City Council Agenda Report Meeting Date: October 6, 2026 TO: City Council
FROM: Barbara Martin, Administrative Services Director
RE: Final Memorandum of Understanding between the City of Chico and the Chico Police Management Employees (CPM)
REPORT IN BRIEF:
Following completion of the required “Sunshine and Transparency” period, staff presents the final Memorandum of Understanding (MOU) between the City of Chico and the Chico Police Management employees (CPM) for City Council consideration and adoption. The proposed MOU reflects the results of collaborative negotiations and establishes terms and conditions of employment for the CPOA bargaining unit for a four-year term.
RECOMMENDATION:
The Administrative Services Director recommends adoption of the following Resolution:
RESOLUTION OF THE COUNCIL OF THE CITY OF CHICO APPROVING “MEMORANDUM OF
UNDERSTANDING BETWEEN THE CITY OF CHICO AND CHICO POLICE MANAGEMENT EMPLOYEES (CPM) REGARDING PAY, HOURS, AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT FOR JULY 1, 2026 THROUGH JUNE 30, 2030 (2026 MOU - CPM)”
FISCAL IMPACT: Budgeted: Yes Supplemental Required: No
The proposed amendments to the provisions of the MOU are estimated to cost $820,000 over the four-year term of the agreement.
DISCUSSION:
The prior MOU between the City and CPM expired on June 30, 2026. The City and CPM representatives engaged in negotiations and reached an agreement on a successor MOU. The draft MOU was presented to the City Council on September 15, 2026, initiating the required public preview period. No changes have been made to the agreement since the sunshining period except for updated language regarding Union membership in Section II – Special Provisions to align with current standards. The proposed MOU reflects a collaborative and productive negotiation process. Key provisions of the draft agreement include:
1. SECTION 1.3 TERM (AMENDED)
2. SECTION II SPECIAL PROVISIONS (AMENDED AND SIDE LETTER INCORPORATED)
3. SECTION 3.2 PAY ESTABLISHED (AMENDED)
4. SECTION 3.4 PAY INCREASES (AMENDED)
5. SECTION 3.5 ESTABLISHMENT OF POLICE CAPTAIN AND POLICE LIEUTENANT PAY RANGES (AMENDED)
6. SECTION 3.8 ASSIGNED EXTENDED COVERAGE AND SHIFT STIPEND (SIDE LETTER
INCORPORATED)
7. SECTION 4.1 HOLIDAYS (AMENDED)
8. SECTION 4.2 INSURANCES (SIDE LETTER INCORPORATED)
9. SECTION 4.8 VARIOUS BENEFITS (SIDE LETTER INCORPORATED) The MOU between the City and CPM supports the City’s goals of maintaining competitive compensation, supporting employee retention, and ensuring fiscal responsibility.
ATTACHMENTS:
ATTACHMENT A – Resolution
2026 MOU - CPM