reduced but there is still discipline imposed which is covered by this procedure, the City representative shall issue a notice of discipline. Like the notice of intent, the notice of discipline shall set forth the grounds, and facts supporting the discipline as well as any prior discipline relied on by the City representative in imposing the discipline. The notice of discipline will also set forth the employee’s appeal rights advising the employee that if they wishes to appeal the discipline, they must do so in writing by serving a notice of appeal to the Human Resources Director within seven (7) calendar days.
The Notice of Discipline will set forth the effective date of the discipline.
2. Appeal Rights For Employees Subjected to Disciplinary Transfer, Step Reduction, Suspension, Demotion and Dismissal
The following setsforth the appeal rightsfor employeessubjected to a disciplinary transfer, step reduction, suspension, demotion and dismissal.
a. Hearing Officer Selection
i. The parties, through their respective representatives, shall mutually agree upon a hearing officer.
ii. In the event the parties are unable to agree on a hearing officer:
a. The City will request a list of seven (7) neutral hearing officers from the California State Mediation and
Conciliation Service ("SMCS"). The request will be sent by email and the employee’s representative will be cc’d on the request.
b. Once a list is received from the SMCS, the parties shall toss a coin to determine striking order, with the winnerselecting between the options of striking first or striking second. The partiesshall then alternately strike namesfrom the list until only one name remains. The remaining name shall be the
hearing officer unless the parties mutually agree to request a new list or mutually agree on a different hearing officer. b. Hearing Officer's Authority
i. The hearing officer shall have full authority to decide the appeal, including questions of fact and conclusions of law, but shall be bound by all applicable codes, rules, policies, procedures, and regulations. The hearing officer shall also be bound by the terms of this MOU.
ii. The hearing officer shall preside over a hearing at which evidence and arguments of the parties may be presented. Except as otherwise mutually agreed by the parties, the hearing officer shall determine the procedures to be followed for the hearing, with due regard for the rights of the parties.
iii. The hearing officer shall rule on all evidentiary matters and need not follow the strict rules of evidence.
iv. The burden is on the moving party to prove any charge by a preponderance of the evidence.
v. The hearing officer shall administer oaths, as authorized by law. vi. The hearing officer shall issue subpoenas and subpoenas duces
tecum to compel the attendance of witnesses and the production of evidence, as authorized by law.
vii. The hearing officer shall issue a written decision within 30 (thirty) calendar days of the close of the hearing. However, failure of the hearing officer to issue a timely decision shall not constitute grounds for challenging the decision as being beyond the hearing officer's authority.
c. Final Decision, Judicial Review
i. The written decision of the hearing officershall be the final decision within the City's administrative process.
ii. Either party may appeal the decision of the hearing officer to the Superior Court according to the procedures and subject to the standards provided in Code of Civil Procedure § 1094.5 by filing a writ of administrative mandamus.
d. Expenses
i. Each party shall bear its own costs and attorney fees in connection with processing of a covered appeal and the hearing.
ii. Both the City and the Association shall each pay one-half of the mutually incurred costs of the hearing. The mutually incurred costs of the hearing will be limited to the reasonable fee and expenses of the hearing officer and court reporter. Except as otherwise mutually agreed, the City will provide a meeting room at Beverly Hills City Hall, or another City facility, suitable for conducting the hearing.
B. Administrative Appeal for Employees Subject to Discipline Other Than Disciplinary Transfer, Step Reduction, Suspension, Demotion, or Dismissal The following administrative appeal process is established pursuant to Government Code § 3304.5. This procedure shall not apply to disciplinary actions for which employees already are entitled to receive an appeal hearing for disciplinary transfer, step reduction, suspension, demotion and dismissal (outlined in Section “A” above).
1. Right to Administrative Appeal Under this Procedure
a. Any employee who is subjected to punitive action (within the meaning of Government Code § 3303) other than dismissal, demotion, step reduction, suspension or disciplinary transfer; shall be entitled to receive an
administrative appeal under this procedure. The employee shall not be entitled to appeal the action prior to its imposition, i.e., an employee shall not be entitled to receive a hearing akin to a Skelly hearing or other predisciplinary appeal hearing prior to imposition of the punitive action.
2. Notice of Appeal
a. Within five (5) calendar days of receipt by an employee of notification of punitive action as set forth above, the employee shall notify the Human Resources Director in writing of their intent to appeal the punitive action. b. The notice of appeal shall specify the action being appealed and the substantive and procedural grounds for the appeal.
3. Hearing Officer
a. The City Managershall have twenty-one (21) calendar daysfrom receipt of the notice of appeal to designate themselves as the hearing officer or appoint a neutral hearing officer who is not embroiled in the controversy, i.e., a person who did not initiate or authorize the action in question. b. If a hearing officer is appointed by the City Manager, the hearing officer shall serve in an advisory capacity and shall be responsible for making recommended findings of fact and issuing an advisory decision to the City Manager. The City Manager may adopt, modify, or reject the hearing officer’s recommendations and advisory decision and the City Manager’s decision shall be final and binding.
4. Burden of Proof/Persuasion
a. If the punitive action being appealed does not involve allegations of misconduct (i.e., allegations that the Police Management employee has violated one or more federal, state, or local laws, and/or City or Police Department regulations, procedures, or rules) the limited purpose of the hearing shall be to provide the employee the opportunity to establish a record of the circumstances surrounding the action. The City’s burden shall be satisfied if the City establishes that the action was reasonable, even though reasonable persons might disagree about whether the action was the best one under the circumstances.
For example, if the Police Department effected a non-disciplinary transfer of an employee out of an assignment with the intent of affording other employees the opportunity to work in the assignment, the decision would not be subject to being overturned as long as it was reasonable, even if one or more persons might disagree with the decision.
b. If the punitive action involves charges of misconduct, (i.e., allegations that the employee has violated one or more laws, regulations, procedures, or rules), the City shall have the burden of proving by a preponderance of the evidence the facts which form the basis for the charge of misconduct and the burden of persuasion that the punitive action was reasonable under the circumstances.
For example, if an employee received a written reprimand for unauthorized absence from work then the City would bear the burden of proving that the employee was absent from work without authorization and that a written reprimand was reasonable under the circumstances.
5. Conduct of Hearing
a. The formal rules of evidence do not apply, although the hearing officer shall have discretion to exclude evidence which is incompetent, irrelevant or cumulative.
b. The parties may present opening statements.
c. The parties may present evidence through documents and testimony. i. Witnesses shall testify under oath.
ii. The hearing officer shall issue subpoenas for documents or testimony upon reasonable request of the parties.
d. The parties shall be entitled to confront and cross-examine witnesses. e. Following the presentation of evidence, if any, the parties may submit oral and/or written closing argument for consideration by the hearing officer.
6. Recording of the Hearing
If the punitive action involves an allegation of misconduct, then the hearing shall be stenographically recorded by a certified court reporter. Otherwise, the hearing may be tape recorded. The per diem cost of the court reporter shall be equally borne by the parties. The cost to receive a transcript of the hearing shall be borne by the party requesting the transcript.
7. Representation
The employee may be represented by an association representative or attorney of their choice at all stages of the proceedings. All costs associated with such
representation shall be borne by the employee.
The City shall also be entitled to representation at all stages of the proceedings.
8. Decision
a. If a hearing officer is appointed by the City Manager, the hearing officer shall issue their advisory decision in writing within sixty (60) calendar days of the submission of the case by the parties for decision. The written decision shall set forth proposed findings of fact and a proposed decision. b. Within ten (10) calendar days of receipt of the advisory decision, the City Manager shall serve the parties with written notice of their decision adopting, modifying, or rejecting the hearing officer’s recommendations and advisory decision. If the City Manager modifies or rejects the hearing officer’s advisory decision, then the City Manager shall review the entire record prior to making a decision.
c. If the City Manageristhe hearing officerthey will issue their decision within sixty (60) calendar days of the submission of the case by the parties for decision. The City Manager’s written decision shall set forth their findings of fact and final decision.
d. The City Manager’s decision shall be served by first class mail, postage prepaid, upon the Police Management employee as well as their attorney or representative, shall be accompanied by an affidavit or certificate of mailing, and shall advise the employee that the time within which judicial review of the decision may be sought is governed by Code of Civil Procedure § 1094.6.
26. NON-DISCRIMINATION
The parties mutually reaffirm their respective policies of non-discrimination in the treatment of any employee because of race, religion, sexual orientation, medical condition, gender, gender identity, gender expression, color, sex, age, disability, national origin, ancestry, or any other protected classification recognized by the law.
27. SAVINGS CLAUSE
If any benefit or provision of this MOU is deemed by a court of competent jurisdiction to be illegal or otherwise unenforceable, the remaining benefits or provisions of this MOU shall remain in full force and effect. In the event of such invalidation, the City and the Association shall meet and confer in good faith concerning such invalidation including whether a replacement benefit or provision is necessary and appropriate.
28. MANAGEMENT RIGHTS
The management and the direction of the work force of the City are vested exclusively in the City, and nothing in the MOU is intended to circumscribe or modify the existing rights of the City including but not limited to the direction of the work of its employees; the right to hire, promote, demote, transfer, assign, schedule and retain employees in positions within the City; subject to the rules and regulations of the City; suspend or discharge employees for just and proper cause; to maintain and improve the efficiency of governmental operations; to relieve employees from duties because of lack of work or funds; to take action as may be necessary to carry out the City's mission and services in emergencies; to determine the methods, means and appropriate job classifications, organizational structure and personnel by which the operations are to be carried out; and to establish reasonable performance standards for personnel, including but not limited to qualifications and quantity standards. In addition to the foregoing, the parties agree that the City may demand to meet and confer over the subject of furloughs.
29. GRIEVANCE PROCEDURE
The City and the Association recognize that disputes related to this MOU will occur from time to time. It is both parties’ intent and desire that any such disputes be resolved quickly and amicably.
However, the parties recognize that occasionally disputes will need to be resolved by a neutral.
It isforthat reason thatthe parties agree to the following provisions of their grievance procedure.
A. Definition of a Grievance:
An allegation by an employee or the Association that there has been a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice(s) of the City and/or Department. This grievance procedure is the sole and exclusive method for either an employee or the Association to allege a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the Department B. Timeliness of a Grievance:
A grievance must be filed within 30 days of the occurrence giving rise to the grievance or the time within which the grievant (either the employee or Association) knew or should have known of the occurrence.
C. Grievance Procedure:
The parties acknowledge that a grievance procedure is beneficial to resolve MOU disputes.
1. Step 1 – If the Association is the grievant – Communication with the Human
Resources Department: Whenever the Association believes that there has been a violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the Department, the Association shall inform the Human Resources Director in writing of the alleged violation, misinterpretation or misapplication. The Human Resources Director shall either promptly schedule a meeting with the designated Association representative to discuss the grievance or may respond in writing within thirty (30) calendar days. If a meeting is scheduled, the Human Resources Director shall present their determination in writing within thirty (30) calendar days of the meeting. The response will be sent by e-mail to the designated Association representative.
2. Step 1 – If an employee is the grievant - Communication with department head or Designee: The employee must present, in writing, to the employee’s department head (or the department head’s designee if one is established) a documentsetting forth the alleged violation, misinterpretation or misapplication of the terms of this MOU, rules and regulations, policies and/or any past practice of the City or the Department. The department head or designee shall either promptly schedule a meeting with the grievant (the employee (who may be represented if they wish)) to discuss the grievance or may respond in writing within thirty (30) calendar days.
If a meeting is scheduled, the department head or designee shall present their determination in writing within thirty (30) calendar days of the meeting. The response will be sent by e-mail to the employee or designated Association representative.
3. Step 2 –Advisory Arbitration: If the employee or the Association is not satisfied with the results of Step 1 the employee orthe Association may move the grievance to advisory arbitration. To do so, the employee or the Association must present, in writing, to the Human Resources Director a document setting forth the alleged violation, misinterpretation or misapplication of the terms of this MOU rules and regulations, policies and/or any past practice of the City or the Department and requesting that the grievance be submitted to advisory arbitration. This document must be presented within ten (10) calendar days of the date the Step 1 response was e-mailed to the employee.
If the Human Resources Director or department head does not respond within the time limitsfor a response, the matter shall automatically be submitted to advisory arbitration or the Association representative or within ten (10) calendar days from the last date the response was due if no response is given.
4. Once moved to advisory arbitration, the Human Resources Director shall promptly send a letter to the grievant (either the employee or the Association) advising the grievant as to who the City’s representative will be. The grievant shall then contact the City’s representative for the purpose of determining whether the parties can agree on an arbitrator to hear the grievance. If the parties can agree, the
representative for the City shall contact the agreed upon arbitrator to determine their availability for the hearing. If the parties cannot reach agreement on an arbitrator, the Human Resources Director or designee will send a letter to the State Mediation and Conciliation Service requesting a list of seven (7) arbitrators.
Once the list is received, the representatives of the parties shall strike names until an arbitrator is chosen. The parties shall toss a coin to determine who shall strike the first name. Once the arbitrator is chosen, the parties will contact the arbitrator to schedule a hearing.
5. During the hearing, the formal rules of evidence do not apply. The cost of the arbitrator, a court reporter (if the parties agree on the use of a court reporter) shall be split between the City and the grievant. If the employee is pursuing a grievance without the support of the Association, the employee shall be responsible for one-half of the costs of the arbitration.
6. Once the arbitrator issues their advisory recommendation, it will be submitted to the City Manager.
7. The arbitrator shall provide copies of their recommendation to both parties’ representatives. Within ten (10) calendar days from the receipt of the advisory arbitration's recommendation, the Association (or the employee if proceeding on their own) and the applicable department head may submit to the City Manager a brief statement, not exceeding three (3) double-spaced pages, stating whether they believe the advisory arbitrator's recommendation is correct or not and why.
Within thirty (30) calendar days of receipt of the advisory arbitrator's recommendation, the City Manager shall issue a written decision and send such decision to the Human Resources Department. The Human Resources Department shall provide copies of the decision to the grievant and the applicable department head. If the City Manager fails to accept, reject or modify the arbitrator’s opinion and award within thirty-five (35) calendar days of receipt by the City Manager, it shall be considered accepted.
8. The City Manager may accept, reject or modify the advisory arbitrator's opinion or any part thereof. The City Manager's decision shall be final and binding. In reaching their decision, the City Manager shall review the advisory arbitrator's recommendation, the brief statements (if any) on the advisory arbitrator's recommendation submitted by the partiesto the City Manager, and the evidence, both documentary and testimonial, and arguments presented to the advisory arbitrator.
FOR THE CITY OF BEVERLY HILLS
Shelley Ovrom Date
Kirsten Rowe Date
Tatiana Szerwinski Date
Peter J. Brown Date
FOR THE BEVERLY HILLS POLICE MANAGEMENT ASSOCIATION
Chris Coulter Date
Max Subin Date
_________________________ ___________________________
Andrew Myers Date
_________________________ ___________________________
Kevin Orth Date
_________________________ ___________________________
Elizabeth Silver Date
EXHIBIT A
SALARY SCHEDULES
Effective 06/28/2025
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $113.56 $9,084.65 $19,683.42 $236,200.98
L-57 2 $116.68 $9,334.48 $20,224.71 $242,696.52
L-57 3 $119.89 $9,591.18 $20,780.89 $249,370.68
L-57 4 $123.19 $9,854.94 $21,352.36 $256,228.35
L-57 5 $126.57 $10,125.95 $21,939.55 $263,274.64
L-57 6 $130.06 $10,404.41 $22,542.89 $270,514.70
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $111.95 $8,956.06 $19,404.80 $232,857.62
Q-62 2 $118.11 $9,448.65 $20,472.07 $245,664.78
Q-62 3 $124.60 $9,968.32 $21,598.03 $259,176.35
Q-62 4 $131.46 $10,516.58 $22,785.92 $273,431.05
Q-62 5 $138.69 $11,094.99 $24,039.15 $288,469.77
Q-62 6 $146.32 $11,705.21 $25,361.30 $304,335.57
Effective 06/27/2026
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $119.24 $9,538.89 $20,667.59 $248,011.03
L-57 2 $122.52 $9,801.21 $21,235.95 $254,831.35
L-57 3 $125.88 $10,070.74 $21,819.93 $261,839.21
L-57 4 $129.35 $10,347.68 $22,419.98 $269,039.77
L-57 5 $132.90 $10,632.25 $23,036.53 $276,438.37
L-57 6 $136.56 $10,924.63 $23,670.04 $284,040.44
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $117.55 $9,403.87 $20,375.04 $244,500.50
Q-62 2 $124.01 $9,921.08 $21,495.67 $257,948.02
Q-62 3 $130.83 $10,466.74 $22,677.93 $272,135.17
Q-62 4 $138.03 $11,042.41 $23,925.22 $287,102.60
Q-62 5 $145.62 $11,649.74 $25,241.11 $302,893.26
Q-62 6 $153.63 $12,290.47 $26,629.36 $319,552.35
Effective 06/26/2027
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $125.20 $10,015.83 $21,700.97 $260,411.58
L-57 2 $128.64 $10,291.27 $22,297.74 $267,572.92
L-57 3 $132.18 $10,574.28 $22,910.93 $274,931.17
L-57 4 $135.81 $10,865.07 $23,540.98 $282,491.76
L-57 5 $139.55 $11,163.86 $24,188.36 $290,260.29
L-57 6 $143.39 $11,470.86 $24,853.54 $298,242.46
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $123.43 $9,874.06 $21,393.79 $256,725.53
Q-62 2 $130.21 $10,417.13 $22,570.45 $270,845.42
Q-62 3 $137.38 $10,990.07 $23,811.83 $285,741.93
Q-62 4 $144.93 $11,594.53 $25,121.48 $301,457.73
Q-62 5 $152.90 $12,232.23 $26,503.16 $318,037.92
Q-62 6 $161.31 $12,905.00 $27,960.83 $335,529.97
Effective 06/24/2028
POLICE LIEUTENANT SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
L-57 1 $131.46 $10,516.62 $22,786.01 $273,432.16
L-57 2 $135.07 $10,805.83 $23,412.63 $280,951.57
L-57 3 $138.79 $11,102.99 $24,056.48 $288,677.73
L-57 4 $142.60 $11,408.32 $24,718.03 $296,616.35
L-57 5 $146.53 $11,722.05 $25,397.78 $304,773.30
L-57 6 $150.56 $12,044.41 $26,096.22 $313,154.58
POLICE CAPTAIN SALARY RATES
GRADE STEP
HOURLY
RATE
BIWEEKLY
SALARY
MONTHLY
SALARY
ANNUAL
SALARY
Q-62 1 $129.60 $10,367.76 $22,463.48 $269,561.81
Q-62 2 $136.72 $10,937.99 $23,698.97 $284,387.69
Q-62 3 $144.24 $11,539.58 $25,002.42 $300,029.03
Q-62 4 $152.18 $12,174.25 $26,377.55 $316,530.62
Q-62 5 $160.55 $12,843.84 $27,828.32 $333,939.82
Q-62 6 $169.38 $13,550.25 $29,358.87 $352,306.47
EXHIBIT B
DEFINITIONS OF “NEW MEMBER” AND “CLASSIC MEMBER” PER THE PUBLIC EMPLOYEES’ PENSION REFORM ACT OF 2013 – PEPRA.
The parties acknowledge that the PEPRA controls over definitions such as “new member” and “classic member” and put their understanding of the definitions in their MOU for informational purposes so that employees understand their retirement benefits.
New Member
Government Code section 7522.04(f) defines “new member” as follows:
(f) "New member" means any of the following:
(1) An individual who becomes a member of any public retirement system for the first time on or after January 1, 2013, and who was not a member of any other public retirement system prior to that date.
(2) An individual who becomes a member of a public retirement system for the first time on or after January 1, 2013, and who was a member of another public retirement system prior to that date, but who was not subject to reciprocity under subdivision (c) of Section 7522.02.
(3) An individual who was an active member in a retirement system and who, after a break in service of more than six months, returned to active membership in that system with a new employer.
Classic Member
CalPERS refersto all members who do not fit the definition of new member as a classic member.
Attachment 3
www.mgocpa.com
1 Macias Gini & O’Connell LLP
700 South Flower Street Suite 800
Los Angeles, CA 900017
July 7, 2025
Mr. Jeff S. Muir, Director of Finance
City of Beverly Hills
455 North Rexford Drive
Beverly Hills, CA 90210
Dear Mr. Muir:
We have performed the procedures described below solely to assist in verifying the mathematical accuracy of the calculations performed by the Finance Department of the City of Beverly Hills (City) with regards to the Memorandum of Understanding (MOU) between the City of Beverly Hills and Beverly Hills Police Management Association for July 1, 2025 through June 30, 2029. Our analysis was based on a review of a tentative agreement dated June 17, 2025.
We received the workbook for the final labor proposals PMA, which contained the final costing numbers for the bargaining group’s MOU for July 1, 2025 through June 30, 2029. We traced the terms of the MOU to the costing workbook. We footed, cross-footed, and recalculated the computations in the workbook. No exceptions were identified as a result of these procedures.
This engagement was conducted in accordance with the Statements on Standard for Consulting Services issued by the American Institute of Certified Public Accountants (AICPA). We were not engaged to, and did not conduct an audit or examination, the objective of which would be the expression of an opinion.
Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. Furthermore, this includes any opinion or representation related to the accuracy or completeness of the information provided by management. The sufficiency of these procedures is solely the responsibility of the City. The City provided the workbook and MOU, we are not responsible for the accuracy of those documents. We make no representation regarding the sufficiency of the procedures described above either for the purpose for which this report has been requested or for any other purpose.
We make no representation regarding the sufficient use of the procedures performed to disclose all significant matters or reveal errors in the underlying information, instances of fraud, or illegal acts, if any.
We have no obligation to update our report or revise the information contained herein to reflect events and transactions occurring subsequent to the date of this report. This report is intended solely for the City’s management and is not intended to be, and should not be, used by anyone other than these specified parties.
Los Angeles, California