Cities Index.
Agenda packet

East Palo Alto City Council
October 3, 2023

Document
Agenda packet
Meeting
October 3, 2023
Body
East Palo Alto City Council
Pages
13
Original file
12.8 MB
Text extracted from the city's file for reading and search. Open the original on d3n9y02raazwpg.cloudfront.net. That file is the official record.

5. Class 3 eBikes are more powerful machines and have specific laws regarding usage. Only 50% of the respondents were enforcing the Class 3 eBike laws.

6. Complaints and incidents regarding bicycles (from riders or others) come mostly through police reports, but also from input to City Halls, Redwood City’s “app”, city planning, parks and recreation.

7. 1/3 respondents said there has been an increase in complaints regarding bicycles in the last three years (speeding, underage use, reckless behavior, vehicular code).

8. 2/3 of respondents said there had not been an increase in complaints regarding eBikes and 25% said they didn’t know.

9. Civilian bicycle complaints are generally not available to the public (over 50% of respondents).

10. 44% of respondents said they don’t provide bicycle safety education.

11. Enforcement of bicycle-related law is done where appropriate, with discretionary authority. Effort is made to educate at the time of the infraction. Additional enforcement is budget driven.

12. Future planning for the regulation of bicycles and eBikes varies greatly in the responses (see Question II-16 in Appendix A).

List of responses to questions (on the next page):
343
2022-2023 San Mateo County Civil Grand Jury 31
Number of bicycle accidents in 2022? 212
Number of bicycle accidents in 2020 to the end of 2021? 307 344
2022-2023 San Mateo County Civil Grand Jury 32
How many Bicycle citations were issued in the last year? 361 How many eBike Citations were issued in the last year? 0 [Comments: this information is not tracked]
345
2022-2023 San Mateo County Civil Grand Jury 33
If you are enforcing bicycle/eBike law, how is it accomplished? ● Nothing too specific. Enforcement during routine patrol if violations are witnessed. The PD has done a few details and targeted patrols in our downtown area specifically looking for bicycle violations (riding on sidewalks, helmet violations, reckless behavior, etc.). ● The Police Department enforces all laws as appropriate and with necessary and legal discretionary authority.
● Education and Enforcement
● All officers are trained to enforce Vehicle Code and Municipal Code law on bicycles and eBikes.
● On view and by complaint.
● On view and calls for service which result in Education or Enforcement. ● Traffic enforcement resulting in citations and/or verbal warnings/ education to the public. ● Through proactive patrols, directed enforcement and calls for service. ● Most bicycle stops are made for violations occurring on roadways, not on trails or sidewalks. Most bike stops result in education and not citations as evidenced by our low citation numbers.
● Primarily through education and warnings.
● We have not enforced the Bicycle/eBike law because we have not received any comments to date that have triggered the Police Department to enforce. 346
2022-2023 San Mateo County Civil Grand Jury 34
● By Sheriff patrol.
● We can’t enforce much because of limitations in light of funding and staffing needs 347
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348
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Does your city/town have any future plans regarding the regulation of bicycles and eBikes? ● Not at this time.
● Yes. Additional and improved bike lanes.
● Policies in the newly adopted General Plan supporting alternative modes of transportation, including bikes.
● Awaiting the results of the County-wide eBike pilot to determine best practices to implement.
● Not at this time.
● Not at this time. There have not been complaints/concerns regarding eBikes. ● Not at this time.
● Not that I am aware of.
● No, unless we start receiving complaints.
● Yes, The City of South San Francisco's Bicycle and Pedestrian Master Plan. ● No
● As the Town begins to understand various micro-mobility issues going forward, eBikes being part of that growth pattern, we will plan to prepare plans and outreach material to help educate the bike populations on eBike protocols and safety. ● With the growing development, more bike facilities are being provided for the general public. Public outreach and programs to help educate both current/new users are currently 349
2022-2023 San Mateo County Civil Grand Jury 37
being implemented citywide. Buildout of Bike & Pedestrian master plan is underway.

Alameda de Las Pulgas and Ralston 4 designs are underway. Creation of a transportation master plan is also underway. Parks & Recreation Department is developing a Master Plan that also includes implementation of eBikes policies on open space trails. ● Yes
● Nothing specific regulatory changes planned at this time. ● City is currently drafting ordinance language to address the increasing number of electric mobility devices that are present on trails and paths. Many conversations have occurred at BPAC and council (among other committees and commissions) and will continue in 2024.
350
CONSENT ITEM 3.4

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: October 3, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Ana Maria Torres-Mondragon, Human Resource Manager
SUBJECT: Memorandum of Understanding between the City of East Palo Alto and East Palo Alto Police Officer’s Association (POA) for FY 2022-24, Management Employees’ Association (MEA) for August 1, 2022- December 31, 2023, and Service Employee’s International Union, Local 521 (SEIU) for August 1, 2022- December 31, 2023 Recommendation
Adopt a Resolution:

1. Authorizing the City Manager to execute a Memorandum of Understanding between the City of East Palo Alto and East Palo Alto Police Officer’s Association (POA) for FY 2022-24, Management Employees’ Association (MEA) for August 1, 2022- December 31, 2023, and Service Employee’s International Union, Local 521 (SEIU) for August 1, 2022- December 31, 2023.

2. Authorizing the City Manager to make non-substantive changes, typographical, or formatting corrections that do not change the terms or intent to Memorandums of Understanding (MOUs) for bargaining units without the need for further approval from City Council.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Increase Organizational Effectiveness and Efficiency
351
CONSENT ITEM 3.4
Background
The negotiated compensation and benefits paid to employees of the City of East Palo Alto is governed by the City’s municipal code, personnel policies, negotiated and authorized memorandums of understanding with the three (3) employee bargaining units (MEA, SEIU, POA). As a member of the California Public Employees’ Retirement System (CalPERS), the City is subject to applicable provisions of the Public Employee Retirement Law (PERL) referenced in the California Government Code and the California Code of Regulations.

Formalizing MOUs after tentative agreements are essential to provide a clear legal framework, accountability, and transparency in the implementation of agreements. It ensures that the terms are enforceable, align with the City's goals and policies, and reviewed and approved by the City Council (our governing body).

The delay in bringing the MOUs for your approval this year are due to several factors that made the negotiation process more complex and time-consuming than in previous years. This year was the first time we implemented side letter agreements, which required careful consideration and drafting. Additionally, we had to negotiate and reach tentative agreements (TAs) for three (3) separate MOUs, each with different coverage periods which were previously approved this fiscal year except for Exhibit E.

Negotiating with multiple unions and accommodating their various timelines naturally extended the negotiation process. The introduction of coalition bargaining added an additional layer of complexity. While we successfully closed the monetary articles of the contract through this method, it left the rest of the contract open for language clean-up, a task that took more time than anticipated. One bargaining unit significantly contributed to the delay as they introduced monetary articles that were not up for discussion. Resolving these unexpected issues and clarifications took additional time but was essential to ensure a fair and comprehensive agreement.

On July 19, 2022, the City Council authorized the City Manager to negotiate compensation adjustments and tentative agreements (TAs) with SEIU, MEA, POA and unrepresented employment groups. On December 6, 2022, City Council authorized the City Manager to negotiate with POA additional side letters for retention bonuses and provided amended language to the working out of class article that was not captured in the July 19, 2022, approval. In this report the City Manager is seeking approval to negotiate and approve the last tentative agreement (TA) with SEIU (Exhibit E).

The City is presenting for adoption of the Memorandums of Understandings (MOUs) of East Palo Alto Police Officer’s Association (POA) for FY 2022-24, Management Employees’ Association (MEA) for August 1, 2022- December 31, 2023, and Service Employee’s International Union, Local 521 (SEIU) for August 1, 2022- December 31, 2023 which are a mirror of the previously agreed upon tentative agreements.

Analysis
352
CONSENT ITEM 3.4
In addition to local policy requirements, Memoranda of Understanding (MOUs) between the City and our employee bargaining units are governed by the California Code of Regulations (CCR), Title 8, §31001, which falls under the Public Employment Relations Board (PERB) regulations. This section outlines the rules and procedures related to collective bargaining and MOUs.

The previously approved Tentative Agreements (TAs) include the following proposed substantive language, and other minor clean-up:

Article Provision Detail
POA

6.1 Benefits Committee Clarified language
9 Wages
COLAS i. 10% effective the later of City Council
adoption or July 1, 2022
COLAS ii. 5% effective the later of City Council
adoption or July 1, 2023
Lump Sum one-time payment of $10,000

9.4 Working out of
classification Clarified acting commander language

12.4 Payout of vacation Increased maximum vacation cash out to 80 hours

13.5 Holidays Increased holiday leave accrual maximum to 104

13.8 Holidays Clarified language
31 Term July 1, 2022- June 30, 2024 (2 years)
MEA

7.2.4 Leave Cash out Cash out increased to 80 hours
17 Wages
A. 5% effective the first full payroll immediately
following adoption of this agreement by City Council
B. One-time payment of $2,500 effective the first full
payroll immediately following December 1, 2022
21 Contract Term August 1, 2022- December 31, 2023 (16 months) SEIU

9.1 Wages
A. 5% effective the first full payroll immediately
following adoption of this agreement by City Council
B. One-time payment of $2,500 effective the first full
payroll immediately following December 1, 2022

16.1 Leave Cash out Cash out increased to 80 hours
30 Contract Term August 1, 2022- December 31, 2023 (16 months) The newly agreed upon Tentative Agreement (TA) include the following proposed substantive language, and other minor clean-up:
353
CONSENT ITEM 3.4
Article Provision Detail
SEIU
4 Rights of Parties Clarified language

5.1 Layoff Clarified language

19.3.6 Discipline Procedure Clarified language
23 Reclassification Clarified language
Formalizing tentative agreements through City Council approval is a vital step in ensuring that agreements are legally binding, transparent, accountable, and align with the best interests of the community and the City.

Fiscal Impact
No fiscal impact associated with approval of the TA and Memorandums of Understanding (MOUs).

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on a bulletin board located at City Hall: 2415 University Avenue, East Palo Alto.

Environmental
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.

Attachments

1. Resolution with exhibits:
a. Exhibit A- Police Officer’s Association (POA) MOU for FY 2022-24 (redline) b. Exhibit B- Police Officer’s Association (POA) MOU for FY 2022-24 (clean) c. Exhibit C- Management Employees’ Association (MEA) MOU for August 1, 2022- December 31, 2023 (redline)
d. Exhibit D- Management Employees’ Association (MEA) MOU for August 1, 2022- December 31, 2023 (clean)
e. Exhibit E- Service Employee’s International Union, Local 521 (SEIU) Tentative Agreement (TA) for August 1, 2022- December 31, 2023
f. Exhibit F- Service Employee’s International Union, Local 521 (SEIU) MOU for August 1, 2022- December 31, 2023 (redline)
g. Exhibit G- Service Employee’s International Union, Local 521 (SEIU) MOU for August 1, 2022- December 31, 2023 (clean)
354
RESOLUTION NO. xx– 2023

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

AUTHORIZING THE CITY MANAGER TO EXECUTE A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF EAST PALO ALTO AND EAST PALO ALTO POLICE OFFICER’S ASSOCIATION (POA) FOR FY 2022-24, MANAGEMENT EMPLOYEES’ ASSOCIATION (MEA) FOR AUGUST 1, 2022- DECEMBER 31, 2023, AND SERVICE EMPLOYEE’S INTERNATIONAL UNION, LOCAL 521 (SEIU) FOR AUGUST 1, 2022- DECEMBER 31, 2023, AND AUTHORIZING

THE CITY MANAGER TO MAKE NON-SUBSTANTIVE CHANGES OR CLERICAL CORRECTIONS WHEREAS, the adoption of Memorandums of Understanding (MOUs) for public employee labor agreements are governed by the Meyers-Milias-Brown Act (MMBA). The MMBA, is found in the California Government Code sections 3500-3510; and
WHEREAS, Memoranda of Understanding (MOUs) between the City and our employee bargaining units are governed by the California Code of Regulations (CCR), Title 8, §31001, which falls under the Public Employment Relations Board (PERB) regulations; and WHEREAS, On July 19, 2022, the City Council authorized the City Manager to negotiate compensation adjustments and tentative agreements (TAs) with SEIU, MEA, POA and unrepresented employment groups. On December 6, 2022, City Council authorized the City Manager to negotiate with POA additional side letters for retention bonuses and provided amended language to the working out of class article that was not captured in the July 19, 2022, approval. In this report the City Manager is seeking approval to negotiate and approve the last tentative agreement (TA) with SEIU (Exhibit E).

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Authorizing the City Manager to execute a Memorandum of Understanding between the City of East Palo Alto and East Palo Alto Police Officer’s Association (POA) for FY 2022-24, Management Employees’ Association (MEA) for August 1, 2022- December 31, 2023, and Service Employee’s International Union, Local 521 (SEIU) for August 1, 2022- December 31, 2023; and

2. Authorizing the City Manager to make non-substantive changes, typographical, or formatting corrections that do not change the terms or intent to Memorandums of Understanding (MOUs) for bargaining units without the need for further approval from City Council. 355
PASSED AND ADOPTED this 3rd day of October 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Lisa Gauthier, Mayor
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
356
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined

MEMORANDUM OF UNDERSTANDING

BETWEEN

THE CITY OF EAST PALO ALTO
AND

EAST PALO ALTO POLICE OFFICERS' ASSOCIATION
Two Year Agreement (July 1, 2022 through June 30, 2024)

PREAMBLE
Having met and conferred in good faith pursuant to the provisions of Government Code Section 3500-3510 the City of East Palo Alto (hereinafter referred to as "CITY") and the Police Officers Association (hereinafter referred to as "ASSOCIATION") have agreed upon this memorandum of understanding ("MOU").

It is the general purpose of this MOU to promote the mutual interest of the City and its employees and to establish rates of pay, and certain other terms and conditions of employment.

ARTICLE 1: RECOGNITION

1.1 Union Recognition

1.1.1 Pursuant to the provisions of the City Employer-Employee Relations Resolution #48-83 and applicable State law, the City of East Palo Alto hereby recognizes the Police Officers Association as the certified majority representative of the employees in each of the classifications listed below:
• Police Officer
• Police Sergeant

1.1.2 The term "employee" or "employees" as used herein shall refer only to individuals employed by the City (excluding temporary and/or contracted) as well as such classes of employees as may be added hereafter through the provisions of the City Employer-Employee Relations Resolution or applicable State law.

1.1.3 The Association agrees to provide the City with a list of Association Officers and representatives who are authorized to meet and confer in good faith or to represent other employees. The Association shall also provide the City with a list of all authorized paid representatives. These lists shall be kept current by the Association.

1.2 Employer Recognition
The City Manager or his/her designee is the representative of the City in employer-employee relations, pursuant to the Employer-Employee Resolution# 48-83 adopted November 21, 1983. 357
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 2 ARTICLE 2: NON-DISCRIMINATOIN
The provisions of this MOU shall be applied equally to all employees covered hereby. Neither the City nor the Association shall unlawfully discriminate against any employee or applicant for employment because of race, creed, color, national origin, sex, sexual orientation, disability, or religious or political opinion or affiliation or legitimate Association activity. In addition, to the extent prohibited by applicable state and federal law, there shall be no discrimination against any disabled person solely because of such disability unless that disability prevents the person(s) from performing the essential functions and duties of the classification.

ARTICLE 3: RIGHTS OF PARTIES

3.1 Management Rights

3.1.1 The City retains, among other management rights, the exclusive right to determine methods, means, and personnel by which City government operations are to be conducted, as well as to exercise complete control and discretion over its organization, operations, and technology of performing its work; to determine the mission, function and necessity of all or part of each of its constituent departments, boards, and commissions and take all necessary actions to carry out their mission, functions and necessity, or any part thereof, as well as set standards of service to the public.

3.1.2 The City also retains the sole right to administer the Human Resource System, to classify or reclassify positions, add or delete positions or classes to or from the authorized strength and Compensation Rate Schedule; to establish standards for employment, promotions, and transfer of employees; to direct its employees, establish rules and regulations, take disciplinary action for proper cause to establish work schedules and work assignments, contract out work, transfer work out of the unit, and to relieve its employees from duty for lack of work or other legitimate reasons. The City retains the right to be the sole judge, subject to its Personnel Rules and Regulations, of the qualification and competence of its officers and employees.

3.1.3 The City reserves the right to take whatever action may be necessary in an emergency situation.

3.1.4 This section is not intended to restrict consultation with employees or employee representative_ about the practical consequences that decisions on these matters may have on wages, hours and other terms and conditions of employment.

3.2 Employee Rights

3.2.1 Employees of the City shall have the right to form, join, and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees shall also have the right to represent themselves individually in their employment relations with the City. No employee shall be interfered with, intimidated, restrained, coerced, unduly influenced or discriminated against because of his/her exercise of these rights.

3.2.2 Management employees shall not represent non-management employees on matters within the scope of representation. Confidential employees shall not represent non-confidential employees on matters within the scope of representation. This provision does not otherwise limit the right of confidential employees to be members of and to hold office in employee organizations of their choice.
358
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 3

3.3 Association Rights
City employees who are Official Representatives or Unit Representatives of the Association shall be given reasonable time off with pay to attend meet-and-confer sessions with Management Representatives, or to be present when unit member grievances are being considered. The use of official time for this purpose shall be reasonable and shall not interfere with the performance of City services as determined by the City Personnel Officer. Whenever possible, such employee representatives shall make a request for excused absence to the Police Chief or his or her designated representative at least two 2 calendar days prior to the scheduled meeting. Except by mutual agreement, the number of employees excused for such purposes shall not exceed two (2).

ARTICLE 4: ASSOCIATION SECURITY

4.1 (a) An employee may at any time execute a payroll deduction authorization form ("Deduction Authorization Form") as furnished by the Association. The Association will be the custodian of record for Deduction Authorization Forms and will provide the City with a written certification that it has and will maintain a Deduction Authorization Form, signed by each individual from whose salary or wages the deduction or reduction is to be made ("Certified List").
(b) The City will direct employee requests to authorize deduction(s), or requests to cancel or change status regarding such deduction(s), to the Association. The Association shall not be required to provide the City a copy of the Deduction Authorization Form unless a dispute arises about the existence or terms of the authorization.

However, the Association will provide the City with a Certified List with sufficient information to allow the City to identify the appropriate level of deduction for each member. (c) The City will deduct membership dues and insurance premiums from employees in the above-mentioned classifications in the first full payroll period after receipt of the Deduction Authorization Form from the Association.
(d) Deductions may be revoked only pursuant to the terms of the member's written authorization. The City shall direct member requests to cancel or change deductions to the Association and shall rely on information provided by the Association regarding whether deductions for a member were properly canceled or changed. However, the parties agree that the City shall automatically cease deductions for any member who is no longer employed in a classification represented by the Association.
(e) Consistent with state law, the Association shall indemnify and save harmless the City, its officers and employees, for (1) any claims made by an employee for deductions made in reliance on the Association's Certified List or a Deduction Authorization Form and (2) any claims made by an employee for deductions made in reliance on information provided by the Association regarding changes or cancellations to the deduction authorization.

4.2 New Hire Orientation
(a) Within five (5) days of hiring a new Bargaining Unit employee, the City will notify the Association in writing of such employment, giving the following information for the new employee: name; date of hire; and job classification. The City will provide the following if the employee has provided this information: home or personal cellular telephone number; personal email address; and mailing address. (b) During the Department's new hire orientation process, the Department will give the Association access to the employee during their normal work hours, in coordination with the Administrative Sergeant.

4.3 An Employee who is a member of the Association's bargaining team and who attends the regularly scheduled bargaining sessions between the City and the Association shall receive release time conditioned on the following:
359
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 4

4.3.1 Release Time: Means the release from regularly scheduled duty to attend with pay bargaining sessions between the City and the Association's bargaining team during on-duty-time. Release time is time worked.

4.3.2 Hours Eligible for Release Time: Means only those hours scheduled and actually spent in bargaining sessions between the City and the Association on days the Association member is scheduled to work. Hours spent in negotiations in excess of the number the employee was scheduled to work that day, or hours spent in negotiations on a non-duty day, shall not be counted for pay purposes or as hours worked.

4.3.3 Each POA bargaining team member shall notify his/her supervisors of the scheduled time, date and place of the bargaining session between the City and the Association as soon as a session is scheduled and shall re-notify the supervisor at least 72 hours in advance of the bargaining session.

4.4 Scheduled on-duty personnel will be expected to report for duty prior to a scheduled negotiation session unless the start of the shift is the same as the scheduled start of the negotiation session. On-duty personnel shall report for duty after the end of a bargaining session unless the bargaining session exceeds the scheduled duty day. The bargaining session ends when either the City or Association indicates the meeting is over.

4.5 The City shall provide an aggregate of up to ten (10) days off without pay for Association officers to attend seminars or conduct Association business. Such leave without pay must be scheduled and approved in advance by the Police Chief or his/her designated representative. The department retains the right to deny a leave or cancel a leave when such leave will result in an uncovered work assignment or cause overtime. The City shall establish a release time bank for the Association's elected officers. Bargaining unit members may contribute vacation or Compensatory Time Off (CTO) time in full-day increments to the release time bank. This leave will be converted to release time on an hour-for-hour basis. The Association shall designate elected officers who may use the time in the release time bank. Release time shall continue to be at the discretion of the supervisor and shall not be permitted if its use would incur overtime.

ARTICLE 5: BULLETIN BOARDS

5.1 The City shall provide designated bulletin board space on existing bulletin boards for the Association, the size and location to be determined jointly by departmental management and the Association. All materials to be posted must be non-defamatory in nature, must be approved, dated, and signed by an Association official and shall be for the benefit of the membership. Appropriate postings include, but are not limited to the following subjects:

1. Association recreational, social and related news bulletins;

2. Scheduled meetings;

3. Information concerning Association elections or the results thereof; and

4. Reports of official business of the Association, including reports of committees or the Board of Directors.

5.2 Materials posted on the bulletin board shall be removed consistent with Departmental Policy.

5.3 In cases where the Association shares space with employees of another bargaining group, in whole or part, 360
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 5 the space described above will become the bulletin board space for employees represented by each bargaining group. In the event that there is insufficient bulletin board space for both unions, the parties shall meet to discuss appropriate allocation of space.

ARTICLE 6: REOPENER ON HEALTH AND WELFARE

6. 1 Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and

3. The Benefits Committee will commence no later than September 30, 2022. The Committee will be composed of City labor representatives, not to exceed four (4) representatives and four (alternates) from each participating labor organization and four (4) City representatives. These names will be provide to the City no later than August 31, 2022.

4. Any changes to sworn members’ benefits must be consented to by the POA and made in writing, through the meet and confer process.
6 Retiree Medical Trust

6.2.1 During the term of the MOU, the POA may enter into an agreement to participate in an established Retiree Medical Trust with no City contribution.

6.2.2 The City will not be signatory to the trust and its responsibilities will be limited to deducting employee contributions and remitting funds to the trust.

ARTICLE 7: MEDICAL AND DENTAL COVERAGE

7.1 Medical Coverage

7.1.1 Employee Coverage:

The City agrees to provide a medical insurance plan or plans (if more than one is available) for eligible employees covered by this bargaining unit. For those employees electing to have employee-only coverage under the City's existing medical plans, the City shall contribute up to the full cost of the employee-only level based on the Kaiser Permanente HMO 8747A premiums.

Eligible employees may select coverage from among the available options. Any premiums in excess of the Kaiser Permanente HMO 8747A plan will be paid by the employee.

7.1.2 Dependent Coverage:

A. Employees may insure their eligible dependents (including registered domestic partners) under the medical plans provided by the City, in accordance with the rules and regulations applicable to obtaining said dependent coverage.

B. The City shall contribute up to eighty percent (80%) of the premium of the Kaiser 361
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 6 Permanente HMO 8747A medical plan for those employees electing to have dependent medical coverage under the City's existing medical plans. The employee shall be responsible for the remaining premium for the selected medical coverage, payable through bi-weekly payroll deductions.

7.2 Dental Coverage

7.2.1 Employee Coverage:
362
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 7 A The City agrees to provide a dental insurance plan or plans (if more than one is available) for its employees covered by this bargaining unit. The City shall contribute the full cost of the employee-only level for the dental plan selected by the employee. The contributions are based on regular full-time employment; part-time employees shall receive a prorated contribution based on their percentage of full-time equivalent.

B. Maximum Delta Dental payout per calendar year shall be $2,000.

C. Co-payment for Crown and Cast Restoration, and Prosthodontic benefits shall be 80/20; with the twenty percent (20%) share the responsibility of the employee.

7.2.2 Dependent Coverage:

A. Employee may insure their eligible dependents (including registered domestic partners as defined by State law) under the dental plan(s) in accordance with the rules and regulations applicable to obtaining said dependent coverage.

ARTICLE 8: MEDICAL & DENTAL INSURANCE COVERAGE DURING LEAVES OF ABSENCE Employees who are placed on unpaid or paid leave of absence resulting from a medical condition including injury, illness, pregnancy or childbirth shall receive the City contribution toward medical and dental plan coverage for a leave as required by state and federal law. Premium amounts exceeding the City contribution and for dependents shall be the responsibility of the employee during the leave period. The City will continue to make its contribution toward health coverage while paid leave is being used and until such time as the paid leave is exhausted.
363
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 8 ARTICLE 9: WAGES & RETIREMENT

9.1 Wages

9.1.1 COLAS.
• 10% Effective the later of City Council adoption or July 1, 2022 •
• 5% Effective the later of City Council adoption or July 1, 2023

9.1.2 Lump Sum:

Individuals who are members of the bargaining unit represented by POA during the first pay period following City Council adoption of the resolution authorizing amendments to the MOU and who continue to be members of the bargaining unit as of last pay period in November 2022 will receive a one-time lump sum payment of$10,000. The Parties intend and understand that this lump sum payment is nonpensionable and will not be reported to CalPERS. The parties also agree that this payment is intended to be specific to the pay period in which it is paid and is to be considered part of the regular rate for this pay period only.

9.2 Step Increases

9.2.1 Employees initially appointed to the first step of the salary range of their classification shall be entitled to a merit increase to the next higher step in the pay range upon successful completion of six (6) months of actual initial or promotional probationary service, so long as they receive a satisfactory performance evaluation. The date of such increase shall be the first full pay period following the evaluation date.

9.2.2 Employees may be appointed to any step in the salary schedule for their classification as recommended by the Chief of Police and approved by the City Manager. Employees appointed to the second step and above are eligible to receive a merit increase the first full pay period following successful completion of twelve (12) months of actual service, so long as they receive a satisfactory performance evaluation.

9.2.3 Each twelve (12) months of actual service after the evaluation date, each employee receiving a satisfactory performance evaluation shall receive a merit increase to the next higher step (effective the first full pay period following the evaluation date) until the top step of the pay range for the job class has been reached. An employee shall not receive a merit increase beyond the maximum steps established for the job classification.

9.2.4 For purposes of this section, an employee who has not received any performance evaluation as of the evaluation date shall be deemed to have received a satisfactory performance evaluation effective the evaluation date. However, the evaluation must still be completed in a timely manner. Nothing in this section shall limit the employer's ability to take disciplinary or other action for performance issues which occur during a time period when no performance evaluation was completed.

9.3 Effect of Promotion, Demotion or Transfer on Salaries

9.3.1 Pay Following Promotion
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 9 An employee promoted to a higher-paid classification shall be assigned to the first step in the new pay range or at the step which equals no less than a five percent (5%) increase over his/her 365
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 10 current base pay rate, whichever is more, provided the maximum pay step for the new range is not exceeded.

9.3.2 Pay Following Demotion
An employee involuntarily demoted to a lower-paid classification shall be assigned to a step in the new pay range recommended by the Chief of Police and approved by the City Manager. An employee voluntarily demoted shall be paid at the step of the new pay range closest to the employee's base pay in the higher-paid classification, but not exceeding the maximum step in the range.

9.3.3 Pay Following Transfer
An employee transferred to a position within the same classification or to another classification with the same pay range shall retain the same rate of base pay and the same evaluation date. A merit increase shall not be applicable at the successful completion of any probation or evaluation period required as a result of a transfer.

9.4 Working Out of Classification
An employee who is officially designated by their department head and approved by the City Manager to perform all, or substantially all, of the duties of a higher paid classification, shall be paid at the step of the higher pay range or at the first step which is not less than five percent (5%) more than his/her current base rate after a full shift served in the higher paid classification.

Once an employee has worked in the acting assignment for a full shift , he or she shall be entitled to acting pay for the entire length of the assignment, retroactive to the first day of the assignment, including applicable overtime.

However, overtime shall not be paid for employees Working Out of Class in FLSA exempt assignments Example 1: Employee 1 is a Police Officer assigned to work out of class as a Sergeant for a full shift on Employee 1’s regular day off. Employee 1 will be paid at the step of a Sergeant pay range which is not less than five percent (5%) more than his/her current base rate, including overtime for hours worked in an overtime capacity.

Example 2: Employee 2 is a Sergeant assigned to work out of class as a Commander for a full shift. Employee 2 will be paid at the step of the Commander pay range which is not less than five percent (5%) more than his/her current base rate, but will not earn overtime when acting as a Commander.

9.5 Shift Changes
The Chief of Police shall post shift changes fourteen (14) days in advance of such change, subject only to exigent circumstances as determined by the Chief of Police or his/her authorized designee. Said exigent circumstances shall be explained to affected personnel in writing and/or posted where such notices are customarily located in the department.

9.6 Retirement
Tier 1
Employees who do not meet the definition of "new employees," as defined by the Public Employees' Retirement System (PERS) shall be subject to the 3% @ 55 retirement formula. Tier 1 Employees will continue to pay the employee contribution of 9%.

Tier2
For new employees, as defined by the Public Employees' Retirement System {PERS), hired on or after January 1, 2013, retirement benefits shall be those established by the Public Employees' Retirement System (PERS) for 366
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 11 Local Safety Members, with a 2.7% at age 57 retirement formula based upon an average of the three (3) highest years of compensation. Employees will pay the full employee contribution (50% of the Normal Cost of the benefit).

9.7 Timesheets
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 12 It is the employee's responsibility to fill out their own timesheet. If an employee is unable to fill out his/her timesheet in person, that employee shall communicate with his/her supervisor who (upon authorization from the employee) will fill out the timesheet for that employee. If a member neglects to fill out his or her timesheet, their paycheck may be incorrect and will not be resolved until the payroll period after the employee submits an accurate timesheet and notifies the Department of the error.

9.8 Overpayments
Employees will be notified by Payroll or Human Resources prior to the recovery of overpayments on paychecks. Such Notice will include the Option for the employee either to make payment through payment/deduction in a lump sum or through biweekly deductions over a specified timeframe. Employees shall be granted at the minimum, the same number of pay periods for repayment as occurred during the overpayment. In the event the repayment constitutes an excessive burden on the employee, he/she shall be permitted the opportunity to meet with the city to develop a mutually agreeable repayment plan.

Following notice to the overpaid employee, the employee shall have five (5) days in which to submit in writing a request for a grace period for repayment. No grace period shall be allowed for an overpayment of five hundred dollars ($500.00) or less. The grace period shall not exceed two (2) pay periods. The City shall not unreasonably deny a request for a grace period.

If an overpaid employee does not make a written request for a grace period as set forth in this section, or at the expiration of the grace period, the overpaid monies shall be repaid to the City via biweekly deductions pursuant to the Option selected by the employee. If the employee has not selected a repayment Option, repayment shall be made over the time period the City deems appropriate.

Upon separation of employment, the overpaid employee's grace period is automatically terminated, and any remaining amounts of overpayments shall be deducted from the separated employee's final paycheck.

ARTICLE 10: GRIEVANCE PROCEDURE

10.1 Grievance Defined
A grievance is defined as an allegation by an employee, group of employees, or the Association that the Employer has failed to provide a condition of employment as required by Memorandum of Understanding, written departmental rules, or written City Rules and Regulations, provided that the enjoyment of such right is not made subject to the discretion of the Police Chief or the City by terms of Memorandum of Understanding or lawt and, provided further, that the condition of employment which is the subject matter within the scope of representation as defined in California Government Code Section 3504.

10.2 Grievance Procedure
Step 1. Informal Discussion.

An employee shall discuss the act in dispute with his/her immediate supervisor no later than seven (7) calendar days after the event giving rise to the dispute, or no later than seven (7) calendar days after the employee knew or reasonably should have known of the event giving rise to the grievance. The Supervisor shall give the employee an oral reply within fifteen (15) calendar days after the discussion. If the employee is 368
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 13 not satisfied with the response, he/she may proceed to Step 2.

Step 2. Division Head.

Any dispute not resolved at Step 1 may be submitted to the Division Head in writing, citing the specific provision of this Agreement in dispute and setting the desired solution within fifteen (15) calendar days after the Supervisor's response. A copy shall be provided to the Immediate Supervisor and the Personnel Officer. Within fifteen (15) calendar days thereafter, a meeting shall be scheduled with the employee by the Division Head.2..who shall attempt to resolve the matter. The Division Head shall give the employee a written reply within fifteen (15) calendar days after such meeting and shall file a copy with the Personnel Officer. If the employee is not satisfied with the response, he/she may proceed to Step 3. Employees who are supervised directly by Chief of Police shall by-pass Step 2 and proceed directly to Step 3.

Step 3. Chief of Police.

Any dispute not resolved at Step 2 may be submitted in writing to the Chief of Police within fifteen (15) calendar days of the division head's response, with a copy to the Immediate Supervisor and the Personnel Officer. Within fifteen (15) calendar days thereafter, a meeting shall be scheduled with the employee by the Chief of Police, who shall attempt to resolve the matter. The Chief of Police shall give the employee a written reply within fifteen (15) calendar days after the meeting and file a copy with the Personnel Officer. If the employee is not satisfied with the response, he/she may proceed to Step 4.

Step 4. Final Level of Review.

If the POA is not satisfied with the Chief of Police's response, it may appeal the dispute to advisory arbitration in writing within fifteen (15) calendar days after the date of the Step 3 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list ofseven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. If the City and the Association cannot agree within five (5) calendar days after receipt of such list on one of seven (7) persons to act as the arbitrator, they shall alternately strike names from the list until one name remains and that person shall then become the arbitrator. The party making the first strike shall be determined by a flip of a coin.

Costs for the arbitration (including the cost of the list, arbitrator fees, and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative. The decision of the arbitrator shall be advisory to the City Manager. The City Manager or designee shall have ten (10) calendar days after the service of the decision to notify the Union of his decision either to adopt or revoke the decision of the arbitrator.

If the City Manager or designee takes no action within the ten (10) calendar day period, the City Manager shall be deemed to have adopted the decision. A decision adopted by the City Manager or designee will be final and binding upon the parties. A decision revoked by the City Manager or designee shall be deemed to have no effect and the Step 3 reply shall be final and binding upon the parties.

ARTICLE 11: LEAVES

11.1 Sick Leave

11.1.1 Intent
Sick leave shall be allowed and used only in case of actual personal sickness or disability, medical or dental treatment, family illness and injuryt and as an income supplement to Workers' 369
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 14 Compensation payments. Sick leave shall not be considered as a right which an employee may use at his/her discretion, but shall be allowed only in case of necessity as described herein.

Employees shall not be entitled to sick leave for sickness or injury during leave of absence without pay. This section is intended to be interpreted in a manner consistent with the provisions of the Family Medical Leave Act and the California Family Rights Act.

11.1.2 Accrual
Full-time, regular and probationary employees shall accrue sick leave at the rate of three and seven-tenths (3.7) hours per bi-weekly pay period of actual service. Part-time, regular employees who customarily work at least twenty (20) hours per week shall receive a pro-rated sick leave accrual based on actual hours worked each bi-weekly pay period.

11.1.3 Employees may accumulate and carry over the full amount of unused accrued sick leave from calendar year to calendar year. There shall be no upper limit on the accumulation of sick leave.

11.1.4 Use of Sick Leave
A. Off-duty employees who become sick or injured and unable to report to work must notify the· Department no later than one (1) hour prior to their next scheduled shift.

B. Employees shall report their sick leave status to their on-duty supervisor, or in his/her absence, to the Watch Commander. The Supervisor receiving the notification shall complete an "Absentee Report" form and insure that form is forwarded to the appropriate Commander or Supervisor.

C. Employees who become sick while on duty, not related to their work, and are unable to continue working shall notify their immediate supervisor prior to going home. The supervisorshall notify the Division Commander and complete an Absentee Report.

D. When a supervisor has a reasonable suspicion of sick leave abuse or for employees who have been on sick leave for more than three (3) consecutive calendar days they are required to present written verification of inability to work signed by a treating physician or other health care provider to their immediate supervisor upon returning to work. The written verification must also include a release for the employee to return to work, together with any restrictions.

That Supervisor shall attach the medical verification to the completed Absentee Report form and forward both to the Administrative Division. The City reserves the right to determine whether it can reasonably accommodate the employee's work restrictions.

E. Employees may use sick leave for the illness or injury of a member of the employee's immediate household.

11.2 Bereavement Leave

11.2.1 Bereavement Leave
Employees shall be entitled up to three (3) calendar days of paid leave for an occurrence of death 370
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 15 or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager and charged to the employee's available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above. Request for funeral/emergency leave must be in writing, state the relationship of the family member, and be approved in advance by the Chief of Police and City Manager. In special emergencies, an employee may request formal approval after the fact; if approved, leave records shall be adjusted accordingly. Death following a serious illness shall generally be regarded as one (1) occurrence; however, the Chief shall be responsible for recommending otherwise when, in his/her judgment, the nature or severity of the illness and/or lapse of time warrants.

11.2.2. Immediate Family
Immediate family shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, unole, aunt, nephew, niece, grandparent, grandchild, and cousin.

Immediate Family shall also include registered domestic partners.

11.3 Disability Leave

11.3.1 Sworn Police Unit personnel who are unable to work due to an injury or illness arising out of and in the cause of his/her duties which is declared to be compensable under the State of California Workers' Compensation Law, shall be granted industrial disability leave and temporary disability benefits in accordance with Section 4850 of the California Labor Code.

11.3.2 Employees on an extended leave of absence for 4850 (medical), sick leave, FMLA, or Administrative Leave shall be assigned to the Professional Standards Unit (PSU) and be considered working a Day shift Monday through Friday administration schedule (either 80-hours or 84-hours consistent with their schedule prior to being placed on leave) after their first full pay period of absence.

Employees on an 80-hour workweek schedule will be scheduled as 8am-4pm, Monday through Friday.

Employees on an 84-hour workweek schedule will be scheduled as 8am-4pm on Monday, Thursday and Friday. On Tuesday and Wednesday, they will be scheduled as 8am-5pm to give them the 84 hours per pay period.

11.4 Military Leave

11.4.1 Military leave shall be granted by the City in accordance with the provisions of State and Federal Laws and there may be a deduction for any military compensation that the employee receives for service during the period that he is receiving full pay from the City, to the extent permitted by law. All employees taking military leave shall give the City an opportunity, within the limits of military regulations, to determine when such military leave shall be taken.

11.4.2 An employee returning from military leave may be required to pass a medical examination to be paid by the City, and shall be required to submit proof of actual service before returning to work.

11.4.3 This provision will sunset and be deleted from this MOU once the parties reach agreement on a City Policy covering this issue.

11.5 Leave of Absence
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 16

11.5.1 When determined to be in the best interests of the employee and the City, the City Manager may approve a leave of absence without pay for a regular or probationary employee for a period up to six (6) months. Such leave is a privilege, not a right, and must be requested in writing by the employee, stating the reason and requested dates, and must be recommended by the Chief of Police. The request shall include the address and the phone number where the employee may be contacted during the leave, if approved.

11.5.2 Leave for one (1) calendar week or less may be granted by the Chief of Police upon his/her determination that such leave is justified.

11.5.3 Employee benefits shall not be continued during leave in excess of one (1) calendar week unless any insurance contract provisions permit and the employee agrees in writing to pay the total monthly cost or a portion thereof, as appropriate, by a method satisfactory to the Finance Director. Benefits not paid as agreed shall terminate. Employees on leave of absence without pay in excess of one (1) calendar week shall not accrue leave nor service credit, but shall retain unused accruals as of the date leave began. Employees on leave in excess of thirty (30) calendar days shall return City property as set forth in Section 3.13.06 of the Personnel Policies and Procedures.

11.5.4 An employee returning to the same classification from which he/she took leave shall be paid at the current rate in the same step and range of the class in which employed.

11.5.5 An employee on leave shall confirm in advance of the leave expiration date his/her intention to return. An employee who fails to report promptly at the expiration of his/her leave without sufficient cause shall be subject to disciplinary action and possible termination of his/her right to continued employment. A leave of absence may be revoked by the City Manager upon a determination that the reason for leave was not stated and did not serve the City's best interests.

ARTICLE 12: VACATION

12.1 Vacation Accumulation
An employee with less than ten (10) years of consecutive City service shall not accumulate more than twohundred and eighty-eight (288) hours of vacation. An employee with more than ten (10) years of consecutive City service shall not accumulate more than three-hundred and twenty (320) hours of vacation. Once the accrual cap is reached, an employee will not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage or cash out. An employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date.

The Chief of Police shall give employees reasonable advance notice if vacation leave will conflict with the department needs and shall advise the City Manager if vacation denial is the reason for employee's deferral request. Requests for deferring vacation use must be presented to the City Manager prior to the start of the vacation unless the vacation is cancelled by the Department, in which case the deferral request must be presented to the City Manager within thirty (30) calendar days after the vacation was originally scheduled to start. In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must 372
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 17 be used.

12.2 Crediting Vacation
Full-time employees, excluding seasonal and temporary, shall be credited with vacation as follows:

Minimum Continuous Service
0-4.99 years:
5-9.99 years:
10-14.99 years:
15-plus years:

12.3 Use of Vacation
Amount of Vacation Earned Annually
80 hours (3.08 hrs bi-weekly)
120 hours (4.62 hrs bi-weekly)
160 hours (6.15 hrs bi-weekly)
200 hours (7.69 hrs bi-weekly)
The time at which an employee may use vacation leave and the amount to be taken at any one time shall be determined by the Chief or designee with particular regard for the needs of the City and, insofar as possible, considering the wishes of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the Personnel Officer. Said approval of vacation leave shall not be unreasonably withheld.

In addition, the Chief or designee may require any unit member to use up to two weeks of vacation for operational reasons, including the good of the Department. Unlike other paid leaves, mandatory vacation under this paragraph shall be deemed hours worked for overtime purposes.

12.4 Vacation Cash out
Members of the bargaining unit may make an irrevocable election to cash out vacation during the month of December each year. To qualify for vacation cash out, an employee must have more than eighty (80) hours of accrued vacation. Bargaining unit members may cash out up to a maximum of eighty (80) hours of vacation, so long as the member maintains a balance of at least eighty (80) hours. Elections will be cashed out in December the following year.

12.5 Work During Vacation
Employees shall not work for the City or be called back during vacation leave except in an emergency as determined by the Chief of Police and approved by the City Manager. An employee required to work shall not be charged for leave and shall be compensated as if working on his/her regular schedule.

ARTICLE 13: HOLIDAYS

13.1 The City recognize the following thirteen (13) holidays (note: holidays are recognized on the identified dates, even if they fall on a weekend):

Holiday
New Year's Day
Martin Luther King Birthday
Lincoln's Birthday
Washington's Birthday
Cesar Chavez Day
Memorial Day
Juneteenth
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 18 Date Recognized
January 1st
3rd Monday
in January
February
12th
3rd
Mon
day
in
Febr
uary
last
Mon
day
in
Marc
h last
Mon
day
in
May
June
19 374
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 19 Independence Day
Labor Day
Veteran's Day
Thanksgiving Day
Day after Thanksgiving
Christmas Day
July 4th
1st Monday in September
November 11th
4th Thursday in November
4th Friday in November
December 25th

13.2 Each bargaining unit employee in paid status the day before and the day after a recognized holiday will receive eight (8) hours of Holiday Leave for that holiday. Holiday Leave will be credited in the pay period in which the holiday falls.

Example: Christmas Day falls on a Saturday. For purposes of this MOU, the holiday is recognized on that day, even though City Hall may be closed on the preceding Friday. Each bargaining unit member will be credited eight (8) hours of Holiday Leave during the pay period in which Christmas Day falls.

13.3 Holiday Leave is paid time off and may be scheduled in the same manner as an employee schedules vacation. Any bargaining unit member who is not required to work on a designated holiday may use Holiday Leave, Vacation, CTO, or other discretionary leave to cover the holiday.

Example: An officer assigned to CID is not required to work on Thanksgiving Day. The Officer has a bank of twenty (20) hours of Holiday Leave. The Officer may use ten (10) hours of Holiday Leave or other discretionary leave to cover that absence.

13.4 Employees may make an irrevocable election to cash out up to forty-eight (48) hours of Holiday Leave in the first pay period of December each year.

13.5 Employees may accrue a maximum of one hundred-four (104) hours of holiday leave. Once employees have reached the maximum, they will no longer accrue Holiday Leave.

13.6 Holiday leave will be cashed out (at the employee's salary rate before promotion) upon promotion.

13.7 Employees required to work on a holiday which is not their regularly scheduled workday will be paid overtime consistent with Section 15.2 of this MOU.

13.8 Employee may cash-out an additional twelve (12) hours of Holiday Leave per pay period; however, the employee is required to make the request in accordance with the IRS constructive right of receipt rules. This is subject to written pre-approval by the Chief and or designee. Should a request be denied, the request may be appealed to the City Manager.

13.9 Detectives
Detectives are not regularly scheduled to work on designated holidays. However, individual detectives may request to work specific holidays. Except where exigent circumstances preclude it (e.g., the sudden availability of a witness), such request shall be made no more than two weeks prior to the date of the holiday. The Commander will determine whether to authorize work on the holiday. Work on a requested holiday shall be paid at straight time. Nothing in this section affects the Department's existing ability to reassign or callback employees on designated holidays.

ARTICLE 14: LEAVE DONATION
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 20

14.1 Employees shall be eligible to participate as donors and recipients in the leave donation program, which 376
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 21 provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness or injury. This program allows a regular City employee represented by the Association to donate, on an hour-forhour basis, accrued vacation, or Compensatory Time Off hours to a specific, eligible employee who has exhausted his/her own available leave balances. Catastrophic illness or injury is defined as the employee's own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee's immediate family member who has a catastrophic illness or injury (as verified by a physician's statement).

14.2 To receive leave donations, an employee:

14.2.1 Must have been employed in a regular position for a minimum of one year; and

14.2.2 Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician's statement); or be absent from work in order to attend his/her immediate family member who has a catastrophic illness or injury (as verified by a physician's statement); and

14.2.3. Must have exhausted all earned leave balances (including sick leave (ifrelated to the employee's own illness), vacation, overtime and CTO accruals. However, the Personnel Officer may approve the solicitation/acceptance of leave donations prior to all balances being exhausted, when the physician's statement and leave balance indicate the probable exhaustion of balances within two pay periods.

14.3 Donations:

1. Are voluntary;

2. Are made from accrued vacation and/or CTO balances;

3. May not be made through_donation of sick leave;

4. Must be for a minimum of eight (8) hours, in whole hour increments;

5. Are irrevocable, and

6. Are taxable on the part of the recipient, in accordance with IRS regulations, and are subject to withholding as required by law.

14.4 Donations shall be processed in the order received. However, a donor's leave shall not be reduced until the recipient actually uses the leave. Unused donations shall remain with the donor.

14.5 An employee may not donate more than eighty (80) hours to any other individual employee.

14.6 The total donations received into his/her vacation balance by an employee shall normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered and approved by the Personnel Officer.

14.7 Upon approval of a request for donations, the Personnel Officer (or his/her designee) shall, at the employee's request, post a notice of the eligible employee's need for donations on departmental bulletin boards accessible to employees; confidential medical information shall not be included in the notice.

14.8 Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City's management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.

14.9This provision will sunset and be deleted from this MOU once the parties reach agreement on a City Policy covering this issue.

ARTICLE 15: OVERTIME
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 22

15.1 The City shall determine those classifications eligible for overtime compensation. Regular full-time employees in those classifications represented by the Association when properly authorized in advance by the Department Head or his/her designated representative shall receive overtime compensation in accordance with the following provisions.

Employees working in exempt positions (either as a regular assignment or when working out of class) shall not qualify for overtime.

15.2 Except as provided below, overtime for eligible employees shall be defined as follows:

15.2.1 For employees assigned to a 12/84 work schedule, work in excess of eighty-four (84) hours in a fourteen (14) day work period, exclusive of stand-by and call-back pay.

15.2.2. For all other employees represented by the Association, that time worked in excess of forty (40) hours in a seven day work period, exclusive of stand-by and call back pay, provided, however, such law enforcement personnel in attendance at the P.O.S.T or F.B.I academies shall accrue overtime for hours worked in excess of 240 hours in a 28-day cycle. Such cycle shall be established by the City. For the purpose of computing overtime, all regular, scheduled work hours including paid leave time shall be considered time worked.

15.2.3 For the purpose of computing overtime, all regularly scheduled work hours, including paid leave time, shall be considered time worked.

15.3 Overtime is compensable at the rate of time and one-half the regular hourly rate, computed in accordance with FLSA. Hours worked shall accrue in increments of one tenth (1/10) of an hour (6 minutes), subject to a minimum of two-tenths (2/10) of an hour (12 minutes).

15.4 Overtime shall be placed in a compensatory time off (CTO) account or paid in the pay period in which earned at the discretion of the Chief of Police or his/her designated representative. The maximum allowable balance in the CTO account shall be 120 hours. Employees will not be permitted to accrue additional CTO over the 120 hour cap. In the event that an employee accrues more than 120 hours, any hours in excess of 120 will be paid out no later than the next full pay period.

CTO will be cashed out (at the employee's salary rate before promotion) upon promotion.

15.5 When an employee wishes to take compensatory time off and requests time off at least ninety-six hours prior to the time such hours would be taken off, the Chief of Police will make every effort to comply with the employee's request. Approval of this request is subject to a determination by the Chief of Police of whether or not it would unduly disrupt the operations of the department. Compensatory time off shall be used before any leaves-of-absence-without pay and granted pursuant to the City Policies and Procedures.

15.6 All unused hours in the compensatory overtime account shall be cashed out in the last full pay period including December at the employee's regular rate of pay.

15.7 Computation of probationary periods, retirement benefits, sick leave, vacation time, merit increase periods, or other similarly computed periods of benefits shall be based only on regularly scheduled hours of work, and shall not include overtime hours worked.

15.8 When an employee is off duty, not on standby, and called back to work, said employee shall be given credit for at least four (4) hours of work time.

15.9 Court Standby
378
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 23 Sworn employees off-duty and under subpoena for a criminal case shall receive 2 hours of overtime standby pay at the rate of time and one-half of the employee's straight time rate of pay (including premiums expressed as a percentage of base pay) if they are off-duty during the entire time court is in session. For the purpose of this issue, court is deemed to be in session starting at 9 am and concluding at 5 pm. Members placed on standby status by the district attorney are required to have the subpoena renewed after five court days if they are still on stand-by status.

Members under subpoena in a civil matter must require the Attorney of record on the subpoena to deposit the required funds in the form of a cashier's check to the City of East Palo Alto to cover the five days in advance of the court date.

15.10 Court Callback
Sworn employees subpoenaed to court as an Officer of the City during off-duty hours shall be compensated for such court time at the rate of time and one-half (1-1/2) the employee's regular rate of pay. For said court time, employees shall be paid a minimum of four (4) hours at the premium rate specified above. Court time in excess of four (4) hours shall be compensated at the premium rate specified above on the basis of hours actually spent at the court and charged in thirty (30) minute increments. The employee must be off-duty to qualify for court time pay and shall submit an Overtime Request Form.

Employees receiving court callback pay do not qualify for court standby pay.

ARTICLE 16: VEHICLE DAMAGE REIMBURSEMENT

16.1 The City has provided a secured parking location for officers' privately owned vehicles.

16.2 In the event (a) the City ceases providing a secure parking area, or there are no available spaces in the secured parking area, and (b) an officer's privately owned vehicle is vandalized outside a secured parking area while the officer is on-duty, City agrees to pay a maximum of$250 per incident, up to a maximum of $1,000 per year per officer toward the cost of any deductible owed to the officer's insurance company.

Said payment will be made to the officer upon submittal of proof of insurance and of deductible owed.

An officer who discovers that his/her car has been vandalized shall report such damage within one (1) hour after discovery to their immediate supervisor. An Incident or Malicious Mischief Report shall be prepared, along with a picture of the damage, by a person other than the employee, within 24 hours after discovery and submitted along with the claim for reimbursement.

16.3 DMV PULL NOTICE PROGRAM
Employees whose positions require that they operate vehicles on city business, must possess and maintain a valid California driver's license appropriate for the job and vehicle(s) to be operated. The City will enroll all bargaining unit members in the City's department of motor vehicles employer pull-notice program.

ARTICLE 17: PROBATION

17.1 Probationary Period
Unit members covered by this agreement shall have an initial probationary period of eighteen (18) months of actual service for new officers. The probationary period for promotional positions within the Department and for lateral hires (i.e.• employees who are already possess a basic POST certificate at the time of hire) shall be twelve (12) months. Upon request of the Chief of Police, the Personnel Officer or designee may extend the probationary period of a unit member by a period not to exceed three (3) months. The Personnel Officer or 379
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 24 designees shall notify the Police Chief at least one-and-one-half (1-1/2) months prior to the completion of an employee's probationary period. The Police Chief shall submit to the Personnel Officer an Employee Performance Report (EPR) within thirty (30) calendar days prior to the due date, indicating any concern over the employee's performance which would support the extension of a probationary period.

17.2 Rejection of Probationary Employee
During the probationary period, an employee may be rejected at any time without the right of appeal or recourse to the grievance procedure under this MOU or Section 3.15 of the Personnel Rules. Notification of rejection from probation shall be in writing to the employee. Upon notification of rejection from probation, the employee may request a meeting with the Personnel Officer to review the reasons for rejection. An employee rejected during a promotional or transfer probationary period shall be reinstated to a vacant position, if available, in a_ class from which he/she was promoted or transferred, unless rejected on the basis of charges leading to discharge. If no vacancy exists, the employee may exercise displacement procedures set forth in Section 3.13 of the Personnel Rules.

ARTICLE 18: TUITION REIMBURSEMENT

18.1 The City shall establish a Tuition Reimbursement Program for Police Unit members.

18.2 Subject to the availability of funding, the City will reimburse expenses for tuition, books, and curriculum fees incurred by an employee within the representation unit, to a maximum of Four Hundred Dollars ($400.00) per fiscal year, for classes completed in accredited institutions of learning or approved specialized training groups leading to an academic degree or improved job-related skill. The rate of reimbursement shall be one hundred percent (100%) for completion of job-related courses and fifty percent (50%) for the completion of courses leading to an academic degree. Programs must be approved in advance by the Chief of Police to qualify for reimbursement.

ARTICLE 19: SPECIAL ASSIGNMENTS

19.1 Special Assignments shall be at the discretion of the Chief and shall be for no more than four (4) years. In anticipation of the end of an assignment (either the initial four-year assignment, an assignment which has already been in effect for four or more years, or the end of an additional year as provided below), the Department will announce the assignment opportunity and conduct a test to identify a qualified candidate. If there are no qualified candidates, the Department will extend the incumbent member for one (1) additional year.

This will be done annually for that position to ensure members have access to the position until it is filled by a new member.

The parties agree that elimination of or a change in assignments is a regular part of the assignment process and shall not be deemed disciplinary in nature.

19.2 Effective upon Adoption of the Agreement, an additional five percent (5%) pay allowance shall be awarded for all special assignments, including:

1. Motorcycles

2. Detective

3. School Resources Officer

4. Field Training Officer (normally four, but subject to change per the Chief)

19.3 The parties may establish additional special assignments by mutual agreement 380
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 25

19.4 Bargaining Unit members shall receive special assignment allowance pay for the entire period that they are in an assignment. However, when a Bargaining Unit member is assigned to a higher classification, and is not performing the duties of the special assignment, he/she will not receive special assignment allowance pay.

For example, if a Police Officer is assigned to the special assignment of Detective, and subsequently is assigned an acting assignment as the Patrol Sergeant, he/she stops working as a Detective. The officer no longer earns a Detective pay differential when serving in an acting capacity as a Sergeant. However, if that same officer is assigned to work as a Detective Sergeant, he or she will continue to earn the differential.

19.5 Canine Pay

19. 5.1 Assignment of a canine shall be at the discretion of the Chief. Each employee who is assigned to the duty of feeding, caring for and supervising police dogs, which duty is performed by the employee at his/her home and during hours when he/she is otherwise not on duty with the Police Department, shall be credited with 3.5 hours of overtime per week.

19.5.2 Such additional compensation shall not be paid for any two (2) biweekly periods when such additional duty is not performed by the employee, whether for the reason that the dog assigned to such employee is boarded at a kennel at City expense or otherwise.

19.5.3 The additional compensation provided for in Section 19.5.1 is granted in recognition of the personal investment, duties and responsibilities of the K-9 assignment including the time spent by the unit employee while off duty in the care and maintenance of the assigned canine, which is estimated to be 4.6 hours per week. The additional compensation is based on the expected additional work required for the care of the dog, given the work historically required for such care. This extra compensation is not to be considered premium pay. The City shall pay costs associated with the "Initial Basic Training of Handler and K-9" when an officer is assigned to canine duty.

19.5.4 The City shall either supply or reimburse the officer for the cost of food and medical care (including prescription medication) for the canine.

19.6 Detective On-call Pay
Detectives assigned to be on-call shall be compensated eight (8) hours at the employee's straight time rate of pay (including premiums expressed as a percentage of base pay) for being on-call seven (7) continuous days. In order to be eligible for the on-call pay the detective shall be available to respond to call out requests five (5) of the seven (7) days the detective is on call.

ARTICLE 20: UNIFORM ALLOWANCE

20.1 Allowance
Employees of the Police Department in the classifications of Police Officer and Police Sergeant, who have been so employed for one (1) year or more with the City of East Palo Alto, and are required to wear a uniform, shall be provided an annual uniform allowance of one-thousand, two hundred dollars ($1200.00). The uniform allowance will be paid monthly, on the last full pay period of each month.

For the first year of service, the Police Department shall issue purchase orders for the purchase of two pants, three shirts, one belt, one pair of shoes, one nameplate, and one set of raingear, consisting of a jacket and pants.

20.2 Safety Equipment
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 26 The City shall furnish, at its own expense, all safety equipment required by the City and State Law. Soft body armor, riot helmets and protective gas masks, shall be made available in the manner prescribed in the Department's Operations Manual. Such furnished safety equipment and any and all replacements furnished by the City at any time shall remain the property of and under the control of the City. City shall also furnish ammunition for weapons authorized to be carried on duty by the Chief of Police; supply includes ammunition needed for qualification and on duty use only.

20.3 Plain Clothes Officers
Employees in classifications of Police Officer and Police Sergeant who, in the course of their work, do not wear a uniform, shall be paid an annual clothes allowance of nine hundred dollars ($900.00). The clothing allowance will be paid monthly, on the last full pay period of each month.

20.4 Safety Equipment Standards
City will work with the Association to develop a replacement schedule for safety equipment and vehicles.

ARTICLE21: PREMIUMPAY

21.1 Premium Pay
City agrees to provide qualified employees the following premium payments:

21.1.1 Bi-lingual Pay: On recommendation of the Chief of Police and approval of the City Manager, payment of one hundred and twenty-five dollars ($125.00) per month ($57.70 bi-weekly) will be paid to eligible personnel who are required to use their bilingual skills in the performance of their duties with members of the public in a language other than English. Selection of the language shall be by the City, and all personnel receiving the differential must be certified as proficient by the City.

21.1.2 Intermediate/Advanced POST Certificates:

Police Unit members shall receive a salary adjustment equal to five percent (5%) of hourly base pay for possession of an Intermediate POST Certificate, and shall receive a salary adjustment equal to two and one-half percent (2.5%) of hourly base pay for possession of an Advanced POST Certificate. If a member holds both Intermediate and Advanced POST Certificates he/she will receive a salary adjustment equal to seven and one-half percent (7.5%) of hourly base pay.

It is the employee's responsibility to provide Police Command Staff and the Department of Finance (Support Services Manager) with evidence that they have submitted a complete application to POST. The salary adjustment for Intermediate or Advanced POST will be effective the first full pay period following provision of said evidence. In the event POST does not issue a certificate based on the application provided to Command Staff and the Support Services Manager, the salary adjustment will be null and void and any payments to the employee under this section will be reimbursed through payroll deduction over the same time period as the overpayment.,_

21.1.3 Longevity Pay:
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 27 Police unit members with ten (10) years continuous service with City shall receive a 2.5% increase in compensation. Unit Members will receive these increases in the pay period following the anniversary date often (10) years continuous service with the City. The maximum longevity pay any member can receive shall not exceed two point five percent (2.5%).

ARTICLE 22: OUTSIDE EMPLOYMENT
Employees may engage in other employment or enterprise provided:

1. Such employment does not interfere with required duties or conflict with the City interests; and

2. Such employment is approved in advance in writing by the Chief of Police, reviewed by the City Manager, and a copy filed with the Human Resources Department.

Approval may be denied or revoked for non-compliance with the above provisions.

ARTICLE 23: AUTOMATIC PAYROLL DEPOSIT

23.1 All employees covered by this Agreement shall participate in the City's automatic payroll deposit program by completing a payroll authorization form and submitting the form, along with a voided check or savings de Department. It shall be the employee's choice as to which bank he/she designates as the institution receiving the payroll funds.

23.2 When the authorization form is properly executed and filed with the Finance Department, the City shall automatically deposit in the employee's designated bank account the net amount of pay each designated biweekly payday.

ARTICLE 24: HOURS OF WORK

24.1 Work Schedules
Employees may be assigned to a 5-8 work schedule (five eight-hour days followed by two schedules days off), a 4-10 work schedule (four ten-hour days followed by three scheduled days off), or a 12-hour work schedule (two tours, one week consisting of three (3) twelve-hour days followed by four (4) regularly scheduled days off, second week consisting of four (4) twelve-hour days followed by three (3) regularly scheduled days off). The City will provide POA with notice and an opportunity to meet and confer prior to implementing and new unit schedules (e.g., converting the patrol schedule from 12's to 4-10).

The normal workday shall include on-duty time for a meal break. Missed meal breaks do not result in an overtime entitlement for employees.

24.2 Training

1. Employees assigned to training may have their schedule modified to accommodate the training schedule (e.g., an employee may be shifted to a 4-10 or 5-8 work schedule) but will continue to be entitled to onduty time for a meal break ofup to 1-hour, so long as the on-duty meal break does not result in overtime for the employee. Employees will not be required to use leave time to "make up" for lost hours due to a work schedule modified to accommodate training (e.g., an employee who normal schedule for a week would be 48 hours who is reassigned to a 5-8 schedule for a training week will not be required to use leave time to make up the extra hours).

2. Where an employee's schedule is not changed (e.g., single day or partial week trainings), the employee will be compensated in the following manner: (a) training that falls on a regularly-scheduled workday 383
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 28 will be compensated based on the employee's full shift (including an on-duty meal break ofup to one hour which does not result in overtime); (b) training that falls on a regular day off will be compensated on an hour-for-hour basis (with no on duty meal break).

ARTICLE 25: LAYOFF AND REEMPLOYMENT

25.1 Definition of Layoff
Layoff is defined as the separation of employees from the active work force due to lack of work or funds, organizational or duty changes, or the abolition of positions by the Council. The City Manager shall designate the number and dispositions for layoff as approved by the Council. The decision to layoff shall not be subject to the grievance procedure contained in this Agreement.

25.2 Order of Layoff
Layoff shall be based on seniority in class, which shall be defined as the employee's total continuous time of permanent and probationary employment in the class in which employed. Total continuous time shall include military leave in accordance with State Law. In the event two (2) employees have identical seniority, the employee who had the highest ranking on the employment list for the position currently held shall have precedence. In the absence of a list, the drawing oflots shall decide which employee is senior. No probationary or permanent employee shall be laid off while any temporary employee occupies a position in the same class.

The Human Resources Department shall provide seniority lists before layoff notices are prepared.

25.3 Notice to Employees
Permanent and probationary employees shall receive written notice (to be hand-delivered by the department management whenever possible) stating the reason for layoff a minimum of thirty (30) calendar days prior to the date of expected layoff. Similar notice shall be provided to the affected recognized employee organization representing the classes. With such notice, the employee shall be informed of the procedure to be followed and the rights to which he/she is entitled. The Department shall make every effort to allow employees who are to be laid off reasonable time to seek other employment. Pay for such time off shall be provided to full-time permanent and probationary employees only.

25.4 Displacement Rights
A full-time permanent or probationary employee who is laid off from his/her classification shall be entitled to displace another employee with less seniority in an equal or lower paying classification within the representation unit for which he/she meets the minimum qualifications and in which he/she has held prior permanent status. To successfully displace another employee, an employee must be fully qualified, trained, and capable of performing all work in the new classification. Permanent part-time employees may displace only other permanent part-time employees. When minimum qualifications have increased, the Personnel Officer may temporarily waive the increased requirements if previous successful performance is documented, and provided the requirements are met within a reasonable time.

25.5 Reemployment
Permanent and probationary employees who are laid off, demoted, or who have exercised employment rights set forth in this Rule in lieu of layoff shall have their names placed on reemployment lists for the classification from which laid off and any classifications previously held in order of total continuous time served in probationary and permanent status in the City Service.
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 29 ARTICLE 26: NO STRIKE
The Union agrees that during the term of this Memorandum of Understanding, neither it nor the employees it represents will engage in, encourage, sanction, and/or support, any: (1) strikes; (2) slowdowns;(3) mass resignations; (4) mass absenteeism; and/or (5) picketing, which would involve the suspension of, or interference with, normal work of the Department or other City departments.

ARTICLE 27: SHlFT & VACATION DRAWS AND SPECIAL ASSIGNMENTS Seniority by classification will govern the selection of vacation days and shift selection.

27.1 Shift Bid
Bi-Annual shift bid shall occur in the months of May and November. The May bid will establish shifts for the period from July through December and the November bid will establish shifts for the period from January through June.

27.2 Vacation Bid
One person per side of the week is allowed for the first half of the year.

Officers and sergeants shall be allowed to sign for two contiguous weeks during the first bid.

One officer per all of patrol shall be allowed for the second half of the year.

Officers can select from any available slot for the entire year during vacation bid.

Officers can select additional vacation time after the mid-year (July) shift change.

Sergeants may, with the approval of the Division Commander, allow a team member to take additional vacation time, as long as it is projected that the team will be at or above minimum staffing levels at the time the vacation is approved.

ARTICLE 28: SUPERSEDENCE
The inclusions oflanguage in this Memorandum of Understanding concerning matters formerly governed by City Rules, Regulations, Resolutions and Ordinances shall not be deemed to be a preemption of the entire subject matter. Accordingly, City Rules, Regulations, Resolutions and Ordinances not in conflict with specific provisions of this Agreement shall not be construed to be superseded by this Agreement and shall continue in full force and effect.

ARTICLE 29: SEPARABILITY
Notwithstanding any other provisions ofthis Agreement to the contrary, in the event that any article, or subsections thereof of this Agreement shall be disclosed invalid by any court of competent jurisdictions, or by an applicable State or Federal Law or regulation, or shall a decision by any court of competent jurisdiction or any applicable State or Federal Law or regulation diminish the benefits provided by this Agreement, or impose additional obligations on the City, the parties shall meet and confer or negotiate on the Article or Subsections thereof affected. All other provisions of this Agreement shall continue in full force and effect.

ARTICLE 30: FULL UNDERSTANDING MODIFICATION AND WAIVER
385
It is intended that this Agreement sets forth the full and entire understanding of the parties regardi g the matters set forth herein, and any other prior or existing understanding or agreements by the parties, whether formal or informal, regarding any such matters are hereby superseded or terminated in their entirety.

Except as specifically provided herein, it is agreed and understood that each party hereto voluntarily and unqualifiedly waives its right, and agrees that the other shall not be required, although they may mutually agree otherwise, to negotiate with respect to any subject or matter covered herein during the term of this Agreement.

Nothing herein shall be viewed as restricting or otherwise limiting the employee's rights under the MeyersMilias-Brown Act (Government Code Section 3500 et seq.).

Any agreement, alteration, understanding, variation, waiver, or modification of any of the terms or provisions contained herein shall not be binding upon the parties hereto unless made and executed in writing by all parties hereto, and if required, approved and implemented by the City Council.

The waiver of any breach, term or condition of this Agreement by either party shall not constitute a precedent in the future enforcement of all of its terms and provisions.

ARTICLE 31: TERM
July 1, 2022 to June 30, 2024.

POA Representative(s) and the Chief of Police shall continue to work together to reduce overtime and other costs during the term of this agreement.
386
_____________________________ __________________________ Matthew Taylor Melvin Gaines
Chief Negotiator, MAJ Labor City Manager
________________________ ___________________________
Spencer Lawrence-Emanuel Ana Torres- Mondragon
POA President Human Resources Manager
________________________ ________________________
Elizabeth Ceja Brenna Rowe
POA Bargaining Team Sloan Sakai, Chief Negotiator
_________________________
Salvador Martinez Perez II
POA Bargaining Team
_________________________
Joseph Klein
POA Bargaining Team
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined

MEMORANDUM OF UNDERSTANDING

BETWEEN

THE CITY OF EAST PALO ALTO
AND

EAST PALO ALTO POLICE OFFICERS' ASSOCIATION
Two Year Agreement (July 1, 2022 through June 30, 2024)

PREAMBLE
Having met and conferred in good faith pursuant to the provisions of Government Code Section 3500-3510 the City of East Palo Alto (hereinafter referred to as "CITY") and the Police Officers Association (hereinafter referred to as "ASSOCIATION") have agreed upon this memorandum of understanding ("MOU").

It is the general purpose of this MOU to promote the mutual interest of the City and its employees and to establish rates of pay, and certain other terms and conditions of employment.

ARTICLE 1: RECOGNITION

1.1 Union Recognition

1.1.1 Pursuant to the provisions of the City Employer-Employee Relations Resolution #48-83 and applicable State law, the City of East Palo Alto hereby recognizes the Police Officers Association as the certified majority representative of the employees in each of the classifications listed below:
• Police Officer
• Police Sergeant

1.1.2 The term "employee" or "employees" as used herein shall refer only to individuals employed by the City (excluding temporary and/or contracted) as well as such classes of employees as may be added hereafter through the provisions of the City Employer-Employee Relations Resolution or applicable State law.

1.1.3 The Association agrees to provide the City with a list of Association Officers and representatives who are authorized to meet and confer in good faith or to represent other employees. The Association shall also provide the City with a list of all authorized paid representatives. These lists shall be kept current by the Association.

1.2 Employer Recognition
The City Manager or his/her designee is the representative of the City in employer-employee relations, pursuant to the Employer-Employee Resolution# 48-83 adopted November 21, 1983. 388
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 2 ARTICLE 2: NON-DISCRIMINATOIN
The provisions of this MOU shall be applied equally to all employees covered hereby. Neither the City nor the Association shall unlawfully discriminate against any employee or applicant for employment because of race, creed, color, national origin, sex, sexual orientation, disability, or religious or political opinion or affiliation or legitimate Association activity. In addition, to the extent prohibited by applicable state and federal law, there shall be no discrimination against any disabled person solely because of such disability unless that disability prevents the person(s) from performing the essential functions and duties of the classification.

ARTICLE 3: RIGHTS OF PARTIES

3.1 Management Rights

3.1.1 The City retains, among other management rights, the exclusive right to determine methods, means, and personnel by which City government operations are to be conducted, as well as to exercise complete control and discretion over its organization, operations, and technology of performing its work; to determine the mission, function and necessity of all or part of each of its constituent departments, boards, and commissions and take all necessary actions to carry out their mission, functions and necessity, or any part thereof, as well as set standards of service to the public.

3.1.2 The City also retains the sole right to administer the Human Resource System, to classify or reclassify positions, add or delete positions or classes to or from the authorized strength and Compensation Rate Schedule; to establish standards for employment, promotions, and transfer of employees; to direct its employees, establish rules and regulations, take disciplinary action for proper cause to establish work schedules and work assignments, contract out work, transfer work out of the unit, and to relieve its employees from duty for lack of work or other legitimate reasons. The City retains the right to be the sole judge, subject to its Personnel Rules and Regulations, of the qualification and competence of its officers and employees.

3.1.3 The City reserves the right to take whatever action may be necessary in an emergency situation.

3.1.4 This section is not intended to restrict consultation with employees or employee representative_ about the practical consequences that decisions on these matters may have on wages, hours and other terms and conditions of employment.

3.2 Employee Rights

3.2.1 Employees of the City shall have the right to form, join, and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees shall also have the right to represent themselves individually in their employment relations with the City. No employee shall be interfered with, intimidated, restrained, coerced, unduly influenced or discriminated against because of his/her exercise of these rights.

3.2.2 Management employees shall not represent non-management employees on matters within the scope of representation. Confidential employees shall not represent non-confidential employees on matters within the scope of representation. This provision does not otherwise limit the right of confidential employees to be members of and to hold office in employee organizations of their choice.
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July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 3

3.3 Association Rights
City employees who are Official Representatives or Unit Representatives of the Association shall be given reasonable time off with pay to attend meet-and-confer sessions with Management Representatives, or to be present when unit member grievances are being considered. The use of official time for this purpose shall be reasonable and shall not interfere with the performance of City services as determined by the City Personnel Officer. Whenever possible, such employee representatives shall make a request for excused absence to the Police Chief or his or her designated representative at least two 2 calendar days prior to the scheduled meeting. Except by mutual agreement, the number of employees excused for such purposes shall not exceed two (2).

ARTICLE 4: ASSOCIATION SECURITY

4.1 (a) An employee may at any time execute a payroll deduction authorization form ("Deduction Authorization Form") as furnished by the Association. The Association will be the custodian of record for Deduction Authorization Forms and will provide the City with a written certification that it has and will maintain a Deduction Authorization Form, signed by each individual from whose salary or wages the deduction or reduction is to be made ("Certified List").
(b) The City will direct employee requests to authorize deduction(s), or requests to cancel or change status regarding such deduction(s), to the Association. The Association shall not be required to provide the City a copy of the Deduction Authorization Form unless a dispute arises about the existence or terms of the authorization.

However, the Association will provide the City with a Certified List with sufficient information to allow the City to identify the appropriate level of deduction for each member. (c) The City will deduct membership dues and insurance premiums from employees in the above-mentioned classifications in the first full payroll period after receipt of the Deduction Authorization Form from the Association.
(d) Deductions may be revoked only pursuant to the terms of the member's written authorization. The City shall direct member requests to cancel or change deductions to the Association and shall rely on information provided by the Association regarding whether deductions for a member were properly canceled or changed. However, the parties agree that the City shall automatically cease deductions for any member who is no longer employed in a classification represented by the Association.
(e) Consistent with state law, the Association shall indemnify and save harmless the City, its officers and employees, for (1) any claims made by an employee for deductions made in reliance on the Association's Certified List or a Deduction Authorization Form and (2) any claims made by an employee for deductions made in reliance on information provided by the Association regarding changes or cancellations to the deduction authorization.

4.2 New Hire Orientation
(a) Within five (5) days of hiring a new Bargaining Unit employee, the City will notify the Association in writing of such employment, giving the following information for the new employee: name; date of hire; and job classification. The City will provide the following if the employee has provided this information: home or personal cellular telephone number; personal email address; and mailing address. (b) During the Department's new hire orientation process, the Department will give the Association access to the employee during their normal work hours, in coordination with the Administrative Sergeant.

4.3 An Employee who is a member of the Association's bargaining team and who attends the regularly scheduled bargaining sessions between the City and the Association shall receive release time conditioned on the following:
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July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 4

4.3.1 Release Time: Means the release from regularly scheduled duty to attend with pay bargaining sessions between the City and the Association's bargaining team during on-duty-time. Release time is time worked.

4.3.2 Hours Eligible for Release Time: Means only those hours scheduled and actually spent in bargaining sessions between the City and the Association on days the Association member is scheduled to work. Hours spent in negotiations in excess of the number the employee was scheduled to work that day, or hours spent in negotiations on a non-duty day, shall not be counted for pay purposes or as hours worked.

4.3.3 Each POA bargaining team member shall notify his/her supervisors of the scheduled time, date and place of the bargaining session between the City and the Association as soon as a session is scheduled and shall re-notify the supervisor at least 72 hours in advance of the bargaining session.

4.4 Scheduled on-duty personnel will be expected to report for duty prior to a scheduled negotiation session unless the start of the shift is the same as the scheduled start of the negotiation session. On-duty personnel shall report for duty after the end of a bargaining session unless the bargaining session exceeds the scheduled duty day. The bargaining session ends when either the City or Association indicates the meeting is over.

4.5 The City shall provide an aggregate of up to ten (10) days off without pay for Association officers to attend seminars or conduct Association business. Such leave without pay must be scheduled and approved in advance by the Police Chief or his/her designated representative. The department retains the right to deny a leave or cancel a leave when such leave will result in an uncovered work assignment or cause overtime. The City shall establish a release time bank for the Association's elected officers. Bargaining unit members may contribute vacation or Compensatory Time Off (CTO) time in full-day increments to the release time bank. This leave will be converted to release time on an hour-for-hour basis. The Association shall designate elected officers who may use the time in the release time bank. Release time shall continue to be at the discretion of the supervisor and shall not be permitted if its use would incur overtime.

ARTICLE 5: BULLETIN BOARDS

5.1 The City shall provide designated bulletin board space on existing bulletin boards for the Association, the size and location to be determined jointly by departmental management and the Association. All materials to be posted must be non-defamatory in nature, must be approved, dated, and signed by an Association official and shall be for the benefit of the membership. Appropriate postings include, but are not limited to the following subjects:

1. Association recreational, social and related news bulletins;

2. Scheduled meetings;

3. Information concerning Association elections or the results thereof; and

4. Reports of official business of the Association, including reports of committees or the Board of Directors.

5.2 Materials posted on the bulletin board shall be removed consistent with Departmental Policy.

5.3 In cases where the Association shares space with employees of another bargaining group, in whole or part, 391
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 5 the space described above will become the bulletin board space for employees represented by each bargaining group. In the event that there is insufficient bulletin board space for both unions, the parties shall meet to discuss appropriate allocation of space.

ARTICLE 6: REOPENER ON HEALTH AND WELFARE

6. 1 Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and

3. The Benefits Committee will commence no later than September 30, 2022. The Committee will be composed of City labor representatives, not to exceed four (4) representatives and four (alternates) from each participating labor organization and four (4) City representatives. These names will be provide to the City no later than August 31, 2022.

4. Any changes to sworn members’ benefits must be consented to by the POA and made in writing, through the meet and confer process.
6 Retiree Medical Trust

6.2.1 During the term of the MOU, the POA may enter into an agreement to participate in an established Retiree Medical Trust with no City contribution.

6.2.2 The City will not be signatory to the trust and its responsibilities will be limited to deducting employee contributions and remitting funds to the trust.

ARTICLE 7: MEDICAL AND DENTAL COVERAGE

7.1 Medical Coverage

7.1.1 Employee Coverage:

The City agrees to provide a medical insurance plan or plans (if more than one is available) for eligible employees covered by this bargaining unit. For those employees electing to have employee-only coverage under the City's existing medical plans, the City shall contribute up to the full cost of the employee-only level based on the Kaiser Permanente HMO 8747A premiums.

Eligible employees may select coverage from among the available options. Any premiums in excess of the Kaiser Permanente HMO 8747A plan will be paid by the employee.

7.1.2 Dependent Coverage:

A. Employees may insure their eligible dependents (including registered domestic partners) under the medical plans provided by the City, in accordance with the rules and regulations applicable to obtaining said dependent coverage.

B. The City shall contribute up to eighty percent (80%) of the premium of the Kaiser 392
July 1, 2022 - June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 6 Permanente HMO 8747A medical plan for those employees electing to have dependent medical coverage under the City's existing medical plans. The employee shall be responsible for the remaining premium for the selected medical coverage, payable through bi-weekly payroll deductions.

7.2 Dental Coverage

7.2.1 Employee Coverage:
393
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 7 A The City agrees to provide a dental insurance plan or plans (if more than one is available) for its employees covered by this bargaining unit. The City shall contribute the full cost of the employee-only level for the dental plan selected by the employee. The contributions are based on regular full-time employment; part-time employees shall receive a prorated contribution based on their percentage of full-time equivalent.

B. Maximum Delta Dental payout per calendar year shall be $2,000.

C. Co-payment for Crown and Cast Restoration, and Prosthodontic benefits shall be 80/20; with the twenty percent (20%) share the responsibility of the employee.

7.2.2 Dependent Coverage:

A. Employee may insure their eligible dependents (including registered domestic partners as defined by State law) under the dental plan(s) in accordance with the rules and regulations applicable to obtaining said dependent coverage.

ARTICLE 8: MEDICAL & DENTAL INSURANCE COVERAGE DURING LEAVES OF ABSENCE Employees who are placed on unpaid or paid leave of absence resulting from a medical condition including injury, illness, pregnancy or childbirth shall receive the City contribution toward medical and dental plan coverage for a leave as required by state and federal law. Premium amounts exceeding the City contribution and for dependents shall be the responsibility of the employee during the leave period. The City will continue to make its contribution toward health coverage while paid leave is being used and until such time as the paid leave is exhausted.
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 8 ARTICLE 9: WAGES & RETIREMENT

9.1 Wages

9.1.1 COLAS.
• 10% Effective the later of City Council adoption or July 1, 2022 • 5% Effective the later of City Council adoption or July 1, 2023

9.1.2 Lump Sum:

Individuals who are members of the bargaining unit represented by POA during the first pay period following City Council adoption of the resolution authorizing amendments to the MOU and who continue to be members of the bargaining unit as of last pay period in November 2022 will receive a one-time lump sum payment of $10,000. The Parties intend and understand that this lump sum payment is nonpensionable and will not be reported to CalPERS. The parties also agree that this payment is intended to be specific to the pay period in which it is paid and is to be considered part of the regular rate for this pay period only.

9.2 Step Increases

9.2.1 Employees initially appointed to the first step of the salary range of their classification shall be entitled to a merit increase to the next higher step in the pay range upon successful completion of six (6) months of actual initial or promotional probationary service, so long as they receive a satisfactory performance evaluation. The date of such increase shall be the first full pay period following the evaluation date.

9.2.2 Employees may be appointed to any step in the salary schedule for their classification as recommended by the Chief of Police and approved by the City Manager. Employees appointed to the second step and above are eligible to receive a merit increase the first full pay period following successful completion of twelve (12) months of actual service, so long as they receive a satisfactory performance evaluation.

9.2.3 Each twelve (12) months of actual service after the evaluation date, each employee receiving a satisfactory performance evaluation shall receive a merit increase to the next higher step (effective the first full pay period following the evaluation date) until the top step of the pay range for the job class has been reached. An employee shall not receive a merit increase beyond the maximum steps established for the job classification.

9.2.4 For purposes of this section, an employee who has not received any performance evaluation as of the evaluation date shall be deemed to have received a satisfactory performance evaluation effective the evaluation date. However, the evaluation must still be completed in a timely manner. Nothing in this section shall limit the employer's ability to take disciplinary or other action for performance issues which occur during a time period when no performance evaluation was completed.

9.3 Effect of Promotion, Demotion or Transfer on Salaries

9.3.1 Pay Following Promotion
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 9 An employee promoted to a higher-paid classification shall be assigned to the first step in the new pay range or at the step which equals no less than a five percent (5%) increase over his/her 396
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 10 current base pay rate, whichever is more, provided the maximum pay step for the new range is not exceeded.

9.3.2 Pay Following Demotion
An employee involuntarily demoted to a lower-paid classification shall be assigned to a step in the new pay range recommended by the Chief of Police and approved by the City Manager. An employee voluntarily demoted shall be paid at the step of the new pay range closest to the employee's base pay in the higher-paid classification, but not exceeding the maximum step in the range.

9.3.3 Pay Following Transfer
An employee transferred to a position within the same classification or to another classification with the same pay range shall retain the same rate of base pay and the same evaluation date. A merit increase shall not be applicable at the successful completion of any probation or evaluation period required as a result of a transfer.

9.4 Working Out of Classification
An employee who is officially designated by their department head and approved by the City Manager to perform all, or substantially all, of the duties of a higher paid classification, shall be paid at the step of the higher pay range or at the first step which is not less than five percent (5%) more than his/her current base rate after a full shift served in the higher paid classification.

Once an employee has worked in the acting assignment for a full shift , he or she shall be entitled to acting pay for the entire length of the assignment, retroactive to the first day of the assignment, including applicable overtime.

However, overtime shall not be paid for employees Working Out of Class in FLSA exempt assignments Example 1: Employee 1 is a Police Officer assigned to work out of class as a Sergeant for a full shift on Employee 1’s regular day off. Employee 1 will be paid at the step of a Sergeant pay range which is not less than five percent (5%) more than his/her current base rate, including overtime for hours worked in an overtime capacity.

Example 2: Employee 2 is a Sergeant assigned to work out of class as a Commander for a full shift. Employee 2 will be paid at the step of the Commander pay range which is not less than five percent (5%) more than his/her current base rate, but will not earn overtime when acting as a Commander.

9.5 Shift Changes
The Chief of Police shall post shift changes fourteen (14) days in advance of such change, subject only to exigent circumstances as determined by the Chief of Police or his/her authorized designee. Said exigent circumstances shall be explained to affected personnel in writing and/or posted where such notices are customarily located in the department.

9.6 Retirement
Tier 1
Employees who do not meet the definition of "new employees," as defined by the Public Employees' Retirement System (PERS) shall be subject to the 3% @ 55 retirement formula. Tier 1 Employees will continue to pay the employee contribution of 9%.

Tier2
For new employees, as defined by the Public Employees' Retirement System {PERS), hired on or after January 1, 2013, retirement benefits shall be those established by the Public Employees' Retirement System (PERS) for 397
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 11 Local Safety Members, with a 2.7% at age 57 retirement formula based upon an average of the three (3) highest years of compensation. Employees will pay the full employee contribution (50% of the Normal Cost of the benefit).

9.7 Timesheets
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 12 It is the employee's responsibility to fill out their own timesheet. If an employee is unable to fill out his/her timesheet in person, that employee shall communicate with his/her supervisor who (upon authorization from the employee) will fill out the timesheet for that employee. If a member neglects to fill out his or her timesheet, their paycheck may be incorrect and will not be resolved until the payroll period after the employee submits an accurate timesheet and notifies the Department of the error.

9.8 Overpayments
Employees will be notified by Payroll or Human Resources prior to the recovery of overpayments on paychecks. Such Notice will include the Option for the employee either to make payment through payment/deduction in a lump sum or through biweekly deductions over a specified timeframe. Employees shall be granted at the minimum, the same number of pay periods for repayment as occurred during the overpayment. In the event the repayment constitutes an excessive burden on the employee, he/she shall be permitted the opportunity to meet with the city to develop a mutually agreeable repayment plan.

Following notice to the overpaid employee, the employee shall have five (5) days in which to submit in writing a request for a grace period for repayment. No grace period shall be allowed for an overpayment of five hundred dollars ($500.00) or less. The grace period shall not exceed two (2) pay periods. The City shall not unreasonably deny a request for a grace period.

If an overpaid employee does not make a written request for a grace period as set forth in this section, or at the expiration of the grace period, the overpaid monies shall be repaid to the City via biweekly deductions pursuant to the Option selected by the employee. If the employee has not selected a repayment Option, repayment shall be made over the time period the City deems appropriate.

Upon separation of employment, the overpaid employee's grace period is automatically terminated, and any remaining amounts of overpayments shall be deducted from the separated employee's final paycheck.

ARTICLE 10: GRIEVANCE PROCEDURE

10.1 Grievance Defined
A grievance is defined as an allegation by an employee, group of employees, or the Association that the Employer has failed to provide a condition of employment as required by Memorandum of Understanding, written departmental rules, or written City Rules and Regulations, provided that the enjoyment of such right is not made subject to the discretion of the Police Chief or the City by terms of Memorandum of Understanding or lawt and, provided further, that the condition of employment which is the subject matter within the scope of representation as defined in California Government Code Section 3504.

10.2 Grievance Procedure
Step 1. Informal Discussion.

An employee shall discuss the act in dispute with his/her immediate supervisor no later than seven (7) calendar days after the event giving rise to the dispute, or no later than seven (7) calendar days after the employee knew or reasonably should have known of the event giving rise to the grievance. The Supervisor shall give the employee an oral reply within fifteen (15) calendar days after the discussion. If the employee is 399
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 13 not satisfied with the response, he/she may proceed to Step 2.

Step 2. Division Head.

Any dispute not resolved at Step 1 may be submitted to the Division Head in writing, citing the specific provision of this Agreement in dispute and setting the desired solution within fifteen (15) calendar days after the Supervisor's response. A copy shall be provided to the Immediate Supervisor and the Personnel Officer. Within fifteen (15) calendar days thereafter, a meeting shall be scheduled with the employee by the Division Head.2..who shall attempt to resolve the matter. The Division Head shall give the employee a written reply within fifteen (15) calendar days after such meeting and shall file a copy with the Personnel Officer. If the employee is not satisfied with the response, he/she may proceed to Step 3. Employees who are supervised directly by Chief of Police shall by-pass Step 2 and proceed directly to Step 3.

Step 3. Chief of Police.

Any dispute not resolved at Step 2 may be submitted in writing to the Chief of Police within fifteen (15) calendar days of the division head's response, with a copy to the Immediate Supervisor and the Personnel Officer. Within fifteen (15) calendar days thereafter, a meeting shall be scheduled with the employee by the Chief of Police, who shall attempt to resolve the matter. The Chief of Police shall give the employee a written reply within fifteen (15) calendar days after the meeting and file a copy with the Personnel Officer. If the employee is not satisfied with the response, he/she may proceed to Step 4.

Step 4. Final Level of Review.

If the POA is not satisfied with the Chief of Police's response, it may appeal the dispute to advisory arbitration in writing within fifteen (15) calendar days after the date of the Step 3 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list ofseven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. If the City and the Association cannot agree within five (5) calendar days after receipt of such list on one of seven (7) persons to act as the arbitrator, they shall alternately strike names from the list until one name remains and that person shall then become the arbitrator. The party making the first strike shall be determined by a flip of a coin.

Costs for the arbitration (including the cost of the list, arbitrator fees, and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative. The decision of the arbitrator shall be advisory to the City Manager. The City Manager or designee shall have ten (10) calendar days after the service of the decision to notify the Union of his decision either to adopt or revoke the decision of the arbitrator.

If the City Manager or designee takes no action within the ten (10) calendar day period, the City Manager shall be deemed to have adopted the decision. A decision adopted by the City Manager or designee will be final and binding upon the parties. A decision revoked by the City Manager or designee shall be deemed to have no effect and the Step 3 reply shall be final and binding upon the parties.

ARTICLE 11: LEAVES

11.1 Sick Leave

11.1.1 Intent
Sick leave shall be allowed and used only in case of actual personal sickness or disability, medical or dental treatment, family illness and injuryt and as an income supplement to Workers' 400
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 14 Compensation payments. Sick leave shall not be considered as a right which an employee may use at his/her discretion, but shall be allowed only in case of necessity as described herein.

Employees shall not be entitled to sick leave for sickness or injury during leave of absence without pay. This section is intended to be interpreted in a manner consistent with the provisions of the Family Medical Leave Act and the California Family Rights Act.

11.1.2 Accrual
Full-time, regular and probationary employees shall accrue sick leave at the rate of three and seven-tenths (3.7) hours per bi-weekly pay period of actual service. Part-time, regular employees who customarily work at least twenty (20) hours per week shall receive a pro-rated sick leave accrual based on actual hours worked each bi-weekly pay period.

11.1.3 Employees may accumulate and carry over the full amount of unused accrued sick leave from calendar year to calendar year. There shall be no upper limit on the accumulation of sick leave.

11.1.4 Use of Sick Leave
A. Off-duty employees who become sick or injured and unable to report to work must notify the· Department no later than one (1) hour prior to their next scheduled shift.

B. Employees shall report their sick leave status to their on-duty supervisor, or in his/her absence, to the Watch Commander. The Supervisor receiving the notification shall complete an "Absentee Report" form and insure that form is forwarded to the appropriate Commander or Supervisor.

C. Employees who become sick while on duty, not related to their work, and are unable to continue working shall notify their immediate supervisor prior to going home. The supervisorshall notify the Division Commander and complete an Absentee Report.

D. When a supervisor has a reasonable suspicion of sick leave abuse or for employees who have been on sick leave for more than three (3) consecutive calendar days they are required to present written verification of inability to work signed by a treating physician or other health care provider to their immediate supervisor upon returning to work. The written verification must also include a release for the employee to return to work, together with any restrictions.

That Supervisor shall attach the medical verification to the completed Absentee Report form and forward both to the Administrative Division. The City reserves the right to determine whether it can reasonably accommodate the employee's work restrictions.

E. Employees may use sick leave for the illness or injury of a member of the employee's immediate household.

11.2 Bereavement Leave

11.2.1 Bereavement Leave
Employees shall be entitled up to three (3) calendar days of paid leave for an occurrence of death 401
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 15 or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager and charged to the employee's available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above. Request for funeral/emergency leave must be in writing, state the relationship of the family member, and be approved in advance by the Chief of Police and City Manager. In special emergencies, an employee may request formal approval after the fact; if approved, leave records shall be adjusted accordingly. Death following a serious illness shall generally be regarded as one (1) occurrence; however, the Chief shall be responsible for recommending otherwise when, in his/her judgment, the nature or severity of the illness and/or lapse of time warrants.

11.2.2. Immediate Family
Immediate family shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, unole, aunt, nephew, niece, grandparent, grandchild, and cousin.

Immediate Family shall also include registered domestic partners.

11.3 Disability Leave

11.3.1 Sworn Police Unit personnel who are unable to work due to an injury or illness arising out of and in the cause of his/her duties which is declared to be compensable under the State of California Workers' Compensation Law, shall be granted industrial disability leave and temporary disability benefits in accordance with Section 4850 of the California Labor Code.

11.3.2 Employees on an extended leave of absence for 4850 (medical), sick leave, FMLA, or Administrative Leave shall be assigned to the Professional Standards Unit (PSU) and be considered working a Day shift Monday through Friday administration schedule (either 80-hours or 84-hours consistent with their schedule prior to being placed on leave) after their first full pay period of absence.

Employees on an 80-hour workweek schedule will be scheduled as 8am-4pm, Monday through Friday.

Employees on an 84-hour workweek schedule will be scheduled as 8am-4pm on Monday, Thursday and Friday. On Tuesday and Wednesday, they will be scheduled as 8am-5pm to give them the 84 hours per pay period.

11.4 Military Leave

11.4.1 Military leave shall be granted by the City in accordance with the provisions of State and Federal Laws and there may be a deduction for any military compensation that the employee receives for service during the period that he is receiving full pay from the City, to the extent permitted by law. All employees taking military leave shall give the City an opportunity, within the limits of military regulations, to determine when such military leave shall be taken.

11.4.2 An employee returning from military leave may be required to pass a medical examination to be paid by the City, and shall be required to submit proof of actual service before returning to work.

11.4.3 This provision will sunset and be deleted from this MOU once the parties reach agreement on a City Policy covering this issue.

11.5 Leave of Absence
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 16

11.5.1 When determined to be in the best interests of the employee and the City, the City Manager may approve a leave of absence without pay for a regular or probationary employee for a period up to six (6) months. Such leave is a privilege, not a right, and must be requested in writing by the employee, stating the reason and requested dates, and must be recommended by the Chief of Police. The request shall include the address and the phone number where the employee may be contacted during the leave, if approved.

11.5.2 Leave for one (1) calendar week or less may be granted by the Chief of Police upon his/her determination that such leave is justified.

11.5.3 Employee benefits shall not be continued during leave in excess of one (1) calendar week unless any insurance contract provisions permit and the employee agrees in writing to pay the total monthly cost or a portion thereof, as appropriate, by a method satisfactory to the Finance Director. Benefits not paid as agreed shall terminate. Employees on leave of absence without pay in excess of one (1) calendar week shall not accrue leave nor service credit, but shall retain unused accruals as of the date leave began. Employees on leave in excess of thirty (30) calendar days shall return City property as set forth in Section 3.13.06 of the Personnel Policies and Procedures.

11.5.4 An employee returning to the same classification from which he/she took leave shall be paid at the current rate in the same step and range of the class in which employed.

11.5.5 An employee on leave shall confirm in advance of the leave expiration date his/her intention to return. An employee who fails to report promptly at the expiration of his/her leave without sufficient cause shall be subject to disciplinary action and possible termination of his/her right to continued employment. A leave of absence may be revoked by the City Manager upon a determination that the reason for leave was not stated and did not serve the City's best interests.

ARTICLE 12: VACATION

12.1 Vacation Accumulation
An employee with less than ten (10) years of consecutive City service shall not accumulate more than twohundred and eighty-eight (288) hours of vacation. An employee with more than ten (10) years of consecutive City service shall not accumulate more than three-hundred and twenty (320) hours of vacation. Once the accrual cap is reached, an employee will not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage or cash out. An employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date.

The Chief of Police shall give employees reasonable advance notice if vacation leave will conflict with the department needs and shall advise the City Manager if vacation denial is the reason for employee's deferral request. Requests for deferring vacation use must be presented to the City Manager prior to the start of the vacation unless the vacation is cancelled by the Department, in which case the deferral request must be presented to the City Manager within thirty (30) calendar days after the vacation was originally scheduled to start. In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must 403
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 17 be used.

12.2 Crediting Vacation
Full-time employees, excluding seasonal and temporary, shall be credited with vacation as follows:

Minimum Continuous Service
0-4.99 years:
5-9.99 years:
10-14.99 years:
15-plus years:

12.3 Use of Vacation
Amount of Vacation Earned Annually
80 hours (3.08 hrs bi-weekly)
120 hours (4.62 hrs bi-weekly)
160 hours (6.15 hrs bi-weekly)
200 hours (7.69 hrs bi-weekly)
The time at which an employee may use vacation leave and the amount to be taken at any one time shall be determined by the Chief or designee with particular regard for the needs of the City and, insofar as possible, considering the wishes of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the Personnel Officer. Said approval of vacation leave shall not be unreasonably withheld.

In addition, the Chief or designee may require any unit member to use up to two weeks of vacation for operational reasons, including the good of the Department. Unlike other paid leaves, mandatory vacation under this paragraph shall be deemed hours worked for overtime purposes.

12.4 Vacation Cash out
Members of the bargaining unit may make an irrevocable election to cash out vacation during the month of December each year. To qualify for vacation cash out, an employee must have more than eighty (80) hours of accrued vacation. Bargaining unit members may cash out up to a maximum of eighty (80) hours of vacation, so long as the member maintains a balance of at least eighty (80) hours. Elections will be cashed out in December the following year.

12.5 Work During Vacation
Employees shall not work for the City or be called back during vacation leave except in an emergency as determined by the Chief of Police and approved by the City Manager. An employee required to work shall not be charged for leave and shall be compensated as if working on his/her regular schedule.

ARTICLE 13: HOLIDAYS

13.1 The City recognize the following thirteen (13) holidays (note: holidays are recognized on the identified dates, even if they fall on a weekend):

Holiday
New Year's Day
Martin Luther King Birthday
Lincoln's Birthday
Washington's Birthday
Cesar Chavez Day
Memorial Day
Juneteenth
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 18 Date Recognized
January 1st
3rd Monday
in January
February
12th
3rd
Mon
day
in
Febr
uary
last
Mon
day
in
Marc
h last
Mon
day
in
May
June
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 19 Independence Day
Labor Day
Veteran's Day
Thanksgiving Day
Day after Thanksgiving
Christmas Day
July 4th
1st Monday in September
November 11th
4th Thursday in November
4th Friday in November
December 25th

13.2 Each bargaining unit employee in paid status the day before and the day after a recognized holiday will receive eight (8) hours of Holiday Leave for that holiday. Holiday Leave will be credited in the pay period in which the holiday falls.

Example: Christmas Day falls on a Saturday. For purposes of this MOU, the holiday is recognized on that day, even though City Hall may be closed on the preceding Friday. Each bargaining unit member will be credited eight (8) hours of Holiday Leave during the pay period in which Christmas Day falls.

13.3 Holiday Leave is paid time off and may be scheduled in the same manner as an employee schedules vacation. Any bargaining unit member who is not required to work on a designated holiday may use Holiday Leave, Vacation, CTO, or other discretionary leave to cover the holiday.

Example: An officer assigned to CID is not required to work on Thanksgiving Day. The Officer has a bank of twenty (20) hours of Holiday Leave. The Officer may use ten (10) hours of Holiday Leave or other discretionary leave to cover that absence.

13.4 Employees may make an irrevocable election to cash out up to forty-eight (48) hours of Holiday Leave in the first pay period of December each year.

13.5 Employees may accrue a maximum of one hundred-four (104) hours of holiday leave. Once employees have reached the maximum, they will no longer accrue Holiday Leave.

13.6 Holiday leave will be cashed out (at the employee's salary rate before promotion) upon promotion.

13.7 Employees required to work on a holiday which is not their regularly scheduled workday will be paid overtime consistent with Section 15.2 of this MOU.

13.8 Employee may cash-out an additional twelve (12) hours of Holiday Leave per pay period; however, the employee is required to make the request in accordance with the IRS constructive right of receipt rules. This is subject to written pre-approval by the Chief and or designee. Should a request be denied, the request may be appealed to the City Manager.

13.9 Detectives
Detectives are not regularly scheduled to work on designated holidays. However, individual detectives may request to work specific holidays. Except where exigent circumstances preclude it (e.g., the sudden availability of a witness), such request shall be made no more than two weeks prior to the date of the holiday. The Commander will determine whether to authorize work on the holiday. Work on a requested holiday shall be paid at straight time. Nothing in this section affects the Department's existing ability to reassign or callback employees on designated holidays.

ARTICLE 14: LEAVE DONATION
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 20

14.1 Employees shall be eligible to participate as donors and recipients in the leave donation program, which 407
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 21 provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness or injury. This program allows a regular City employee represented by the Association to donate, on an hour-forhour basis, accrued vacation, or Compensatory Time Off hours to a specific, eligible employee who has exhausted his/her own available leave balances. Catastrophic illness or injury is defined as the employee's own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee's immediate family member who has a catastrophic illness or injury (as verified by a physician's statement).

14.2 To receive leave donations, an employee:

14.2.1 Must have been employed in a regular position for a minimum of one year; and

14.2.2 Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician's statement); or be absent from work in order to attend his/her immediate family member who has a catastrophic illness or injury (as verified by a physician's statement); and

14.2.3. Must have exhausted all earned leave balances (including sick leave (ifrelated to the employee's own illness), vacation, overtime and CTO accruals. However, the Personnel Officer may approve the solicitation/acceptance of leave donations prior to all balances being exhausted, when the physician's statement and leave balance indicate the probable exhaustion of balances within two pay periods.

14.3 Donations:

1. Are voluntary;

2. Are made from accrued vacation and/or CTO balances;

3. May not be made through_donation of sick leave;

4. Must be for a minimum of eight (8) hours, in whole hour increments;

5. Are irrevocable, and

6. Are taxable on the part of the recipient, in accordance with IRS regulations, and are subject to withholding as required by law.

14.4 Donations shall be processed in the order received. However, a donor's leave shall not be reduced until the recipient actually uses the leave. Unused donations shall remain with the donor.

14.5 An employee may not donate more than eighty (80) hours to any other individual employee.

14.6 The total donations received into his/her vacation balance by an employee shall normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered and approved by the Personnel Officer.

14.7 Upon approval of a request for donations, the Personnel Officer (or his/her designee) shall, at the employee's request, post a notice of the eligible employee's need for donations on departmental bulletin boards accessible to employees; confidential medical information shall not be included in the notice.

14.8 Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City's management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.

14.9This provision will sunset and be deleted from this MOU once the parties reach agreement on a City Policy covering this issue.

ARTICLE 15: OVERTIME
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 22

15.1 The City shall determine those classifications eligible for overtime compensation. Regular full-time employees in those classifications represented by the Association when properly authorized in advance by the Department Head or his/her designated representative shall receive overtime compensation in accordance with the following provisions.

Employees working in exempt positions (either as a regular assignment or when working out of class) shall not qualify for overtime.

15.2 Except as provided below, overtime for eligible employees shall be defined as follows:

15.2.1 For employees assigned to a 12/84 work schedule, work in excess of eighty-four (84) hours in a fourteen (14) day work period, exclusive of stand-by and call-back pay.

15.2.2. For all other employees represented by the Association, that time worked in excess of forty (40) hours in a seven day work period, exclusive of stand-by and call back pay, provided, however, such law enforcement personnel in attendance at the P.O.S.T or F.B.I academies shall accrue overtime for hours worked in excess of 240 hours in a 28-day cycle. Such cycle shall be established by the City. For the purpose of computing overtime, all regular, scheduled work hours including paid leave time shall be considered time worked.

15.2.3 For the purpose of computing overtime, all regularly scheduled work hours, including paid leave time, shall be considered time worked.

15.3 Overtime is compensable at the rate of time and one-half the regular hourly rate, computed in accordance with FLSA. Hours worked shall accrue in increments of one tenth (1/10) of an hour (6 minutes), subject to a minimum of two-tenths (2/10) of an hour (12 minutes).

15.4 Overtime shall be placed in a compensatory time off (CTO) account or paid in the pay period in which earned at the discretion of the Chief of Police or his/her designated representative. The maximum allowable balance in the CTO account shall be 120 hours. Employees will not be permitted to accrue additional CTO over the 120 hour cap. In the event that an employee accrues more than 120 hours, any hours in excess of 120 will be paid out no later than the next full pay period.

CTO will be cashed out (at the employee's salary rate before promotion) upon promotion.

15.5 When an employee wishes to take compensatory time off and requests time off at least ninety-six hours prior to the time such hours would be taken off, the Chief of Police will make every effort to comply with the employee's request. Approval of this request is subject to a determination by the Chief of Police of whether or not it would unduly disrupt the operations of the department. Compensatory time off shall be used before any leaves-of-absence-without pay and granted pursuant to the City Policies and Procedures.

15.6 All unused hours in the compensatory overtime account shall be cashed out in the last full pay period including December at the employee's regular rate of pay.

15.7 Computation of probationary periods, retirement benefits, sick leave, vacation time, merit increase periods, or other similarly computed periods of benefits shall be based only on regularly scheduled hours of work, and shall not include overtime hours worked.

15.8 When an employee is off duty, not on standby, and called back to work, said employee shall be given credit for at least four (4) hours of work time.

15.9 Court Standby
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 23 Sworn employees off-duty and under subpoena for a criminal case shall receive 2 hours of overtime standby pay at the rate of time and one-half of the employee's straight time rate of pay (including premiums expressed as a percentage of base pay) if they are off-duty during the entire time court is in session. For the purpose of this issue, court is deemed to be in session starting at 9 am and concluding at 5 pm. Members placed on standby status by the district attorney are required to have the subpoena renewed after five court days if they are still on stand-by status.

Members under subpoena in a civil matter must require the Attorney of record on the subpoena to deposit the required funds in the form of a cashier's check to the City of East Palo Alto to cover the five days in advance of the court date.

15.10 Court Callback
Sworn employees subpoenaed to court as an Officer of the City during off-duty hours shall be compensated for such court time at the rate of time and one-half (1-1/2) the employee's regular rate of pay. For said court time, employees shall be paid a minimum of four (4) hours at the premium rate specified above. Court time in excess of four (4) hours shall be compensated at the premium rate specified above on the basis of hours actually spent at the court and charged in thirty (30) minute increments. The employee must be off-duty to qualify for court time pay and shall submit an Overtime Request Form.

Employees receiving court callback pay do not qualify for court standby pay.

ARTICLE 16: VEHICLE DAMAGE REIMBURSEMENT

16.1 The City has provided a secured parking location for officers' privately owned vehicles.

16.2 In the event (a) the City ceases providing a secure parking area, or there are no available spaces in the secured parking area, and (b) an officer's privately owned vehicle is vandalized outside a secured parking area while the officer is on-duty, City agrees to pay a maximum of$250 per incident, up to a maximum of $1,000 per year per officer toward the cost of any deductible owed to the officer's insurance company.

Said payment will be made to the officer upon submittal of proof of insurance and of deductible owed.

An officer who discovers that his/her car has been vandalized shall report such damage within one (1) hour after discovery to their immediate supervisor. An Incident or Malicious Mischief Report shall be prepared, along with a picture of the damage, by a person other than the employee, within 24 hours after discovery and submitted along with the claim for reimbursement.

16.3 DMV PULL NOTICE PROGRAM
Employees whose positions require that they operate vehicles on city business, must possess and maintain a valid California driver's license appropriate for the job and vehicle(s) to be operated. The City will enroll all bargaining unit members in the City's department of motor vehicles employer pull-notice program.

ARTICLE 17: PROBATION

17.1 Probationary Period
Unit members covered by this agreement shall have an initial probationary period of eighteen (18) months of actual service for new officers. The probationary period for promotional positions within the Department and for lateral hires (i.e.• employees who are already possess a basic POST certificate at the time of hire) shall be twelve (12) months. Upon request of the Chief of Police, the Personnel Officer or designee may extend the probationary period of a unit member by a period not to exceed three (3) months. The Personnel Officer or 410
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 24 designees shall notify the Police Chief at least one-and-one-half (1-1/2) months prior to the completion of an employee's probationary period. The Police Chief shall submit to the Personnel Officer an Employee Performance Report (EPR) within thirty (30) calendar days prior to the due date, indicating any concern over the employee's performance which would support the extension of a probationary period.

17.2 Rejection of Probationary Employee
During the probationary period, an employee may be rejected at any time without the right of appeal or recourse to the grievance procedure under this MOU or Section 3.15 of the Personnel Rules. Notification of rejection from probation shall be in writing to the employee. Upon notification of rejection from probation, the employee may request a meeting with the Personnel Officer to review the reasons for rejection. An employee rejected during a promotional or transfer probationary period shall be reinstated to a vacant position, if available, in a_ class from which he/she was promoted or transferred, unless rejected on the basis of charges leading to discharge. If no vacancy exists, the employee may exercise displacement procedures set forth in Section 3.13 of the Personnel Rules.

ARTICLE 18: TUITION REIMBURSEMENT

18.1 The City shall establish a Tuition Reimbursement Program for Police Unit members.

18.2 Subject to the availability of funding, the City will reimburse expenses for tuition, books, and curriculum fees incurred by an employee within the representation unit, to a maximum of Four Hundred Dollars ($400.00) per fiscal year, for classes completed in accredited institutions of learning or approved specialized training groups leading to an academic degree or improved job-related skill. The rate of reimbursement shall be one hundred percent (100%) for completion of job-related courses and fifty percent (50%) for the completion of courses leading to an academic degree. Programs must be approved in advance by the Chief of Police to qualify for reimbursement.

ARTICLE 19: SPECIAL ASSIGNMENTS

19.1 Special Assignments shall be at the discretion of the Chief and shall be for no more than four (4) years. In anticipation of the end of an assignment (either the initial four-year assignment, an assignment which has already been in effect for four or more years, or the end of an additional year as provided below), the Department will announce the assignment opportunity and conduct a test to identify a qualified candidate. If there are no qualified candidates, the Department will extend the incumbent member for one (1) additional year.

This will be done annually for that position to ensure members have access to the position until it is filled by a new member.

The parties agree that elimination of or a change in assignments is a regular part of the assignment process and shall not be deemed disciplinary in nature.

19.2 Effective upon Adoption of the Agreement, an additional five percent (5%) pay allowance shall be awarded for all special assignments, including:

1. Motorcycles

2. Detective

3. School Resources Officer

4. Field Training Officer (normally four, but subject to change per the Chief)

19.3 The parties may establish additional special assignments by mutual agreement 411
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 25

19.4 Bargaining Unit members shall receive special assignment allowance pay for the entire period that they are in an assignment. However, when a Bargaining Unit member is assigned to a higher classification, and is not performing the duties of the special assignment, he/she will not receive special assignment allowance pay.

For example, if a Police Officer is assigned to the special assignment of Detective, and subsequently is assigned an acting assignment as the Patrol Sergeant, he/she stops working as a Detective. The officer no longer earns a Detective pay differential when serving in an acting capacity as a Sergeant. However, if that same officer is assigned to work as a Detective Sergeant, he or she will continue to earn the differential.

19.5 Canine Pay

19. 5.1 Assignment of a canine shall be at the discretion of the Chief. Each employee who is assigned to the duty of feeding, caring for and supervising police dogs, which duty is performed by the employee at his/her home and during hours when he/she is otherwise not on duty with the Police Department, shall be credited with 3.5 hours of overtime per week.

19.5.2 Such additional compensation shall not be paid for any two (2) biweekly periods when such additional duty is not performed by the employee, whether for the reason that the dog assigned to such employee is boarded at a kennel at City expense or otherwise.

19.5.3 The additional compensation provided for in Section 19.5.1 is granted in recognition of the personal investment, duties and responsibilities of the K-9 assignment including the time spent by the unit employee while off duty in the care and maintenance of the assigned canine, which is estimated to be 4.6 hours per week. The additional compensation is based on the expected additional work required for the care of the dog, given the work historically required for such care. This extra compensation is not to be considered premium pay. The City shall pay costs associated with the "Initial Basic Training of Handler and K-9" when an officer is assigned to canine duty.

19.5.4 The City shall either supply or reimburse the officer for the cost of food and medical care (including prescription medication) for the canine.

19.6 Detective On-call Pay
Detectives assigned to be on-call shall be compensated eight (8) hours at the employee's straight time rate of pay (including premiums expressed as a percentage of base pay) for being on-call seven (7) continuous days. In order to be eligible for the on-call pay the detective shall be available to respond to call out requests five (5) of the seven (7) days the detective is on call.

ARTICLE 20: UNIFORM ALLOWANCE

20.1 Allowance
Employees of the Police Department in the classifications of Police Officer and Police Sergeant, who have been so employed for one (1) year or more with the City of East Palo Alto, and are required to wear a uniform, shall be provided an annual uniform allowance of one-thousand, two hundred dollars ($1200.00). The uniform allowance will be paid monthly, on the last full pay period of each month.

For the first year of service, the Police Department shall issue purchase orders for the purchase of two pants, three shirts, one belt, one pair of shoes, one nameplate, and one set of raingear, consisting of a jacket and pants.

20.2 Safety Equipment
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 26 The City shall furnish, at its own expense, all safety equipment required by the City and State Law. Soft body armor, riot helmets and protective gas masks, shall be made available in the manner prescribed in the Department's Operations Manual. Such furnished safety equipment and any and all replacements furnished by the City at any time shall remain the property of and under the control of the City. City shall also furnish ammunition for weapons authorized to be carried on duty by the Chief of Police; supply includes ammunition needed for qualification and on duty use only.

20.3 Plain Clothes Officers
Employees in classifications of Police Officer and Police Sergeant who, in the course of their work, do not wear a uniform, shall be paid an annual clothes allowance of nine hundred dollars ($900.00). The clothing allowance will be paid monthly, on the last full pay period of each month.

20.4 Safety Equipment Standards
City will work with the Association to develop a replacement schedule for safety equipment and vehicles.

ARTICLE21: PREMIUMPAY

21.1 Premium Pay
City agrees to provide qualified employees the following premium payments:

21.1.1 Bi-lingual Pay: On recommendation of the Chief of Police and approval of the City Manager, payment of one hundred and twenty-five dollars ($125.00) per month ($57.70 bi-weekly) will be paid to eligible personnel who are required to use their bilingual skills in the performance of their duties with members of the public in a language other than English. Selection of the language shall be by the City, and all personnel receiving the differential must be certified as proficient by the City.

21.1.2 Intermediate/Advanced POST Certificates:

Police Unit members shall receive a salary adjustment equal to five percent (5%) of hourly base pay for possession of an Intermediate POST Certificate, and shall receive a salary adjustment equal to two and one-half percent (2.5%) of hourly base pay for possession of an Advanced POST Certificate. If a member holds both Intermediate and Advanced POST Certificates he/she will receive a salary adjustment equal to seven and one-half percent (7.5%) of hourly base pay.

It is the employee's responsibility to provide Police Command Staff and the Department of Finance (Support Services Manager) with evidence that they have submitted a complete application to POST. The salary adjustment for Intermediate or Advanced POST will be effective the first full pay period following provision of said evidence. In the event POST does not issue a certificate based on the application provided to Command Staff and the Support Services Manager, the salary adjustment will be null and void and any payments to the employee under this section will be reimbursed through payroll deduction over the same time period as the overpayment.,_

21.1.3 Longevity Pay:
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 27 Police unit members with ten (10) years continuous service with City shall receive a 2.5% increase in compensation. Unit Members will receive these increases in the pay period following the anniversary date often (10) years continuous service with the City. The maximum longevity pay any member can receive shall not exceed two point five percent (2.5%).

ARTICLE 22: OUTSIDE EMPLOYMENT
Employees may engage in other employment or enterprise provided:

1. Such employment does not interfere with required duties or conflict with the City interests; and

2. Such employment is approved in advance in writing by the Chief of Police, reviewed by the City Manager, and a copy filed with the Human Resources Department.

Approval may be denied or revoked for non-compliance with the above provisions.

ARTICLE 23: AUTOMATIC PAYROLL DEPOSIT

23.1 All employees covered by this Agreement shall participate in the City's automatic payroll deposit program by completing a payroll authorization form and submitting the form, along with a voided check or savings de Department. It shall be the employee's choice as to which bank he/she designates as the institution receiving the payroll funds.

23.2 When the authorization form is properly executed and filed with the Finance Department, the City shall automatically deposit in the employee's designated bank account the net amount of pay each designated biweekly payday.

ARTICLE 24: HOURS OF WORK

24.1 Work Schedules
Employees may be assigned to a 5-8 work schedule (five eight-hour days followed by two schedules days off), a 4-10 work schedule (four ten-hour days followed by three scheduled days off), or a 12-hour work schedule (two tours, one week consisting of three (3) twelve-hour days followed by four (4) regularly scheduled days off, second week consisting of four (4) twelve-hour days followed by three (3) regularly scheduled days off). The City will provide POA with notice and an opportunity to meet and confer prior to implementing and new unit schedules (e.g., converting the patrol schedule from 12's to 4-10).

The normal workday shall include on-duty time for a meal break. Missed meal breaks do not result in an overtime entitlement for employees.

24.2 Training

1. Employees assigned to training may have their schedule modified to accommodate the training schedule (e.g., an employee may be shifted to a 4-10 or 5-8 work schedule) but will continue to be entitled to onduty time for a meal break ofup to 1-hour, so long as the on-duty meal break does not result in overtime for the employee. Employees will not be required to use leave time to "make up" for lost hours due to a work schedule modified to accommodate training (e.g., an employee who normal schedule for a week would be 48 hours who is reassigned to a 5-8 schedule for a training week will not be required to use leave time to make up the extra hours).

2. Where an employee's schedule is not changed (e.g., single day or partial week trainings), the employee will be compensated in the following manner: (a) training that falls on a regularly-scheduled workday 414
July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 28 will be compensated based on the employee's full shift (including an on-duty meal break ofup to one hour which does not result in overtime); (b) training that falls on a regular day off will be compensated on an hour-for-hour basis (with no on duty meal break).

ARTICLE 25: LAYOFF AND REEMPLOYMENT

25.1 Definition of Layoff
Layoff is defined as the separation of employees from the active work force due to lack of work or funds, organizational or duty changes, or the abolition of positions by the Council. The City Manager shall designate the number and dispositions for layoff as approved by the Council. The decision to layoff shall not be subject to the grievance procedure contained in this Agreement.

25.2 Order of Layoff
Layoff shall be based on seniority in class, which shall be defined as the employee's total continuous time of permanent and probationary employment in the class in which employed. Total continuous time shall include military leave in accordance with State Law. In the event two (2) employees have identical seniority, the employee who had the highest ranking on the employment list for the position currently held shall have precedence. In the absence of a list, the drawing oflots shall decide which employee is senior. No probationary or permanent employee shall be laid off while any temporary employee occupies a position in the same class.

The Human Resources Department shall provide seniority lists before layoff notices are prepared.

25.3 Notice to Employees
Permanent and probationary employees shall receive written notice (to be hand-delivered by the department management whenever possible) stating the reason for layoff a minimum of thirty (30) calendar days prior to the date of expected layoff. Similar notice shall be provided to the affected recognized employee organization representing the classes. With such notice, the employee shall be informed of the procedure to be followed and the rights to which he/she is entitled. The Department shall make every effort to allow employees who are to be laid off reasonable time to seek other employment. Pay for such time off shall be provided to full-time permanent and probationary employees only.

25.4 Displacement Rights
A full-time permanent or probationary employee who is laid off from his/her classification shall be entitled to displace another employee with less seniority in an equal or lower paying classification within the representation unit for which he/she meets the minimum qualifications and in which he/she has held prior permanent status. To successfully displace another employee, an employee must be fully qualified, trained, and capable of performing all work in the new classification. Permanent part-time employees may displace only other permanent part-time employees. When minimum qualifications have increased, the Personnel Officer may temporarily waive the increased requirements if previous successful performance is documented, and provided the requirements are met within a reasonable time.

25.5 Reemployment
Permanent and probationary employees who are laid off, demoted, or who have exercised employment rights set forth in this Rule in lieu of layoff shall have their names placed on reemployment lists for the classification from which laid off and any classifications previously held in order of total continuous time served in probationary and permanent status in the City Service.
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July 1, 2022- June 30, 2024 Police Officers' Association Memorandum of Understanding - Redlined 29 ARTICLE 26: NO STRIKE
The Union agrees that during the term of this Memorandum of Understanding, neither it nor the employees it represents will engage in, encourage, sanction, and/or support, any: (1) strikes; (2) slowdowns;(3) mass resignations; (4) mass absenteeism; and/or (5) picketing, which would involve the suspension of, or interference with, normal work of the Department or other City departments.

ARTICLE 27: SHlFT & VACATION DRAWS AND SPECIAL ASSIGNMENTS Seniority by classification will govern the selection of vacation days and shift selection.

27.1 Shift Bid
Bi-Annual shift bid shall occur in the months of May and November. The May bid will establish shifts for the period from July through December and the November bid will establish shifts for the period from January through June.

27.2 Vacation Bid
One person per side of the week is allowed for the first half of the year.

Officers and sergeants shall be allowed to sign for two contiguous weeks during the first bid.

One officer per all of patrol shall be allowed for the second half of the year.

Officers can select from any available slot for the entire year during vacation bid.

Officers can select additional vacation time after the mid-year (July) shift change.

Sergeants may, with the approval of the Division Commander, allow a team member to take additional vacation time, as long as it is projected that the team will be at or above minimum staffing levels at the time the vacation is approved.

ARTICLE 28: SUPERSEDENCE
The inclusions oflanguage in this Memorandum of Understanding concerning matters formerly governed by City Rules, Regulations, Resolutions and Ordinances shall not be deemed to be a preemption of the entire subject matter. Accordingly, City Rules, Regulations, Resolutions and Ordinances not in conflict with specific provisions of this Agreement shall not be construed to be superseded by this Agreement and shall continue in full force and effect.

ARTICLE 29: SEPARABILITY
Notwithstanding any other provisions ofthis Agreement to the contrary, in the event that any article, or subsections thereof of this Agreement shall be disclosed invalid by any court of competent jurisdictions, or by an applicable State or Federal Law or regulation, or shall a decision by any court of competent jurisdiction or any applicable State or Federal Law or regulation diminish the benefits provided by this Agreement, or impose additional obligations on the City, the parties shall meet and confer or negotiate on the Article or Subsections thereof affected. All other provisions of this Agreement shall continue in full force and effect.

ARTICLE 30: FULL UNDERSTANDING MODIFICATION AND WAIVER
416
It is intended that this Agreement sets forth the full and entire understanding of the parties regardi g the matters set forth herein, and any other prior or existing understanding or agreements by the parties, whether formal or informal, regarding any such matters are hereby superseded or terminated in their entirety.

Except as specifically provided herein, it is agreed and understood that each party hereto voluntarily and unqualifiedly waives its right, and agrees that the other shall not be required, although they may mutually agree otherwise, to negotiate with respect to any subject or matter covered herein during the term of this Agreement.

Nothing herein shall be viewed as restricting or otherwise limiting the employee's rights under the MeyersMilias-Brown Act (Government Code Section 3500 et seq.).

Any agreement, alteration, understanding, variation, waiver, or modification of any of the terms or provisions contained herein shall not be binding upon the parties hereto unless made and executed in writing by all parties hereto, and if required, approved and implemented by the City Council.

The waiver of any breach, term or condition of this Agreement by either party shall not constitute a precedent in the future enforcement of all of its terms and provisions.

ARTICLE 31: TERM
July 1, 2022 to June 30, 2024.

POA Representative(s) and the Chief of Police shall continue to work together to reduce overtime and other costs during the term of this agreement.
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_____________________________ __________________________ Matthew Taylor Melvin Gaines
Chief Negotiator, MAJ Labor City Manager
________________________ ___________________________
Spencer Lawrence-Emanuel Ana Torres- Mondragon
POA President Human Resources Manager
________________________ ________________________
Elizabeth Ceja Brenna Rowe
POA Bargaining Team Sloan Sakai, Chief Negotiator
_________________________
Salvador Martinez Perez II
POA Bargaining Team
_________________________
Joseph Klein
POA Bargaining Team
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MEMORANDUM OF UNDERSTANDING

BETWEEN

THE CITY OF EAST PALO ALTO

AND THE
EAST PALO ALTO MANAGEMENT EMPLOYEES’ ASSOCIATION
(MANAGEMENT UNIT)
Eighteen Month Agreement (August 1, 2022 through December 31, 2023)

PREAMBLE
This Memorandum of Understanding is entered into by and between the City of East Palo Alto, hereafter referred to as “City”, acting through its negotiator, and employees of the City as represented by the East Palo Alto Management Employees’ Association, hereafter referred to as “Union”, pursuant to the Meyers-Milias-Brown Act (MMBA) (Government Code Section 3500- 35100). Pursuant to Federal and California law, the City and Union have met and conferred in good faith and have fully communicated and exchanged information concerning wages, hours, and other terms and conditions of employment for the term of this agreement. It is the intent of the parties to set forth herein their entire agreement covering rates of pay, wages, working hours, and other terms and conditions of employment and to provide for prompt and fair settlement of grievances without interruption or other interference with the normal operations of the City.

This Agreement constitutes a mutual understanding between the parties of those wages, hours, terms, and conditions of employment which are to be in effect during the period of the Agreement. Both parties have mutually agreed that their objective is for the good of the City of East Palo Alto and Union members alike. Both parties agree further that, in the interest of collective bargaining and harmonious relations, they will at all times abide by the terms and conditions as hereinafter set forth.

It is agreed that the delivery of quality municipal services in the most efficient, effective, and courteous manner is of paramount importance to the City, Union, and the represented employees.

Such achievement, and the maintenance of a competent organization that delivers sustained quality municipal services is hereby recognized to be a mutual goal of the parties to this Agreement within their respective roles and responsibilities.

Unless separately identified in another provision of this Agreement, any notification given pursuant to the terms of this agreement shall be sent to the following:

For the City: For the Union:

City Manager Representative
City of East Palo Alto
2415 University Avenue
East Palo Alto, CA 94303
Management Employees’ Association (MEA)
2415 University Avenue
East Palo Alto, CA 94303
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2 ARTICLE 1.0: RECOGNITION

1.1 Union Recognition
The Union has been recognized as an Employee Organization pursuant to the EmployerEmployee Relations Resolution # 48-83, adopted by the City November 21, 1983 for the regular full-time employees assigned to the classifications set forth in Appendix A.

Pursuant to Section 3500-35100 of the Government Code of the State of California, the City recognizes the East Palo Alto Management Employees’ Association as the exclusive bargaining agent for the purpose of establishing salaries, wages, hours, terms, and other conditions of employment for all regular full-time management and mid-management employees in the City, except those in confidential classifications, which are unrepresented.

Pursuant to the language in the MOU, this list can be amended from time to time.

1.2 Job Descriptions
The City will make Job Descriptions for all filled bargaining unit positions available to the Union upon request and will provide the Union with drafts of revised job descriptions before approval by the City Manager. Upon request, the City will meet and confer with the Union over changes in job descriptions for bargaining unit members (to the extent those changes fall within the scope of representation) prior to approval by the City Manager.

1.3 Establishment of New Classifications
The City will provide reasonable advance written notice to the Union prior to establishing any new classifications appropriate to the MEA unit or removing classifications from the MEA unit. The City will provide its notice no later than one-week prior to any City Council action required to establish the new classification or modify the bargaining unit assignment of an existing classification. Upon written request from MEA prior to the establishment of the classification by the City Council, the City shall meet and confer regarding the job description and salary range for the new position.

1.4 Reclassification
A. When necessary, the Union may request that the City reclassify Union positions. These requests shall be made in writing and shall indicate the position’s current classification, the proposed reclassification, and a detailed statement of the reasons that the reclassification is appropriate. The Human Resources Manager or designee shall respond to the reclassification requests made by MEA in writing not later than three (3) months after the submission of the request, unless this deadline is mutually extended by the parties. The Human Resources Manager or designee will meet with the Union and each incumbent employee during the process.

B. In the event that the Human Resources Manager or designee, determines that the reclassification is not appropriate, the Union may appeal the decision to the City Manager in writing, not later than ten (10) calendar days after the date of the Human Resources Manager or designee’s decision. The City Manager shall render a decision within ten (10) calendar days of the appeal. The decision of the City Manager shall be final. This section is not subject to the grievance procedure.
420
3 C. Reclassifications will be effective either the date of the Human Resources Manager or designee’s decision or three (3) months after the submission of the request, whichever is earlier.

1.5 Position Recruitment
A. Human Resources to define Internal and External Recruitments (prescribe when appropriate)
B. Postings
Open recruitments for promotional opportunities for permanent City positions in classifications within the representation unit will be posted at all work locations and on the City’s website for at least fourteen (14) calendar days prior to closing applications and shall be mailed to the Union and emailed to bargaining unit members with City email accounts.

Such postings shall include a description of the type of examination and screening process that will be used in filing the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.
“Internal Posting” promotional opportunities for permanent City classifications within the representation unit will be posted at all work locations for at least seven (7) calendar days prior to closing applications and shall be mailed to the Union and emailed to bargaining unit members with City email accounts. All internal and external employment opportunities announcements will be emailed to all employees.

Such postings shall include a description of the type of examination and screening process that will be used in filling the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.

C. The top two (2) permanent bargaining unit members applying for promotional opportunities for classifications within the representation unit and who meet the minimum qualifications for the position will be interviewed regardless of the number of interviewees otherwise requested by the hiring department. When possible, the top two (2) permanent bargaining unit members applying for promotional opportunities outside of the representation unit and who meet the minimum qualifications for the position will be interviewed.

D. Once a list of reachable candidates has been generated and upon request by any Department Head, the Human Resources Manager shall refer to the requesting Department a list of the top seven (7) candidates as well as a list of all internal applicants on the recruitment list. The Department Head shall have the discretion to interview any of the candidate whose names have been referred by the Human Resources Manager.

1.5 Contracting Out
A. The parties have a shared interest in eliminating unnecessary consulting contracts and hiring permanent employees to perform the work of the City. Conditioned upon having 421
4 available funds, the City will make every effort to recruit and fill all authorized positions which belong to the bargaining unit. The City will retain the right as to how the services will be delivered to the citizens of East Palo Alto.

B. Whenever possible, the City agrees to notify the Union ninety (90) days in advance of contracting out work that results in or is the result of elimination or not filing a bargaining unit position and will negotiate with the Union regarding the effects of contracting out on remaining bargaining unit members. In the event the City is moving forward with such a contract in a timeframe shorter than ninety (90) days prior to contracting out work that results in or is the result of the elimination or not filling a bargaining unit position, the City will notify the Union as soon as possible.

C. This provision shall not apply in situations where the City is preparing for or holding a recruitment for a bargaining unit employee to perform the work or where a recruitment has been unsuccessful in filling the unit position in the last twelve (12) months. However, if a recruitment is unsuccessful the City will run a new recruitment within twelve (12) months after the contracting out of work.

D. The City will provide the Union with a list of active Purchase Orders twice per year.

ARTICLE 2.0: NON-DISCRIMINATION

2.1 Non-Discrimination
The provisions of this Memorandum of Understanding (MOU) be applied equally to all employees covered hereby without unlawful discrimination because of race, religious creed or political opinion or affiliation or legitimate union activity, color, national origin, age, ancestry, physical and/or mental disability (including HIV and AIDS), medical condition, genetic information, marital status, sex (childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), gender, gender identity, gender expression, age, sexual orientation, and military and/or veteran status, against any employee or applicant for employment by the Union or by the City or by anyone employed by the City; and to the extent prohibited by applicable state and federal law.

Further information pertaining to Non-Discrimination is more fully detailed in the Citywide Diversity, Equity, and Inclusion Staff Retention Policy.

ARTICLE 3.0: UNION SECURITY

3.1 .

3.2 Dues Deductions
The City will deduct dues and remit them to the Union pursuant to State law. As of the date of execution of this MOU, the Union is not collecting dues from members. 422
5 ARTICLE 4.0: RIGHTS OF PARTIES

4.1 Management Rights
The City hereby retains and reserves unto itself, without limitation, all powers, rights, authority, duties and responsibilities conferred upon and vested in it by the laws of the Constitution of the State of California and of the United States, including but not limited to the generality of the foregoing, the right:
a. To set standards and levels of service;
b. To determine the procedures and standards of selection for employment and promotions;
c. To direct its employees;
d. To determine the methods and means to relieve its employees from duty because of lack of funds or other lawful reasons;
e. To determine the methods, means, numbers and kinds of personnel by which City operations are to be conducted;
f. To determine the methods of financing;
g. To determine the size and composition of the work force and allocate and assign work by which the City operations will be conducted;
h. To determine and change the number of locations, relocation and type of operations, processes and materials to be used in carrying out all City functions;

1. To establish employee performance standards including, but not limited, quality and standards, and to require compliance therewith;
j. To take necessary actions to carry out its mission in emergencies; k. To exercise complete control and discretion over its organization and the technology of performing its work;
l. To take any and all steps necessary to discharge the City's responsibilities to provide for the safety of the public it serves and to provide employees with a safe working environment; provided, however, nothing herein shall preclude the Union from providing input, consulting and/or meeting and conferring with the City as required by law on such safety issues so long as such actions do not prevent the City from discharging these responsibilities;
m. The exercise of the foregoing powers, rights, authorities, duties, and responsibilities by the City, the adoption of policies, rules, regulations and practices in furtherance thereof, and the use of judgment and discretion in connection therewith, shall be limited only by the specific and express terms of this memorandum and then only to the extent such express terms hereof are in conformance with the Constitution and laws of the United States and the Constitution of the State of California; and n. The exercise by the City through its City Council and management representatives of its rights hereunder shall not in any way, directly or indirectly, be subject to any grievance procedure nor subject to meeting and conferring.

4.2 Employee Rights
Employees of the City shall have the right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees also have the right not to participate in the activities of any employee organization.

Neither the City nor the Union shall interfere with, intimidate, restrain, coerce, unduly influence or discriminate against any bargaining unit member because of his/her exercise 423
6 of these rights.

4.3 Union Rights

4.3.1 Union Access
A qualified representative of the Union shall be allowed to visit City work locations for the purpose of ascertaining whether or not this Agreement is being observed. The right shall be exercised reasonably. The qualified representative shall report to management before proceeding to any work locations that are not open to the public. The representative shall not meet with employees during work time (not including breaks) and shall not interfere with the normal conduct of work. Activities such as solicitation of membership, collection of dues, holding membership meetings, campaigning for office, conducting elections and distributing literature is strictly prohibited during working hours without prior approval of the City Manager or his/her designee.

4.3.2 Notification to the Union
The City will comply with all conditions established by the MMBA.

4.3.3 Bulletin Boards
Posting of information on City premises shall be limited to approved bulletin boards.

Adequate space shall be made available to the Union for posting information on approved bulletin boards, provided the posted material is not derogatory to the City, employees of the City, or other employee organizations, and does not support or oppose candidates for public office or ballot issues.

4.3.4 Release Time

1. The Union shall be limited to no more than one (1) Representative for every three (3) members of the unit. However, Union may identify one (1) alternate Representative. The Alternate steward shall share the three (3) hours of release time with the primary steward for which they are the alternate. The Union shall provide the City with a list of all the primary Representatives and alternate Representatives, including work assignment and contact information.

2. Representatives shall be allowed no more than three (3) hours per month of release time to represent workers in meetings related to grievances, to investigate grievances, to orient new employees, and to meet with executives/management to discuss Union activities. The monthly allotment of hours provided for Representatives cannot be transferred or accumulated from month to month. If HR requires more than three (3) hours of meeting time, HR may request for MEA representative is authorized for extended time for these meetings on a case-by-case basis.

3. Release time must be pre-approved and is at the discretion of the City designated Manager/Director but shall not be unreasonably denied. Moreover, Representative shall not participate during a time that it is foreseeable that such action will create a gap in work production or staff supervision which may result in critical service interruption.
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7 4. A Representative who is released to investigate a grievance or to meet with City officials shall return promptly to his/her regularly assigned duties.

5. Only one Steward shall be relieved from assigned work duties for any given matter.

4.3.5 List of Bargaining Unit Members
On a semi-annual basis every six (6) months the City will provide to the Union a list of bargaining unit employees including vacancies. This list will be in Excel format and will include the following: first and last name; position title; department; Management status (mid-management or management); and employment date.

4.3.6 Bargaining Team
Subject to the City’s operational needs, the City shall allow three (3) Union Bargaining Team members reasonable time from work to attend required bargaining meetings during negotiations over a successor MOU. Additionally, negotiators will normally be granted one-half hour caucus time before, exclusive of travel to and from their worksite to the negotiations site. Reasonable requests for additional prep time will be granted. Should a conflict arise between negotiations and City business, the City will notify Union immediately and the parties will work to resolve scheduling issues. The City will not reimburse bargaining unit team members for time spent bargaining outside of normal work hours.

4.3.7 New Worker Orientation
The City will give new bargaining unit members contact information for the Union and any relevant materials (including the MOU) provided by the Union. The City will allow each new bargaining unit member thirty (30) minutes of release time to meet with a local union Representative. This time must be used during the member’s first pay period of employment with the City. The City will give the Union at least one-week advance notice of a new employee being hired. The City will give the Union at least one-week advance notice of a new employee being hired. The City shall grant release time to at least one appointed Union Representative to conduct the new worker orientation.

4.3.8 Use of City Facilities
The parties agree that work time is for work. Therefore, Union meetings and other Union activities shall not occur during participating employees’ work time. Union meetings may occur on participating employees’ non-work time in City-controlled public meeting facilities. However, the Union shall limit its use of City facilities to comply with City Policies, Rules, and Regulations. The Union shall procure prior City approval for the use of such facilities and shall schedule the use of City facilities according to City procedure.

ARTICLE 5.0: LAYOFF

5.1 Layoff
The parties agree to abide by the City's personnel rules in regard to layoffs as detailed in Personnel Policies and Procedures Sections. 425
8 ARTICLE 6.0: FURLOUGH
The parties agree to abide by the City’s personnel rules in regard to furloughs as detailed in Personnel Policies and Procedures Sections.

ARTICLE 7.0: LEAVE OF ABSENCE (PAID AND UNPAID)

7.1 Management Leave
FLSA Exempt bargaining unit employees often put in hours to meet the demands of their position. While some extra work time is an expected component of their position, the City wishes to provide a benefit in recognition of this service. The City Council has previously authorized standard criteria for Union positions to be eligible for up to sixty (60) hours of Management Leave annually for those employees who are exempt from the overtime provisions of the FLSA.

Accrual of Management Leave shall be in addition to earned vacation benefits and is not intended to be balanced hour for hour with extra time worked by FLSA exempt employees.

Each FLSA exempt Management employee shall receive sixty (60) hours of Management Leave annually, accrued in total as of January 1. Management leave for FLSA exempt employees hired after January 1 will be prorated.

If the leave is not used by December 31, of each year, the unused balance will not carry forward unless approval by the City Manager is received before December 31.

The City Manager may authorize a carryover of unused balance. Any unused leave not taken within the extension period, authorized by the City Manager, will be lost.

Management leave must be taken as time off and is not compensated upon termination.

7.2 Vacation Leave Credits
All full-time employees covered by this MOU shall earn vacation credits as follows:

Minimum Continuous City Service
Amount of Vacation Earned Annually
0-4.99 years: 80 hours (3.08 hrs bi-weekly)
5-9.99 yrs.: 120 hours (4.62 hrs bi-weekly)
10-14.99 years: 160 hours (6.15 hrs bi-weekly)
15-plus years: 200 hours (7.69 hrs bi-weekly)

7.2.1 Vacation Accumulation
A Management employee with less than ten (10) years of consecutive public service shall not accumulate more than two-hundred and eighty-eight (288) hours of vacation.
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9 A Management employee with more than ten (10) years of consecutive public service shall not accumulate more than three-hundred and twenty (320) hours of vacation.

Once the accrual cap is reached, a Management employee shall not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage and/or cash-out (as described in Section 7.2.4).

A Management employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date. Requests for deferring vacation use must be presented to the City Manager sixty (60) calendar days before the end of the calendar year in which the vacation leave was to be taken.

In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must be used.

7.2.2 Vacation Authorization
The City values vacation and believe that an employee's ability to utilize vacation is an important goal. To that end, the City and Union wish to emphasize that MEA bargaining unit employees are not expected to be "on call" during vacation. Of course, because of the importance of their positions, bargaining unit employees must provide adequate contact information in the event it becomes necessary to contact them prior to their return from vacation. If an employee is required to return to work from vacation, the employee shall not be charged vacation for the period during which they have returned to work.

The time at which an employee may use vacation leave and the amount to be taken, at any one time, shall be determined by the City Manager or Designee, with particular regard for the needs of the City and, insofar as possible, considering the desires of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the City Manager.

Said approval of vacation leave shall not be unreasonably withheld.

7.2.3 Use of Vacation
Vacation leave may be taken by the management employee as it is credited. Accrued vacation time may be used, at a minimum, in blocks of four (4) hour increments.

The date of vacation may be selected by the employee but shall be approved by the City Manager or designee, who shall consider the wishes of the employee and the needs of the department and/or the City organization.

7.2.4 Vacation Cash Out
Members of the bargaining unit may make an irrevocable election to cash out vacation during the month of December each year. Employee must complete the “Irrevocable Annual Vacation Cash Out Election Form” each calendar year for the following year. To qualify for vacation cash out, an employee must have more than eighty (80) hours of accrued vacation. During the term of this MOU, Bargaining units shall be allowed to cash out up to 80 hours of leave vacation, so long as the member maintains a balance of at least eighty (80) hours. Elections will be cashed out December the following year.
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10 7.2.5 Pay for Vacation Time
Upon termination of employment the Management employee shall receive all earned vacation on record based on the pay level of the employee at the time of the separation of employment. Such payment shall be received in his/her final paycheck from the City.

7.3 Holidays

7.3.1 Official Holidays
All Management employees shall receive twelve (12) designated paid holidays per year to be observed during each fiscal year (July 1 through June 30). Holiday Leave shall be administered as provided for in Section 3.10 of the City of East Palo Alto Personnel Policies and Procedures and subsequent amendments adopted by City Council. Paid holidays shall have a length of eight (8) hours. If an employee desires to take more than eight (8) hours of holiday time (e.g., an employee on a 4- 10 schedule), the employee will be permitted to use leave time to make up the difference.

Specified holidays authorized by the City Council are as follows:

1. New Year's Day, January 1

2. Martin Luther King Day, 3rd Monday in January

3. Lincoln's Birthday, February 12

4. Washington's Birthday, February 22 or its legal substitute (third Monday in February)

5. Cesar Chavez Day, last Monday in March

6. Memorial Day, May 31 or its legal substitute (third Monday in May)

7. Independence Day, July 4

8. Labor Day, first Monday in September

9. Veteran's Day, November 11

10. Thanksgiving Day, third Thursday in November

11. Day after Thanksgiving,

12. Christmas Day, December 25
Note: When any day recognized as a holiday falls on Sunday, the holiday shall be observed on the following Monday. When any day recognized as a holiday falls on a Saturday, the holiday shall be observed on the preceding Friday. When a holiday falls on an employee’s designated day off which is not a Saturday or Sunday, the employee shall be permitted to schedule eight hours of holiday time for another day within the same pay period as the holiday. A employee may schedule holiday time under this provision in the same manner as vacation is scheduled (pursuant to Section 7.2.3).

7.3.2 Other Holidays
In addition, any day proclaimed by the President of the United States, the Governor of the State of California, and recognized by the City Council as a public holiday, day of mourning or day of thanksgiving shall be provided as a holiday. This shall be administered in compliance with Resolution 0210 (Section 3.10.02). 428
11 7.3.3 Other Religious Holidays
A Management employee may request, in advance, to be excused from work for the observance of a bona fide religious holiday, subject to approval of the City Manager. If approved, such time off shall be charged to the Management employee’s unused available Vacation or Management Leave balance, whichever the employee designates. Approval of time off is subject to the needs of the City. If not approved, no pay or other time off shall be authorized in lieu thereof.

7.3.4 Effect of Other Leave While on Vacation
When a day designated as a holiday, in Section 7.3.1, occurs during the Management employee’s vacation leave, for payroll purposes, the day shall be charged as a holiday instead of vacation. Sick Leave shall not be approved for official holidays. A Management employee in no pay status shall not receive or accrue holiday leave.

7.3.5 Pay for Official Holidays
Management employees shall receive eight-hours of pay for each of the twelve (12) official holidays.

7.4 Sick Leave

7.4.1 Accrual
All Management employees shall accrue sick leave at a rate of three and seven tenths (3.7) hours per bi-weekly pay period, beginning at the end of the first thirty-one days of employment, and sick leave may be accrued with no maximum limit.

7.4.2 Personal Use
Use of accrued sick leave may begin as it is accrued. It is to be used for illness or injury and may not be used to supplement days off.

7.4.3 Family Care Use
Accrued sick leave may be used to care for children, siblings and parents, (be they natural, adoptive, step or foster, grandparents, aunts, uncles, of the employee their current spouse or domestic partner, to a maximum of eighty (80) hours in a calendar year (January through December). It is further provided that leave and or vacation accrual may be used for family care up to twelve (12) weeks in any twelve (12) month period. If all bank accruals have been used, without pay, may be used for such care in unusual or emergency cases with the approval of the City Manager.

7.4.4 Documentation
Employee Leave forms must be filed in all cases and a physician’s certification may be required at the discretion of the City Manager and/or designee for absences of three (3) consecutive workdays or more.

7.4.5 Leave Donations
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12 Bargaining Unit members may use up to one-half of their annual accrual of sick leave for the diagnosis, care, or treatment of an existing health condition of, or preventive care for, a member of the employee’s immediate family. For the purpose of this section, the immediate family of an employee shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin. Immediate Family shall also include registered domestic partners.

Employees shall be eligible to participate as donors and recipients in the leave donation program, which provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness and/or injury. This program allows a permanent City employee to donate accrued vacation time hours to a specific eligible employee who has exhausted his/her own available leave balances on an hour for hour basis.

Catastrophic illness or injury is defined as the employee’s own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee’s immediate family member who has a catastrophic illness or injury as verified by a physician’s statement.

A. To receive leave donations, an employee:

1. Must have been employed in a regular full-time position with the City for a minimum of one year; and

2. Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician’s statement); or be absent from work in order to attend to his/her immediate family member who has a catastrophic illness or injury (as verified by a physician’s statement); and

3. Must have exhausted all earned leave balances (including sick leave if related to the employee’s own illness) vacation, and management leave; except however, donations may be made prior to all balances being exhausted, when the physician’s statement and leave balance indicate the probable exhaustion of balances within two (2) pay periods.

B. Donations

1. Are voluntary.

2. Are made from accrued Vacation and/or Management Leave balances; donations of Sick Leave are not permitted.

3. Must be for a minimum of eight (8) hours, in whole hour increments.

4. Are irrevocable.

5. Are taxable on the part of the recipient, in accordance with IRS Regulations, and are subject to withholding as required by law.

6. Donations shall be processed in the order received. However, a donor’s leave shall not be reduced until the recipient actually uses the leave. Unused donation shall remain with the donor.

7. An employee may not donate more that eighty (80) hours to any other individual employee.

8. The total donation received into an employee’s donated leave balance shall 430
13 normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered when approved by the Human Resources Manager.

9. Upon approval of the request for donations, the Human Resources Manager (or his/her designee) shall, at the employee’s request, post a notice of the eligible employee’s need for donations on departmental bulletin boards accessible to employees. Confidential medical information shall not be included in the notice.

10. Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City’s management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.
“This provision (7.4.5) shall sunset upon the parties’ mutual agreement on a Citywide policy on Leave Donation.”

7.5 Fitness for Duty Examinations.

City retains the right to require employees, covered by this agreement, to take a Cityrequested examination at a physician of the City’s choosing. The parties agree that any City order that an employee submit to fitness for duty examination will be made in compliance with applicable laws and judicial decisions.

7.6 Family Medical Leave

7.6.1 Family Medical Leave Act and California Family Rights Act Management employees shall be entitled to and the City shall comply with leave as provided for in the Family Medical Leave Act (FMLA) and the California Family Rights Act (CFRA).

7.6.2 Immediate Family
Immediate Family shall mean the following: related by blood, marriage or adoption; spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and first and second level cousin. Immediate family shall also include a registered domestic partner.

7.7 Bereavement Leave
A. Management employees shall be entitled to up to three (3) calendar days of paid leave for an occurrence of death or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager or designee and charged to the employee’s available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above.

B. Immediate family shall mean the following: related by blood, marriage or adoption:
spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin. Immediate Family shall also include registered domestic partners; C. Request for funeral/emergency leave must be in writing, state the relationship of the family member, and be approved in advance of the City Manager. In special 431
14 emergencies, an employee may request formal approval after the fact; if approved, leave records shall be adjusted accordingly. Death following a serious illness or injury shall generally be regarded as one (1) occurrence; however, the City Manager reserves authority for determining the nature and/or severity of the illness and the amount of time the occurrence warrants.

7.8 Jury Duty Leave
A. Management employees required to report for jury duty during regularly scheduled work hours shall notify the City Manager as soon as possible and shall be entitled to leave with pay until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees except those specifically allowed for mileage and subsistence.

B. A Management employee subpoenaed to appear in court during regularly scheduled working hours, solely as a result of employment with the City, shall receive full pay for such appearance until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees except those specifically allowed for mileage and subsistence.

C. A Management employee is responsible for keeping the City Manager informed of his/her court schedule.

7.9 Military Leave
A. Military leave shall be granted in accordance with the Military and Veteran’s Code of the State of California and/or federal regulations as amended. All employees entitled to military leave shall be given such leave within such limits as the appropriate military regulations may determine, when leave is requested in addition to the rights of workers returning from such leave.

B. Every permanent classified officer or employee of the City who is actually inducted into, or enters, any branch of the military, Army, Navy, Air Force, Marines, National Guard, or Coast Guard Service of the United States of America, pursuant to and under the terms and conditions set forth in Section 395, et seq., as amended, of the Military and Veteran’s Code, shall be entitled to a military leave of absence from his/her City position and shall be entitled to receive regular compensation and benefits in accordance with state law and any current City Resolution.

C. This provision (7.7) shall sunset upon the parties’ mutual agreement on a City-wide policy on Military Leave.

7.10 Leave of Absence without Pay
If the circumstances of the particular case warrants, the City Manager may grant leaves of absence without pay for a maximum of ninety (90) working days to any employee.

The leave shall be governed by the Personnel Policies and Procedures Section 3.12.13 or as amended by the City Council.
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15 7.11 Industrial Accident Leave
The City agrees to comply with all State and Federal statues, regulations and rulings with respect to compensation of employees who suffer industrial injury or illness.

ARTICLE 8.0 H E A L T H , DENTAL, VISION, LONG TERM DISABILITY, LIFE INSURANCE, DEFERRED COMPENSATION, RETIREMENT, COBRA AND 125

FLEXIBLE SPENDING PLANS

8.1 Medical Insurance
A. The City shall provide a medical insurance plan or plans (if more than one is available) for eligible employees covered by this bargaining unit.

B. The City shall contribute up to the full cost of the employee-only level based on the Kaiser Permanente HMO premium. Eligible employees may select coverage from among the available options. Any premiums in excess of Kaiser Permanente HMO plan will be paid by the employee.

C. The City shall contribute up to sixty five percent (65%) of the premium of the Kaiser Permanente HMO medical plan for those employees electing to have dependent medical coverage under the City’s medical plans. The employee shall be responsible for the remaining premium for the elected medical coverage, payable through bi-weekly payroll deductions.

D. Medical coverage starts the first day of the month following date of hire.

E. Employees who fail to authorize payroll deduction or make payment pursuant to the approved schedule shall not be provided with dependent coverage.

F. Employees may insure their eligible dependents (including registered domestic partners, as defined by State law) in the Medical Plans offered by the City.

G. Employees electing not to take health c o v e r a g e shall be required to complete and sign a “Waiver Form” and such form shall be filed in the personnel file.

H. Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and
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16 The benefits Committee will commence no later than September 30,2022. The Committee will be composed of City labor representatives, not to exceed four (4) representatives and four (alternates) from each participating labor organization and four (4) representatives. These names will be provided to the City no later than August 31, 2022.

8.2 Dental Insurance
A. The City agrees to provide and contribute the full cost of a dental insurance plan(s) (if more than one is available) for its employees. Employees may insure their eligible dependents (including registered domestic partners, as defined by State law) in the Dental Plan(s) offered by the City. Dependent dental insurance coverage shall be paid for by the employee.

B. Employees electing not to take dental coverage shall be required to complete and sign a “Waiver Form” and such form shall be filed in the personnel file.

8.3 Long Term Disability Insurance
Management employees covered under this resolution may participate in the group longterm disability insurance program, at the City’s expense. For an overview of the plan see the certificate of insurance on file in the City’s Finance Department.

8.4 Life Insurance
The City agrees to provide and pay the full costs for a Basic Term life insurance policy in the amount of $100,000 for Management employees responsible for a Division, and $75,000 for Mid-management employee covered under this resolution. Any additional options available through the plan shall be at the employee’s expense. The City shall provide each member a copy of the plan as provided by the insurer.

8.5 Deferred Compensation
The City agrees to provide, at the employee’s expense, a deferred compensation (457) plan approved by resolution of the City Council.

8.6 Retirement
Effective on or about June 29, 2008, the City implemented the 2.5% @ 55 retirement enhancement. Eligible employees hired on or after January 1, 2013, and who meet the definition of “new member” under Government Code § 7522.04(f), shall be covered by the PERS retirement plan two percent (2%) at sixty-two (62) full formula for local miscellaneous employees.

Employees will pay the employee contribution in effect for the applicable formula.

8.7 Consolidated Omnibus Budget Reconciliation Act (COBRA) The Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 requires the City to offer employees and their families an opportunity for a temporary extension of health coverage upon separation of employment. The separated employee and/or dependent must pay premiums in advance plus the applicable administrative fee. The specific provisions and restrictions of the Act are available through the Human Resources Department. 434
17 8.8 Flexible Spending Plan (125 Plan)
The City shall establish and offer a Flexible Spending Plan (125 Plan) for employees.

Enrollment options shall be at the discretion of the employee. The costs of the plan will be paid for by the employee.

8.9 Short Term Disability Insurance (SDI)
MEA bargaining unit employees participate in the State Disability Insurance (SDI) system administered by the State of California Employment Development Department.

Coverage shall be limited to the “State Plan” and shall not include any additional voluntary plan design. SDI premiums shall be 100% employee paid on an after-tax basis.

Payment shall be made by mandatory payroll deduction for every Management employee.

ARTICLE 9.0 PROFESSIONAL DUES, SUBSCRIPTIONS, LICENSES, AND

CERTIFICATES
A. In order to support each MEA bargaining unit employee in the performance of his/her job duties, the City will pay for the costs of dues and subscriptions for professional/technical licensing and association membership as required, and as approved by the City Manager and/or designee.

B. The City shall cover costs for non-personal, job related expenses incurred by MEA bargaining unit employees in the course of employment. All such expenses shall be reimbursed or paid upon presentation of duly executed Purchase Orders, Claims Forms, and receipts with Department Head’s approval.

C. Workers who are required by State and/or Federal agencies to be licensed or secure a certificate shall be reimbursed for the fees for the licenses or certificates.

This provision excludes licenses required by the Department of Motor Vehicles.

ARTICLE 10.0 AUTOMOBILE USE
(Article 10.0 will be placed in the Personnel Policies and Procedures. Not the MOU) ARTICLE 11.0 EDUCATION INCENTIVE
A. No Management employee covered by this MOU shall receive any additional pay as an educational bonus or "certificate pay" unless specifically provided for herein.

B. Subject to the availability of funding, the City shall make available $5,000 for tuition reimbursement annually for the employees represented by the Union for purposes of continuing education and update of certification. The maximum per individual is $500 per fiscal year, limited to the class tuition and required textbooks (neither supplies, nor parking or mileage reimbursements will be considered). Coursework must be on the employee’s own time.
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18 C. Tuition reimbursement shall be available only for coursework that is job-related and taken at an accredited institution and must be approved in advance by the City Manager. Tuition reimbursement is only available for coursework in which the employee receives a passing grade. The decision of the City Manager is final. The funds shall be subject to budgetary constraints and may not be available from year to year.

D. In the event that the employees have not exhausted the $5,000 reimbursement pool by May 31 of any fiscal year, any member who has received the maximum individual reimbursement ($500), but has expended more than that amount on textbooks or tuition for approved coursework, may apply to the City Manager for reimbursement of the remainder of the appropriate expenses up to an additional $1,000 maximum per employee. Employees must submit a written request for additional reimbursement on or before May 31st. If the balance remaining in the reimbursement pool is not sufficient to pay the additional expenses for applications received by May 31, the pool shall be distributed equally to each applicant up to the amount of each reimbursement request.

ARTICLE 12.0 TRAVEL AND TRAINING EXPENSES
A. The City will pay the travel and subsistence expenses of MEA bargaining unit employees, in accordance with the Annual Approved Travel Plan and Budget (including any approved Plan modifications) for travel, meetings and occasions required to pursue the official business of the City, subject to prior approval by the City Manager.

B. Pursuant to City Policy, the City will advance 75% of the allowable reimbursement for meals consumed by MEA bargaining unit employees during travel on City business. For reimbursement exceeding the 75% advance, upon return from travel, employees are required to submit receipts for meal reimbursement to the City’s Finance Department and will be reimbursed up to the allowable amount.

ARTICLE 13.0 HOURS OF WORK
A.Salaries approved for MEA bargaining unit employees recognize the advanced level of skills required and possessed by these employees, the high level of responsibility delegated to these employees and the potential for longer working hours necessitated by meeting attendance, response to emergency situations, and attendance at court and/or the necessity for meeting project deadlines.

B. There is no specific compensation for hours worked by FLSA Exempt employees beyond the minimum workweek of forty (40) hours. The following shall serve as basic guidelines to be used in the management of employee work hours:

1. In order to fulfill their job duties, employees may be expected to attend City Council meetings, as well as other Board, Commission, and Committee meetings during the evening and/or on the weekend. FLSA exempt employees shall not receive overtime or additional compensation in any other form for attendance at such meetings/activities. However, non-exempt FLSA employees may receive overtime or compensatory time off with the approval of the City Manager.

2. All FLSA exempt employees covered under this resolution shall be eligible to use 436
19 Management Leave during the calendar year as provided in Section 7.1 of this MOU.

C. In recognition that FLSA exempt MEA bargaining unit employees are often required to attend early morning, lunch, and evening meetings and due to the fact that their work is results oriented without a specific workweek, a system of flexible time is available for their use, subject to the operational needs of the City and as determined by their immediate Supervisor/Manager/Director.

It is expected that all MEA bargaining unit employees work a minimum of forty (40) hours a week, plus any additional work time reasonably required to discharge the duties and responsibilities of the position.

D. “Flex” Hours
With the approval of their supervisor, FLSA non-exempt (overtime eligible) employees assigned to work off hours, such as attendance at evening meetings or early morning training, may flex their schedules to accommodate the additional work, so long as the “flexed” hours occur within the same workweek. If the employee’s request to flex his or her schedule is denied, the employee may appeal the denial to his or her Department Head.

E. Alternate Work Schedules
The City may establish alternate workweeks (including 4/10, 9/80 or other schedules) for individuals or groups of employees by providing employees with written notice. The City and Union agree that the availability of alternate work schedules may be a valuable benefit to workers and the City. Alternate work schedules requests may be initiated by employee(s) or at the initiative of the City.

Alternate work schedules must be recommended by the Department/Division Manager and approved by the City Manager, with the needs of the City, service to the public, and the needs of the employee(s) being considered. At the request of either party, the parties will meet and confer over the establishment of alternative work schedules in specific work locations. Should a department or division establish an alternative work schedule as a result of meet and confer, the City will notify the Union of any issues with the alternative work schedule as well as any plans to eliminate the schedule.

In all decisions regarding alternative work schedules, the City Manager or designee’s decision will be final.

ARTICLE 14.0 RELATIONSHIP TO PERSONNEL REGULATIONS
The "Personnel Rules and Regulations of the City of East Palo Alto”, as amended from time to time and as presently adopted by Resolution 0210 provide policies and regulations governing aspects of employee compensation, benefits and conditions of employment. In any conflict between this MOU and Resolution 0210, the provisions in this MOU, or its successor, shall prevail.

ARTICLE 15.0 GRIEVANCE PROCEDURE
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20 A. This grievance procedure is intended to assure that every reasonable effort will be made to resolve problems as near as possible to the point of origin.

B. A permanent classified employee or his/her Union representative may submit a dispute according to this procedure. The Union may utilize this procedure in the event a dispute is not directly related to an individual employee and complies with all the provisions of this Article.

C. Definition. A grievance is defined as a dispute involving the interpretation, application or alleged violation of this Memorandum of Understanding (MOU) and shall not include any appeal of a disciplinary action. No dispute shall be considered a grievance if it does not conform to this definition. Where City Codes or Rules and Regulations provide another appeal process, the Grievant shall choose which process is to be used but shall not use both.

D. Grievance Procedure
Step 1 - Informal Discussion
Within ten (10) working days of the occurrence of an act in dispute, an employee shall discuss it with the Department Head, who shall investigate and attempt to resolve the matter. The Department Head shall give the employee an oral reply within ten (10) working days after the discussion. If the employee is not satisfied with the response, he/she may proceed to Step 2.

Step 2 - Formal Written Grievance
Any dispute not resolved at Step 1 may be submitted to the City Manager in writing citing the specific provision of the rule in dispute and stating the desired solution within ten (10) working days after the Department Head’s Step 1 response. Ten (10) working days thereafter, a meeting shall be scheduled with the employee and the City Manager or designee. The City Manager or designee shall provide the employee a written reply within ten (10) working days after such meeting. If the employee is not satisfied with the response, he/she may proceed to Step 3.

Step 3 - Advisory Arbitration
If the Union is not satisfied with the City Manager or designee’s response, it may appeal the dispute to advisory arbitration in writing within ten (10) calendar days after the date of the Step 2 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list of seven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. The party making the first strike shall be determined by a flip of a coin.

Costs for the arbitration (including arbitrator fees and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative.

The decision of the arbitrator shall be advisory to the City Manager. The City Manager or designee shall have ten (10) calendar days after the receipt of the decision to notify the Union of his/her decision either to adopt or revoke the decision of the arbitrator. If the City Manager or designee takes no action within the ten (10) calendar day period, the City Manager shall be deemed to have adopted the decision. 438
21 A decision adopted by the City Manager or designee will be final and binding upon the parties. A decision revoked by the City Manager or designee shall be deemed to have no effect and the Step 2 reply shall be final and binding upon the parties.

E. Copies of all City responses shall be sent to the Grievant, Union, and to the Grievant representative at the address indicated on the grievance form.

F. Failure of the City to adhere to the designated time deadlines shall be deemed a denial and the Grievant may appeal the grievance to the next level. Failure of the Grievant to adhere to the time deadlines shall mean that the grievance is settled. The grievant and the City may extend any time deadline by mutual agreement.

G. An employee may have a representative of his/her choice present at all stages of the grievance procedure.

H. An employee shall not be penalized in any way for availing himself/herself of this procedure.

ARTICLE 16.0 DISCIPLINE

16.1 Discipline
Except for employees in the classifications of Chief Building Official and Planning Manager, who serve at the will of the City Manager, the City may reprimand, place on disciplinary probation, discharge, suspend, reduce salary, or demote any employee who has completed the specified probationary period for cause, including, but not limited to:
 Dishonesty;
 Insubordination;
 Immoral or unprofessional conduct;
 Intoxication or the use of controlled substances while on duty;  Incompetence;
 Willful negligence;
 Excessive absences and/or tardiness;
 Inexcusable absence without leave;
 Misuse of City property;
 Failure to maintain licenses or certificates required by law, City requirements, or job description;
 Failure to perform work as required; or
 Failure to comply with or violation of the City's reasonable rules regarding safety, conduct and operations.

16.2 Right to Representation
Except in situations requiring immediate action, such as, but not limited to, allegations of 439
22 theft or urgent safety matters, an employee shall be entitled to a representative of his or her choice at an investigative interview that the employee reasonably believes may result in disciplinary action. The employee may request a representative either during or prior to the interview and must make a selection of which individual will be representing him or her within a reasonable time. The employee’s choice of representative will not be permitted to delay the investigation, if the resulting delay would harm the investigation.

16.3 Procedure
A. Notice of Intent to Discipline
A Notice of Intent to discharge, demote or suspend must be served on the employee and the Union in person or by certified mail.

The Notice shall include:

1. A statement of the nature of the disciplinary action;

2. The effective date of the action;

3. A statement of the cause thereof;

4. A statement of the act(s) or omission(s) upon which the causes are based;

5. A statement of the employee's right to respond to the charges, either orally or in writing, prior to the action becoming effective; and

6. A statement advising the employee of the right to Union representation.

The Notice shall be accompanied by all documentation upon which the City relied in determining the need for disciplinary action.

B. Employee Response/Skelly Meeting
The employee may respond to the Notice of Intent to Discipline either in person or in writing.

1. If the employee elects to respond in writing, the employee or his representative must file the employee’s response within ten (10) workdays after service of the Notice of Intent to Discipline.

2. If the employee elects to respond in person, the employee or his or her representative must request a meeting with the Department Head within ten (10) workdays after service of the Notice of Intent to Discipline. The Department Head shall hold a meeting with the employee within twenty (20) days of the employee’s request.

C. Notice of Discipline
If the Department Head determines that discipline is warranted, the Department Head shall issue a written Notice of Disciplinary Action within ten (10) workdays after either the filing of a written response or the date of the Skelly Meeting. If the employee did not request a meeting or file a written response, the Department Head’s decision is due twenty (20) workdays after the service of the Notice of Intent to Discipline. The Department Head shall furnish a copy of the Notice of Disciplinary Action to the Union and appropriate Steward.
440
23 D. Appeal to Personnel Officer

1. In the event an employee feels that the disciplinary action is unjust, the employee or his or her representative may appeal the action to the Personnel Officer. An appeal of the Notice of Disciplinary Action must be in writing and must be filed with the Personnel Officer within ten (10) workdays of the date of service of the Notice of Disciplinary Action.

2. For any matter subject to binding arbitration pursuant to Section E, below, the Personnel Officer or designee shall hold an appeal meeting within twenty (20) days.

3. For any matter not subject to binding arbitration pursuant to Section E, below, the Personnel Officer or designee may either hold an appeal meeting within twenty (20) days or may refer the matter to advisory arbitration.

A. Advisory arbitration shall be heard by a neutral arbitrator mutually selected by the parties or chosen by the alternating strike method from a list provided by the State Mediation and Conciliation Service. The arbitrator shall have the power to:
 Compel the attendance of witnesses;
 Require the production of evidence by subpoena;
 Administer oaths to witnesses;
 Receive evidence from the department head and the employee, allowing reasonable cross examination of witnesses; and  Complete a record of the proceedings, including a certified reporter’s transcript.

B. The arbitrator shall prepare a report to the Personnel Officer with his/her findings and recommendations within forty- five (45) calendar days after the date of referral by the Personnel Officer. The report of the arbitrator shall be non-binding and advisory to the Personnel Officer who shall exercise his/her discretion to accept or reject all or part of the report.

4. The Personnel Officer shall issue his/her decision within ten (10) workdays after either meeting with the employee or receipt of the arbitrator’s report, whichever is later.

5. Except for matters which are subject to arbitration pursuant to Section E, the decision of the Personnel Officer shall be final.

E. Arbitration of Serious Discipline
In the event an employee feels that a discharge, suspension of three (3) or more days, or a reduction in pay for sixty (60) or more days is unjust, the Union shall have the right to appeal the case to binding arbitration. Any appeal under this provision must be filed within twenty (20) days after receipt of the Personnel Officer’s decision. The expenses of any arbitration convened pursuant to this section, including the fee for the services of the Arbitrator and court reporter shall be borne equally by the parties. All other 441
24 expenses which the parties may incur individually, including witness and attorneys’ fees, are to be borne by the party incurring such expenses.

16.4 Exceptions
The foregoing provisions shall not apply to employees in the classifications of Chief Building Official and Planning Manager. Employees in those classifications shall continue to be “at will” employees who serve at the will of the City Manager.

ARTICLE 17.0 WAGE AND SALARY SCHEDULE COST OF LIVING

ADJUSTMENTS

17.1. Wages
A. Employees in this unit will receive a salary increase of 5% (five) effective the first full payroll immediately following adoption of this agreement by City Council B. Employees in this unit will receive a one-time payment of $2,500 effective the first full payroll following Dec 1, 2022.

17.3. Merit Step Increases
Upon the completion of six (6) months of actual initial or promotional probationary service and after receiving a satisfactory performance evaluation, eligible full-time employees who were initially appointed to the “Step A” of the salary range in effect for the class to which appointed will be granted a merit increase to the next higher step in the pay range.

Employees who are at the “Step B” of the salary range or higher shall receive a merit increase to the next higher step until the top step of the pay range each twelve (12) months of actual service after receiving a satisfactory performance evaluation. Regular part-time employees shall be entitled to merit increases after receiving a satisfactory performance evaluation upon completion of not less than twelve (12) months of actual service in each step of the range.

An employee shall not receive a merit increase beyond the maximum step established for the job classification.

Merit increases shall be effective on the first pay period following the anniversary date (i.e., six (6) months after the initial appointment to the classification at Step A and every twelve (12) months after that), regardless of the date of evaluation.

ARTICLE 19.0 BILINGUAL EXAMINATION AND DIFFERENTIAL

19.1 Bilingual Differential
Employees who are assigned to job duties requiring the use of bilingual skills are eligible to receive$50.00 per pay period. No employee shall be required to use bilingual skills who is not compensated under this section.
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25 19.2 Eligibility
Bilingual Differential shall be available only to employees who are regularly required to speak, read, or translate in a language other than English in order to perform assigned job duties arising during the normal course of work.

19.3 Examination Process
The City shall establish a test for Bilingual Differential. This test shall include a written and verbal certification, including translation, given by an individual or entity designated by the City. The Human Resources Department shall be responsible for overseeing the administration of the test and certifying test results.

Eligible bargaining unit members may request to take the Bilingual Differential test by submitting a request in writing to the Human Resources Department. Within thirty (30) days of receiving such a request, the Human Resources Department shall decide, in its sole discretion, whether the employee is eligible for Bilingual Differential based on whether bilingual skills are essential to successful performance of the employee’s assigned job duties and shall issue notice if its decision to the employee. The decision of the Human Resources Department to arrange for testing shall be final.

If the Human Resources Department approves an employee’s request for bilingual testing, the Department shall arrange for testing to be completed within thirty (30) days of the approval.

19.4 Effective Date
Bilingual Differential shall be paid beginning on the first day of the first pay period following the Human Resources Department’s certification that the employee has passed the test for Bilingual Differential and otherwise met the requirements to receive Bilingual Differential. Bilingual Differential shall be based solely on the date of the Department’s certification and shall not be paid retroactively.

ARTICLE 20: BOOTS

20.1 Boots
Employee represented by this bargaining group who are required to wear protective footwear will be reimbursed up to $250 per year for the purchase of safety boots approved by OSHA/ANSI.

In the event an employee’s shoes are damaged and/or worn, and/or unsafe as determined by the City, the employee may request that damaged shoes be replaced provided:

A. The division head/manager concludes the shoes are damaged and need to be replaced.

B. The employee furnishes proof of purchase for the damaged shoes. Purchase shall have been within the current fiscal year.

C. The employee has fully expended the boot allowance. If not fully expended, the employee must use the balance of his/her allowance for the purchase of replacement shoes. Requests for replacement equipment shall be made to the City in writing on a City-provided form.

The City shall normally respond to such requests within five (5) working days. Denials may be appealed to the Human Resources Manager in writing within five (5) working days. The decision of the Human Resources Manager is final and shall not be appealed. 443
26 Denials of replacement equipment shall not be subject to the grievance procedure.

ARTICLE 21.0: CONTRACT TERM
The term of the MOU shall be from August 1, 2022 to Dec 31,2023 equivalent to sixteen months.

ARTICLE 22.0 OVERTIME
For overtime-eligible classifications, overtime, overtime is limited to “actual hours worked” (not including sick leave, vacation, compensatory time, or other paid or unpaid leave).

ARTICLE 23.0: PAYROLL DEPOSIT
All bargaining unit members will enroll in direct payroll deposit.

ACCEPTED BY:

For the Management Employees’
Association Union:

For the City of East Palo Alto:
________________________________
Stanley Young, MEA Representative
________________________________
Melvin Gaines, City Manager
________________________________
Romeo Herrera, MEA President
________________________________
Ana M Torres-Mondragon, Human Resources
Manager
Kevin Lewis ________________________________
Brenna Rowe, Chief Spokesperson
Sloan Sakai Yeung & Wong LLP
Memorandum of Understanding
Between
The City of East Palo Alto
And the
East Palo Alto Management Employees’ Association
(Management Unit)
Appendix A – Management Bargaining Unit
This unit of employees shall, for the purpose of identification, be titled the Management Unit.
444
27  Administrative Services Manager, Police Department  Chief Building Official
 City Engineer
 Community Programs Manager
 Deputy City Clerk
 Financial Services Manager
 Fiscal Analyst
 Housing Project Manager
 Maintenance Manager
 Management Analyst
 Planning Manager
 Police Records Supervisor
 Rent Stabilization Administrator
 Senior Engineer
 Senior Planner
Memorandum of Understanding
Between
The City of East Palo Alto
And the
East Palo Alto Management Employees’ Association
(Management Unit)
Appendix B – Basic Term Life Insurance Policy
Position Designation/Policy Amount
445
28 Administrative Services Manager (PD) Management $100,000 Chief Building Official Management $100,000
City Engineer Management $100,000
Community Programs Manager Management $100,000
Deputy City Clerk Mid-management $ 75,000
Financial Services Manager Management $100,000
Fiscal Analyst Mid-management $ 75,000
Housing Project Manager Mid-management $ 75,000
Maintenance Manager Management $100,000
Management Analyst Mid-management $ 75,000
Planning Manager Management $100,000
Police Records Supervisor Mid-management $ 75,000
Rent Stabilization Administrator Mid-management $ 75,000 Senior Engineer Mid-management $ 75,000
Senior Planner Mid-management $ 75,000
446

MEMORANDUM OF UNDERSTANDING

BETWEEN

THE CITY OF EAST PALO ALTO

AND THE
EAST PALO ALTO MANAGEMENT EMPLOYEES’ ASSOCIATION
(MANAGEMENT UNIT)
Eighteen Month Agreement (August 1, 2022 through December 31, 2023)

PREAMBLE
This Memorandum of Understanding is entered into by and between the City of East Palo Alto, hereafter referred to as “City”, acting through its negotiator, and employees of the City as represented by the East Palo Alto Management Employees’ Association, hereafter referred to as “Union”, pursuant to the Meyers-Milias-Brown Act (MMBA) (Government Code Section 3500- 35100). Pursuant to Federal and California law, the City and Union have met and conferred in good faith and have fully communicated and exchanged information concerning wages, hours, and other terms and conditions of employment for the term of this agreement. It is the intent of the parties to set forth herein their entire agreement covering rates of pay, wages, working hours, and other terms and conditions of employment and to provide for prompt and fair settlement of grievances without interruption or other interference with the normal operations of the City.

This Agreement constitutes a mutual understanding between the parties of those wages, hours, terms, and conditions of employment which are to be in effect during the period of the Agreement. Both parties have mutually agreed that their objective is for the good of the City of East Palo Alto and Union members alike. Both parties agree further that, in the interest of collective bargaining and harmonious relations, they will at all times abide by the terms and conditions as hereinafter set forth.

It is agreed that the delivery of quality municipal services in the most efficient, effective, and courteous manner is of paramount importance to the City, Union, and the represented employees.

Such achievement, and the maintenance of a competent organization that delivers sustained quality municipal services is hereby recognized to be a mutual goal of the parties to this Agreement within their respective roles and responsibilities.

Unless separately identified in another provision of this Agreement, any notification given pursuant to the terms of this agreement shall be sent to the following:

For the City: For the Union:

City Manager Representative
City of East Palo Alto
2415 University Avenue
East Palo Alto, CA 94303
Management Employees’ Association (MEA)
2415 University Avenue
East Palo Alto, CA 94303
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2 ARTICLE 1.0: RECOGNITION

1.1 Union Recognition
The Union has been recognized as an Employee Organization pursuant to the EmployerEmployee Relations Resolution # 48-83, adopted by the City November 21, 1983 for the regular full-time employees assigned to the classifications set forth in Appendix A.

Pursuant to Section 3500-35100 of the Government Code of the State of California, the City recognizes the East Palo Alto Management Employees’ Association as the exclusive bargaining agent for the purpose of establishing salaries, wages, hours, terms, and other conditions of employment for all regular full-time management and mid-management employees in the City, except those in confidential classifications, which are unrepresented.

Pursuant to the language in the MOU, this list can be amended from time to time.

1.2 Job Descriptions
The City will make Job Descriptions for all filled bargaining unit positions available to the Union upon request and will provide the Union with drafts of revised job descriptions before approval by the City Manager. Upon request, the City will meet and confer with the Union over changes in job descriptions for bargaining unit members (to the extent those changes fall within the scope of representation) prior to approval by the City Manager.

1.3 Establishment of New Classifications
The City will provide reasonable advance written notice to the Union prior to establishing any new classifications appropriate to the MEA unit or removing classifications from the MEA unit. The City will provide its notice no later than one-week prior to any City Council action required to establish the new classification or modify the bargaining unit assignment of an existing classification. Upon written request from MEA prior to the establishment of the classification by the City Council, the City shall meet and confer regarding the job description and salary range for the new position.

1.4 Reclassification
A. When necessary, the Union may request that the City reclassify Union positions. These requests shall be made in writing and shall indicate the position’s current classification, the proposed reclassification, and a detailed statement of the reasons that the reclassification is appropriate. The Human Resources Manager or designee shall respond to the reclassification requests made by MEA in writing not later than three (3) months after the submission of the request, unless this deadline is mutually extended by the parties. The Human Resources Manager or designee will meet with the Union and each incumbent employee during the process.

B. In the event that the Human Resources Manager or designee, determines that the reclassification is not appropriate, the Union may appeal the decision to the City Manager in writing, not later than ten (10) calendar days after the date of the Human Resources Manager or designee’s decision. The City Manager shall render a decision within ten (10) calendar days of the appeal. The decision of the City Manager shall be final. This section is not subject to the grievance procedure.
448
3 C. Reclassifications will be effective either the date of the Human Resources Manager or designee’s decision or three (3) months after the submission of the request, whichever is earlier.

1.5 Position Recruitment
A. Human Resources to define Internal and External Recruitments (prescribe when appropriate)
B. Postings
Open recruitments for promotional opportunities for permanent City positions in classifications within the representation unit will be posted at all work locations and on the City’s website for at least fourteen (14) calendar days prior to closing applications and shall be mailed to the Union and emailed to bargaining unit members with City email accounts.

Such postings shall include a description of the type of examination and screening process that will be used in filing the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.
“Internal Posting” promotional opportunities for permanent City classifications within the representation unit will be posted at all work locations for at least seven (7) calendar days prior to closing applications and shall be mailed to the Union and emailed to bargaining unit members with City email accounts. All internal and external employment opportunities announcements will be emailed to all employees.

Such postings shall include a description of the type of examination and screening process that will be used in filling the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.

C. The top two (2) permanent bargaining unit members applying for promotional opportunities for classifications within the representation unit and who meet the minimum qualifications for the position will be interviewed regardless of the number of interviewees otherwise requested by the hiring department. When possible, the top two (2) permanent bargaining unit members applying for promotional opportunities outside of the representation unit and who meet the minimum qualifications for the position will be interviewed.

D. Once a list of reachable candidates has been generated and upon request by any Department Head, the Human Resources Manager shall refer to the requesting Department a list of the top seven (7) candidates as well as a list of all internal applicants on the recruitment list. The Department Head shall have the discretion to interview any of the candidate whose names have been referred by the Human Resources Manager.

1.5 Contracting Out
A. The parties have a shared interest in eliminating unnecessary consulting contracts and hiring permanent employees to perform the work of the City. Conditioned upon having 449
4 available funds, the City will make every effort to recruit and fill all authorized positions which belong to the bargaining unit. The City will retain the right as to how the services will be delivered to the citizens of East Palo Alto.

B. Whenever possible, the City agrees to notify the Union ninety (90) days in advance of contracting out work that results in or is the result of elimination or not filing a bargaining unit position and will negotiate with the Union regarding the effects of contracting out on remaining bargaining unit members. In the event the City is moving forward with such a contract in a timeframe shorter than ninety (90) days prior to contracting out work that results in or is the result of the elimination or not filling a bargaining unit position, the City will notify the Union as soon as possible.

C. This provision shall not apply in situations where the City is preparing for or holding a recruitment for a bargaining unit employee to perform the work or where a recruitment has been unsuccessful in filling the unit position in the last twelve (12) months. However, if a recruitment is unsuccessful the City will run a new recruitment within twelve (12) months after the contracting out of work.

D. The City will provide the Union with a list of active Purchase Orders twice per year.

ARTICLE 2.0: NON-DISCRIMINATION

2.1 Non-Discrimination
The provisions of this Memorandum of Understanding (MOU) be applied equally to all employees covered hereby without unlawful discrimination because of race, religious creed or political opinion or affiliation or legitimate union activity, color, national origin, age, ancestry, physical and/or mental disability (including HIV and AIDS), medical condition, genetic information, marital status, sex (childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), gender, gender identity, gender expression, age, sexual orientation, and military and/or veteran status, against any employee or applicant for employment by the Union or by the City or by anyone employed by the City; and to the extent prohibited by applicable state and federal law.

Further information pertaining to Non-Discrimination is more fully detailed in the Citywide Diversity, Equity, and Inclusion Staff Retention Policy.

ARTICLE 3.0: UNION SECURITY

3.1 .

3.2 Dues Deductions
The City will deduct dues and remit them to the Union pursuant to State law. As of the date of execution of this MOU, the Union is not collecting dues from members. 450
5 ARTICLE 4.0: RIGHTS OF PARTIES

4.1 Management Rights
The City hereby retains and reserves unto itself, without limitation, all powers, rights, authority, duties and responsibilities conferred upon and vested in it by the laws of the Constitution of the State of California and of the United States, including but not limited to the generality of the foregoing, the right:
a. To set standards and levels of service;
b. To determine the procedures and standards of selection for employment and promotions;
c. To direct its employees;
d. To determine the methods and means to relieve its employees from duty because of lack of funds or other lawful reasons;
e. To determine the methods, means, numbers and kinds of personnel by which City operations are to be conducted;
f. To determine the methods of financing;
g. To determine the size and composition of the work force and allocate and assign work by which the City operations will be conducted;
h. To determine and change the number of locations, relocation and type of operations, processes and materials to be used in carrying out all City functions;

1. To establish employee performance standards including, but not limited, quality and standards, and to require compliance therewith;
j. To take necessary actions to carry out its mission in emergencies; k. To exercise complete control and discretion over its organization and the technology of performing its work;
l. To take any and all steps necessary to discharge the City's responsibilities to provide for the safety of the public it serves and to provide employees with a safe working environment; provided, however, nothing herein shall preclude the Union from providing input, consulting and/or meeting and conferring with the City as required by law on such safety issues so long as such actions do not prevent the City from discharging these responsibilities;
m. The exercise of the foregoing powers, rights, authorities, duties, and responsibilities by the City, the adoption of policies, rules, regulations and practices in furtherance thereof, and the use of judgment and discretion in connection therewith, shall be limited only by the specific and express terms of this memorandum and then only to the extent such express terms hereof are in conformance with the Constitution and laws of the United States and the Constitution of the State of California; and n. The exercise by the City through its City Council and management representatives of its rights hereunder shall not in any way, directly or indirectly, be subject to any grievance procedure nor subject to meeting and conferring.

4.2 Employee Rights
Employees of the City shall have the right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees also have the right not to participate in the activities of any employee organization.

Neither the City nor the Union shall interfere with, intimidate, restrain, coerce, unduly influence or discriminate against any bargaining unit member because of his/her exercise 451
6 of these rights.

4.3 Union Rights

4.3.1 Union Access
A qualified representative of the Union shall be allowed to visit City work locations for the purpose of ascertaining whether or not this Agreement is being observed. The right shall be exercised reasonably. The qualified representative shall report to management before proceeding to any work locations that are not open to the public. The representative shall not meet with employees during work time (not including breaks) and shall not interfere with the normal conduct of work. Activities such as solicitation of membership, collection of dues, holding membership meetings, campaigning for office, conducting elections and distributing literature is strictly prohibited during working hours without prior approval of the City Manager or his/her designee.

4.3.2 Notification to the Union
The City will comply with all conditions established by the MMBA.

4.3.3 Bulletin Boards
Posting of information on City premises shall be limited to approved bulletin boards.

Adequate space shall be made available to the Union for posting information on approved bulletin boards, provided the posted material is not derogatory to the City, employees of the City, or other employee organizations, and does not support or oppose candidates for public office or ballot issues.

4.3.4 Release Time

1. The Union shall be limited to no more than one (1) Representative for every three (3) members of the unit. However, Union may identify one (1) alternate Representative. The Alternate steward shall share the three (3) hours of release time with the primary steward for which they are the alternate. The Union shall provide the City with a list of all the primary Representatives and alternate Representatives, including work assignment and contact information.

2. Representatives shall be allowed no more than three (3) hours per month of release time to represent workers in meetings related to grievances, to investigate grievances, to orient new employees, and to meet with executives/management to discuss Union activities. The monthly allotment of hours provided for Representatives cannot be transferred or accumulated from month to month. If HR requires more than three (3) hours of meeting time, HR may request for MEA representative is authorized for extended time for these meetings on a case-by-case basis.

3. Release time must be pre-approved and is at the discretion of the City designated Manager/Director but shall not be unreasonably denied. Moreover, Representative shall not participate during a time that it is foreseeable that such action will create a gap in work production or staff supervision which may result in critical service interruption.
452
7 4. A Representative who is released to investigate a grievance or to meet with City officials shall return promptly to his/her regularly assigned duties.

5. Only one Steward shall be relieved from assigned work duties for any given matter.

4.3.5 List of Bargaining Unit Members
On a semi-annual basis every six (6) months the City will provide to the Union a list of bargaining unit employees including vacancies. This list will be in Excel format and will include the following: first and last name; position title; department; Management status (mid-management or management); and employment date.

4.3.6 Bargaining Team
Subject to the City’s operational needs, the City shall allow three (3) Union Bargaining Team members reasonable time from work to attend required bargaining meetings during negotiations over a successor MOU. Additionally, negotiators will normally be granted one-half hour caucus time before, exclusive of travel to and from their worksite to the negotiations site. Reasonable requests for additional prep time will be granted. Should a conflict arise between negotiations and City business, the City will notify Union immediately and the parties will work to resolve scheduling issues. The City will not reimburse bargaining unit team members for time spent bargaining outside of normal work hours.

4.3.7 New Worker Orientation
The City will give new bargaining unit members contact information for the Union and any relevant materials (including the MOU) provided by the Union. The City will allow each new bargaining unit member thirty (30) minutes of release time to meet with a local union Representative. This time must be used during the member’s first pay period of employment with the City. The City will give the Union at least one-week advance notice of a new employee being hired. The City will give the Union at least one-week advance notice of a new employee being hired. The City shall grant release time to at least one appointed Union Representative to conduct the new worker orientation.

4.3.8 Use of City Facilities
The parties agree that work time is for work. Therefore, Union meetings and other Union activities shall not occur during participating employees’ work time. Union meetings may occur on participating employees’ non-work time in City-controlled public meeting facilities. However, the Union shall limit its use of City facilities to comply with City Policies, Rules, and Regulations. The Union shall procure prior City approval for the use of such facilities and shall schedule the use of City facilities according to City procedure.

ARTICLE 5.0: LAYOFF

5.1 Layoff
The parties agree to abide by the City's personnel rules in regard to layoffs as detailed in Personnel Policies and Procedures Sections. 453
8 ARTICLE 6.0: FURLOUGH
The parties agree to abide by the City’s personnel rules in regard to furloughs as detailed in Personnel Policies and Procedures Sections.

ARTICLE 7.0: LEAVE OF ABSENCE (PAID AND UNPAID)

7.1 Management Leave
FLSA Exempt bargaining unit employees often put in hours to meet the demands of their position. While some extra work time is an expected component of their position, the City wishes to provide a benefit in recognition of this service. The City Council has previously authorized standard criteria for Union positions to be eligible for up to sixty (60) hours of Management Leave annually for those employees who are exempt from the overtime provisions of the FLSA.

Accrual of Management Leave shall be in addition to earned vacation benefits and is not intended to be balanced hour for hour with extra time worked by FLSA exempt employees.

Each FLSA exempt Management employee shall receive sixty (60) hours of Management Leave annually, accrued in total as of January 1. Management leave for FLSA exempt employees hired after January 1 will be prorated.

If the leave is not used by December 31, of each year, the unused balance will not carry forward unless approval by the City Manager is received before December 31.

The City Manager may authorize a carryover of unused balance. Any unused leave not taken within the extension period, authorized by the City Manager, will be lost.

Management leave must be taken as time off and is not compensated upon termination.

7.2 Vacation Leave Credits
All full-time employees covered by this MOU shall earn vacation credits as follows:

Minimum Continuous City Service
Amount of Vacation Earned Annually
0-4.99 years: 80 hours (3.08 hrs bi-weekly)
5-9.99 yrs.: 120 hours (4.62 hrs bi-weekly)
10-14.99 years: 160 hours (6.15 hrs bi-weekly)
15-plus years: 200 hours (7.69 hrs bi-weekly)

7.2.1 Vacation Accumulation
A Management employee with less than ten (10) years of consecutive public service shall not accumulate more than two-hundred and eighty-eight (288) hours of vacation.
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9 A Management employee with more than ten (10) years of consecutive public service shall not accumulate more than three-hundred and twenty (320) hours of vacation.

Once the accrual cap is reached, a Management employee shall not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage and/or cash-out (as described in Section 7.2.4).

A Management employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date. Requests for deferring vacation use must be presented to the City Manager sixty (60) calendar days before the end of the calendar year in which the vacation leave was to be taken.

In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must be used.

7.2.2 Vacation Authorization
The City values vacation and believe that an employee's ability to utilize vacation is an important goal. To that end, the City and Union wish to emphasize that MEA bargaining unit employees are not expected to be "on call" during vacation. Of course, because of the importance of their positions, bargaining unit employees must provide adequate contact information in the event it becomes necessary to contact them prior to their return from vacation. If an employee is required to return to work from vacation, the employee shall not be charged vacation for the period during which they have returned to work.

The time at which an employee may use vacation leave and the amount to be taken, at any one time, shall be determined by the City Manager or Designee, with particular regard for the needs of the City and, insofar as possible, considering the desires of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the City Manager.

Said approval of vacation leave shall not be unreasonably withheld.

7.2.3 Use of Vacation
Vacation leave may be taken by the management employee as it is credited. Accrued vacation time may be used, at a minimum, in blocks of four (4) hour increments.

The date of vacation may be selected by the employee but shall be approved by the City Manager or designee, who shall consider the wishes of the employee and the needs of the department and/or the City organization.

7.2.4 Vacation Cash Out
Members of the bargaining unit may make an irrevocable election to cash out vacation during the month of December each year. Employee must complete the “Irrevocable Annual Vacation Cash Out Election Form” each calendar year for the following year. To qualify for vacation cash out, an employee must have more than eighty (80) hours of accrued vacation. During the term of this MOU, Bargaining units shall be allowed to cash out up to 80 hours of leave vacation, so long as the member maintains a balance of at least eighty (80) hours. Elections will be cashed out December the following year.
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10 7.2.5 Pay for Vacation Time
Upon termination of employment the Management employee shall receive all earned vacation on record based on the pay level of the employee at the time of the separation of employment. Such payment shall be received in his/her final paycheck from the City.

7.3 Holidays

7.3.1 Official Holidays
All Management employees shall receive twelve (12) designated paid holidays per year to be observed during each fiscal year (July 1 through June 30). Holiday Leave shall be administered as provided for in Section 3.10 of the City of East Palo Alto Personnel Policies and Procedures and subsequent amendments adopted by City Council. Paid holidays shall have a length of eight (8) hours. If an employee desires to take more than eight (8) hours of holiday time (e.g., an employee on a 4- 10 schedule), the employee will be permitted to use leave time to make up the difference.

Specified holidays authorized by the City Council are as follows:

1. New Year's Day, January 1

2. Martin Luther King Day, 3rd Monday in January

3. Lincoln's Birthday, February 12

4. Washington's Birthday, February 22 or its legal substitute (third Monday in February)

5. Cesar Chavez Day, last Monday in March

6. Memorial Day, May 31 or its legal substitute (third Monday in May)

7. Independence Day, July 4

8. Labor Day, first Monday in September

9. Veteran's Day, November 11

10. Thanksgiving Day, third Thursday in November

11. Day after Thanksgiving,

12. Christmas Day, December 25
Note: When any day recognized as a holiday falls on Sunday, the holiday shall be observed on the following Monday. When any day recognized as a holiday falls on a Saturday, the holiday shall be observed on the preceding Friday. When a holiday falls on an employee’s designated day off which is not a Saturday or Sunday, the employee shall be permitted to schedule eight hours of holiday time for another day within the same pay period as the holiday. A employee may schedule holiday time under this provision in the same manner as vacation is scheduled (pursuant to Section 7.2.3).

7.3.2 Other Holidays
In addition, any day proclaimed by the President of the United States, the Governor of the State of California, and recognized by the City Council as a public holiday, day of mourning or day of thanksgiving shall be provided as a holiday. This shall be administered in compliance with Resolution 0210 (Section 3.10.02). 456
11 7.3.3 Other Religious Holidays
A Management employee may request, in advance, to be excused from work for the observance of a bona fide religious holiday, subject to approval of the City Manager. If approved, such time off shall be charged to the Management employee’s unused available Vacation or Management Leave balance, whichever the employee designates. Approval of time off is subject to the needs of the City. If not approved, no pay or other time off shall be authorized in lieu thereof.

7.3.4 Effect of Other Leave While on Vacation
When a day designated as a holiday, in Section 7.3.1, occurs during the Management employee’s vacation leave, for payroll purposes, the day shall be charged as a holiday instead of vacation. Sick Leave shall not be approved for official holidays. A Management employee in no pay status shall not receive or accrue holiday leave.

7.3.5 Pay for Official Holidays
Management employees shall receive eight-hours of pay for each of the twelve (12) official holidays.

7.4 Sick Leave

7.4.1 Accrual
All Management employees shall accrue sick leave at a rate of three and seven tenths (3.7) hours per bi-weekly pay period, beginning at the end of the first thirty-one days of employment, and sick leave may be accrued with no maximum limit.

7.4.2 Personal Use
Use of accrued sick leave may begin as it is accrued. It is to be used for illness or injury and may not be used to supplement days off.

7.4.3 Family Care Use
Accrued sick leave may be used to care for children, siblings and parents, (be they natural, adoptive, step or foster, grandparents, aunts, uncles, of the employee their current spouse or domestic partner, to a maximum of eighty (80) hours in a calendar year (January through December). It is further provided that leave and or vacation accrual may be used for family care up to twelve (12) weeks in any twelve (12) month period. If all bank accruals have been used, without pay, may be used for such care in unusual or emergency cases with the approval of the City Manager.

7.4.4 Documentation
Employee Leave forms must be filed in all cases and a physician’s certification may be required at the discretion of the City Manager and/or designee for absences of three (3) consecutive workdays or more.

7.4.5 Leave Donations
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12 Bargaining Unit members may use up to one-half of their annual accrual of sick leave for the diagnosis, care, or treatment of an existing health condition of, or preventive care for, a member of the employee’s immediate family. For the purpose of this section, the immediate family of an employee shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin. Immediate Family shall also include registered domestic partners.

Employees shall be eligible to participate as donors and recipients in the leave donation program, which provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness and/or injury. This program allows a permanent City employee to donate accrued vacation time hours to a specific eligible employee who has exhausted his/her own available leave balances on an hour for hour basis.

Catastrophic illness or injury is defined as the employee’s own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee’s immediate family member who has a catastrophic illness or injury as verified by a physician’s statement.

A. To receive leave donations, an employee:

1. Must have been employed in a regular full-time position with the City for a minimum of one year; and

2. Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician’s statement); or be absent from work in order to attend to his/her immediate family member who has a catastrophic illness or injury (as verified by a physician’s statement); and

3. Must have exhausted all earned leave balances (including sick leave if related to the employee’s own illness) vacation, and management leave; except however, donations may be made prior to all balances being exhausted, when the physician’s statement and leave balance indicate the probable exhaustion of balances within two (2) pay periods.

B. Donations

1. Are voluntary.

2. Are made from accrued Vacation and/or Management Leave balances; donations of Sick Leave are not permitted.

3. Must be for a minimum of eight (8) hours, in whole hour increments.

4. Are irrevocable.

5. Are taxable on the part of the recipient, in accordance with IRS Regulations, and are subject to withholding as required by law.

6. Donations shall be processed in the order received. However, a donor’s leave shall not be reduced until the recipient actually uses the leave. Unused donation shall remain with the donor.

7. An employee may not donate more that eighty (80) hours to any other individual employee.

8. The total donation received into an employee’s donated leave balance shall 458
13 normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered when approved by the Human Resources Manager.

9. Upon approval of the request for donations, the Human Resources Manager (or his/her designee) shall, at the employee’s request, post a notice of the eligible employee’s need for donations on departmental bulletin boards accessible to employees. Confidential medical information shall not be included in the notice.

10. Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City’s management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.
“This provision (7.4.5) shall sunset upon the parties’ mutual agreement on a Citywide policy on Leave Donation.”

7.5 Fitness for Duty Examinations.

City retains the right to require employees, covered by this agreement, to take a Cityrequested examination at a physician of the City’s choosing. The parties agree that any City order that an employee submit to fitness for duty examination will be made in compliance with applicable laws and judicial decisions.

7.6 Family Medical Leave

7.6.1 Family Medical Leave Act and California Family Rights Act Management employees shall be entitled to and the City shall comply with leave as provided for in the Family Medical Leave Act (FMLA) and the California Family Rights Act (CFRA).

7.6.2 Immediate Family
Immediate Family shall mean the following: related by blood, marriage or adoption; spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and first and second level cousin. Immediate family shall also include a registered domestic partner.

7.7 Bereavement Leave
A. Management employees shall be entitled to up to three (3) calendar days of paid leave for an occurrence of death or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager or designee and charged to the employee’s available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above.

B. Immediate family shall mean the following: related by blood, marriage or adoption:
spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin. Immediate Family shall also include registered domestic partners; C. Request for funeral/emergency leave must be in writing, state the relationship of the family member, and be approved in advance of the City Manager. In special 459
14 emergencies, an employee may request formal approval after the fact; if approved, leave records shall be adjusted accordingly. Death following a serious illness or injury shall generally be regarded as one (1) occurrence; however, the City Manager reserves authority for determining the nature and/or severity of the illness and the amount of time the occurrence warrants.

7.8 Jury Duty Leave
A. Management employees required to report for jury duty during regularly scheduled work hours shall notify the City Manager as soon as possible and shall be entitled to leave with pay until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees except those specifically allowed for mileage and subsistence.

B. A Management employee subpoenaed to appear in court during regularly scheduled working hours, solely as a result of employment with the City, shall receive full pay for such appearance until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees except those specifically allowed for mileage and subsistence.

C. A Management employee is responsible for keeping the City Manager informed of his/her court schedule.

7.9 Military Leave
A. Military leave shall be granted in accordance with the Military and Veteran’s Code of the State of California and/or federal regulations as amended. All employees entitled to military leave shall be given such leave within such limits as the appropriate military regulations may determine, when leave is requested in addition to the rights of workers returning from such leave.

B. Every permanent classified officer or employee of the City who is actually inducted into, or enters, any branch of the military, Army, Navy, Air Force, Marines, National Guard, or Coast Guard Service of the United States of America, pursuant to and under the terms and conditions set forth in Section 395, et seq., as amended, of the Military and Veteran’s Code, shall be entitled to a military leave of absence from his/her City position and shall be entitled to receive regular compensation and benefits in accordance with state law and any current City Resolution.

C. This provision (7.7) shall sunset upon the parties’ mutual agreement on a City-wide policy on Military Leave.

7.10 Leave of Absence without Pay
If the circumstances of the particular case warrants, the City Manager may grant leaves of absence without pay for a maximum of ninety (90) working days to any employee.

The leave shall be governed by the Personnel Policies and Procedures Section 3.12.13 or as amended by the City Council.
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15 7.11 Industrial Accident Leave
The City agrees to comply with all State and Federal statues, regulations and rulings with respect to compensation of employees who suffer industrial injury or illness.

ARTICLE 8.0 H E A L T H , DENTAL, VISION, LONG TERM DISABILITY, LIFE INSURANCE, DEFERRED COMPENSATION, RETIREMENT, COBRA AND 125

FLEXIBLE SPENDING PLANS

8.1 Medical Insurance
A. The City shall provide a medical insurance plan or plans (if more than one is available) for eligible employees covered by this bargaining unit.

B. The City shall contribute up to the full cost of the employee-only level based on the Kaiser Permanente HMO premium. Eligible employees may select coverage from among the available options. Any premiums in excess of Kaiser Permanente HMO plan will be paid by the employee.

C. The City shall contribute up to sixty five percent (65%) of the premium of the Kaiser Permanente HMO medical plan for those employees electing to have dependent medical coverage under the City’s medical plans. The employee shall be responsible for the remaining premium for the elected medical coverage, payable through bi-weekly payroll deductions.

D. Medical coverage starts the first day of the month following date of hire.

E. Employees who fail to authorize payroll deduction or make payment pursuant to the approved schedule shall not be provided with dependent coverage.

F. Employees may insure their eligible dependents (including registered domestic partners, as defined by State law) in the Medical Plans offered by the City.

G. Employees electing not to take health c o v e r a g e shall be required to complete and sign a “Waiver Form” and such form shall be filed in the personnel file.

H. Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and
461
16 The benefits Committee will commence no later than September 30,2022. The Committee will be composed of City labor representatives, not to exceed four (4) representatives and four (alternates) from each participating labor organization and four (4) representatives. These names will be provided to the City no later than August 31, 2022.

8.2 Dental Insurance
A. The City agrees to provide and contribute the full cost of a dental insurance plan(s) (if more than one is available) for its employees. Employees may insure their eligible dependents (including registered domestic partners, as defined by State law) in the Dental Plan(s) offered by the City. Dependent dental insurance coverage shall be paid for by the employee.

B. Employees electing not to take dental coverage shall be required to complete and sign a “Waiver Form” and such form shall be filed in the personnel file.

8.3 Long Term Disability Insurance
Management employees covered under this resolution may participate in the group longterm disability insurance program, at the City’s expense. For an overview of the plan see the certificate of insurance on file in the City’s Finance Department.

8.4 Life Insurance
The City agrees to provide and pay the full costs for a Basic Term life insurance policy in the amount of $100,000 for Management employees responsible for a Division, and $75,000 for Mid-management employee covered under this resolution. Any additional options available through the plan shall be at the employee’s expense. The City shall provide each member a copy of the plan as provided by the insurer.

8.5 Deferred Compensation
The City agrees to provide, at the employee’s expense, a deferred compensation (457) plan approved by resolution of the City Council.

8.6 Retirement
Effective on or about June 29, 2008, the City implemented the 2.5% @ 55 retirement enhancement. Eligible employees hired on or after January 1, 2013, and who meet the definition of “new member” under Government Code § 7522.04(f), shall be covered by the PERS retirement plan two percent (2%) at sixty-two (62) full formula for local miscellaneous employees.

Employees will pay the employee contribution in effect for the applicable formula.

8.7 Consolidated Omnibus Budget Reconciliation Act (COBRA) The Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 requires the City to offer employees and their families an opportunity for a temporary extension of health coverage upon separation of employment. The separated employee and/or dependent must pay premiums in advance plus the applicable administrative fee. The specific provisions and restrictions of the Act are available through the Human Resources Department. 462
17 8.8 Flexible Spending Plan (125 Plan)
The City shall establish and offer a Flexible Spending Plan (125 Plan) for employees.

Enrollment options shall be at the discretion of the employee. The costs of the plan will be paid for by the employee.

8.9 Short Term Disability Insurance (SDI)
MEA bargaining unit employees participate in the State Disability Insurance (SDI) system administered by the State of California Employment Development Department.

Coverage shall be limited to the “State Plan” and shall not include any additional voluntary plan design. SDI premiums shall be 100% employee paid on an after-tax basis.

Payment shall be made by mandatory payroll deduction for every Management employee.

ARTICLE 9.0 PROFESSIONAL DUES, SUBSCRIPTIONS, LICENSES, AND

CERTIFICATES
A. In order to support each MEA bargaining unit employee in the performance of his/her job duties, the City will pay for the costs of dues and subscriptions for professional/technical licensing and association membership as required, and as approved by the City Manager and/or designee.

B. The City shall cover costs for non-personal, job related expenses incurred by MEA bargaining unit employees in the course of employment. All such expenses shall be reimbursed or paid upon presentation of duly executed Purchase Orders, Claims Forms, and receipts with Department Head’s approval.

C. Workers who are required by State and/or Federal agencies to be licensed or secure a certificate shall be reimbursed for the fees for the licenses or certificates.

This provision excludes licenses required by the Department of Motor Vehicles.

ARTICLE 10.0 AUTOMOBILE USE
(Article 10.0 will be placed in the Personnel Policies and Procedures. Not the MOU) ARTICLE 11.0 EDUCATION INCENTIVE
A. No Management employee covered by this MOU shall receive any additional pay as an educational bonus or "certificate pay" unless specifically provided for herein.

B. Subject to the availability of funding, the City shall make available $5,000 for tuition reimbursement annually for the employees represented by the Union for purposes of continuing education and update of certification. The maximum per individual is $500 per fiscal year, limited to the class tuition and required textbooks (neither supplies, nor parking or mileage reimbursements will be considered). Coursework must be on the employee’s own time.
463
18 C. Tuition reimbursement shall be available only for coursework that is job-related and taken at an accredited institution and must be approved in advance by the City Manager. Tuition reimbursement is only available for coursework in which the employee receives a passing grade. The decision of the City Manager is final. The funds shall be subject to budgetary constraints and may not be available from year to year.

D. In the event that the employees have not exhausted the $5,000 reimbursement pool by May 31 of any fiscal year, any member who has received the maximum individual reimbursement ($500), but has expended more than that amount on textbooks or tuition for approved coursework, may apply to the City Manager for reimbursement of the remainder of the appropriate expenses up to an additional $1,000 maximum per employee. Employees must submit a written request for additional reimbursement on or before May 31st. If the balance remaining in the reimbursement pool is not sufficient to pay the additional expenses for applications received by May 31, the pool shall be distributed equally to each applicant up to the amount of each reimbursement request.

ARTICLE 12.0 TRAVEL AND TRAINING EXPENSES
A. The City will pay the travel and subsistence expenses of MEA bargaining unit employees, in accordance with the Annual Approved Travel Plan and Budget (including any approved Plan modifications) for travel, meetings and occasions required to pursue the official business of the City, subject to prior approval by the City Manager.

B. Pursuant to City Policy, the City will advance 75% of the allowable reimbursement for meals consumed by MEA bargaining unit employees during travel on City business. For reimbursement exceeding the 75% advance, upon return from travel, employees are required to submit receipts for meal reimbursement to the City’s Finance Department and will be reimbursed up to the allowable amount.

ARTICLE 13.0 HOURS OF WORK
A.Salaries approved for MEA bargaining unit employees recognize the advanced level of skills required and possessed by these employees, the high level of responsibility delegated to these employees and the potential for longer working hours necessitated by meeting attendance, response to emergency situations, and attendance at court and/or the necessity for meeting project deadlines.

B. There is no specific compensation for hours worked by FLSA Exempt employees beyond the minimum workweek of forty (40) hours. The following shall serve as basic guidelines to be used in the management of employee work hours:

1. In order to fulfill their job duties, employees may be expected to attend City Council meetings, as well as other Board, Commission, and Committee meetings during the evening and/or on the weekend. FLSA exempt employees shall not receive overtime or additional compensation in any other form for attendance at such meetings/activities. However, non-exempt FLSA employees may receive overtime or compensatory time off with the approval of the City Manager.

2. All FLSA exempt employees covered under this resolution shall be eligible to use 464
19 Management Leave during the calendar year as provided in Section 7.1 of this MOU.

C. In recognition that FLSA exempt MEA bargaining unit employees are often required to attend early morning, lunch, and evening meetings and due to the fact that their work is results oriented without a specific workweek, a system of flexible time is available for their use, subject to the operational needs of the City and as determined by their immediate Supervisor/Manager/Director.

It is expected that all MEA bargaining unit employees work a minimum of forty (40) hours a week, plus any additional work time reasonably required to discharge the duties and responsibilities of the position.

D. “Flex” Hours
With the approval of their supervisor, FLSA non-exempt (overtime eligible) employees assigned to work off hours, such as attendance at evening meetings or early morning training, may flex their schedules to accommodate the additional work, so long as the “flexed” hours occur within the same workweek. If the employee’s request to flex his or her schedule is denied, the employee may appeal the denial to his or her Department Head.

E. Alternate Work Schedules
The City may establish alternate workweeks (including 4/10, 9/80 or other schedules) for individuals or groups of employees by providing employees with written notice. The City and Union agree that the availability of alternate work schedules may be a valuable benefit to workers and the City. Alternate work schedules requests may be initiated by employee(s) or at the initiative of the City.

Alternate work schedules must be recommended by the Department/Division Manager and approved by the City Manager, with the needs of the City, service to the public, and the needs of the employee(s) being considered. At the request of either party, the parties will meet and confer over the establishment of alternative work schedules in specific work locations. Should a department or division establish an alternative work schedule as a result of meet and confer, the City will notify the Union of any issues with the alternative work schedule as well as any plans to eliminate the schedule.

In all decisions regarding alternative work schedules, the City Manager or designee’s decision will be final.

ARTICLE 14.0 RELATIONSHIP TO PERSONNEL REGULATIONS
The "Personnel Rules and Regulations of the City of East Palo Alto”, as amended from time to time and as presently adopted by Resolution 0210 provide policies and regulations governing aspects of employee compensation, benefits and conditions of employment. In any conflict between this MOU and Resolution 0210, the provisions in this MOU, or its successor, shall prevail.

ARTICLE 15.0 GRIEVANCE PROCEDURE
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20 A. This grievance procedure is intended to assure that every reasonable effort will be made to resolve problems as near as possible to the point of origin.

B. A permanent classified employee or his/her Union representative may submit a dispute according to this procedure. The Union may utilize this procedure in the event a dispute is not directly related to an individual employee and complies with all the provisions of this Article.

C. Definition. A grievance is defined as a dispute involving the interpretation, application or alleged violation of this Memorandum of Understanding (MOU) and shall not include any appeal of a disciplinary action. No dispute shall be considered a grievance if it does not conform to this definition. Where City Codes or Rules and Regulations provide another appeal process, the Grievant shall choose which process is to be used but shall not use both.

D. Grievance Procedure
Step 1 - Informal Discussion
Within ten (10) working days of the occurrence of an act in dispute, an employee shall discuss it with the Department Head, who shall investigate and attempt to resolve the matter. The Department Head shall give the employee an oral reply within ten (10) working days after the discussion. If the employee is not satisfied with the response, he/she may proceed to Step 2.

Step 2 - Formal Written Grievance
Any dispute not resolved at Step 1 may be submitted to the City Manager in writing citing the specific provision of the rule in dispute and stating the desired solution within ten (10) working days after the Department Head’s Step 1 response. Ten (10) working days thereafter, a meeting shall be scheduled with the employee and the City Manager or designee. The City Manager or designee shall provide the employee a written reply within ten (10) working days after such meeting. If the employee is not satisfied with the response, he/she may proceed to Step 3.

Step 3 - Advisory Arbitration
If the Union is not satisfied with the City Manager or designee’s response, it may appeal the dispute to advisory arbitration in writing within ten (10) calendar days after the date of the Step 2 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list of seven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. The party making the first strike shall be determined by a flip of a coin.

Costs for the arbitration (including arbitrator fees and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative.

The decision of the arbitrator shall be advisory to the City Manager. The City Manager or designee shall have ten (10) calendar days after the receipt of the decision to notify the Union of his/her decision either to adopt or revoke the decision of the arbitrator. If the City Manager or designee takes no action within the ten (10) calendar day period, the City Manager shall be deemed to have adopted the decision. 466
21 A decision adopted by the City Manager or designee will be final and binding upon the parties. A decision revoked by the City Manager or designee shall be deemed to have no effect and the Step 2 reply shall be final and binding upon the parties.

E. Copies of all City responses shall be sent to the Grievant, Union, and to the Grievant representative at the address indicated on the grievance form.

F. Failure of the City to adhere to the designated time deadlines shall be deemed a denial and the Grievant may appeal the grievance to the next level. Failure of the Grievant to adhere to the time deadlines shall mean that the grievance is settled. The grievant and the City may extend any time deadline by mutual agreement.

G. An employee may have a representative of his/her choice present at all stages of the grievance procedure.

H. An employee shall not be penalized in any way for availing himself/herself of this procedure.

ARTICLE 16.0 DISCIPLINE

16.1 Discipline
Except for employees in the classifications of Chief Building Official and Planning Manager, who serve at the will of the City Manager, the City may reprimand, place on disciplinary probation, discharge, suspend, reduce salary, or demote any employee who has completed the specified probationary period for cause, including, but not limited to:
 Dishonesty;
 Insubordination;
 Immoral or unprofessional conduct;
 Intoxication or the use of controlled substances while on duty;  Incompetence;
 Willful negligence;
 Excessive absences and/or tardiness;
 Inexcusable absence without leave;
 Misuse of City property;
 Failure to maintain licenses or certificates required by law, City requirements, or job description;
 Failure to perform work as required; or
 Failure to comply with or violation of the City's reasonable rules regarding safety, conduct and operations.

16.2 Right to Representation
Except in situations requiring immediate action, such as, but not limited to, allegations of 467
22 theft or urgent safety matters, an employee shall be entitled to a representative of his or her choice at an investigative interview that the employee reasonably believes may result in disciplinary action. The employee may request a representative either during or prior to the interview and must make a selection of which individual will be representing him or her within a reasonable time. The employee’s choice of representative will not be permitted to delay the investigation, if the resulting delay would harm the investigation.

16.3 Procedure
A. Notice of Intent to Discipline
A Notice of Intent to discharge, demote or suspend must be served on the employee and the Union in person or by certified mail.

The Notice shall include:

1. A statement of the nature of the disciplinary action;

2. The effective date of the action;

3. A statement of the cause thereof;

4. A statement of the act(s) or omission(s) upon which the causes are based;

5. A statement of the employee's right to respond to the charges, either orally or in writing, prior to the action becoming effective; and

6. A statement advising the employee of the right to Union representation.

The Notice shall be accompanied by all documentation upon which the City relied in determining the need for disciplinary action.

B. Employee Response/Skelly Meeting
The employee may respond to the Notice of Intent to Discipline either in person or in writing.

1. If the employee elects to respond in writing, the employee or his representative must file the employee’s response within ten (10) workdays after service of the Notice of Intent to Discipline.

2. If the employee elects to respond in person, the employee or his or her representative must request a meeting with the Department Head within ten (10) workdays after service of the Notice of Intent to Discipline. The Department Head shall hold a meeting with the employee within twenty (20) days of the employee’s request.

C. Notice of Discipline
If the Department Head determines that discipline is warranted, the Department Head shall issue a written Notice of Disciplinary Action within ten (10) workdays after either the filing of a written response or the date of the Skelly Meeting. If the employee did not request a meeting or file a written response, the Department Head’s decision is due twenty (20) workdays after the service of the Notice of Intent to Discipline. The Department Head shall furnish a copy of the Notice of Disciplinary Action to the Union and appropriate Steward.
468
23 D. Appeal to Personnel Officer

1. In the event an employee feels that the disciplinary action is unjust, the employee or his or her representative may appeal the action to the Personnel Officer. An appeal of the Notice of Disciplinary Action must be in writing and must be filed with the Personnel Officer within ten (10) workdays of the date of service of the Notice of Disciplinary Action.

2. For any matter subject to binding arbitration pursuant to Section E, below, the Personnel Officer or designee shall hold an appeal meeting within twenty (20) days.

3. For any matter not subject to binding arbitration pursuant to Section E, below, the Personnel Officer or designee may either hold an appeal meeting within twenty (20) days or may refer the matter to advisory arbitration.

A. Advisory arbitration shall be heard by a neutral arbitrator mutually selected by the parties or chosen by the alternating strike method from a list provided by the State Mediation and Conciliation Service. The arbitrator shall have the power to:
 Compel the attendance of witnesses;
 Require the production of evidence by subpoena;
 Administer oaths to witnesses;
 Receive evidence from the department head and the employee, allowing reasonable cross examination of witnesses; and  Complete a record of the proceedings, including a certified reporter’s transcript.

B. The arbitrator shall prepare a report to the Personnel Officer with his/her findings and recommendations within forty- five (45) calendar days after the date of referral by the Personnel Officer. The report of the arbitrator shall be non-binding and advisory to the Personnel Officer who shall exercise his/her discretion to accept or reject all or part of the report.

4. The Personnel Officer shall issue his/her decision within ten (10) workdays after either meeting with the employee or receipt of the arbitrator’s report, whichever is later.

5. Except for matters which are subject to arbitration pursuant to Section E, the decision of the Personnel Officer shall be final.

E. Arbitration of Serious Discipline
In the event an employee feels that a discharge, suspension of three (3) or more days, or a reduction in pay for sixty (60) or more days is unjust, the Union shall have the right to appeal the case to binding arbitration. Any appeal under this provision must be filed within twenty (20) days after receipt of the Personnel Officer’s decision. The expenses of any arbitration convened pursuant to this section, including the fee for the services of the Arbitrator and court reporter shall be borne equally by the parties. All other 469
24 expenses which the parties may incur individually, including witness and attorneys’ fees, are to be borne by the party incurring such expenses.

16.4 Exceptions
The foregoing provisions shall not apply to employees in the classifications of Chief Building Official and Planning Manager. Employees in those classifications shall continue to be “at will” employees who serve at the will of the City Manager.

ARTICLE 17.0 WAGE AND SALARY SCHEDULE COST OF LIVING

ADJUSTMENTS

17.1. Wages
A. Employees in this unit will receive a salary increase of 5% (five) effective the first full payroll immediately following adoption of this agreement by City Council B. Employees in this unit will receive a one-time payment of $2,500 effective the first full payroll following Dec 1, 2022.

17.3. Merit Step Increases
Upon the completion of six (6) months of actual initial or promotional probationary service and after receiving a satisfactory performance evaluation, eligible full-time employees who were initially appointed to the “Step A” of the salary range in effect for the class to which appointed will be granted a merit increase to the next higher step in the pay range.

Employees who are at the “Step B” of the salary range or higher shall receive a merit increase to the next higher step until the top step of the pay range each twelve (12) months of actual service after receiving a satisfactory performance evaluation. Regular part-time employees shall be entitled to merit increases after receiving a satisfactory performance evaluation upon completion of not less than twelve (12) months of actual service in each step of the range.

An employee shall not receive a merit increase beyond the maximum step established for the job classification.

Merit increases shall be effective on the first pay period following the anniversary date (i.e., six (6) months after the initial appointment to the classification at Step A and every twelve (12) months after that), regardless of the date of evaluation.

ARTICLE 19.0 BILINGUAL EXAMINATION AND DIFFERENTIAL

19.1 Bilingual Differential
Employees who are assigned to job duties requiring the use of bilingual skills are eligible to receive$50.00 per pay period. No employee shall be required to use bilingual skills who is not compensated under this section.
470
25 19.2 Eligibility
Bilingual Differential shall be available only to employees who are regularly required to speak, read, or translate in a language other than English in order to perform assigned job duties arising during the normal course of work.

19.3 Examination Process
The City shall establish a test for Bilingual Differential. This test shall include a written and verbal certification, including translation, given by an individual or entity designated by the City. The Human Resources Department shall be responsible for overseeing the administration of the test and certifying test results.

Eligible bargaining unit members may request to take the Bilingual Differential test by submitting a request in writing to the Human Resources Department. Within thirty (30) days of receiving such a request, the Human Resources Department shall decide, in its sole discretion, whether the employee is eligible for Bilingual Differential based on whether bilingual skills are essential to successful performance of the employee’s assigned job duties and shall issue notice if its decision to the employee. The decision of the Human Resources Department to arrange for testing shall be final.

If the Human Resources Department approves an employee’s request for bilingual testing, the Department shall arrange for testing to be completed within thirty (30) days of the approval.

19.4 Effective Date
Bilingual Differential shall be paid beginning on the first day of the first pay period following the Human Resources Department’s certification that the employee has passed the test for Bilingual Differential and otherwise met the requirements to receive Bilingual Differential. Bilingual Differential shall be based solely on the date of the Department’s certification and shall not be paid retroactively.

ARTICLE 20: BOOTS

20.1 Boots
Employee represented by this bargaining group who are required to wear protective footwear will be reimbursed up to $250 per year for the purchase of safety boots approved by OSHA/ANSI.

In the event an employee’s shoes are damaged and/or worn, and/or unsafe as determined by the City, the employee may request that damaged shoes be replaced provided:

A. The division head/manager concludes the shoes are damaged and need to be replaced.

B. The employee furnishes proof of purchase for the damaged shoes. Purchase shall have been within the current fiscal year.

C. The employee has fully expended the boot allowance. If not fully expended, the employee must use the balance of his/her allowance for the purchase of replacement shoes. Requests for replacement equipment shall be made to the City in writing on a City-provided form.

The City shall normally respond to such requests within five (5) working days. Denials may be appealed to the Human Resources Manager in writing within five (5) working days. The decision of the Human Resources Manager is final and shall not be appealed. 471
26 Denials of replacement equipment shall not be subject to the grievance procedure.

ARTICLE 21.0: CONTRACT TERM
The term of the MOU shall be from August 1, 2022 to Dec 31,2023 equivalent to sixteen months.

ARTICLE 22.0 OVERTIME
For overtime-eligible classifications, overtime, overtime is limited to “actual hours worked” (not including sick leave, vacation, compensatory time, or other paid or unpaid leave).

ARTICLE 23.0: PAYROLL DEPOSIT
All bargaining unit members will enroll in direct payroll deposit.

ACCEPTED BY:

For the Management Employees’
Association Union:

For the City of East Palo Alto:
________________________________
Stanley Young, MEA Representative
________________________________
Melvin Gaines, City Manager
________________________________
Romeo Herrera, MEA President
________________________________
Ana M Torres-Mondragon, Human
Resources Manager
Kevin Lewis, MEA Member ________________________________ Brenna Rowe, Chief Spokesperson
Sloan Sakai Yeung & Wong LLP
472
27 Memorandum of Understanding
Between
The City of East Palo Alto
And the
East Palo Alto Management Employees’ Association
(Management Unit)
Appendix A – Management Bargaining Unit
This unit of employees shall, for the purpose of identification, be titled the Management Unit.
 Administrative Services Manager, Police Department
 Chief Building Official
 City Engineer
 Community Programs Manager
 Deputy City Clerk
 Financial Services Manager
 Fiscal Analyst
 Housing Project Manager
 Maintenance Manager
 Management Analyst
 Planning Manager
 Police Records Supervisor
 Rent Stabilization Administrator
 Senior Engineer
 Senior Planner
473
28 Memorandum of Understanding
Between
The City of East Palo Alto
And the
East Palo Alto Management Employees’ Association
(Management Unit)
Appendix B – Basic Term Life Insurance Policy
Position Designation/Policy Amount
Administrative Services Manager (PD) Management $100,000 Chief Building Official Management $100,000
City Engineer Management $100,000
Community Programs Manager Management $100,000
Deputy City Clerk Mid-management $ 75,000
Financial Services Manager Management $100,000
Fiscal Analyst Mid-management $ 75,000
Housing Project Manager Mid-management $ 75,000
Maintenance Manager Management $100,000
Management Analyst Mid-management $ 75,000
Planning Manager Management $100,000
Police Records Supervisor Mid-management $ 75,000
Rent Stabilization Administrator Mid-management $ 75,000 Senior Engineer Mid-management $ 75,000
Senior Planner Mid-management $ 75,000
474
DocuSign Envelope ID: 684C44BD-ABA1-4850-9687-358320598182 475 599
Janet Nunez-Aguilar, SEIU Member
Ana Torres-Mondragon, Human Resources Manager ______________________________________ __________________ Date _______________________________________ __________________ Date DocuSign Envelope ID: 684C44BD-ABA1-4850-9687-358320598182 9/19/2023
9/20/2023
476 600

THE CITY OF EAST PALO ALTO
AND
SERVICE EMPLOYEES INTERNATIONAL UNION, (SEIU - LOCAL 521) SIXTEEN MONTH AGREEMENT (AUGUST 1, 2022 THROUGH DECEMBER 31, 2023)

PREAMBLE
This Memorandum of Understanding is entered into by and between the City of East Palo Alto, hereafter referred to as “City”, acting through its negotiator, and employees in the miscellaneous unit of the of the City as represented by Service Employees International Union (SEIU), Local 521, hereafter referred to as “Union”, pursuant to the Meyers-Milias-Brown Act (Government Code Section 3500-35100). Pursuant to Federal and California law, the City and Union have met and conferred in good faith and have fully communicated and exchanged information concerning wages, hours, and other terms and conditions of employment for the term of this agreement. It is the intent of the Parties to set forth herein their entire agreement covering rates of pay, wages, working hours, and other conditions of employment and to provide for prompt and fair settlement of grievances without interruption or other interference with the normal operations of the City.

This Agreement constitutes a mutual understanding between the parties of those wages, hours and conditions of employment, which are to be in effect during the period of the Agreement.

Both parties have mutually agreed that their objective is for the good of the City of East Palo Alto and Union members alike. Both parties agree further that, in the interest of collective bargaining and harmonious relations, they will, at all times, abide by the terms and conditions as hereinafter set forth.

Unless separately identified in another provision of this Agreement, any notification given pursuant to the terms of this agreement shall be sent to the following:

For the City: For SEIU, Local 521:

City Manager Internal Organizer
City of East Palo Alto Service Employees International Union EPA Government Center SEIU, Local 521
2415 University Avenue 2302 Zanker Rd
East Palo Alto, CA 94303 San Jose, CA 95131
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PREAMBLE ...........................................................................................................................................................................1 ARTICLE 1: RECOGNITION ...................................................................................................................................................3 ARTICLE 2: NON-DISCRIMINATION......................................................................................................................................3 ARTICLE 3: UNION SECURITY ...............................................................................................................................................4 ARTICLE 4: RIGHTS OF PARTIES ...........................................................................................................................................4 ARTICLE 5: LAYOFF...............................................................................................................................................................7 ARTICLE 6: FURLOUGH .........................................................................................................................................................8 ARTICLE 7: CONTRACTING OUT...........................................................................................................................................8 ARTICLE 8: PERSONNEL ACTIONS .........................................................................................................................................8 ARTICLE 9: WAGES............................................................................................................................................................. 10 ARTICLE 10: HIGHER CLASS PAY .........................................................................................................................................10 ARTICLE 11: HOURS OF WORK ...........................................................................................................................................11 ARTICLE 12: ROTATION OF OVERTIME AND CALLBACK ...................................................................................................... 13 ARTICLE 13: BILINGUAL EXAMINATION AND DIFFERENTIAL...............................................................................................13 ARTICLE 14: UNIFORM BOOTS AND LICENSES ....................................................................................................................14 ARTICLE 15: HOLIDAYS.......................................................................................................................................................15 ARTICLE 16: LEAVE PROVISIONS.........................................................................................................................................16 ARTICLE 17: RETIREMENT .................................................................................................................................................. 21 ARTICLE 18: GRIEVANCE PROCEDURE ................................................................................................................................21 ARTICLE 19: DISCIPLINE......................................................................................................................................................25 ARTICLE 20: MEDICAL INSURANCE ..................................................................................................................................... 27 ARTICLE 21: DENTAL INSURANCE....................................................................................................................................... 28 ARTICLE 22. STATE DISABILITY INSURANCE .......................................................................................................................28 ARTICLE 23: RECLASSIFICATION .........................................................................................................................................28 ARTICLE 24: POSITION RECRUITMENT................................................................................................................................29 ARTICLE 25: TRAVEL EXPENSES ..........................................................................................................................................30 ARTICLE 26: TUITION REIMBURSEMENT ............................................................................................................................ 30 ARTICLE 27: LABOR-MANAGEMENT COMMITTEE ..............................................................................................................30 ARTICLE 28: LICENSES AND CERTIFICATES .......................................................................................................................... 31 ARTICLE 29: TELEWORKING...............................................................................................................................................31 ARTICLE 30: REPAYMENT AUTHORIZATION .......................................................................................................................31 ARTICLE 31: SAVINGS CLAUSE ............................................................................................................................................31 ARTICLE 32: TERM..............................................................................................................................................................32 ARTICLE 33: AUTOMATIC PAYROLL DEPOSIT......................................................................................................................32 478
August 1, 2022-December 31, 2023 SEIU MOU Page 3
ARTICLE 1: RECOGNITION
Union Recognition
The Association has been recognized as an Employee Organization pursuant to the Employer-Employee Resolution of the City adopted November 21, 1983 for the regular fulltime employees assigned to the classes set forth in Appendix A.

This unit of employees shall, for the purpose of identification, be titled the Miscellaneous Unit.

Pursuant to Section 3500-3510 of the Government Code of the State of California, the City recognizes SEIU, Local 521 as the exclusive bargaining agent for the purpose of establishing salaries, wages, hours, and other conditions of employment for all regular full-time (regularly scheduled at 40 hours or more per week) and part-time (scheduled at more than 999 hours per year) miscellaneous employees in the City, but excluding all seasonal, casual, irregular part-time (those working less than 999 hours per year), sworn and supervisory / management or confidential employees. Pursuant to the language in the MOU, this list can be amended from time to time.

1.1 Establishment of New Positions
The City will provide reasonable advance written notice to the Union prior to establishing any new classifications appropriate to the SEIU unit. Upon written request from SEIU prior to the establishment of the classification by the City Council, the City shall meet and confer regarding the job description and salary range for the new position.

1.2 Job Descriptions
The City will make Job Descriptions for all filled bargaining unit positions available to the Union upon request and will provide the Union with drafts of revised job descriptions before approval by the City Manager. Upon request, the City will meet and confer with the Union over changes in job descriptions for bargaining unit members prior to approval by the City Manager.

ARTICLE 2: NON-DISCRIMINATION

2.1 Non-Discrimination
The provisions of this Memorandum of Understanding (MOU) be applied equally to all employees covered hereby without unlawful discrimination because of race, religious creed or political opinion or affiliation or legitimate union activity, color, national origin, age, ancestry, physical and or/mental disability (including HIV and AIDS), medical condition, genetic information, marital status, sex (including childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), gender, gender identity, gender expression, sexual orientation, or military and/or veteran status, against any employee or applicant for employment by the Union or by the City or by anyone employed by the City; and to the extent prohibited by applicable state and federal law.
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ARTICLE 3: UNION SECURITY

3.1 An employee may at any time execute a payroll deduction authorization form (“Deduction Authorization Form”) as furnished by SEIU, Local 521. SEIU, Local 521 will be the custodian of record for Deduction Authorization Forms and will provide the City with a written certification that it has and will maintain a Deduction Authorization Form, signed by each individual from whose salary or wages the deduction or reduction is to be made (“Certified List”).

The City will direct employee requests to authorize deduction(s), or requests to cancel or change status regarding such deduction(s), to SEIU, Local 521. SEIU, Local 521 shall not be required to provide the City a copy of the Deduction Authorization Form unless a dispute arises about the existence or terms of the authorization. However, SEIU, Local 521 will provide the City with a Certified List with sufficient information to allow the City to identify the appropriate level of deduction for each member.

The City will begin deductions in the amount prescribed by SEIU, Local 521 in the first full payroll period after receipt of the Deduction Authorization Form from SEIU, Local 521.

Deductions may be revoked only pursuant to the terms of the member’s written authorization.

The City shall direct member requests to cancel or change deductions to SEIU, Local 521 and shall rely on information provided by SEIU, Local 521 regarding whether deductions for a member were properly canceled or changed. However, the parties agree that the City shall automatically cease deductions for any member who is no longer employed in a classification represented by SEIU, Local 521.

Consistent with state law, SEIU, Local 521 shall indemnify and save harmless the City, its officers and employees, for (1) any claims made by an employee for deductions made in reliance on SEIU, Local 521’s Certified List or a Deduction Authorization Form and (2) any claims made by an employee for deductions made in reliance on information provided by SEIU, Local 521 regarding changes or cancellations to the deduction authorization.

The City believes the following information currently is exempt from disclosure under the Public Records Act and will not disclose it pursuant to a request under that Act unless the City determines that at the time of the request the law clearly requires disclosure: employee non-work addresses, personal phone numbers, or personal e-mail addresses.

ARTICLE 4: RIGHTS OF PARTIES

4.1 Management Rights
The City hereby retains and reserves unto itself, without limitation, all powers, rights, authority, duties and responsibilities conferred upon and vested in it by the laws of the Constitution of the State of California and of the United States, including but not limited to the generality of the foregoing, the right:
a. To set standards and levels of service;
b. To determine the procedures and standards of selection for employment and promotions;
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August 1, 2022-December 31, 2023 SEIU MOU Page 5
c. To direct its workers;
d. To determine the methods and means to relieve its workers from duty because of lack of funds or other lawful reasons;
e. To determine the methods, means, numbers and kinds of personnel by which City operations are to be conducted;
f. To determine the methods of financing;
g. To determine the size and composition of the work force and allocate and assign work by which the City operations will be conducted;
h. To determine and change the number of locations, relocation and type of operations, processes and materials to be used in carrying out all City functions; i. To establish employee performance standards including, but not limited, quality and standards, and to require compliance therewith;
j. To take necessary actions to carry out its mission in emergencies; k. To exercise complete control and discretion over its organization and the technology of performing its work;
l. To take any and all steps necessary to discharge the City's responsibilities to provide for the safety of the public it serves and to provide employees with a safe working environment; provided, however, nothing herein shall preclude the Union from providing input, consulting and/or meeting and conferring with the City as required by law on such safety issues so long as such actions do not prevent the City from discharging these responsibilities;
m. The exercise of the foregoing powers, rights, authorities, duties, and responsibilities by the City, the adoption of policies, rules, regulations and practices in furtherance thereof, and the use of judgment and discretion in connection therewith shall be limited only by the specific and express terms of this memorandum and then only to the extent such express terms hereof are in conformance with the Constitution and laws of the United States and the Constitution of the State of California; and
n. The exercise by the City through its City Council and management representatives of its rights hereunder shall not in any way, directly or indirectly, be subject to any grievance procedure nor subject to meeting and conferring.

4.2 Employee Rights
Employees of the City shall have the right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees also have the right not to participate in the activities of any employee organization.

Neither the City nor SEIU shall interfere with, intimidate, restrain, coerce, unduly influence or discriminate against any bargaining unit member because of his/her exercise of these rights.
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4.3 Union Rights
A. Union Access
A qualified representation of the union shall be allowed to visit City work locations for the purpose of ascertaining, whether or not this Agreement is being observed. The right shall be exercised reasonably. The qualified representative shall report to management before proceeding to any work locations that are not open to the public. The representative shall not meet with employees during work time (not including breaks) and shall not interfere with the normal conduct of work. Activities such as solicitation of membership, collection of dues, holding membership meetings, campaigning for office, conducting elections and distributing literature is strictly prohibited during working hours without prior approval of the City Manager or his/her designee.

B. Notification to the Union
The City will comply with all conditions established by the Meyer, Milias, Brown Act.

C. Bulletin Boards
Posting of information on City premises shall be limited to approved bulletin boards. Adequate space shall be made available to the Union for posting information on approved bulletin boards, provided the posted material is not derogatory to the City, employees of the City, or other employee organizations, and does not support or oppose candidates for public office or ballot issues. The City agrees it will not attempt to censor language and/or articles contained in the official SEIU newsletter for the City of East Palo Alto.

D. Release Time

1. The Union shall be limited to no more than one steward for every seven (7) members of the unit. However, Union may identify alternate stewards. Each alternate steward shall share the three (3) hours of release time with the primary steward for which they are the alternate. The Union shall provide the City with a list of all the primary and alternate stewards, including work assignment and contact information.

2. Stewards shall be allowed no more than three (3) hours per month of release time to represent workers in meetings related to grievances, to investigate grievances, to orient new employees, and to meet with management to discuss Union activities. The monthly allotment of hours provided for stewards cannot be transferred or accumulated from month to month.

3. Release time must be pre-approved and is at the discretion of the City designated supervisor but shall not be unreasonably denied. Moreover, release time will not be given if it will create a need for overtime.

4. A Steward who is released by a supervisor to investigate a grievance or to meet with City officials shall return promptly to his/her regularly assigned duties.

5. Only one Steward shall be relieved from assigned work duties for any given matter.

E. List of Employees
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August 1, 2022-December 31, 2023 SEIU MOU Page 7
On a quarterly basis, the City will provide the Union with a unit list including name, classification, and department. Upon adoption of this Agreement, the City shall distribute to all bargaining unit employees an “Address and Telephone Release Form,” which shall permit each employee to authorize the City to release his or her mailing address and contact telephone number to SEIU.

Each new employee hired subsequent to adoption of this agreement, shall be given a copy of the “Address and Telephone Release Form.” Upon receipt of an “Address and Telephone Release Form” from an employee, the City shall release to the union that employee’s last known mailing address and contact telephone number. The City shall develop a new “Change of Address” form that permits employees to release change of address information to SEIU. Upon receipt of a Change of Address form authorizing such release of information, the City shall provide a copy of the Change of Address form to SEIU.

F. Bargaining Team
Subject to the City’s operational needs, the City shall allow four (4) SEIU Bargaining Team members reasonable time from work to attend required bargaining meetings during negotiations over a successor MOU. Additionally, negotiators will normally be granted one-half hour caucus time before, exclusive of travel to and from their worksite to the negotiations site. Reasonable requests for additional prep time will be granted. Should a conflict arise between negotiations and City business, the City will notify SEIU immediately and the parties will work to resolve scheduling issues. The City will not reimburse bargaining unit team members for time spent bargaining outside of normal work hours.

G. New Worker Orientation
The City will give new bargaining unit members contact information for the Union and any relevant materials (including the MOU) provided by the Union. The City will allow each new bargaining unit member thirty (30) minutes of release time to meet with a local union representative. This time must be used during the member’s first pay period of employment with the City. The City will give the Union at least one-week advance notice of a new employee being hired. The City shall grant release time to at least one appointed Union member to conduct the new worker orientation.

4.4 Use of City Facilities
The parties agree that work time is for work. Therefore, union meetings and other union activities shall not occur during participating employees’ work time. Union meetings may occur on participating employees’ non-work time in City-controlled public meeting facilities. However, the Union shall limit its use of City facilities to comply with City Policy, Rules, and Regulations.

The Union shall procure prior City approval for the use of such facilities and shall schedule the use of City facilities according to City procedure.

ARTICLE 5: LAYOFF

5.1 Layoff
The parties agree to abide by the City Personnel Rules related to layoff and the applicable requirements of Meyers – Milias-Brown Act (MMBA).

5.2 Negotiations Over Layoff Procedures
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The parties agree to meet and confer over the revision of the layoff rules in the Personnel Policies and Procedures. In consideration of the City’s current staffing, a good faith effort will be made to begin negotiations over revisions of the layoff rules prior to the expiration of this MOU.

ARTICLE 6: FURLOUGH
The City agreed to no mandatory furloughs for the term of this contract.

ARTICLE 7: CONTRACTING OUT

7.1. The parties have a shared interest in eliminating unnecessary consulting contracts and hiring permanent employees to perform the work of the City. Conditioned upon having available funds, the City will make every effort to recruit and fill all authorized positions which belong to the bargaining unit. The City will retain the right as to how services will be delivered to the citizens of East Palo Alto.

7.2. Notification to the Union
Whenever possible, the City agrees to notify the Union ninety (90) days in advance of contracting out work that results in or is the result of the elimination or non-filling a bargaining unit position and will negotiate with the Union regarding the effects of the contracting out on remaining bargaining unit members. In the event the City is moving forward with such a contract in a timeframe shorter than ninety (90) days prior to contracting out work that results in or is the result of the elimination or non-filing a bargaining unit position, the City will notify the Union as soon as possible.

7.3. Recruitment
This provision shall not apply in situations where the City is preparing for or holding a recruitment for a bargaining unit employee to perform the work or where a recruitment has been unsuccessful in filling the unit position the last twelve (12) months.

However, if a recruitment is unsuccessful, the City will run a new recruitment within twelve (12) months after the contracting out of work.

7.4. List of Vendors
The City will provide SEIU with a list of active Purchase Orders twice a year.

ARTICLE 8: PERSONNEL ACTIONS

8.1 Personnel Actions
The parties agree to abide by the City's personnel rules, in regards to personnel actions as detailed in Personnel Policies and Procedures Sections 3.3.01 through 3.3.03; 3.7.07 through 3.7.13.

8.2 Personnel Files
A. An employee may review his/her own personnel file (with the exception of investigative data pertaining to a possible criminal offense and letter of reference) when Human Resources Office staff are available. The employee may also, by 484
August 1, 2022-December 31, 2023 SEIU MOU Page 9
his/her written authorization, permit his/her representative to review his/her file under the supervision of Human Resources Office staff.

B. Within ten (10) calendar days after the City notifies an employee of the placement of allegedly derogatory or erroneous materials in his or her personnel file, the employee may prepare a written response to the derogatory or erroneous materials. Any such response shall be placed in the employee’s personnel file.

C. Likewise, within ten (10) calendar days after the City notifies an employee of the placement of allegedly derogatory or erroneous materials in his or her personnel file, the employee may request in writing that the Human Resources Manager remove said materials. The Human Resources Manager shall render a decision in writing within ten (10) business days after the employees’ request.

D. This section shall not apply to performance evaluations. If an employee’s performance evaluation results in the employee not receiving a step increase, and the employee believes his/her performance evaluation is inaccurate, the employee may, after speaking with their supervisor, request the Human Resources Manager review the performance evaluation. The Human Resources Manager’s decision on the performance evaluation is final and shall not be subject to the grievance procedure.

8.3 Probationary Period
For general Full-time and Permanent Part-Time employees, the probationary period shall be for a period of not less than six (6) months of actual service. However, the supervisor may extend the probationary period for up to three (3) additional months with the written approval of the Human Resources Manager.

Probation periods shall also apply to those that are newly promoted or transferred. The probationary period shall be for a period of not less than six (6) months of actual service from the date of promotion or transfer.

Except as otherwise required by law, effective March 1, 2004, for existing classifications filled by general full-time and permanent part-time employees, the probationary period shall be for a period of not less than six (6) months of actual service. In the event, the City establishes a new bargaining unit classification, that classification shall normally follow the “6+6” probationary period defined above. However, in the event, the City determines that a new classification requires a longer probationary period, the probationary period shall be for a period of not less than twelve (12) months of actual service. The City shall notify SEIU of its intent to establish a classification using this “12+6” probationary period and shall provide SEIU with the opportunity to discuss the basis for the longer probationary period upon request.

8.4. Merit Step Increases

1. Upon the completion of six (6) months of actual initial or promotional probationary service and after receiving a satisfactory performance evaluation, eligible full-time employees who were initially appointed to the “A step” of the salary range in effect for 485
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the class to which appointed will be granted a merit increase to the next higher step in the pay range.

Employees who are at the “B step” of the salary range or higher shall receive a merit increase to the next higher step until the top step of the pay range each twelve (12) months of actual service after receiving a satisfactory performance evaluation. Regular part-time employees shall be entitled to merit increases after receiving a satisfactory performance evaluation upon completion of not less than twelve (12) months of actual service in each step of the range.

2. An employee shall not receive a merit increase beyond the maximum step established for the job classification.

3. Merit increases shall be effective on the anniversary date (i.e., six (6) months after initial appointment to the classification at Step A and every twelve (12) months after that), regardless of the date of evaluation.

4. Pay Following Promotion:

SEIU bargaining unit employees that are promoted will be offered pay in accordance with Policy and Procedure 3.9.08. If said promotion were to occur during the 30 days prior to the date of the Employee’s Performance Review (EPR), the subsequent step increase would occur before the promotion.

ARTICLE 9: WAGES

9.1 Cost of Living Adjustments
i. Employees in this unit will receive a salary increase of – 5% (five) effective the first full payroll immediately following adoption of this agreement by City Council ii. Employees in this unit will receive a one-time payment of $2,500 effective the first full payroll following Dec 1, 2022.

9.3. Premium Pay
The City and the Union agree to meet and confer over premium pay for the SEIU bargaining unit related American Rescue Plan Act funds and if an agreement is not reached prior of the commencement of the next MOU negotiations, then this topic will be included in those negotiations.

ARTICLE 10: HIGHER CLASS PAY
A. The parties will continue to have discussions over higher class pay in Labor Management. This provision will sunset upon the parties’ mutual agreement on a replacement to this section. 486
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B. An employee who is designated by his or her department head and approved by the City Manager to work in a position in a higher classification for period of more than two (2) consecutive days shall, beginning on the third (3rd) consecutive day, be entitled to an additional five percent (5%) of salary for the remainder of the period that he or she is assigned to work in the higher classification.

C. An employee on an out of class assignment shall receive the upgrade rate for all standby duty and call-back overtime pay earned while working out of class.

D. An employee who works in a higher classification for more than thirty-one (31) days shall be entitled to pay at either the lowest step of the salary range for the position in which he or she is working or 5% of salary, whichever is greater. In addition, the employee’s paid time off shall be compensated at the pay rate of the higher classification.

ARTICLE 11: HOURS OF WORK

11.1 Hours of Work
A. Regular Workweek
The regular workweek for bargaining unit employees shall consist of forty (40) hours within a seven (7) day workweek which begins Sunday morning at 12:00 a.m. and ends the following Saturday night at 11:59 p.m. The regular workweek for bargaining unit employees shall consist of five (5) consecutive days served in units of eight (8) hours.

Most City employees work from 8:00 am to 5:00 pm with one (1) hour meal period.

Employees in the maintenance division work from 7:30 a.m. to 4:00 p.m. with a thirty (30) minute meal period. However, employees may be assigned to different schedules based on operational need. The workweek for employees on an alternate work schedule will be set forth in a letter establishing the alternate work schedule.

B. “Flex” Hours
With the approval of their supervisor, employees assigned to work off hours, such as attendance at evening meetings or early morning training, may flex their schedules to accommodate the additional work, so long as the “flexed” hours occur within the same workweek. If the employee’s request to flex his or her schedule is denied, the employee may appeal the denial to his or her Department Head.

C. Alternate Work Schedules
The City may establish alternate workweeks (including 4/10, 9/80 or other schedules) for individuals or groups of employees by providing employees with written notice. The City and Union agree that the availability of alternate work schedules may be a valuable benefit to workers and the City. Alternate work schedules requests may be initiated by employee(s) or at the initiative of the City. Alternate work schedules must be recommended by the Department/Division Manager and approved by the City Manager, with the needs of the City, service to the public, and the needs of the employee(s) being considered. At the request of either party, the parties will meet and confer over the establishment of alternative work schedules in specific work locations. Should a 487
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department or division establish an alternative work schedule as a result of meet and confer, the City will notify the Union of any issues with the alternative work schedule as well as any plans to eliminate the schedule.

In all decisions regarding alternative work schedules, the City Manager or designee’s decision will be final.

D. Rest Periods
Bargaining unit members will normally be granted and take a rest period of fifteen (15) minutes during each four (4) consecutive hours worked. These rest periods are considered time worked for pay purposes. For employees in the field, rest periods must be taken at the employee’s work area, provided that the work area is equipped with a public or City restroom, potable water, and shaded area, or at the closest facility that is equipped with a public or City restroom, potable water, and shaded area.

11.2 Overtime
Overtime is to be paid after forty (40) hours worked in one (1) work week. Overtime is paid at the rate of one and one-half times the employee’s regular rate for Fair Labor Standards Act (“FLSA”) purposes. The City will compute the regular rate, including standby pay, in accordance with the FLSA. Employees may be compensated with Compensatory Time Off (CTO) at the rate of one and one-half hours per hour worked.

However, employees may not accrue a CTO balance of more than fifty (50) hours.

11.3 Call Back
Workers who are called back after leaving work at the end of a normal working day shall be paid a minimum of three (3) hours at the applicable rate. If the employee works more than three hours during a call back, the employee shall be paid for his or her actual time worked.

If the employee responding to call back receives a second, third, or more calls within 24 hours, the employee receives the actual time spent on the additional calls.

Callback pay does not apply to incidental work performed without returning to the workplace. Employees will be paid for actual time spent on incidental work required by a supervisor, so long as the work exceeds ten (10) minutes. Incidental work in excess of ten (10) minutes will be recorded in quarter hour increments. Examples of incidental work include periodic phone calls, e-mails, and remote monitoring of systems.

11.4 Rest Periods After Extended Shift
A worker who works more than fourteen (14) consecutive hours during a twenty-four (24) hour period shall be entitled to receive an eight (8) hour rest period before returning to duty. Such rest period shall commence when the worker goes off duty. Should the eight (8) hour rest period extend beyond the starting time of the worker's regular shift, the worker shall be required to work only the remainder of the shift.

11.5 Standby Pay
With the written approval of the City Manager, Department Heads may assign workers to standby duty.
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Workers shall be paid an hourly rate of $3.50 per hour for time they are required to be on standby. Compensation for standby shall be paid only for those hours on, which a Department Head actually assigns the employee to standby duty. Employees are not entitled to standby pay for any hours when they are otherwise on paid status (e.g., working their normal shift, overtime, or callback).

Nothing in this section shall be deemed to require any Department Head to assign employees to standby duty. However, when the Department Head determines standby duty is appropriate, employees will be permitted to volunteer for standby if they meet the requirements (including response time) established by the Department Head. For rotational standby lists based on a job classification, absent special circumstances approved by a Department Head or Division Manager, all employees in the classification, shall participate in the standby rotation list.

The parties understand that stand-by compensation includes pay for incidental work performed while on standby. Examples of incidental work include periodic phone calls, emails, and remote monitoring of systems.

ARTICLE 12: ROTATION OF OVERTIME AND CALLBACK
Overtime and callback shall be assigned on a rotational basis except when management determines that the application of this provision would result in the assignment of an employee without special skills or training to perform the work with a satisfactory level of services. Hours, selection, and time off shall normally be assigned on a first-come, first served basis. However, seniority shall be used as a tiebreaker.

ARTICLE 13: BILINGUAL EXAMINATION AND DIFFERENTIAL

13.1 Bilingual Differential
Employees who are assigned to job duties requiring the use of bilingual skills are eligible to receive $50.00 per pay period. No employee shall be required to use bilingual skills who is not compensated under this section.

13.2 Eligibility
Bilingual Differential shall be available only to employees who are regularly required to speak, read, or translate in a language other than English in order to perform assigned job duties arising during the normal course of work.

13.3 Examination Process
The City shall establish a test for Bilingual Differential. This test shall include a written and verbal certification, including translation, given by an individual or entity designated by the City. The Human Resources Department shall be responsible for overseeing the administration of the test and certifying test results.

Eligible bargaining unit members may request to take the Bilingual Differential test by submitting a request in writing to the Human Resources Department. Within thirty (30) days of receiving such a request, the Human Resources Department shall decide, in its sole discretion, whether the employee is eligible for Bilingual Differential based on whether bilingual skills are essential to successful performance of the employee’s 489
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assigned job duties and shall issue notice of its decision to the employee. The decision of the Human Resources Department to arrange for testing shall be final.

If the Human Resources Department approves an employee’s request for bilingual testing, the Department shall arrange for testing to be completed within thirty (30) days of the approval.

13.4 Effective Date
Bilingual Differential shall be paid beginning on the first day of the first pay period following the Human Resources Department’s certification that the employee has passed the test for Bilingual Differential and otherwise met the requirements to receive Bilingual Differential. Bilingual Differential shall be based solely on the date of the Department’s certification and shall not be paid retroactively.

ARTICLE 14: UNIFORM BOOTS AND LICENSES

14. 1 Uniforms
The City may require bargaining unit employees to wear uniforms. Except as provided herein, bargaining group employees who are required to wear uniforms, rain gear, or safety gear will be provided with the appropriate uniform items. The City shall continue to provide laundry service for uniforms provided to the Maintenance Workers.

So long as uniforms are required, the City shall provide the initial three (3) shirts, two pants, boots, jacket, belt and nameplate for the Environmental Services Aide, Community Services Officer and Code Enforcement Officer Classifications who are required to wear uniforms and shall pay $175 every six months for the care and replacement of City-required uniforms. Newly hired or newly eligible employees will be prorated on a monthly rate for this allowance.

For employees who already received additional City provided shirts, the City will provide the net difference of the shirts provided to new employees.

So long as uniforms are required, the City shall provide the initial five (5) uniform shirts for Police Records Clerks, if required to wear uniforms, and shall pay $175 every six months for the care and replacement of City-required uniforms. For employees who already received additional City provided shirts, the City will provide the net difference of the shirts provided to new employees. Newly hired or newly eligible employees will be prorated on a monthly rate for this allowance.

In the event, the City ceases to require uniforms or begins to provide uniforms for any of these classifications, the uniform allowance shall cease.

City-provided uniforms and equipment are to be used for City business only. In the event, an employee damages, destroys, or loses City-provided equipment or uniform while the equipment or uniform is being used for non-City business, the employee will reimburse the City for the repair or replacement cost of the item and may be subject to discipline.

14.2 Boots
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Employees represented by this bargaining group who are required to wear protective footwear will be reimbursed up to $250 per year for the purchase of shoes/boots, orthopedic insoles, and ergonomic support inserts.

In the event an employee's shoes are damaged and/or worn, and/or unsafe as determined by the City, the employee may request that damaged shoes be replaced provided:

A. The division head/manager concludes the shoes are damaged and need to be replaced.

B. The employee furnishes proof of purchase for the damaged shoes. Purchase shall have been within the current fiscal year.

C. The employee has fully expended the boot allowance. If not fully expended, the employee must use the balance of his/her allowance for the purchase of replacement shoes.

Requests for replacement equipment shall be made to the City in writing on a City provided form. The City shall normally respond to such requests within five (5) working days. Denials may be appealed to the Human Resources Manager in writing within five (5) working days.

The decision of the Human Resources Manager is final and shall not be appealed.

Denials of replacement equipment shall not be subject to the grievance procedure.

14.3 Fair Labor Standard
The parties agree that uniforms provided by the City to employees should be manufactured under a “fair labor standard.” In the event, the Union has concerns about the labor practices of a manufacturer, it will present information regarding those labor practices to the City. The City and Union will then meet to review and discuss the manufacturers’ practices and appropriate responses.

14.4 DMV Pull Notice Program
Employees whose positions require that they operate vehicles on city business, must possess and maintain a valid California driver’s license appropriate for the job and vehicle(s) to be operated. Employees required to operate motorized vehicles while on duty must enroll in the City's department of motor vehicles employer pull-notice program.

Employees enrolled in the DMV employer pull notice program must fill out a City-specified enrollment/waiver form directing the DMV to provide the City with periodic updates of the employee's driving record.

ARTICLE 15: HOLIDAYS

15.1 Holidays Observed
The parties agree to abide by the Holidays provisions contained in Section 3.10.01 through

3.10.05 of the City’s Personnel Rules and Regulations. Defined holidays are as follows:
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 New Year's Day, January 1
 Martin Luther King Day, 3rd Monday in January
 Lincoln's Birthday, February 12
 Washington's Birthday, February 22 or its legal substitute (third Monday in February)  Cesar Chavez Day, last Monday in March
 Memorial Day, May 31 or its legal substitute (third 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
Note: When any day recognized as a holiday falls on Sunday, the holiday shall be observed on the following Monday. When any day recognized as a holiday falls on a Saturday, the holiday shall be observed on the preceding Friday.

ARTICLE 16: LEAVE PROVISIONS
Effective the first full payroll pay period following City Council adoption of the MOU, the City will grant employees with twenty-five (25) or more years of City service twenty (20) hours of additional leave time. This additional leave must be used by the end of 2022. Any leave not used by the end of the calendar year will be paid out in the paycheck for the last full pay period for 2022 at the employee’s hourly rate.

16.1 Vacation
A. Crediting Vacation
Full-time employees, excluding seasonal and part-time temporary, shall be credited with vacation as follows:

Minimum Continuous Service Amount of Vacation Earned Annually 492
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0-4.99 years 80 hours (3.08 hrs bi-weekly)
5-9.99 yrs. 120 hours (4.62 hrs bi-weekly)
10-14.99 years: 160 hours (6.15 hrs bi-weekly)
15-plus years: 200 hours (7.69 hrs bi-weekly)
Vacation Accumulation
An employee with less than ten (10) years of consecutive City service shall not accumulate more than two-hundred and eighty-eight (288) hours of vacation. An employee with more than ten (10) years of consecutive City service shall not accumulate more than three-hundred and twenty (320) hours of vacation. Once the accrual cap is reached, an employee will not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage or cash-out. An employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date. Requests for deferring vacation use must be presented to the City Manager sixty (60) calendar days before the end of the calendar year in which the vacation leave was to be taken. In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must be used.

B. Use of Vacation
The City and Union value vacation and believe that employees’ ability to utilize vacation is an important goal. The time at which an employee may use vacation leave and the amount to be taken at any one time shall be determined by the Department Head, with particular regard, for the needs of the City and, insofar as possible, considering the wishes of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the Human Resources Manager. Said approval of vacation leave shall not be unreasonably withheld.

C. Vacation Cash-out
Members of the bargaining unit may make an irrevocable election in the prior calendar year to cash-out vacation during the month of December each year. To qualify for vacation cash-out, an employee must have more than eighty (80) hours of accrued vacation. During the term of this MOU, Bargaining unit members shall be allowed to cash out up to 80 hours of leave vacation that has accrued in the current calendar year, so long as the member maintains a balance of at least eighty (80) hours.

Elections will be cashed out in December the year following the irrevocable election.

16.2 Military Leave
In addition to any provisions outlined in Personnel Policies and Procedures Section 3.12.16, including any amendments negotiated during the term of this agreement, the City shall follow any revised federal and/or state regulations including the Military and Veterans Code of the State of California that govern the granting of military leaves of absence and the rights of workers returning from such leaves.
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16.3 Family Medical Leave Act (FMLA) and California Family Rights Act (CFRA) The City agrees to abide by all conditions provided in the federal Family Medical Leave Act and/or the California Family Rights Act.

16.4 Bereavement Leave
Bargaining unit employees shall be entitled up to three (3) calendar days of paid leave for an occurrence of death or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager or designee and charged to the employee’s available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above.

Request for bereavement leave must be in writing, state the relationship of the family member, and be approved in advance by the Department Head and City Manager (or designee). In special emergencies, an employee may request formal approval after the fact, if approved, leave records shall be adjusted accordingly. Death following a serious illness or injury shall generally be regarded as one (1) occurrence; however, the City reserves the responsibility for determining the nature and/or severity of the illness and the amount of time the occurrence warrants.

Immediate family shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin.

Immediate Family shall also include registered domestic partners.

16.5 Sick Leave
A. Sick Leave Certification

1. An employee who is absent on sick leave three (3) or more consecutive working days may be required to present a treating physician’s certification shall be required only upon request of the worker’s supervisor at least one day prior to the worker’s return to work.

2. If management believes there is an abuse of sick leave, the Human Resources Manager may require the worker to provide medical verification for all future sick leave absences for a period of ninety (90) days. Prior to implementing this provision, the worker and the worker's representative shall, upon request, be given the opportunity to meet with the Human Resources Manager to show cause why this provision should not be invoked. Material relating to the sick leave use will be available to the worker and his representative prior to such meeting. The sick leave verification requirement shall be in writing and shall be reviewed every three (3) months, and the worker may appeal the decision to place him or her on sick leave verification and a decision to renew the verification requirement to the City Manager. This section shall not be subject to the grievance procedure.

3. Sick Leave Accrual:

Full-Time employees shall accrue (3.70) of Sick Leave per pay period. This amount shall be prorated based on hours for employees working less than the 1 FTE. 494
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B. Fitness for Duty
City-required fitness for duty examinations shall occur on administrative leave with pay.

C. Family Sick Leave
Bargaining Unit members may use up to one-half of their annual accrual of sick leave for the diagnosis, care, or treatment of an existing health condition of, or preventive care for, a member of the employee's immediate family. For the purpose of this section, the immediate family of an employee shall be as defined in the Bereavement Leave Section (Section 16.4.B).

16.6 Leave Donations
Employees shall be eligible to participate as donors and recipients in the leave donation program, which provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness and/or injury. This program allows a regular City employee to donate accrued vacation time hours to a specific eligible employee who has exhausted his/her own available leave balances on an hour for hour basis. Catastrophic illness or injury is defined as the employee’s own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee’s immediate family member who has a catastrophic illness or injury as verified by a physician’s statement.

A. To receive leave donations, an employee:

1. Must have been employed in a regular full-time position with the City for a minimum of one year; and

2. Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician’s statement); or be absent from work in order to attend to his/her immediate family member who has a catastrophic illness or injury (as verified by a physician’s statement); and

3. Must have exhausted all earned leave balances (including sick leave if related to the employee’s own illness) vacation; except however, donations may be made prior to all balances being exhausted, when the physician’s statement and leave balance indicate the probable exhaustion of balances within two (2) pay periods.

B. Donations

1. Are voluntary.

2. Are made from accrued Vacation balance; donations of Sick Leave are not permitted.

3. Must be for a minimum of eight (8) hours, in whole hour increments.

4. Are irrevocable.

5. Are taxable on the part of the recipient, in accordance with IRS Regulations, and are subject to withholding as required by law.

6. Donations shall be processed in the order received. However, a donor’s leave shall not be reduced until the recipient actually uses the leave. Unused donation shall remain with the donor.
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7. An employee may not donate more that eighty (80) hours to any other individual employee.

8. The total donation received into an employee’s donated leave balance shall normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered when approved by the Human Resources Manager.

9. Upon approval of the request for donations, the Human Resources Manager (or his/her designee) shall, at the employee’s request, post a notice of the eligible employee’s need for donations on departmental bulletin boards accessible to employees. Confidential medical information shall not be included in the notice.

10. Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City’s management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.
“This provision (16.6) shall sunset upon the parties’ mutual agreement on a City-wide policy on Leave Donation.”

16.7 Personal Business Leave
A. Permanent (non-probationary) employees shall be entitled to a maximum of three (3) days per calendar year for Personal Business Leave without loss of pay. Such leave shall be deducted from accrued sick leave. Personal Business Leave can be taken in half day increments at a time.

B. Personal Business is defined as business of urgent and compelling importance which cannot be taken care of outside of normal working hours and which is not covered under leave provisions of this Memorandum of Understanding.

C. A worker shall notify the division/department head two (2) days before taking this leave, unless an emergency exists which prohibits the worker from providing such advance notice.

D. Personal Business Leave may only be used for personal business of urgent and compelling importance, and may not be used for recreational purposes, extension of holidays or vacation, work stoppages, or for matters of purely personal convenience.

E. At the discretion of the supervisor, a worker may also use vacation, compensatory time off to cover absences of an emergency nature. No request shall be unreasonably denied.

16.8 Jury Duty Leave
A. A bargaining unit member required to report for jury duty during regularly scheduled work hours shall notify their supervisor as soon as possible and shall be entitled to leave with pay until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees excepting those specifically allowed for mileage and subsistence.
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B. A bargaining unit member subpoenaed to appear in court during regularly scheduled working hours, solely as a result of employment with the City, shall receive full pay for such appearance until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees excepting those specifically allowed for mileage and subsistence.

C. A bargaining unit member is responsible for keeping their supervisor informed of their court schedule and must return to work when released by the Court (including partial days).

ARTICLE 17: RETIREMENT

17.1 Retirement
A. Bargaining unit members who do not meet the definition of “new member” as determined by the California Public Employees’ Retirement System (CalPERS), shall be subject to the

2.5% @ 55 retirement formula highest three years.

B. Bargaining unit members who meet the definition of “new members,” as determined by CalPERS, shall be subject to the CalPERS 2.0% @ 62 retirement formula, highest three years.

C. Bargaining unit members will continue to pay the full employee contribution established for their retirement tier (this number is set by statute; and as of the date of this agreement is 8% for classic members and ½ of the Normal Cost for “new members.”).

17.2 Credit for Unused Sick Leave
The City has contracted with CalPERS to provide service credit for unused sick leave pursuant to the Public Employees Retirement Law. To qualify for this provision, a member must retire within one hundred and twenty (120) days of separation from the City.

ARTICLE 18: GRIEVANCE PROCEDURE

18.1 Policy
This grievance procedure is intended to assure that every reasonable effort will be made to resolve problems as near as possible to the point of origin. This Article shall supersede the grievance procedure contained in Sections 3.15.01-3.15.07 of the City’s Personnel Policies and Procedures.

18.2 Eligibility to File a Grievance
A permanent classified employee or his or her Union representative may submit a dispute according to this procedure. The Union may utilize this procedure in the event a dispute is not directly related to an individual employee and complies with all the provisions of this Article.

18.3 Definition
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A grievance is defined as a dispute involving the interpretation, application or alleged violation of:

A. This Memorandum of Understanding; or
B. The City Personnel Rules affecting classified employees where the provision in dispute is within the scope of representation and not otherwise superseded by the provisions of this Agreement.

C. No dispute shall be considered a grievance if it does not conform to this definition. Where the City Codes or Rules and Regulations provide another appeal process, the Union shall choose which process is to be used but shall not use both.

18.4 Grievance Procedure
A. Step 1 - Informal Discussion (Immediate Supervisor/Division Head) Within ten (10) working days of the occurrence of an act in dispute, an employee shall discuss it with his/her immediate supervisor, who shall investigate and attempt to resolve the matter. The supervisor or designee shall give the employee an oral reply within ten (10) working days after the discussion. If the employee is not satisfied with the response, he/she may proceed to Step 2. In the event, the Division Head is the Employee’s direct supervisor, the Informal Discussion shall be with the Division Head or designee.

B. Step 2 – Formal Written Grievance (Division Head/Department Head) Any dispute not resolved at Step 1 may be submitted to the Division Head in writing citing the specific provision of the rule in dispute and stating the desired solution within ten (10) working days after the supervisor’s response. A copy shall be provided to the supervisor. Ten (10) working days thereafter, a meeting shall be scheduled with the employee by the Division Head or designee. The Division Head or designee shall give the employee a written reply within ten (10) working days after such meeting and file a copy with the Human Resources Manager. If the employee is not satisfied with the response, he/she may proceed to Step 3.

In the event, the Division Head is the Employee’s direct supervisor, the Step 2 Formal Written Grievance shall be filed with the Department Head. Employees who are supervised directly by their Department Head shall bypass Step 2 and proceed directly to Step 3.

C. Step 3 – Human Resources Manager
Any dispute not resolved at Step 2 may be submitted in writing to the Human Resources Manager within ten (10) working days after the Step 2 Response, with a copy to the Department Head and Immediate Supervisor. Within ten (10) working days thereafter, a meeting shall be scheduled with the employee by the Human Resources Manager or designee who shall attempt to resolve the matter.

The Human Resources Manager or designee shall give the employee a written reply within ten (10) working days after such meeting and file a copy with the 498
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City Manager. If the employee is not satisfied with the response, he/she may proceed to Step 4.

D. Step 4 – City Manager
Any dispute not resolved at Step 3 may be submitted in writing to the City Manager within ten (10) working days after the Step 3 Response, with a copy to the Human Resources Manager and the Department Head. Within ten (10) working days thereafter, a meeting shall be scheduled with the employee by the City Manager or designee who shall attempt to resolve the matter. The City Manager or designee shall give the employee a written reply within ten (10) working days after such meeting. If the employee is not satisfied with the response, he/she may request that the Union proceed to Step 5.

E. Step 5 – Arbitration
If the Union is not satisfied with the City Manager or designee’s response, it may appeal the dispute to arbitration in writing within ten (10) calendar days after the date of the Step 4 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list of seven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. The Union shall strike first for the initial arbitration under this Agreement and the parties shall alternate the first strike thereafter.

Costs for the arbitration (including arbitrator fees and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative. The decision of the arbitrator shall be final and binding upon the parties.

18.5 Service of City Responses
Copies of all City responses shall be sent to the Grievant, Local 521, and to the Grievant’s representative at the address indicated on the grievance form.

18.6 Settlement of a Grievance
Failure of the City to adhere to the designated time deadlines shall be deemed a denial and the Grievant may appeal the grievance to the next level. Failure of the grievant to adhere to the time deadlines shall mean that the grievance is settled. The grievant and the City may extend any time deadline by mutual agreement.

18.7 Representation
An employee may have a representative of his/her choice present at all stages of the grievance procedure.

18.8 No Retribution
An employee shall not be penalized in any way for availing himself/herself of this procedure. 499
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ARTICLE 19: DISCIPLINE

19.1 Discipline
The City may reprimand, place on disciplinary probation, discharge, suspend, reduce salary, or demote any worker who has completed the specified probationary period for cause, including, but not limited to:
● Dishonesty,
● Insubordination,
● Immoral or unprofessional conduct,
● Intoxication or the use of controlled substances while on duty, ● Incompetence,
● Willful negligence,
● Excessive absences and/or tardiness,
● Inexcusable absence without leave,
● Misuse of City property,
● Failure to maintain licenses or certificates required by law, District requirements, or job description,
● Failure to perform work as required, or
● Failure to comply with or violation of the City's reasonable rules regarding safety, conduct and operations.

19.2 Right to Representation
Except in situations requiring immediate action, such as but not limited to, allegations of theft or urgent safety matters, a worker shall be entitled to a steward of his or her choice at an investigative interview that the worker reasonably believes may result in disciplinary action. The worker may request a representative either during or prior to the interview, and must make a selection, of which steward will be representing him or her within a reasonable time. The worker’s choice of representative will not be permitted to delay the investigation if the resulting delay would harm the investigation.

19.3 Procedure

1. Notice of Intent to Discipline
A Notice of Intent to discharge, demote or suspend must be served on the worker and the Union in person or by certified mail.
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The Notice shall include:

1. A statement of the nature of the disciplinary action;

2. The effective date of the action;

3. A statement of the cause thereof;

4. A statement of the act or omissions upon which the causes are based;

5. A statement of the worker's right to respond to the charges, either orally or in writing, prior the action becoming effective; and

6. A statement advising the worker of the right to Union representation.

The Notice shall be accompanied by all documentation upon which the City relied in determining the need for disciplinary action.

2. Employee Response/Skelly Meeting
The worker may respond to the Notice of Intent to Discipline either in person or in writing.

A. If the worker elects to respond in writing, the worker or his representative must file the worker’s response within ten (10) workdays after service of the Notice of Intent to Discipline.

B. If the worker elects to respond in person, the worker or his or her representative must request a meeting with the Department Head within ten (10) workdays after service of the Notice of Intent to Discipline. The Department Head shall hold a meeting with the employee within twenty (20) days of the worker’s request.

3. Notice of Discipline
If the Department Head determines that discipline is warranted, the Department Head shall issue a written Notice of Disciplinary Action within ten (10) workdays after either the filing of a written response or the date of the Skelly Meeting. If the worker did not request a meeting or file a written response, the Department Head’s decision is due twenty (20) workdays after the service of the Notice of Intent to Discipline. The Department Head shall furnish a copy of the Notice of Disciplinary Action to the Union and appropriate Steward.

4. Appeal to Human Resources Manager:

A. In the event a worker feels that the disciplinary action is unjust, the worker or his or her representative may appeal the action to the Human Resources Manager.

An appeal of the Notice of Disciplinary Action must be in writing and must be filed with the Human Resources Manager within ten (10) workdays of the date of service of the Notice of Disciplinary Action.

B. The Human Resources Manager or designee shall hold an appeal meeting within twenty (20) days.

C. For any matter not subject to binding arbitration pursuant to Section 5, below, the Human Resources Manager or designee’s decision shall be final and binding.
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D. The Human Resources Manager shall issue his/her decision within ten (10) workdays after either meeting with the worker or receipt of the arbitrator’s report, whichever is later.

E. Except for matters which are subject to arbitration pursuant to Section 5, the decision of the Human Resources Manager shall be final.

5. Arbitration of Serious Discipline
In the event a worker feels that a discharge, suspension of three (3) or more days, or a reduction in pay is unjust, the Union shall have the right to appeal the case to binding arbitration. Any appeal under this provision must be filed within twenty (20) days after receipt of the Human Resources Manager’s decision. The expenses of any arbitration convened pursuant to this section, including the fee for the services of the Arbitrator and court reporter, shall be borne equally by the parties. All other expenses which the parties may incur individually, including witness and attorney fees, are to be borne by the party incurring such expenses.

6. Removal of Disciplinary Notices
Employees may request in writing to the Human Resources Manager, with a copy to Union Representative, that disciplinary notices which are three (3) or more years old shall be removed and destroyed provided the following conditions are met:

1. The file does not contain subsequent notice of discipline or records of disciplinary action.

2. The employee has not been notified in writing of pending disciplinary action at the time the written request to remove said notice of discipline is received by the Human Resources Manager.

ARTICLE 20: MEDICAL INSURANCE
A. The City shall pay up to a maximum of sixty-five percent (65%) of the premium of the Kaiser Permanent HMO for employees electing to have dependent medical coverage under the City’s existing medical plans. The employee shall be responsible for the remaining premium for the elected medical coverage.

B. The City shall pay up to one hundred percent (100%) of the premium for Kaiser Permanente HMO Employee only.

C. Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and
The benefits Committee will commence no later than September 30,2022. The Committee will be composed of City labor representatives, not to exceed four (4) 503
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representatives and four (alternates) from each participating labor organization and four (4) representatives. These names will be provided to the City no later than August 31, 2022.

ARTICLE 21: DENTAL INSURANCE

21.1 Employee Coverage
The City agrees to provide a dental insurance plan or plans (if more than one is available) for its employees covered by this bargaining unit. The City shall contribute the full cost of the employee-only level for the dental plan selected by the employee. The contributions are based on regular full-time employment; part-time employees shall receive a prorated contribution based on their percentage of full-time equivalent.

Maximum Delta Dental payout per calendar year shall be $2,000.

Co-payment for Crown and Cast Restoration, and Prosthodontic benefits shall be 80/20; with the twenty percent (20%) share the responsibility of the employee.

21.2 Dependent Coverage
Employee may ensure their eligible dependents (including registered domestic partner as defined below) under the dental plan(s) in accordance with the rules and regulations applicable to obtaining said dependent coverage. Domestic partner (as defined by State law), shall be included as “eligible dependent” pursuant to Article 16.4B.

ARTICLE 22. STATE DISABILITY INSURANCE
Effective July 1, 2007, bargaining unit employees shall be enrolled in the State Disability Insurance (SDI) system administered by the California Employment Development Department. Coverage shall be limited to the “State Plan” and shall not include any additional Voluntary plan design. SDI premiums shall be 100% employee-paid on an after-tax basis.

Payment shall be made by mandatory payroll deduction for every bargaining unit employee.

Bargaining Unit employees may elect to supplement their State Disability Insurance (SDI) benefits by integrating accrued leave (vacation, sick leave or compensatory time off). It is understood that the combined SDI benefit and use of leave credits cannot exceed the employee’s regular monthly net pay.

ARTICLE 23: RECLASSIFICATION
A. When necessary, the Union may request that the City reclassify bargaining unit positions.

These requests shall be made in writing and shall indicate the position’s current classification, the proposed reclassification, and a detailed statement of the reasons that the reclassification is appropriate. The Human Resources Manager or designee shall respond to the reclassification requests in writing not later than three (3) months after the submission of the request, unless this deadline is mutually extended by the parties. The Human Resources 504
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Manager or designee will meet with the Union and each incumbent employee during the process.

B. In the event, the Human Resources Manager or designee determines that the reclassification is not appropriate, the Union may appeal the decision to the City Manager in writing, not later than ten (10) calendar days after the date of the Human Resources Manager or designee’s decision. The City Manager shall render a decision within ten (10) calendar days of the appeal. The decision of the City Manager shall be final. This section is not subject to the grievance procedure.

C. Reclassifications will be effective either the date of the Human Resources Manager or designee’s decision or three (3) months after the submission of the request, whichever is earlier.

D. Employees who are reclassified through the City’s reclassification process to a higher classification will not be subject to the probationary period.

ARTICLE 24: POSITION RECRUITMENT
A. Postings

1. Open Recruitment for Promotional opportunities for permanent city positions in classifications within the representation unit will be posted at all work locations and on the City’s website for at least fourteen (14) calendar days prior to closing applications and shall be mailed to the Union and e-mailed to bargaining unit members with City email accounts.

2. “Internal Only” recruitment for promotional opportunities for permanent city positions in classifications within the representation unit will be posted at all work locations for at least seven (7) calendar days (Monday through Friday) prior to closing applications and shall be mailed to the Union and e-mailed to bargaining unit members with City email accounts.

3. Such postings shall include a description of the type of examination and screening process that will be used in filling the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.

B. Mandatory Interviews The top two (2) permanent bargaining unit members applying for promotional opportunities for classifications within the representation unit and who meet the minimum qualifications for the position will be interviewed regardless of the number of interviewees otherwise requested by the hiring department. When possible, the top two (2) permanent bargaining unit members applying for promotional opportunities outside of the representation unit and who meet the minimum qualifications for the position will be interviewed.

C. The List
Once a list of reachable candidates has been generated and upon request by any Department Head, the Human Resources Manager shall refer to the requesting Department a list of the top seven (7) candidates as well as a list of all internal applicants on the 505
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recruitment list. The Department Head shall have the discretion to interview any of the candidates whose names have been referred by the Human Resources Manager.

ARTICLE 25: TRAVEL EXPENSES
Pursuant to City Policy, the City will advance 75% of the allowable reimbursement for meals consumed by bargaining unit members during travel on City business. For reimbursement exceeding the 75% advance, bargaining unit members are still required to submit receipts for meal reimbursement upon return from travel and will be reimbursed up to the allowable amount after submission of receipts.

If a bargaining unit member is required to use his/her personal vehicle for pre-approved workrelated travel purposes, the City shall pay said employee mileage at the current IRS rate.

ARTICLE 26: TUITION REIMBURSEMENT
A. The City shall provide tuition reimbursement for employees, subject to the limitations below of five hundred dollars $600 per fiscal year paid as taxable wages. Limited to the unit cost of the class and required textbooks (no supplies, no parking or mileage reimbursement). Coursework must be on the employee’s own time.

B. Tuition reimbursement shall be available only for coursework taken at an accredited institution and is only available for coursework in which the employee receives a passing grade. These funds are subject to budgetary constraints and may not be available from year to year.

C. All eligible employees in this unit are eligible to receive the $600 reimbursement, regardless of total cost to the City. In the event that the bargaining unit has not exhausted $5,000 in reimbursement by May 31 of any fiscal year, any unit member who has received the maximum individual reimbursement ($600) but has expended more than that amount on textbooks or tuition for approved coursework may apply to the City Manager for reimbursement of the remainder of the appropriate expenses up to $1000 maximum per individual. This additional reimbursement is on a first come, first serve basis and will be granted up to a total $5,000 per fiscal year for the entire unit. Workers must submit a request for additional reimbursement on or before May

31. If the balance remaining in the reimbursement pool is not sufficient to pay the additional expenses for applications received by May 31, the pool shall be distributed equally to each applicant up to the amount of each reimbursement request.

ARTICLE 27: LABOR-MANAGEMENT COMMITTEE
A. Purpose: A labor/management Committee shall be created. The purpose of the Committee shall be to examine labor-management issues. The committee shall also monitor labor-management issues that have not yet risen to the level of grievances.

B. Composition: The Committee will be composed of the Assistant City Manager, up to two (2) management representatives, the Local 521 staff person, and up to three (3) Local 521 members.
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C. Meeting Schedule: The Committee will commence meeting after ratification of the Agreement. The Committee will meet at least quarterly during the term of the agreement.

ARTICLE 28: LICENSES AND CERTIFICATES
Workers who are required by State and/or Federal agencies to be licensed or secure a certificate shall be reimbursed for the fees for the licenses or certificates. This provision excludes licenses required by the Department of Motor Vehicles.

ARTICLE 29: Teleworking
SEIU bargaining unit employees have the right to telework when feasible according to the needs of the City and can request to work remotely/telework by writing to their direct supervisor. The parties shall follow the City’s personnel rules regarding teleworking, which is subject to meet and confer prior to implementation.

ARTICLE 30: Repayment Authorization
When it is discovered that an employee has been overpaid, regardless of cause, the City shall have the ability to recover those monies via a repayment agreement (see Appendix B). Such repayment agreement will not extend longer than the amount of time that the overpayment occurred, unless the parties mutually agree to another timeline.

In the event a payroll error has been made, including but not limited to the payment of an employee's salary, overtime payment or leave accruals, balances or usages, the City shall, for purposes of future compensation, adjust such compensation to the correct amount, and give written notice to the employee. The city shall provide documentation to back-up the conclusion that there has been an overpayment.

In the event an employee received an overpayment, the City and employee shall agree upon a repayment schedule utilizing one, or a combination of, the following elements:
(1) Lump sum payment by the employee;
(2) A one-time deduction from available accrued leave balances except sick leave equivalent to the overpayment at the employee's current hourly rate; (3) A repayment schedule through payroll deduction; and/or (4) Other means, as may be mutually agreed between the parties.

No action shall be taken to enforce repayment of an overpayment, or to correct an underpayment, unless action is taken within two (2) years from the ending date of the pay period in which the error is discovered. "Action is taken" as used in this Section shall mean written notice to the employee in the case of an overpayment or written or oral notice to the City in the case of an underpayment error.

ARTICLE 31: SAVINGS CLAUSE
If any article or section of this contract or any rider thereto should be held invalid, illegal or unenforceable by operation of law or by any tribunal of competent jurisdiction, or if compliance with or enforcement of any article or section should be restrained by such tribunal pending 507
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forma1 determination as to its validity or legality, the remainder of this contract or any rider thereto, or the application of such article or section to persons or circumstances other than those which it has been held invalid or as to which compliance with or enforcement of has been restrained, shall not be affected thereby.

It is further the intent that should any article or sections of this contract be held invalid, illegal or unenforceable and inoperable, that article or section shall be renegotiated in an attempt to provide validity, legality and acceptability to such section or article.

31.1 Amendments to Agreement
This Agreement may be amended only by the mutual written agreement of the parties. Such amendments shall be lettered, dated, and signed by the parties and shall constitute a part of this Agreement.

ARTICLE 32: TERM
The term of this MOU shall be from August 1, 2022 to Dec 31, 2023 equivalent to sixteen months. Ninety days prior to the expiration the parties shall meet and confer, at the request of either the City or the Union, to amend or extend this Memorandum of Understanding.

ARTICLE 33: AUTOMATIC PAYROLL DEPOSIT
All employees covered by this Agreement shall participate in the City’s automatic payroll deposit program. Participation shall mean the employee’s execution of a payroll authorization form and submission of a voided check or savings slip to the Finance Department. It shall be the employee’s choice as to which financial institutions(s) he/she designates as the institution(s) receiving the payroll funds.

When the authorization form is properly executed and filed with the Finance Department, the City shall automatically deposit in the employee’s designated financial institution account(s) the net amount of pay each designated biweekly payday.
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APPENDIX A
SERVICE EMPLOYEES INTERNATIONAL UNION – MISCELLANEOUS UNIT

1. Accountant I

2. Accounting Technician I

3. Accounting Technician II

4. Accountant II

5. Administrative Grants Coordinator (NEW CLASS)

6. Administrative Assistant

7. Assistant Engineer

8. Assistant Planner

9. Associate Engineer

10. Associate Planner

11. Building Inspector I

12. Building Permit Technician

13. Code Enforcement Officer I

14. Code Enforcement Officer II

15. Community Services Officer

16. Environmental Services Aide

17. Electrician

18. Engineering Technician

19. Kitchen Aide (Part-Time)

20. Maintenance Worker I

21. Maintenance Worker II

22. Maintenance Worker III

23. Nutrition Site Supervisor (Part-Time)

24. Office Assistant

25. Police Records Clerk I

26. Police Records Clerks II

27. Police – Property and Evidence Technician

28. Police Crime Analyst

29. Public Works Inspector

30. Rent Stabilization Counselor I/II

31. Secretary I

32. Secretary II

33. Shuttle Van Driver (Part-Time)
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APPENDIX B
Repayment Authorization Form
Employee Name:

AMOUNT OWED TO THE CITY FOR COVERAGE:

Instructions: Please select one of the options below by placing an X in the appropriate box of your choice.

OPTION 1
Amount to be paid in one lump sum of $ - using either option A , B or C below:

A) to be deducted from your next payroll check.

B) to be paid by check or cash to the City
C) to be paid from earned leave balances*
OPTION 2 0.00
A bi-weekly amount of #DIV/0! to be taken from paychecks.

OPTION 3 $ -
A bi-weekly amount of to be taken from the next payroll periods until paid.

OPTION 4

0.00 Other option described here: #DIV/0! to be taken from paychecks.

I agree and understand the terms of this payment arrangement and authorize the City of East Palo Alto to deduct the following amount from my paycheck based on the payment plan option selected above. If I resign or am terminated, I understand that the remaining balance will be withheld from my final check.

Employee Signature Date
City Official Date
* Leave balances shall include vacation leave, floating holiday leave and comp time only.

CITY OF EAST PALO ALTO

PAYMENT PLAN AUTHORIZATION FORM
Any pay increases may be used by the City to lower agreed upon payment plan to balance your payroll check. 510
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ACCEPTED BY:

For the Union: For the City:
________________________________
Eidref Laza, SEIU Local 521
________________________________
Melvin Gaines, City Manager
________________________________
Janet Nuñez-Aguilar, SEIU Member
________________________________
Ana Torres-Mondragon, Human Resources
Manager
______________________________
Salani Wendt, SEIU Member
________________________________
Brenna Rowe, Chief Spokesperson
Sloan Sakai Yeung & Wong LLP
____________________________________
Lenin Melgar, SEIU Member
____________________________
Agripina Villegas, SEIU Member
511

THE CITY OF EAST PALO ALTO
AND
SERVICE EMPLOYEES INTERNATIONAL UNION, (SEIU - LOCAL 521) SIXTEEN MONTH AGREEMENT (AUGUST 1, 2022 THROUGH DECEMBER 31, 2023)

PREAMBLE
This Memorandum of Understanding is entered into by and between the City of East Palo Alto, hereafter referred to as “City”, acting through its negotiator, and employees in the miscellaneous unit of the of the City as represented by Service Employees International Union (SEIU), Local 521, hereafter referred to as “Union”, pursuant to the Meyers-Milias-Brown Act (Government Code Section 3500-35100). Pursuant to Federal and California law, the City and Union have met and conferred in good faith and have fully communicated and exchanged information concerning wages, hours, and other terms and conditions of employment for the term of this agreement. It is the intent of the Parties to set forth herein their entire agreement covering rates of pay, wages, working hours, and other conditions of employment and to provide for prompt and fair settlement of grievances without interruption or other interference with the normal operations of the City.

This Agreement constitutes a mutual understanding between the parties of those wages, hours and conditions of employment, which are to be in effect during the period of the Agreement.

Both parties have mutually agreed that their objective is for the good of the City of East Palo Alto and Union members alike. Both parties agree further that, in the interest of collective bargaining and harmonious relations, they will, at all times, abide by the terms and conditions as hereinafter set forth.

Unless separately identified in another provision of this Agreement, any notification given pursuant to the terms of this agreement shall be sent to the following:

For the City: For SEIU, Local 521:

City Manager Internal Organizer
City of East Palo Alto Service Employees International Union EPA Government Center SEIU, Local 521
2415 University Avenue 2302 Zanker Rd
East Palo Alto, CA 94303 San Jose, CA 95131
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PREAMBLE ...........................................................................................................................................................................1 ARTICLE 1: RECOGNITION ...................................................................................................................................................3 ARTICLE 2: NON-DISCRIMINATION......................................................................................................................................3 ARTICLE 3: UNION SECURITY ...............................................................................................................................................4 ARTICLE 4: RIGHTS OF PARTIES ...........................................................................................................................................4 ARTICLE 5: LAYOFF...............................................................................................................................................................7 ARTICLE 6: FURLOUGH .........................................................................................................................................................8 ARTICLE 7: CONTRACTING OUT...........................................................................................................................................8 ARTICLE 8: PERSONNEL ACTIONS .........................................................................................................................................8 ARTICLE 9: WAGES............................................................................................................................................................. 10 ARTICLE 10: HIGHER CLASS PAY .........................................................................................................................................10 ARTICLE 11: HOURS OF WORK ...........................................................................................................................................11 ARTICLE 12: ROTATION OF OVERTIME AND CALLBACK ...................................................................................................... 13 ARTICLE 13: BILINGUAL EXAMINATION AND DIFFERENTIAL...............................................................................................13 ARTICLE 14: UNIFORM BOOTS AND LICENSES ....................................................................................................................14 ARTICLE 15: HOLIDAYS.......................................................................................................................................................15 ARTICLE 16: LEAVE PROVISIONS.........................................................................................................................................16 ARTICLE 17: RETIREMENT .................................................................................................................................................. 21 ARTICLE 18: GRIEVANCE PROCEDURE ................................................................................................................................21 ARTICLE 19: DISCIPLINE......................................................................................................................................................24 ARTICLE 20: MEDICAL INSURANCE ..................................................................................................................................... 26 ARTICLE 21: DENTAL INSURANCE....................................................................................................................................... 27 ARTICLE 22. STATE DISABILITY INSURANCE .......................................................................................................................27 ARTICLE 23: RECLASSIFICATION .........................................................................................................................................27 ARTICLE 24: POSITION RECRUITMENT................................................................................................................................28 ARTICLE 25: TRAVEL EXPENSES ..........................................................................................................................................29 ARTICLE 26: TUITION REIMBURSEMENT ............................................................................................................................ 29 ARTICLE 27: LABOR-MANAGEMENT COMMITTEE ..............................................................................................................29 ARTICLE 28: LICENSES AND CERTIFICATES .......................................................................................................................... 30 ARTICLE 29: TELEWORKING...............................................................................................................................................30 ARTICLE 30: REPAYMENT AUTHORIZATION .......................................................................................................................30 ARTICLE 31: SAVINGS CLAUSE ............................................................................................................................................30 ARTICLE 32: TERM..............................................................................................................................................................31 ARTICLE 33: AUTOMATIC PAYROLL DEPOSIT......................................................................................................................31 513
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ARTICLE 1: RECOGNITION
Union Recognition
The Association has been recognized as an Employee Organization pursuant to the Employer-Employee Resolution of the City adopted November 21, 1983 for the regular fulltime employees assigned to the classes set forth in Appendix A.

This unit of employees shall, for the purpose of identification, be titled the Miscellaneous Unit.

Pursuant to Section 3500-3510 of the Government Code of the State of California, the City recognizes SEIU, Local 521 as the exclusive bargaining agent for the purpose of establishing salaries, wages, hours, and other conditions of employment for all regular full-time (regularly scheduled at 40 hours or more per week) and part-time (scheduled at more than 999 hours per year) miscellaneous employees in the City, but excluding all seasonal, casual, irregular part-time (those working less than 999 hours per year), sworn and supervisory / management or confidential employees. Pursuant to the language in the MOU, this list can be amended from time to time.

1.1 Establishment of New Positions
The City will provide reasonable advance written notice to the Union prior to establishing any new classifications appropriate to the SEIU unit. Upon written request from SEIU prior to the establishment of the classification by the City Council, the City shall meet and confer regarding the job description and salary range for the new position.

1.2 Job Descriptions
The City will make Job Descriptions for all filled bargaining unit positions available to the Union upon request and will provide the Union with drafts of revised job descriptions before approval by the City Manager. Upon request, the City will meet and confer with the Union over changes in job descriptions for bargaining unit members prior to approval by the City Manager.

ARTICLE 2: NON-DISCRIMINATION

2.1 Non-Discrimination
The provisions of this Memorandum of Understanding (MOU) be applied equally to all employees covered hereby without unlawful discrimination because of race, religious creed or political opinion or affiliation or legitimate union activity, color, national origin, age, ancestry, physical and or/mental disability (including HIV and AIDS), medical condition, genetic information, marital status, sex (including childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), gender, gender identity, gender expression, sexual orientation, or military and/or veteran status, against any employee or applicant for employment by the Union or by the City or by anyone employed by the City; and to the extent prohibited by applicable state and federal law.
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ARTICLE 3: UNION SECURITY

3.1 An employee may at any time execute a payroll deduction authorization form (“Deduction Authorization Form”) as furnished by SEIU, Local 521. SEIU, Local 521 will be the custodian of record for Deduction Authorization Forms and will provide the City with a written certification that it has and will maintain a Deduction Authorization Form, signed by each individual from whose salary or wages the deduction or reduction is to be made (“Certified List”).

The City will direct employee requests to authorize deduction(s), or requests to cancel or change status regarding such deduction(s), to SEIU, Local 521. SEIU, Local 521 shall not be required to provide the City a copy of the Deduction Authorization Form unless a dispute arises about the existence or terms of the authorization. However, SEIU, Local 521 will provide the City with a Certified List with sufficient information to allow the City to identify the appropriate level of deduction for each member.

The City will begin deductions in the amount prescribed by SEIU, Local 521 in the first full payroll period after receipt of the Deduction Authorization Form from SEIU, Local 521.

Deductions may be revoked only pursuant to the terms of the member’s written authorization.

The City shall direct member requests to cancel or change deductions to SEIU, Local 521 and shall rely on information provided by SEIU, Local 521 regarding whether deductions for a member were properly canceled or changed. However, the parties agree that the City shall automatically cease deductions for any member who is no longer employed in a classification represented by SEIU, Local 521.

Consistent with state law, SEIU, Local 521 shall indemnify and save harmless the City, its officers and employees, for (1) any claims made by an employee for deductions made in reliance on SEIU, Local 521’s Certified List or a Deduction Authorization Form and (2) any claims made by an employee for deductions made in reliance on information provided by SEIU, Local 521 regarding changes or cancellations to the deduction authorization.

The City believes the following information currently is exempt from disclosure under the Public Records Act and will not disclose it pursuant to a request under that Act unless the City determines that at the time of the request the law clearly requires disclosure: employee non-work addresses, personal phone numbers, or personal e-mail addresses.

ARTICLE 4: RIGHTS OF PARTIES

4.1 Management Rights
The City hereby retains and reserves unto itself, without limitation, all powers, rights, authority, duties and responsibilities conferred upon and vested in it by the laws of the Constitution of the State of California and of the United States, including but not limited to the generality of the foregoing, the right:
a. To set standards and levels of service;
b. To determine the procedures and standards of selection for employment and promotions;
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c. To direct its workers;
d. To determine the methods and means to relieve its workers from duty because of lack of funds or other lawful reasons;
e. To determine the methods, means, numbers and kinds of personnel by which City operations are to be conducted;
f. To determine the methods of financing;
g. To determine the size and composition of the work force and allocate and assign work by which the City operations will be conducted;
h. To determine and change the number of locations, relocation and type of operations, processes and materials to be used in carrying out all City functions; i. To establish employee performance standards including, but not limited, quality and standards, and to require compliance therewith;
j. To take necessary actions to carry out its mission in emergencies; k. To exercise complete control and discretion over its organization and the technology of performing its work;
l. To take any and all steps necessary to discharge the City's responsibilities to provide for the safety of the public it serves and to provide employees with a safe working environment; provided, however, nothing herein shall preclude the Union from providing input, consulting and/or meeting and conferring with the City as required by law on such safety issues so long as such actions do not prevent the City from discharging these responsibilities;
m. The exercise of the foregoing powers, rights, authorities, duties, and responsibilities by the City, the adoption of policies, rules, regulations and practices in furtherance thereof, and the use of judgment and discretion in connection therewith shall be limited only by the specific and express terms of this memorandum and then only to the extent such express terms hereof are in conformance with the Constitution and laws of the United States and the Constitution of the State of California; and
n. The exercise by the City through its City Council and management representatives of its rights hereunder shall not in any way, directly or indirectly, be subject to any grievance procedure nor subject to meeting and conferring.

4.2 Employee Rights
Employees of the City shall have the right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employee relations. Employees also have the right not to participate in the activities of any employee organization.

Neither the City nor SEIU shall interfere with, intimidate, restrain, coerce, unduly influence or discriminate against any bargaining unit member because of his/her exercise of these rights.
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4.3 Union Rights
A. Union Access
A qualified representation of the union shall be allowed to visit City work locations for the purpose of ascertaining, whether or not this Agreement is being observed. The right shall be exercised reasonably. The qualified representative shall report to management before proceeding to any work locations that are not open to the public. The representative shall not meet with employees during work time (not including breaks) and shall not interfere with the normal conduct of work. Activities such as solicitation of membership, collection of dues, holding membership meetings, campaigning for office, conducting elections and distributing literature is strictly prohibited during working hours without prior approval of the City Manager or his/her designee.

B. Notification to the Union
The City will comply with all conditions established by the Meyer, Milias, Brown Act.

C. Bulletin Boards
Posting of information on City premises shall be limited to approved bulletin boards. Adequate space shall be made available to the Union for posting information on approved bulletin boards, provided the posted material is not derogatory to the City, employees of the City, or other employee organizations, and does not support or oppose candidates for public office or ballot issues. The City agrees it will not attempt to censor language and/or articles contained in the official SEIU newsletter for the City of East Palo Alto.

D. Release Time

1. The Union shall be limited to no more than one steward for every seven (7) members of the unit. However, Union may identify alternate stewards. Each alternate steward shall share the three (3) hours of release time with the primary steward for which they are the alternate. The Union shall provide the City with a list of all the primary and alternate stewards, including work assignment and contact information.

2. Stewards shall be allowed no more than three (3) hours per month of release time to represent workers in meetings related to grievances, to investigate grievances, to orient new employees, and to meet with management to discuss Union activities. The monthly allotment of hours provided for stewards cannot be transferred or accumulated from month to month.

3. Release time must be pre-approved and is at the discretion of the City designated supervisor but shall not be unreasonably denied. Moreover, release time will not be given if it will create a need for overtime.

4. A Steward who is released by a supervisor to investigate a grievance or to meet with City officials shall return promptly to his/her regularly assigned duties.

5. Only one Steward shall be relieved from assigned work duties for any given matter.

E. List of Employees
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On a quarterly basis, the City will provide the Union with a unit list including name, classification, and department. Upon adoption of this Agreement, the City shall distribute to all bargaining unit employees an “Address and Telephone Release Form,” which shall permit each employee to authorize the City to release his or her mailing address and contact telephone number to SEIU.

Each new employee hired subsequent to adoption of this agreement, shall be given a copy of the “Address and Telephone Release Form.” Upon receipt of an “Address and Telephone Release Form” from an employee, the City shall release to the union that employee’s last known mailing address and contact telephone number. The City shall develop a new “Change of Address” form that permits employees to release change of address information to SEIU. Upon receipt of a Change of Address form authorizing such release of information, the City shall provide a copy of the Change of Address form to SEIU.

F. Bargaining Team
Subject to the City’s operational needs, the City shall allow four (4) SEIU Bargaining Team members reasonable time from work to attend required bargaining meetings during negotiations over a successor MOU. Additionally, negotiators will normally be granted one-half hour caucus time before, exclusive of travel to and from their worksite to the negotiations site. Reasonable requests for additional prep time will be granted. Should a conflict arise between negotiations and City business, the City will notify SEIU immediately and the parties will work to resolve scheduling issues. The City will not reimburse bargaining unit team members for time spent bargaining outside of normal work hours.

G. New Worker Orientation
The City will give new bargaining unit members contact information for the Union and any relevant materials (including the MOU) provided by the Union. The City will allow each new bargaining unit member thirty (30) minutes of release time to meet with a local union representative. This time must be used during the member’s first pay period of employment with the City. The City will give the Union at least one-week advance notice of a new employee being hired. The City shall grant release time to at least one appointed Union member to conduct the new worker orientation.

4.4 Use of City Facilities
The parties agree that work time is for work. Therefore, union meetings and other union activities shall not occur during participating employees’ work time. Union meetings may occur on participating employees’ non-work time in City-controlled public meeting facilities. However, the Union shall limit its use of City facilities to comply with City Policy, Rules, and Regulations.

The Union shall procure prior City approval for the use of such facilities and shall schedule the use of City facilities according to City procedure.

ARTICLE 5: LAYOFF

5.1 Layoff
The parties agree to abide by the City Personnel Rules related to layoff and the applicable requirements of Meyers – Milias-Brown Act (MMBA).

5.2 Negotiations Over Layoff Procedures
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The parties agree to meet and confer over the revision of the layoff rules in the Personnel Policies and Procedures. In consideration of the City’s current staffing, a good faith effort will be made to begin negotiations over revisions of the layoff rules prior to the expiration of this MOU.

ARTICLE 6: FURLOUGH
The City agreed to no mandatory furloughs for the term of this contract.

ARTICLE 7: CONTRACTING OUT

7.1. The parties have a shared interest in eliminating unnecessary consulting contracts and hiring permanent employees to perform the work of the City. Conditioned upon having available funds, the City will make every effort to recruit and fill all authorized positions which belong to the bargaining unit. The City will retain the right as to how services will be delivered to the citizens of East Palo Alto.

7.2. Notification to the Union
Whenever possible, the City agrees to notify the Union ninety (90) days in advance of contracting out work that results in or is the result of the elimination or non-filling a bargaining unit position and will negotiate with the Union regarding the effects of the contracting out on remaining bargaining unit members. In the event the City is moving forward with such a contract in a timeframe shorter than ninety (90) days prior to contracting out work that results in or is the result of the elimination or non-filing a bargaining unit position, the City will notify the Union as soon as possible.

7.3. Recruitment
This provision shall not apply in situations where the City is preparing for or holding a recruitment for a bargaining unit employee to perform the work or where a recruitment has been unsuccessful in filling the unit position the last twelve (12) months.

However, if a recruitment is unsuccessful, the City will run a new recruitment within twelve (12) months after the contracting out of work.

7.4. List of Vendors
The City will provide SEIU with a list of active Purchase Orders twice a year.

ARTICLE 8: PERSONNEL ACTIONS

8.1 Personnel Actions
The parties agree to abide by the City's personnel rules, in regards to personnel actions as detailed in Personnel Policies and Procedures Sections 3.3.01 through 3.3.03; 3.7.07 through 3.7.13.

8.2 Personnel Files
A. An employee may review his/her own personnel file (with the exception of investigative data pertaining to a possible criminal offense and letter of reference) when Human Resources Office staff are available. The employee may also, by 519
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his/her written authorization, permit his/her representative to review his/her file under the supervision of Human Resources Office staff.

B. Within ten (10) calendar days after the City notifies an employee of the placement of allegedly derogatory or erroneous materials in his or her personnel file, the employee may prepare a written response to the derogatory or erroneous materials. Any such response shall be placed in the employee’s personnel file.

C. Likewise, within ten (10) calendar days after the City notifies an employee of the placement of allegedly derogatory or erroneous materials in his or her personnel file, the employee may request in writing that the Human Resources Manager remove said materials. The Human Resources Manager shall render a decision in writing within ten (10) business days after the employees’ request.

D. This section shall not apply to performance evaluations. If an employee’s performance evaluation results in the employee not receiving a step increase, and the employee believes his/her performance evaluation is inaccurate, the employee may, after speaking with their supervisor, request the Human Resources Manager review the performance evaluation. The Human Resources Manager’s decision on the performance evaluation is final and shall not be subject to the grievance procedure.

8.3 Probationary Period
For general Full-time and Permanent Part-Time employees, the probationary period shall be for a period of not less than six (6) months of actual service. However, the supervisor may extend the probationary period for up to three (3) additional months with the written approval of the Human Resources Manager.

Probation periods shall also apply to those that are newly promoted or transferred. The probationary period shall be for a period of not less than six (6) months of actual service from the date of promotion or transfer.

Except as otherwise required by law, effective March 1, 2004, for existing classifications filled by general full-time and permanent part-time employees, the probationary period shall be for a period of not less than six (6) months of actual service. In the event, the City establishes a new bargaining unit classification, that classification shall normally follow the “6+6” probationary period defined above. However, in the event, the City determines that a new classification requires a longer probationary period, the probationary period shall be for a period of not less than twelve (12) months of actual service. The City shall notify SEIU of its intent to establish a classification using this “12+6” probationary period and shall provide SEIU with the opportunity to discuss the basis for the longer probationary period upon request.

8.4. Merit Step Increases

1. Upon the completion of six (6) months of actual initial or promotional probationary service and after receiving a satisfactory performance evaluation, eligible full-time employees who were initially appointed to the “A step” of the salary range in effect for 520
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the class to which appointed will be granted a merit increase to the next higher step in the pay range.

Employees who are at the “B step” of the salary range or higher shall receive a merit increase to the next higher step until the top step of the pay range each twelve (12) months of actual service after receiving a satisfactory performance evaluation. Regular part-time employees shall be entitled to merit increases after receiving a satisfactory performance evaluation upon completion of not less than twelve (12) months of actual service in each step of the range.

2. An employee shall not receive a merit increase beyond the maximum step established for the job classification.

3. Merit increases shall be effective on the anniversary date (i.e., six (6) months after initial appointment to the classification at Step A and every twelve (12) months after that), regardless of the date of evaluation.

4. Pay Following Promotion:

SEIU bargaining unit employees that are promoted will be offered pay in accordance with Policy and Procedure 3.9.08. If said promotion were to occur during the 30 days prior to the date of the Employee’s Performance Review (EPR), the subsequent step increase would occur before the promotion.

ARTICLE 9: WAGES

9.1 Cost of Living Adjustments
i. Employees in this unit will receive a salary increase of – 5% (five) effective the first full payroll immediately following adoption of this agreement by City Council ii. Employees in this unit will receive a one-time payment of $2,500 effective the first full payroll following Dec 1, 2022.

9.3. Premium Pay
The City and the Union agree to meet and confer over premium pay for the SEIU bargaining unit related American Rescue Plan Act funds and if an agreement is not reached prior of the commencement of the next MOU negotiations, then this topic will be included in those negotiations.

ARTICLE 10: HIGHER CLASS PAY
A. The parties will continue to have discussions over higher class pay in Labor Management. This provision will sunset upon the parties’ mutual agreement on a replacement to this section. 521
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B. An employee who is designated by his or her department head and approved by the City Manager to work in a position in a higher classification for period of more than two (2) consecutive days shall, beginning on the third (3rd) consecutive day, be entitled to an additional five percent (5%) of salary for the remainder of the period that he or she is assigned to work in the higher classification.

C. An employee on an out of class assignment shall receive the upgrade rate for all standby duty and call-back overtime pay earned while working out of class.

D. An employee who works in a higher classification for more than thirty-one (31) days shall be entitled to pay at either the lowest step of the salary range for the position in which he or she is working or 5% of salary, whichever is greater. In addition, the employee’s paid time off shall be compensated at the pay rate of the higher classification.

ARTICLE 11: HOURS OF WORK

11.1 Hours of Work
A. Regular Workweek
The regular workweek for bargaining unit employees shall consist of forty (40) hours within a seven (7) day workweek which begins Sunday morning at 12:00 a.m. and ends the following Saturday night at 11:59 p.m. The regular workweek for bargaining unit employees shall consist of five (5) consecutive days served in units of eight (8) hours.

Most City employees work from 8:00 am to 5:00 pm with one (1) hour meal period.

Employees in the maintenance division work from 7:30 a.m. to 4:00 p.m. with a thirty (30) minute meal period. However, employees may be assigned to different schedules based on operational need. The workweek for employees on an alternate work schedule will be set forth in a letter establishing the alternate work schedule.

B. “Flex” Hours
With the approval of their supervisor, employees assigned to work off hours, such as attendance at evening meetings or early morning training, may flex their schedules to accommodate the additional work, so long as the “flexed” hours occur within the same workweek. If the employee’s request to flex his or her schedule is denied, the employee may appeal the denial to his or her Department Head.

C. Alternate Work Schedules
The City may establish alternate workweeks (including 4/10, 9/80 or other schedules) for individuals or groups of employees by providing employees with written notice. The City and Union agree that the availability of alternate work schedules may be a valuable benefit to workers and the City. Alternate work schedules requests may be initiated by employee(s) or at the initiative of the City. Alternate work schedules must be recommended by the Department/Division Manager and approved by the City Manager, with the needs of the City, service to the public, and the needs of the employee(s) being considered. At the request of either party, the parties will meet and confer over the establishment of alternative work schedules in specific work locations. Should a 522
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department or division establish an alternative work schedule as a result of meet and confer, the City will notify the Union of any issues with the alternative work schedule as well as any plans to eliminate the schedule.

In all decisions regarding alternative work schedules, the City Manager or designee’s decision will be final.

D. Rest Periods
Bargaining unit members will normally be granted and take a rest period of fifteen (15) minutes during each four (4) consecutive hours worked. These rest periods are considered time worked for pay purposes. For employees in the field, rest periods must be taken at the employee’s work area, provided that the work area is equipped with a public or City restroom, potable water, and shaded area, or at the closest facility that is equipped with a public or City restroom, potable water, and shaded area.

11.2 Overtime
Overtime is to be paid after forty (40) hours worked in one (1) work week. Overtime is paid at the rate of one and one-half times the employee’s regular rate for Fair Labor Standards Act (“FLSA”) purposes. The City will compute the regular rate, including standby pay, in accordance with the FLSA. Employees may be compensated with Compensatory Time Off (CTO) at the rate of one and one-half hours per hour worked.

However, employees may not accrue a CTO balance of more than fifty (50) hours.

11.3 Call Back
Workers who are called back after leaving work at the end of a normal working day shall be paid a minimum of three (3) hours at the applicable rate. If the employee works more than three hours during a call back, the employee shall be paid for his or her actual time worked.

If the employee responding to call back receives a second, third, or more calls within 24 hours, the employee receives the actual time spent on the additional calls.

Callback pay does not apply to incidental work performed without returning to the workplace. Employees will be paid for actual time spent on incidental work required by a supervisor, so long as the work exceeds ten (10) minutes. Incidental work in excess of ten (10) minutes will be recorded in quarter hour increments. Examples of incidental work include periodic phone calls, e-mails, and remote monitoring of systems.

11.4 Rest Periods After Extended Shift
A worker who works more than fourteen (14) consecutive hours during a twenty-four (24) hour period shall be entitled to receive an eight (8) hour rest period before returning to duty. Such rest period shall commence when the worker goes off duty. Should the eight (8) hour rest period extend beyond the starting time of the worker's regular shift, the worker shall be required to work only the remainder of the shift.

11.5 Standby Pay
With the written approval of the City Manager, Department Heads may assign workers to standby duty.
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Workers shall be paid an hourly rate of $3.50 per hour for time they are required to be on standby. Compensation for standby shall be paid only for those hours on, which a Department Head actually assigns the employee to standby duty. Employees are not entitled to standby pay for any hours when they are otherwise on paid status (e.g., working their normal shift, overtime, or callback).

Nothing in this section shall be deemed to require any Department Head to assign employees to standby duty. However, when the Department Head determines standby duty is appropriate, employees will be permitted to volunteer for standby if they meet the requirements (including response time) established by the Department Head. For rotational standby lists based on a job classification, absent special circumstances approved by a Department Head or Division Manager, all employees in the classification, shall participate in the standby rotation list.

The parties understand that stand-by compensation includes pay for incidental work performed while on standby. Examples of incidental work include periodic phone calls, emails, and remote monitoring of systems.

ARTICLE 12: ROTATION OF OVERTIME AND CALLBACK
Overtime and callback shall be assigned on a rotational basis except when management determines that the application of this provision would result in the assignment of an employee without special skills or training to perform the work with a satisfactory level of services. Hours, selection, and time off shall normally be assigned on a first-come, first served basis. However, seniority shall be used as a tiebreaker.

ARTICLE 13: BILINGUAL EXAMINATION AND DIFFERENTIAL

13.1 Bilingual Differential
Employees who are assigned to job duties requiring the use of bilingual skills are eligible to receive $50.00 per pay period. No employee shall be required to use bilingual skills who is not compensated under this section.

13.2 Eligibility
Bilingual Differential shall be available only to employees who are regularly required to speak, read, or translate in a language other than English in order to perform assigned job duties arising during the normal course of work.

13.3 Examination Process
The City shall establish a test for Bilingual Differential. This test shall include a written and verbal certification, including translation, given by an individual or entity designated by the City. The Human Resources Department shall be responsible for overseeing the administration of the test and certifying test results.

Eligible bargaining unit members may request to take the Bilingual Differential test by submitting a request in writing to the Human Resources Department. Within thirty (30) days of receiving such a request, the Human Resources Department shall decide, in its sole discretion, whether the employee is eligible for Bilingual Differential based on whether bilingual skills are essential to successful performance of the employee’s 524
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assigned job duties and shall issue notice of its decision to the employee. The decision of the Human Resources Department to arrange for testing shall be final.

If the Human Resources Department approves an employee’s request for bilingual testing, the Department shall arrange for testing to be completed within thirty (30) days of the approval.

13.4 Effective Date
Bilingual Differential shall be paid beginning on the first day of the first pay period following the Human Resources Department’s certification that the employee has passed the test for Bilingual Differential and otherwise met the requirements to receive Bilingual Differential. Bilingual Differential shall be based solely on the date of the Department’s certification and shall not be paid retroactively.

ARTICLE 14: UNIFORM BOOTS AND LICENSES

14. 1 Uniforms
The City may require bargaining unit employees to wear uniforms. Except as provided herein, bargaining group employees who are required to wear uniforms, rain gear, or safety gear will be provided with the appropriate uniform items. The City shall continue to provide laundry service for uniforms provided to the Maintenance Workers.

So long as uniforms are required, the City shall provide the initial three (3) shirts, two pants, boots, jacket, belt and nameplate for the Environmental Services Aide, Community Services Officer and Code Enforcement Officer Classifications who are required to wear uniforms and shall pay $175 every six months for the care and replacement of City-required uniforms. Newly hired or newly eligible employees will be prorated on a monthly rate for this allowance.

For employees who already received additional City provided shirts, the City will provide the net difference of the shirts provided to new employees.

So long as uniforms are required, the City shall provide the initial five (5) uniform shirts for Police Records Clerks, if required to wear uniforms, and shall pay $175 every six months for the care and replacement of City-required uniforms. For employees who already received additional City provided shirts, the City will provide the net difference of the shirts provided to new employees. Newly hired or newly eligible employees will be prorated on a monthly rate for this allowance.

In the event, the City ceases to require uniforms or begins to provide uniforms for any of these classifications, the uniform allowance shall cease.

City-provided uniforms and equipment are to be used for City business only. In the event, an employee damages, destroys, or loses City-provided equipment or uniform while the equipment or uniform is being used for non-City business, the employee will reimburse the City for the repair or replacement cost of the item and may be subject to discipline.

14.2 Boots
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Employees represented by this bargaining group who are required to wear protective footwear will be reimbursed up to $250 per year for the purchase of shoes/boots, orthopedic insoles, and ergonomic support inserts.

In the event an employee's shoes are damaged and/or worn, and/or unsafe as determined by the City, the employee may request that damaged shoes be replaced provided:

A. The division head/manager concludes the shoes are damaged and need to be replaced.

B. The employee furnishes proof of purchase for the damaged shoes. Purchase shall have been within the current fiscal year.

C. The employee has fully expended the boot allowance. If not fully expended, the employee must use the balance of his/her allowance for the purchase of replacement shoes.

Requests for replacement equipment shall be made to the City in writing on a City provided form. The City shall normally respond to such requests within five (5) working days. Denials may be appealed to the Human Resources Manager in writing within five (5) working days.

The decision of the Human Resources Manager is final and shall not be appealed.

Denials of replacement equipment shall not be subject to the grievance procedure.

14.3 Fair Labor Standard
The parties agree that uniforms provided by the City to employees should be manufactured under a “fair labor standard.” In the event, the Union has concerns about the labor practices of a manufacturer, it will present information regarding those labor practices to the City. The City and Union will then meet to review and discuss the manufacturers’ practices and appropriate responses.

14.4 DMV Pull Notice Program
Employees whose positions require that they operate vehicles on city business, must possess and maintain a valid California driver’s license appropriate for the job and vehicle(s) to be operated. Employees required to operate motorized vehicles while on duty must enroll in the City's department of motor vehicles employer pull-notice program.

Employees enrolled in the DMV employer pull notice program must fill out a City-specified enrollment/waiver form directing the DMV to provide the City with periodic updates of the employee's driving record.

ARTICLE 15: HOLIDAYS

15.1 Holidays Observed
The parties agree to abide by the Holidays provisions contained in Section 3.10.01 through

3.10.05 of the City’s Personnel Rules and Regulations. Defined holidays are as follows:
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 New Year's Day, January 1
 Martin Luther King Day, 3rd Monday in January
 Lincoln's Birthday, February 12
 Washington's Birthday, February 22 or its legal substitute (third Monday in February)  Cesar Chavez Day, last Monday in March
 Memorial Day, May 31 or its legal substitute (third 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
Note: When any day recognized as a holiday falls on Sunday, the holiday shall be observed on the following Monday. When any day recognized as a holiday falls on a Saturday, the holiday shall be observed on the preceding Friday.

ARTICLE 16: LEAVE PROVISIONS
Effective the first full payroll pay period following City Council adoption of the MOU, the City will grant employees with twenty-five (25) or more years of City service twenty (20) hours of additional leave time. This additional leave must be used by the end of 2022. Any leave not used by the end of the calendar year will be paid out in the paycheck for the last full pay period for 2022 at the employee’s hourly rate.

16.1 Vacation
A. Crediting Vacation
Full-time employees, excluding seasonal and part-time temporary, shall be credited with vacation as follows:

Minimum Continuous Service Amount of Vacation Earned Annually 527
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0-4.99 years 80 hours (3.08 hrs bi-weekly)
5-9.99 yrs. 120 hours (4.62 hrs bi-weekly)
10-14.99 years: 160 hours (6.15 hrs bi-weekly)
15-plus years: 200 hours (7.69 hrs bi-weekly)
Vacation Accumulation
An employee with less than ten (10) years of consecutive City service shall not accumulate more than two-hundred and eighty-eight (288) hours of vacation. An employee with more than ten (10) years of consecutive City service shall not accumulate more than three-hundred and twenty (320) hours of vacation. Once the accrual cap is reached, an employee will not accrue any additional vacation until he or she reduces the accumulated hours below the accrual cap, either through usage or cash-out. An employee shall receive reasonable notice of the amount of accumulated vacation leave in advance of each anniversary date. Requests for deferring vacation use must be presented to the City Manager sixty (60) calendar days before the end of the calendar year in which the vacation leave was to be taken. In granting deferred vacation, the City Manager may specify a time within which such excess vacation leave must be used.

B. Use of Vacation
The City and Union value vacation and believe that employees’ ability to utilize vacation is an important goal. The time at which an employee may use vacation leave and the amount to be taken at any one time shall be determined by the Department Head, with particular regard, for the needs of the City and, insofar as possible, considering the wishes of the employee. Except in unusual circumstances, use of vacation leave shall be scheduled and approved in advance of the first day of absence. Approval of use of vacation leave shall be in a form and manner prescribed by the Human Resources Manager. Said approval of vacation leave shall not be unreasonably withheld.

C. Vacation Cash-out
Members of the bargaining unit may make an irrevocable election in the prior calendar year to cash-out vacation during the month of December each year. To qualify for vacation cash-out, an employee must have more than eighty (80) hours of accrued vacation. During the term of this MOU, Bargaining unit members shall be allowed to cash out up to 80 hours of leave vacation that has accrued in the current calendar year, so long as the member maintains a balance of at least eighty (80) hours.

Elections will be cashed out in December the year following the irrevocable election.

16.2 Military Leave
In addition to any provisions outlined in Personnel Policies and Procedures Section 3.12.16, including any amendments negotiated during the term of this agreement, the City shall follow any revised federal and/or state regulations including the Military and Veterans Code of the State of California that govern the granting of military leaves of absence and the rights of workers returning from such leaves.
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16.3 Family Medical Leave Act (FMLA) and California Family Rights Act (CFRA) The City agrees to abide by all conditions provided in the federal Family Medical Leave Act and/or the California Family Rights Act.

16.4 Bereavement Leave
Bargaining unit employees shall be entitled up to three (3) calendar days of paid leave for an occurrence of death or serious illness or accident determined to possibly lead to death in the immediate family; five (5) calendar days if out of state. Additional days may be approved by the City Manager or designee and charged to the employee’s available unused leave. This leave shall not be accumulated and is in addition to sick leave and vacation benefits except where additional time off is taken as provided above.

Request for bereavement leave must be in writing, state the relationship of the family member, and be approved in advance by the Department Head and City Manager (or designee). In special emergencies, an employee may request formal approval after the fact, if approved, leave records shall be adjusted accordingly. Death following a serious illness or injury shall generally be regarded as one (1) occurrence; however, the City reserves the responsibility for determining the nature and/or severity of the illness and the amount of time the occurrence warrants.

Immediate family shall mean the following: related by blood, marriage or adoption: spouse, child, parent, sister, brother, uncle, aunt, nephew, niece, grandparent, grandchild, and cousin.

Immediate Family shall also include registered domestic partners.

16.5 Sick Leave
A. Sick Leave Certification

1. An employee who is absent on sick leave three (3) or more consecutive working days may be required to present a treating physician’s certification shall be required only upon request of the worker’s supervisor at least one day prior to the worker’s return to work.

2. If management believes there is an abuse of sick leave, the Human Resources Manager may require the worker to provide medical verification for all future sick leave absences for a period of ninety (90) days. Prior to implementing this provision, the worker and the worker's representative shall, upon request, be given the opportunity to meet with the Human Resources Manager to show cause why this provision should not be invoked. Material relating to the sick leave use will be available to the worker and his representative prior to such meeting. The sick leave verification requirement shall be in writing and shall be reviewed every three (3) months, and the worker may appeal the decision to place him or her on sick leave verification and a decision to renew the verification requirement to the City Manager. This section shall not be subject to the grievance procedure.

3. Sick Leave Accrual:

Full-Time employees shall accrue (3.70) of Sick Leave per pay period. This amount shall be prorated based on hours for employees working less than the 1 FTE. 529
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B. Fitness for Duty
City-required fitness for duty examinations shall occur on administrative leave with pay.

C. Family Sick Leave
Bargaining Unit members may use up to one-half of their annual accrual of sick leave for the diagnosis, care, or treatment of an existing health condition of, or preventive care for, a member of the employee's immediate family. For the purpose of this section, the immediate family of an employee shall be as defined in the Bereavement Leave Section (Section 16.4.B).

16.6 Leave Donations
Employees shall be eligible to participate as donors and recipients in the leave donation program, which provides a mechanism for assisting employees who have exhausted paid leave due to a catastrophic illness and/or injury. This program allows a regular City employee to donate accrued vacation time hours to a specific eligible employee who has exhausted his/her own available leave balances on an hour for hour basis. Catastrophic illness or injury is defined as the employee’s own adverse medical condition which requires the employee to be absent from work for more than twenty (20) consecutive work days, or similarly debilitating illness or injury of the employee’s immediate family member who has a catastrophic illness or injury as verified by a physician’s statement.

A. To receive leave donations, an employee:

1. Must have been employed in a regular full-time position with the City for a minimum of one year; and

2. Must be absent from work due to his/her own catastrophic illness or injury for more than twenty (20) consecutive days (as verified by a physician’s statement); or be absent from work in order to attend to his/her immediate family member who has a catastrophic illness or injury (as verified by a physician’s statement); and

3. Must have exhausted all earned leave balances (including sick leave if related to the employee’s own illness) vacation; except however, donations may be made prior to all balances being exhausted, when the physician’s statement and leave balance indicate the probable exhaustion of balances within two (2) pay periods.

B. Donations

1. Are voluntary.

2. Are made from accrued Vacation balance; donations of Sick Leave are not permitted.

3. Must be for a minimum of eight (8) hours, in whole hour increments.

4. Are irrevocable.

5. Are taxable on the part of the recipient, in accordance with IRS Regulations, and are subject to withholding as required by law.

6. Donations shall be processed in the order received. However, a donor’s leave shall not be reduced until the recipient actually uses the leave. Unused donation shall remain with the donor.
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7. An employee may not donate more that eighty (80) hours to any other individual employee.

8. The total donation received into an employee’s donated leave balance shall normally not exceed 1040 hours; however, donations in excess of 1040 hours may be considered when approved by the Human Resources Manager.

9. Upon approval of the request for donations, the Human Resources Manager (or his/her designee) shall, at the employee’s request, post a notice of the eligible employee’s need for donations on departmental bulletin boards accessible to employees. Confidential medical information shall not be included in the notice.

10. Nothing in this section shall be construed to modify the employment relationship between the City and the receiving employee, or to restrict the City’s management rights. Neither shall this section modify existing City rules, policies or agreements regarding unpaid leave of absence or family leave.
“This provision (16.6) shall sunset upon the parties’ mutual agreement on a City-wide policy on Leave Donation.”

16.7 Personal Business Leave
A. Permanent (non-probationary) employees shall be entitled to a maximum of three (3) days per calendar year for Personal Business Leave without loss of pay. Such leave shall be deducted from accrued sick leave. Personal Business Leave can be taken in half day increments at a time.

B. Personal Business is defined as business of urgent and compelling importance which cannot be taken care of outside of normal working hours and which is not covered under leave provisions of this Memorandum of Understanding.

C. A worker shall notify the division/department head two (2) days before taking this leave, unless an emergency exists which prohibits the worker from providing such advance notice.

D. Personal Business Leave may only be used for personal business of urgent and compelling importance, and may not be used for recreational purposes, extension of holidays or vacation, work stoppages, or for matters of purely personal convenience.

E. At the discretion of the supervisor, a worker may also use vacation, compensatory time off to cover absences of an emergency nature. No request shall be unreasonably denied.

16.8 Jury Duty Leave
A. A bargaining unit member required to report for jury duty during regularly scheduled work hours shall notify their supervisor as soon as possible and shall be entitled to leave with pay until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees excepting those specifically allowed for mileage and subsistence.
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B. A bargaining unit member subpoenaed to appear in court during regularly scheduled working hours, solely as a result of employment with the City, shall receive full pay for such appearance until released by the Court provided the employee remits to the City within five (5) calendar days after receipt, all fees excepting those specifically allowed for mileage and subsistence.

C. A bargaining unit member is responsible for keeping their supervisor informed of their court schedule and must return to work when released by the Court (including partial days).

ARTICLE 17: RETIREMENT

17.1 Retirement
A. Bargaining unit members who do not meet the definition of “new member” as determined by the California Public Employees’ Retirement System (CalPERS), shall be subject to the

2.5% @ 55 retirement formula highest three years.

B. Bargaining unit members who meet the definition of “new members,” as determined by CalPERS, shall be subject to the CalPERS 2.0% @ 62 retirement formula, highest three years.

C. Bargaining unit members will continue to pay the full employee contribution established for their retirement tier (this number is set by statute; and as of the date of this agreement is 8% for classic members and ½ of the Normal Cost for “new members.”).

17.2 Credit for Unused Sick Leave
The City has contracted with CalPERS to provide service credit for unused sick leave pursuant to the Public Employees Retirement Law. To qualify for this provision, a member must retire within one hundred and twenty (120) days of separation from the City.

ARTICLE 18: GRIEVANCE PROCEDURE

18.1 Policy
This grievance procedure is intended to assure that every reasonable effort will be made to resolve problems as near as possible to the point of origin. This Article shall supersede the grievance procedure contained in Sections 3.15.01-3.15.07 of the City’s Personnel Policies and Procedures.

18.2 Eligibility to File a Grievance
A permanent classified employee or his or her Union representative may submit a dispute according to this procedure. The Union may utilize this procedure in the event a dispute is not directly related to an individual employee and complies with all the provisions of this Article.

18.3 Definition
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A grievance is defined as a dispute involving the interpretation, application or alleged violation of:

A. This Memorandum of Understanding; or
B. The City Personnel Rules affecting classified employees where the provision in dispute is within the scope of representation and not otherwise superseded by the provisions of this Agreement.

C. No dispute shall be considered a grievance if it does not conform to this definition. Where the City Codes or Rules and Regulations provide another appeal process, the Union shall choose which process is to be used but shall not use both.

18.4 Grievance Procedure
A. Step 1 - Informal Discussion (Immediate Supervisor/Division Head) Within ten (10) working days of the occurrence of an act in dispute, an employee shall discuss it with his/her immediate supervisor, who shall investigate and attempt to resolve the matter. The supervisor or designee shall give the employee an oral reply within ten (10) working days after the discussion. If the employee is not satisfied with the response, he/she may proceed to Step 2. In the event, the Division Head is the Employee’s direct supervisor, the Informal Discussion shall be with the Division Head or designee.

B. Step 2 – Formal Written Grievance (Division Head/Department Head) Any dispute not resolved at Step 1 may be submitted to the Division Head in writing citing the specific provision of the rule in dispute and stating the desired solution within ten (10) working days after the supervisor’s response. A copy shall be provided to the supervisor. Ten (10) working days thereafter, a meeting shall be scheduled with the employee by the Division Head or designee. The Division Head or designee shall give the employee a written reply within ten (10) working days after such meeting and file a copy with the Human Resources Manager. If the employee is not satisfied with the response, he/she may proceed to Step 3.

In the event, the Division Head is the Employee’s direct supervisor, the Step 2 Formal Written Grievance shall be filed with the Department Head. Employees who are supervised directly by their Department Head shall bypass Step 2 and proceed directly to Step 3.

C. Step 3 – Human Resources Manager
Any dispute not resolved at Step 2 may be submitted in writing to the Human Resources Manager within ten (10) working days after the Step 2 Response, with a copy to the Department Head and Immediate Supervisor. Within ten (10) working days thereafter, a meeting shall be scheduled with the employee by the Human Resources Manager or designee who shall attempt to resolve the matter.

The Human Resources Manager or designee shall give the employee a written reply within ten (10) working days after such meeting and file a copy with the 533
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City Manager. If the employee is not satisfied with the response, he/she may proceed to Step 4.

D. Step 4 – City Manager
Any dispute not resolved at Step 3 may be submitted in writing to the City Manager within ten (10) working days after the Step 3 Response, with a copy to the Human Resources Manager and the Department Head. Within ten (10) working days thereafter, a meeting shall be scheduled with the employee by the City Manager or designee who shall attempt to resolve the matter. The City Manager or designee shall give the employee a written reply within ten (10) working days after such meeting. If the employee is not satisfied with the response, he/she may request that the Union proceed to Step 5.

E. Step 5 – Arbitration
If the Union is not satisfied with the City Manager or designee’s response, it may appeal the dispute to arbitration in writing within ten (10) calendar days after the date of the Step 4 response. Within ten (10) calendar days of the appeal, the parties shall meet to select an arbitrator. If the parties are unable to reach mutual agreement on an arbitrator, the parties shall jointly request a list of seven (7) labor arbitrators from the California State Mediation Service and shall alternately strike names until only one name remains. The Union shall strike first for the initial arbitration under this Agreement and the parties shall alternate the first strike thereafter.

Costs for the arbitration (including arbitrator fees and any court reporter) shall be shared equally by the parties. The parties shall each pay for their own representative. The decision of the arbitrator shall be final and binding upon the parties.

18.5 Service of City Responses
Copies of all City responses shall be sent to the Grievant, Local 521, and to the Grievant’s representative at the address indicated on the grievance form.

18.6 Settlement of a Grievance
Failure of the City to adhere to the designated time deadlines shall be deemed a denial and the Grievant may appeal the grievance to the next level. Failure of the grievant to adhere to the time deadlines shall mean that the grievance is settled. The grievant and the City may extend any time deadline by mutual agreement.

18.7 Representation
An employee may have a representative of his/her choice present at all stages of the grievance procedure.

18.8 No Retribution
An employee shall not be penalized in any way for availing himself/herself of this procedure. 534
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ARTICLE 19: DISCIPLINE

19.1 Discipline
The City may reprimand, place on disciplinary probation, discharge, suspend, reduce salary, or demote any worker who has completed the specified probationary period for cause, including, but not limited to:
● Dishonesty,
● Insubordination,
● Immoral or unprofessional conduct,
● Intoxication or the use of controlled substances while on duty, ● Incompetence,
● Willful negligence,
● Excessive absences and/or tardiness,
● Inexcusable absence without leave,
● Misuse of City property,
● Failure to maintain licenses or certificates required by law, District requirements, or job description,
● Failure to perform work as required, or
● Failure to comply with or violation of the City's reasonable rules regarding safety, conduct and operations.

19.2 Right to Representation
Except in situations requiring immediate action, such as but not limited to, allegations of theft or urgent safety matters, a worker shall be entitled to a steward of his or her choice at an investigative interview that the worker reasonably believes may result in disciplinary action. The worker may request a representative either during or prior to the interview, and must make a selection, of which steward will be representing him or her within a reasonable time. The worker’s choice of representative will not be permitted to delay the investigation if the resulting delay would harm the investigation.

19.3 Procedure

1. Notice of Intent to Discipline
A Notice of Intent to discharge, demote or suspend must be served on the worker and the Union in person or by certified mail.
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The Notice shall include:

1. A statement of the nature of the disciplinary action;

2. The effective date of the action;

3. A statement of the cause thereof;

4. A statement of the act or omissions upon which the causes are based;

5. A statement of the worker's right to respond to the charges, either orally or in writing, prior the action becoming effective; and

6. A statement advising the worker of the right to Union representation.

The Notice shall be accompanied by all documentation upon which the City relied in determining the need for disciplinary action.

2. Employee Response/Skelly Meeting
The worker may respond to the Notice of Intent to Discipline either in person or in writing.

A. If the worker elects to respond in writing, the worker or his representative must file the worker’s response within ten (10) workdays after service of the Notice of Intent to Discipline.

B. If the worker elects to respond in person, the worker or his or her representative must request a meeting with the Department Head within ten (10) workdays after service of the Notice of Intent to Discipline. The Department Head shall hold a meeting with the employee within twenty (20) days of the worker’s request.

3. Notice of Discipline
If the Department Head determines that discipline is warranted, the Department Head shall issue a written Notice of Disciplinary Action within ten (10) workdays after either the filing of a written response or the date of the Skelly Meeting. If the worker did not request a meeting or file a written response, the Department Head’s decision is due twenty (20) workdays after the service of the Notice of Intent to Discipline. The Department Head shall furnish a copy of the Notice of Disciplinary Action to the Union and appropriate Steward.

4. Appeal to Human Resources Manager:

A. In the event a worker feels that the disciplinary action is unjust, the worker or his or her representative may appeal the action to the Human Resources Manager.

An appeal of the Notice of Disciplinary Action must be in writing and must be filed with the Human Resources Manager within ten (10) workdays of the date of service of the Notice of Disciplinary Action.

B. The Human Resources Manager or designee shall hold an appeal meeting within twenty (20) days.

C. For any matter not subject to binding arbitration pursuant to Section 5, below, the Human Resources Manager or designee’s decision shall be final and binding.
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D. The Human Resources Manager shall issue his/her decision within ten (10) workdays after either meeting with the worker or receipt of the arbitrator’s report, whichever is later.

E. Except for matters which are subject to arbitration pursuant to Section 5, the decision of the Human Resources Manager shall be final.

5. Arbitration of Serious Discipline
In the event a worker feels that a discharge, suspension of three (3) or more days, or a reduction in pay is unjust, the Union shall have the right to appeal the case to binding arbitration. Any appeal under this provision must be filed within twenty (20) days after receipt of the Human Resources Manager’s decision. The expenses of any arbitration convened pursuant to this section, including the fee for the services of the Arbitrator and court reporter, shall be borne equally by the parties. All other expenses which the parties may incur individually, including witness and attorney fees, are to be borne by the party incurring such expenses.

6. Removal of Disciplinary Notices
Employees may request in writing to the Human Resources Manager, with a copy to Union Representative, that disciplinary notices which are three (3) or more years old shall be removed and destroyed provided the following conditions are met:

1. The file does not contain subsequent notice of discipline or records of disciplinary action.

2. The employee has not been notified in writing of pending disciplinary action at the time the written request to remove said notice of discipline is received by the Human Resources Manager.

ARTICLE 20: MEDICAL INSURANCE
A. The City shall pay up to a maximum of sixty-five percent (65%) of the premium of the Kaiser Permanent HMO for employees electing to have dependent medical coverage under the City’s existing medical plans. The employee shall be responsible for the remaining premium for the elected medical coverage.

B. The City shall pay up to one hundred percent (100%) of the premium for Kaiser Permanente HMO Employee only.

C. Benefits Committee
During the term of this MOU, the City and Unions shall convene the Benefits Committee for the following purposes:

1. To continue ongoing discussions regarding cost structures as a part of an overall strategy to maintain balanced enrollment in City plans,

2. To investigate the feasibility of revising medical and/or dental coverage and/or plan(s) and strategies to participate into benefit insurance cost structure, and
The benefits Committee will commence no later than September 30,2022. The Committee will be composed of City labor representatives, not to exceed four (4) 537
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representatives and four (alternates) from each participating labor organization and four (4) representatives. These names will be provided to the City no later than August 31, 2022.

ARTICLE 21: DENTAL INSURANCE

21.1 Employee Coverage
The City agrees to provide a dental insurance plan or plans (if more than one is available) for its employees covered by this bargaining unit. The City shall contribute the full cost of the employee-only level for the dental plan selected by the employee. The contributions are based on regular full-time employment; part-time employees shall receive a prorated contribution based on their percentage of full-time equivalent.

Maximum Delta Dental payout per calendar year shall be $2,000.

Co-payment for Crown and Cast Restoration, and Prosthodontic benefits shall be 80/20; with the twenty percent (20%) share the responsibility of the employee.

21.2 Dependent Coverage
Employee may ensure their eligible dependents (including registered domestic partner as defined below) under the dental plan(s) in accordance with the rules and regulations applicable to obtaining said dependent coverage. Domestic partner (as defined by State law), shall be included as “eligible dependent” pursuant to Article 16.4B.

ARTICLE 22. STATE DISABILITY INSURANCE
Effective July 1, 2007, bargaining unit employees shall be enrolled in the State Disability Insurance (SDI) system administered by the California Employment Development Department. Coverage shall be limited to the “State Plan” and shall not include any additional Voluntary plan design. SDI premiums shall be 100% employee-paid on an after-tax basis.

Payment shall be made by mandatory payroll deduction for every bargaining unit employee.

Bargaining Unit employees may elect to supplement their State Disability Insurance (SDI) benefits by integrating accrued leave (vacation, sick leave or compensatory time off). It is understood that the combined SDI benefit and use of leave credits cannot exceed the employee’s regular monthly net pay.

ARTICLE 23: RECLASSIFICATION
A. When necessary, the Union may request that the City reclassify bargaining unit positions.

These requests shall be made in writing and shall indicate the position’s current classification, the proposed reclassification, and a detailed statement of the reasons that the reclassification is appropriate. The Human Resources Manager or designee shall respond to the reclassification requests in writing not later than three (3) months after the submission of the request, unless this deadline is mutually extended by the parties. The Human Resources 538
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Manager or designee will meet with the Union and each incumbent employee during the process.

B. In the event, the Human Resources Manager or designee determines that the reclassification is not appropriate, the Union may appeal the decision to the City Manager in writing, not later than ten (10) calendar days after the date of the Human Resources Manager or designee’s decision. The City Manager shall render a decision within ten (10) calendar days of the appeal. The decision of the City Manager shall be final. This section is not subject to the grievance procedure.

C. Reclassifications will be effective either the date of the Human Resources Manager or designee’s decision or three (3) months after the submission of the request, whichever is earlier.

D. Employees who are reclassified through the City’s reclassification process to a higher classification will not be subject to the probationary period.

ARTICLE 24: POSITION RECRUITMENT
A. Postings

1. Open Recruitment for Promotional opportunities for permanent city positions in classifications within the representation unit will be posted at all work locations and on the City’s website for at least fourteen (14) calendar days prior to closing applications and shall be mailed to the Union and e-mailed to bargaining unit members with City email accounts.

2. “Internal Only” recruitment for promotional opportunities for permanent city positions in classifications within the representation unit will be posted at all work locations for at least seven (7) calendar days (Monday through Friday) prior to closing applications and shall be mailed to the Union and e-mailed to bargaining unit members with City email accounts.

3. Such postings shall include a description of the type of examination and screening process that will be used in filling the position. Any test given shall relate to the skills, knowledge, and abilities necessary to perform the job.

B. Mandatory Interviews The top two (2) permanent bargaining unit members applying for promotional opportunities for classifications within the representation unit and who meet the minimum qualifications for the position will be interviewed regardless of the number of interviewees otherwise requested by the hiring department. When possible, the top two (2) permanent bargaining unit members applying for promotional opportunities outside of the representation unit and who meet the minimum qualifications for the position will be interviewed.

C. The List
Once a list of reachable candidates has been generated and upon request by any Department Head, the Human Resources Manager shall refer to the requesting Department a list of the top seven (7) candidates as well as a list of all internal applicants on the 539
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recruitment list. The Department Head shall have the discretion to interview any of the candidates whose names have been referred by the Human Resources Manager.

ARTICLE 25: TRAVEL EXPENSES
Pursuant to City Policy, the City will advance 75% of the allowable reimbursement for meals consumed by bargaining unit members during travel on City business. For reimbursement exceeding the 75% advance, bargaining unit members are still required to submit receipts for meal reimbursement upon return from travel and will be reimbursed up to the allowable amount after submission of receipts.

If a bargaining unit member is required to use his/her personal vehicle for pre-approved workrelated travel purposes, the City shall pay said employee mileage at the current IRS rate.

ARTICLE 26: TUITION REIMBURSEMENT
A. The City shall provide tuition reimbursement for employees, subject to the limitations below of five hundred dollars $600 per fiscal year paid as taxable wages. Limited to the unit cost of the class and required textbooks (no supplies, no parking or mileage reimbursement). Coursework must be on the employee’s own time.

B. Tuition reimbursement shall be available only for coursework taken at an accredited institution and is only available for coursework in which the employee receives a passing grade. These funds are subject to budgetary constraints and may not be available from year to year.

C. All eligible employees in this unit are eligible to receive the $600 reimbursement, regardless of total cost to the City. In the event that the bargaining unit has not exhausted $5,000 in reimbursement by May 31 of any fiscal year, any unit member who has received the maximum individual reimbursement ($600) but has expended more than that amount on textbooks or tuition for approved coursework may apply to the City Manager for reimbursement of the remainder of the appropriate expenses up to $1000 maximum per individual. This additional reimbursement is on a first come, first serve basis and will be granted up to a total $5,000 per fiscal year for the entire unit. Workers must submit a request for additional reimbursement on or before May

31. If the balance remaining in the reimbursement pool is not sufficient to pay the additional expenses for applications received by May 31, the pool shall be distributed equally to each applicant up to the amount of each reimbursement request.

ARTICLE 27: LABOR-MANAGEMENT COMMITTEE
A. Purpose: A labor/management Committee shall be created. The purpose of the Committee shall be to examine labor-management issues. The committee shall also monitor labor-management issues that have not yet risen to the level of grievances.

B. Composition: The Committee will be composed of the Assistant City Manager, up to two (2) management representatives, the Local 521 staff person, and up to three (3) Local 521 members.
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C. Meeting Schedule: The Committee will commence meeting after ratification of the Agreement. The Committee will meet at least quarterly during the term of the agreement.

ARTICLE 28: LICENSES AND CERTIFICATES
Workers who are required by State and/or Federal agencies to be licensed or secure a certificate shall be reimbursed for the fees for the licenses or certificates. This provision excludes licenses required by the Department of Motor Vehicles.

ARTICLE 29: Teleworking
SEIU bargaining unit employees have the right to telework when feasible according to the needs of the City and can request to work remotely/telework by writing to their direct supervisor. The parties shall follow the City’s personnel rules regarding teleworking, which is subject to meet and confer prior to implementation.

ARTICLE 30: Repayment Authorization
When it is discovered that an employee has been overpaid, regardless of cause, the City shall have the ability to recover those monies via a repayment agreement (see Appendix B). Such repayment agreement will not extend longer than the amount of time that the overpayment occurred, unless the parties mutually agree to another timeline.

In the event a payroll error has been made, including but not limited to the payment of an employee's salary, overtime payment or leave accruals, balances or usages, the City shall, for purposes of future compensation, adjust such compensation to the correct amount, and give written notice to the employee. The city shall provide documentation to back-up the conclusion that there has been an overpayment.

In the event an employee received an overpayment, the City and employee shall agree upon a repayment schedule utilizing one, or a combination of, the following elements:
(1) Lump sum payment by the employee;
(2) A one-time deduction from available accrued leave balances except sick leave equivalent to the overpayment at the employee's current hourly rate; (3) A repayment schedule through payroll deduction; and/or (4) Other means, as may be mutually agreed between the parties.

No action shall be taken to enforce repayment of an overpayment, or to correct an underpayment, unless action is taken within two (2) years from the ending date of the pay period in which the error is discovered. "Action is taken" as used in this Section shall mean written notice to the employee in the case of an overpayment or written or oral notice to the City in the case of an underpayment error.

ARTICLE 31: SAVINGS CLAUSE
If any article or section of this contract or any rider thereto should be held invalid, illegal or unenforceable by operation of law or by any tribunal of competent jurisdiction, or if compliance with or enforcement of any article or section should be restrained by such tribunal pending 541
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forma1 determination as to its validity or legality, the remainder of this contract or any rider thereto, or the application of such article or section to persons or circumstances other than those which it has been held invalid or as to which compliance with or enforcement of has been restrained, shall not be affected thereby.

It is further the intent that should any article or sections of this contract be held invalid, illegal or unenforceable and inoperable, that article or section shall be renegotiated in an attempt to provide validity, legality and acceptability to such section or article.

31.1 Amendments to Agreement
This Agreement may be amended only by the mutual written agreement of the parties. Such amendments shall be lettered, dated, and signed by the parties and shall constitute a part of this Agreement.

ARTICLE 32: TERM
The term of this MOU shall be from August 1, 2022 to Dec 31, 2023 equivalent to sixteen months. Ninety days prior to the expiration the parties shall meet and confer, at the request of either the City or the Union, to amend or extend this Memorandum of Understanding.

ARTICLE 33: AUTOMATIC PAYROLL DEPOSIT
All employees covered by this Agreement shall participate in the City’s automatic payroll deposit program. Participation shall mean the employee’s execution of a payroll authorization form and submission of a voided check or savings slip to the Finance Department. It shall be the employee’s choice as to which financial institutions(s) he/she designates as the institution(s) receiving the payroll funds.

When the authorization form is properly executed and filed with the Finance Department, the City shall automatically deposit in the employee’s designated financial institution account(s) the net amount of pay each designated biweekly payday.
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APPENDIX A
SERVICE EMPLOYEES INTERNATIONAL UNION – MISCELLANEOUS UNIT

1. Accountant I

2. Accounting Technician I

3. Accounting Technician II

4. Accountant II

5. Administrative Grants Coordinator (NEW CLASS)

6. Administrative Assistant

7. Assistant Engineer

8. Assistant Planner

9. Associate Engineer

10. Associate Planner

11. Building Inspector I

12. Building Permit Technician

13. Code Enforcement Officer I

14. Code Enforcement Officer II

15. Community Services Officer

16. Environmental Services Aide

17. Electrician

18. Engineering Technician

19. Kitchen Aide (Part-Time)

20. Maintenance Worker I

21. Maintenance Worker II

22. Maintenance Worker III

23. Nutrition Site Supervisor (Part-Time)

24. Office Assistant

25. Police Records Clerk I

26. Police Records Clerks II

27. Police – Property and Evidence Technician

28. Police Crime Analyst

29. Public Works Inspector

30. Rent Stabilization Counselor I/II

31. Secretary I

32. Secretary II

33. Shuttle Van Driver (Part-Time)
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APPENDIX B
Repayment Authorization Form
Employee Name:

AMOUNT OWED TO THE CITY FOR COVERAGE:

Instructions: Please select one of the options below by placing an X in the appropriate box of your choice.

OPTION 1
Amount to be paid in one lump sum of $ - using either option A , B or C below:

A) to be deducted from your next payroll check.

B) to be paid by check or cash to the City
C) to be paid from earned leave balances*
OPTION 2 0.00
A bi-weekly amount of #DIV/0! to be taken from paychecks.

OPTION 3 $ -
A bi-weekly amount of to be taken from the next payroll periods until paid.

OPTION 4

0.00 Other option described here: #DIV/0! to be taken from paychecks.

I agree and understand the terms of this payment arrangement and authorize the City of East Palo Alto to deduct the following amount from my paycheck based on the payment plan option selected above. If I resign or am terminated, I understand that the remaining balance will be withheld from my final check.

Employee Signature Date
City Official Date
* Leave balances shall include vacation leave, floating holiday leave and comp time only.

CITY OF EAST PALO ALTO

PAYMENT PLAN AUTHORIZATION FORM
Any pay increases may be used by the City to lower agreed upon payment plan to balance your payroll check. 544
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ACCEPTED BY:

For the Union: For the City:
________________________________
Eidref Laza, SEIU Local 521
________________________________
Melvin Gaines, City Manager
________________________________
Janet Nuñez-Aguilar, SEIU Member
________________________________
Ana Torres-Mondragon, Human Resources
Manager
______________________________
Salani Wendt, SEIU Member
________________________________
Brenna Rowe, Chief Spokesperson
Sloan Sakai Yeung & Wong LLP
____________________________________
Lenin Melgar, SEIU Member
____________________________
Agripina Villegas, SEIU Member
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CONSENT ITEM 3.5

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: October 3, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Ana Maria Torres-Mondragon, Human Resource Manager
SUBJECT: Designate the Responsibility, Authority, and set process and procedures for the determination of disability retirements for Safety Employees to meet new CalPERS requirements
Recommendation
Adopt a Resolution:

1. Authorizing the City Manager to make disability determinations, as permitted by state law, on behalf of the City Council; and

2. Updating the Process and Procedures in the determination of disability retirements for safety employees, including the use of promissory notes for unreimbursed advanced payments of disability pension payments.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Increase Organizational Effectiveness and Efficiency
Improve Communication and Enhance Community Engagement
Background
The City has a “local safety member” employee and CalPERS member who has tendered a request for Industrial Disability Retirement (IDR).
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CONSENT ITEM 3.5
The Public Employees' Retirement Law (PERL) requires the governing bodies of local agencies to make determinations regarding industrial disability retirements on behalf of its safety members.

Analysis
Delegation to City Manager Authority to IDR Determinations Although state law states that the authority to make IDR determinations resides with the Council, under Government Code section 21173, the City Council, through resolution, may delegate authority to certain determinations, including (a) whether the employee is disabled for the purposes of the PERL; (b) whether the disability is “industrial” within the meaning of the PERL; (c ) the nature of “industrial” causation of disability per Government Code Section 21156. Additionally. an employee may appeal a determination under Government Code Section 21156 to the Governing Body.

Approval of the attached resolution would delegate the responsibility and authority to make determinations on behalf of the City regarding local safety disability retirement to the City Manager State law provides that such determinations cannot form the basis for discipline.

Updating Policies and Procedures for IDR Determinations The attached resolution would also set procedures for processing applications Industrial Disability Retirement, in addition to providing for collection via a promissory note. PERL specifies the procedures under which a local safety retirement is conducted as well as the procedures to determine whether an employee is disabled for purposes of the PERL and whether the disability is “industrial” within the meaning of the PERL.

Over the years, amendments to the PERL have changed the procedures for determining and processing applications for public employee retirement. The process included in the Resolution includes the current and accepted process for CalPERS local safety disability retirements which can be found in their resource guide on the topic: Local Safety Disability Retirement / Industrial Disability Retirement Resource Guide.

Once a completed application is received from a member, CalPERS determines if the member is eligible to apply for disability retirement. Once that determination has been made, CalPERS and the PERL require the employer to make a determination based on competent medical opinion, whether the employee is disabled (as defined in the PERL) and whether the disability is “industrial” within the meaning of the PERL.

Once the application is received CalPERS will determine the employee’s eligibility for disability retirement and send a letter to the employee requesting, they complete an application.

Concurrently, CalPERS will send the City a letter directing the City to begin the process of making a determination regarding the members’ disability and whether the disability is industrial under the PERL. The City has six months to make a determination based on competent medical opinion(s) regarding the members’ disability and whether the disability is industrial under the PERL.
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CONSENT ITEM 3.5
Finally, the attached resolution would provide a promissory note that the employee will sign.

Once a local safety member has applied for industrial disability retirement, Government Code 4850.3 provides that Advance Disability Pension Payments be paid to them. The Code specifies the duration and the amount which is approximately 50% of their base reportable pay of the three (3) year highest average. CalPERS will reimburse the employer these payments should the application for industrial disability retirement be approved. If the application is not approved, CalPERS will not reimburse, and the employer must recover the funds from the employee. The promissory note provides agreement by the employee to repay these funds in the case of application denial.

Fiscal Impact
There is no fiscal impact to delegating the responsibility and authority under this Resolution.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on a bulletin board located at City Hall: 2415 University Avenue, East Palo Alto.

Environmental
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.

Attachments

1. Resolution

2. Exhibit A: Promissory Note

3. Exhibit B: Release of Promissory Note
548
RESOLUTION NO. xx– 2023

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

DESIGNATE THE RESPONSIBILITY, AUTHORITY, AND SET PROCESS AND

PROCEDURES FOR THE DETERMINATION OF DISABILITY RETIREMENTS FOR

SAFETY EMPLOYEES TO MEET NEW CALPERS REQUIREMENTS
WHEREAS, the City of East Palo Alto is a contracting agency of the California Public Employees' Retirement System; and
WHEREAS, the Public Employees' Retirement Law ("PERL") requires that a contracting local government agency determine (a) whether an employee of such agency in which he/she is classified as a "local safety member" is disabled for purposes of the Public Employees' Retirement Law and (b) whether such disability is "industrial" within the meaning of the PERL;
WHEREAS, the City Council of the City of East Palo Alto may delegate responsibility and authority under section 21173 of the Government Code to a body or officer of the City.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Authorizing the City Manager to make disability determinations, as permitted by state law, on behalf of the City Council; and
Section 1. The City Council hereby delegates to the City Manager or their designee the authority to file disability applications on behalf of all employees pursuant to Government Code section 21173;
Section 2. The City of East Palo Alto does hereby delegate to the City Manager or their designee, the authority to make any and all determinations on behalf of the City of East Palo Alto under section 21152(c) of the Government Code, as may be amended from time to time, of the existence of a disability and whether such disability is industrial, and to certify such determinations and all other necessary information to the California Public Employees' Retirement System; and
Section 3. That the City Manager or their designee is authorized to make applications on behalf of the City of East Palo Alto for disability retirement on behalf of eligible employees and to initiate requests for reinstatement of such employees who have previously been retired for disability; and
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Section 4. A certified copy of this Resolution must be placed on file with the California Public Employees Retirement System or must accompany all such resolutions or letters of designation signed by the delegate named in this resolution and be included as part of the submission to the California Public Employees Retirement System.

2. Updating the Process and Procedures in the determination of disability retirements for safety employees, including the use of promissory notes for unreimbursed advanced payments of disability pension payments.

3. Section 5. The City of East Palo Alto hereby adopts the following procedures for processing applications of local safety members for disability retirement:
(1) Verification of CalPERS determination of member eligibility Upon receipt of verification from the California Public Employees Retirement System that the member is eligible to apply for disability retirement the City Manager will proceed with determination.
(2) Contingencies Completed
An initial determination will begin after determination that the following conditions have been met:
• 4850 payments have been exhausted
• Employee has exhausted all leave balances
• OR Employee has filed for disability retirement
(3) Promissory Note
In the event applicant becomes eligible for Advanced Disability Pension Payments. The applicant must sign a promissory note agreeing to repay and Advance disability Pension Payments made by the City should the applicant later be deemed ineligible for retirement.
(4) Determination of Disability
An initial determination will be made by the City upon medical and other available evidence offered by either the applicant or the City to determine whether the applicant is substantially incapacitated from the performance of his or her duties. The determination shall be made within six months of the date of the City 's receipt of CalPERS request for such determination unless this time requirement is waived in writing by the applicant.

The City Manager or their designee shall certify the City 's findings and direct them to CalPERS.

A resolution determination for disability retirement will include all the following information statements:
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 A statement certifying under penalty of perjury that the determination was not used as a substitute for the disciplinary process.
 A statement certifying under penalty of perjury that the determination was made based on competent medical opinion.
 A finding indicating the member has been found substantially incapacitated from the performance of the usual duties of their position.
 A statement that there is competent medical opinion certifying the disability is expected to a) be permanent; b) last at least twelve consecutive months from the date of an application for benefit; c) will result in death.  A statement confirming whether or not the member had filed a workers’ compensation claim(s) for his or her disabling conditions(s) and if so, whether the claim was accepted.
 A finding by the employer as to whether the causation of the disability was industrial.
 A statement by the employer documenting the member’s last day on payroll.  A statement by the employer as to whether there is, or is not, a possibility of third-party liability present.
 The monthly amount and beginning date of Advance Disability Pension Payments (ADPP) paid or to be paid to the member along with the address where the reimbursement check should be mailed.
 A certified copy of this signed resolution must accompany the determination resolution.
(5) Appeal Process
If the applicant requests a hearing pursuant to the PERL, the hearing shall be held in conformity with Government Code section 21156, as may be amended from time to time.

Once the City issues its decision following a hearing, the decision and findings will be served on the applicant by certified mail and CalPERS will be notified.

If the applicant is found to be substantially incapacitated the city shall so certify to CalPERS. If applicant is found not to be substantially incapacitated the applicant will be further advised that he or she has thirty calendar days to seek judicial review, not including prospective or prophylactic restrictions as defined by CalPERS guidance on disability retirement and in CA Government Code Section 21166 which excludes any determination of disability under Labor Code 4600, 5811 or any other provision of the Labor Code.

PASSED AND ADOPTED this 3rd day of October 2023, by the following vote:

AYES:

NOES:
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ABSENT:

ABSTAIN:

Lisa Gauthier, Mayor
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
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EXHIBIT A: Promissory Note
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554
___________________________________________________________________ City of East Palo Alto Telephone Number: (650) 853-3116 EPA Government Center Confidential Fax Number: (650) 853-3111 2415 University Avenue
East Palo Alto, CA 94303-1164

CITY OF EAST PALO ALTO

PROMISSORY NOTE
I, MEMBER NAME, residing at HOME PHYSICAL ADDRESS, certify that I have been employed by CITY OF EAST PALO ALTO (hereby known as Agency) located at 2415 University Avenue, East Palo Alto, CA 94303 and that pursuant to my employment, I am a member of the California Public Employees Retirement System (CalPERS). I further certify that in accord with CalPERS regulations for disability retirement, I am qualified for Advance Disability Pension Payments (ADPP) from the Agency. I understand that ADPP payments of $X,XXX.XX will begin on MM/DD/YYYY and will continue until either the effective date of my retirement or until the retirement application is denied by CalPERS.

In the event of denial of application for disability retirement by CalPERS, I, MEMBER NAME, promise to reimburse in full, any and all ADPP received from Agency from the date of my application for disability retirement.

I, MEMBER NAME, understand that I have ten (10) business days from the date of denial to contact Agency at the address and phone number listed above to arrange for reimbursement of any and all ADPP as described above, either in one lump sum or a series of payments, not to exceed 12 months from the date of denial. The full amount of ADPP to be reimbursed will be determined at that time and recorded here:

Full amount of ADPP to be repaid is $____________________ (to be entered after denial of application).

If I am unable to repay the full amount of the ADPP, I understand that the Agency will attempt to collect the debt using all available means. As the receiver of the ADPP payments I am aware of the right to be informed that this note can be transferred by the Agency to another party.

I further understand that this promissory note will become null and void upon receipt of acceptance by CalPERS of the application for disability retirement and an effective date for CalPERS retirement.

Signed this ____ day of ___________, 20XX.
________________________________ _______________________________ Member’s First and Last Name Agency Executive’s Name and Title 555
___________________________________________________________________ City of East Palo Alto Telephone Number: (650) 853-3116 EPA Government Center Confidential Fax Number: (650) 853-3111 2415 University Avenue
East Palo Alto, CA 94303-1164
_________________________________ _______________________________ Member’s Mailing Address Agency Mailing Address
_________________________________ _______________________________ Member’s Phone Number Agency Contact Number

WITNESS
____________________________________
Witness First and Last Name
______________________________________________________________________ Witness Home Address and Phone Number
556
___________________________________________________________________ City of East Palo Alto Telephone Number: (650) 853-3116 EPA Government Center Confidential Fax Number: (650) 853-3111 2415 University Avenue
East Palo Alto, CA 94303-1164

CITY OF EAST PALO ALTO

RELEASE OF PROMISSORY NOTE
In consideration of full payment of the promissory note dated MONTH XX, 20YY, in the face amount of $____________, City of East Palo Alto (hereby known as Agency), 2415 University Avenue, East Palo Alto, CA 94303, releases and discharges, MEMBER NAME, MEMBER ADDRESS from any claims or obligations on account of this note.

The party signing this release is authorized to bind and benefit both the Agency and its successors.

Signed this ____ day of ___________, XXXX.
___________________________________
Signature of Agency Executive
___________________________________
Printed Name and Title of Agency Executive
___________________________________
Member’s Phone Number
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CONSENT ITEM 3.6

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: October 3, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: James Colin, City Clerk
SUBJECT: Indigenous Peoples' Day Proclamation
Recommendation
Present the proclamation for Indigenous Peoples’ Day.

Attachments

1. Proclamation
558

A PROCLAMATION OF THE EAST PALO ALTO CITY COUNCIL DECLARING

THE SECOND MONDAY IN OCTOBER OF EACH YEAR AS INDIGENOUS

PEOPLES' DAY IN EAST PALO ALTO
WHEREAS, the City Council of the City of East Palo Alto recognizes that the lands now known as the Americas have been inhabited by Indigenous peoples for thousands of years, and that the City of East Palo Alto is built upon the ancestral homelands of the Ohlone People, who were longtime caretakers of these lands we now cherish; and
WHEREAS, October 12, 1492, is one of the most significant historical dates for all Indigenous people of the Americas, as it marks the beginning of European and American colonization, which included widespread violence, forced relocations, land dispossession, cultural suppression, assimilation and termination policies that forever changed indigenous lives and cultures; and WHEREAS, government entities and public institutions today have a responsibility to enact policies to oppose systemic racism towards Indigenous people in the United States, as discrimination perpetuates high rates of poverty and disproportionate health, education, and social crises; and WHEREAS, Indigenous Peoples' Day was first proposed in 1977 by a delegation of Native Nations to the United Nations-sponsored International Conference on Discrimination Against Indigenous Populations in the Americas, and as of the date of this resolution, over 200 cities, counties, states, and universities across the United States have officially adopted Indigenous Peoples Day; and WHEREAS, recognizing Indigenous Peoples' Day on the second Monday of October provides a more accurate representation of our nation's and region's diverse history, and transforms a celebration of conquest and cultural genocide into a celebration of the enduring traditions, values, and strength of Indigenous Peoples, and brings hope for a brighter future of respect, partnership, and unity.

NOW THEREFORE BE IT RESOLVED, that the City of East Palo Alto shall henceforth recognize the second Monday in October of each year as Indigenous Peoples' Day and encourages all local businesses, organizations, schools, and community members to recognize Indigenous Peoples' Day, and to take time to deepen their understanding of the history, cultural significance, sacrifices and contributions of the Indigenous people of this land.

Dated: October 3, 2023
Lisa Gauthier, Mayor
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POLICY AND ACTION ITEM 9.1

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: October 3, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Tomohito Oku, Finance Director
Greg Henry, Senior Management Analyst
SUBJECT: Status of Business Discovery and Amnesty Program, and Direction from Council on Enhance Enforcement Program Related to Business Licenses Recommendation
Provide direction to the City Manager on what and how to begin an enhanced enforcement phase of the Business Discovery and Compliance program.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Ensure Our Financial and Organizational Health
Background
On June 2, 2022, the City Council awarded HdL Companies (HdL) a contract to administer the City’s business license program for businesses operating within East Palo Alto city limits, including compliance auditing, education, and outreach concerning the City’s business license tax regime.

Historically, the City has not taken a consistent approach to auditing the level of business license compliance. As part of the agreement, the City requested HdL conduct an initial review of the compliance level of businesses related to payment of the business license tax. This initial discovery analysis concluded that the City has a significant business license fee compliance issue.
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POLICY AND ACTION ITEM 9.1
On February 7, 2023, the City Council approved Resolution 13-2023 directing HdL’s Discovery and Compliance Team to assist the City with actively pursuing businesses out of compliance with the City’s Code. The Council directed that there be an initial ninety-day amnesty program.

The amnesty program was designed to provide time for businesses to timely comply. The grant of amnesty waived all penalties and interest until 04/02/2023, but not the underlying tax monies. From 04/03/2023 through 05/17/2023, half of all penalties and interest were waived.

For businesses which remain non-compliant at the end of the amnesty period, all unpaid taxes, fees, penalties and interest will be owed.

The amnesty program only waived penalties that accrued on the fees and taxes. That is, a business which came into compliance during the amnesty period still owed the underlying fees and taxes.

On June 6, staff presented an update to the Council regarding the progress of the discovery program. The Council deliberated on a course of action for bolstering enforcement measures.

During that session, the Council directed staff and HdL to continue their ongoing collection efforts from the subset of businesses that had yet to comply, and also to refrain from implementing escalated enforcement methods at that juncture. Additionally, staff was tasked with revisiting this matter at a later date with a renewed update accompanied by recommendations for intensified enforcement. With this staff report, staff seeks to report back on that directive.

Status Update on HdL’s Business Discovery Efforts
Table 1 below summarizes HdL’s and staff’s outreach efforts, as of August 31, 2023.

Table 1 – Discovery and Compliance Activity Summary
As noted above, there remain 28 businesses who have contacted HdL but haven’t paid their taxes. Additionally, there are currently 691 potential businesses who have not responded to any of HdL’s letters or contacts. HdL believes these businesses are composed of:
 347 Residential Rental Properties
 344 General Businesses
All such businesses are believed to be currently active. This update from the June report has a a slight reduction in the number of residential rental non-responsive businesses and a large increase in the number of general businesses. This is because HdL has made some progress bringing previously identified rental properties into compliance, and has identified a new batch of potential general business on which to begin the enforcement process.

Contacts by
Phone
1,502
Contact by
E-mail
1,282
Payments
Received
636
Disc. &
Comp.

Notices Sent 3,286
Invoices
Unpaid
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POLICY AND ACTION ITEM 9.1
For the non-responsive businesses, HdL has sent each of these potential businesses a final amnesty notice. With penalties and interest, HdL estimates an average amount of $1,000 is owed for the remaining businesses. Given many of the potential businesses may turn out not to be businesses, HdL estimates that an additional $200,000 in additional revenue remains collectable from these remaining businesses.

Revenue Impact of Program
On February 7, 2023, HdL estimated that the City would be able to collect between $290,000 and $450,000 in additional revenue. The difference, whether the City included an amnesty period. Given Council’s direction for the amnesty period (though with a period of “half” amnesty), HdL revised their estimate closer to $290,000.

HdL has recovered $598,331. Net of their charges, this is $372,211 in additional revenue to the City. Once businesses are compliant, there is an expectation that they will continue to pay the Business License Tax each year that they are active. Approximatly 500 businesses identified are residential rental properties. Given the Measure L change to Business License Tax approved by voters last November, the Business License Tax for residential rental properties will increase. Assuming these 500 residential rental properties continue to operate, and taking Measure L into account HdL estimates an annual revenue increase of $510,000 in City business license tax (includes general and rental businesses). Because business license tax revenue is collected in January, this anticipated revenue is in the current fiscal year budget, and is part of the $1.25 million dolar budgeted increase in business licene tax revenue for FY2023-24. FY 2022-23 business licene tax revenue was budgeted at $1.35 million and FY 2023-24 is budgeted at $2.6 million. This is due both the anticipated increase in compliant businesses and the impact of Measure L.

Analysis
In addition to continued HdL outreach, staff seek Council direction to determine the appropriate method to collect from businesses who remain unresponsive. For these businesses, letters and increasing penalties may not be sufficient to bring them into compliance. Potential steps the City could take to increase compliance through enhance enforcement include:

Potential Enforcement Enhancement: Property Liens
The City could consider using a lien to enhance collections. In that case, placing a lien on a property, due to unpaid taxes involves several steps. First the City would notify the owner and demand payment. If the owner fails to respond or pay, the City would then issue a notice of intent to place a lien. The City would convene a public hearing for each property owner facing an enforcement lien. Each property owner would be called to respond and their testimony made part of the administrative record. If the owner remains non-compliant and the City Council adopts a resolution finding the lien appropriate following a duly noticed public hearing, the City would file the resolution along with a tax lien against the property, recorded in public records. The owner is then informed of the lien and needs to pay the owed taxes, penalties, and fees to remove it. After payment, a lien release is issued and recorded, restoring the owner's rights.
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POLICY AND ACTION ITEM 9.1
One issue remains. If the Council wishes for the City to use property liens as an enforcement mechanism for unpaid business license taxes, the Council must first adopt an ordinance that specifically provides the process, procedure and authority to lien real property in this manner.

Potential Enforcement Enhancement: Small Claims
If the Council decides against liens against real property, staff could bring small claims actions, where the amount in controversy does not exceed $10,000, in the City’s name to collect the unpaid business license taxes.

However, bringing civil actions could be resource intensive. Because unpaid business license taxes cannot be batched, the City would be required to file an individual small claims lawsuit for each unpaid business license tax bill. Further, the City cannot have an attorney present at such proceedings, although the City Attorney would train staff on how to file and prosecute them.

Any litigation would return to the Council in closed session prior to action.

Potential Enforcement Enhancement: Criminal enforcement Violations of the City’s business license tax requirements is a misdemeanor, which can be punishable by fines, probation, community service or imprisonment. The seriousness of the charge could increase compliance but could lead to community concerns over enforcement.

This approach is also resource intensive and would require use of outside counsel.

Staff Recommendation
Staff recommend that the Council direct the City Manager, in consultation with the City Attorney, to begin using property liens and small claims to improve compliance with the City’s business license tax. Using liens would provide the City the best method to increase enforcement without expending significant resources to improve compliance. Using small claims, while more staff intensive, has the potential for fewer future challenges. Additionaly, staff are consulting with outside counsel on the use of both property liens and small claims and would prefer the ability to move forward with either option depending on the guidence.

This would provide the greatest equity, helping to ensure that all businesses in the City comply with the City’s business license tax. It would also prevent the City from spending more in staffing costs than recovered funds.

Should the Council direct staff to move forward with property liens, staff will return at a future meeting with the proposed ordinance and begin the adoption process.

Following the ordinance’s full adoption, staff will begin the notification process, in conjunction with HdL, for non-compliant businesses. Staff propose that the lien process proceed in tranches, starting with those businesses that owe the largest amount and have been in communication with HdL but have not completed the payment process. 563
POLICY AND ACTION ITEM 9.1
Should the Council choose to move forward with either civil or criminal litigation, staff will return in closed session before the end of the calendar year with the proposed list of litigants, for direct Council approval before moving those cases forward.

Should the Council choose not to move forward with any HdL will continue with their enforcement actions on behalf of the City which continues to increase the number of compliant businesses.

Fiscal Impact
There is no budget action for this action.

Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website and at the San Mateo Co. Library located at 2415 University Avenue, East Palo Alto.

Additionally, this topic has been heard by the Council three times prior (June 2, 2022, February 7, 2023, and June 6, 2023) and all businesses involved in these efforts have been notified via mail at least three times.

Environmental
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.
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STUDY SESSION ITEM 10.1

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: October 3, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Benjamin Toney, Partnership for the Bay’s Future Policy Fellow Karen Camacho, Housing & Economic Development Manager
SUBJECT: East Palo Alto Opportunity to Purchase Act ("EPA OPA") Study Session Recommendation
Provide recommended revisions to draft ordinance and direct staff to return with a revised draft ordinance titled “East Palo Alto Opportunity to Purchase Act” (“EPA OPA” or “Ordinance”) for introduction (first reading) in a public hearing.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
 Promote Housing, Economic and Workforce Development
Executive Summary
At the July 18, 2023 City Council meeting, City Council directed staff to implement changes to the ordinance, including adding 1031 Exchange language and removing the Right of First Refusal for Single-Family Homes, and to return for a study session to review the entire revised ordinance. The study session staff report includes the following components:

1. Background

2. Proposed Ordinance

3. Implementation Considerations
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STUDY SESSION ITEM 10.1

BACKGROUND
OPA is a proposed anti-displacement policy that seeks to stabilize housing for lower-income renter families when residential property sale occurs. The City Council’s approval of OPA would facilitate purchases of rented Single-Family homes and/or acquisitions of Multifamily residential rental buildings by Non-Profit Housing Providers, provided that these nonprofits convert the buildings to permanently affordable housing for existing tenant families. Council approval of OPA would improve the ability of nonprofit housing providers to utilize existing and anticipated regional and state funding for affordable housing acquisitions in the coming years.

Nonprofit acquisitions of existing buildings also would result in renter families gaining access to affordable housing without having to move to another building or neighborhood. OPA would also support the City in fulfilling its obligation to “affirmatively further fair housing,” as required by state law; or in other words, promote housing opportunity for groups that are (or were historically) impacted by housing discrimination, including low-income black, indigenous, and people of color (BIPOC) groups.

Displacement Risk and Homeownership
Housing affordability, the gap between what people earn and what they spend on housing, remains a substantial obstacle to healthy and stable communities in East Palo Alto (EPA).

During a period of rapid property value appreciation during the 2010s, wage growth among residents did not keep pace. In addition to the impact of regional delays in added housing supply, slow wage growth means that residents pay a substantial portion of their wages to maintain housing. The 2021 Housing Needs Assessment estimated that 55.6% of renter households (~2,584 of 4,648) and 41.7% of owner households (~1,282 of 3,076) are overburdened by housing costs, paying 30% or more of their income for housing. Households overburdened are more likely to experience displacement. The UC Berkeley Urban Displacement Project estimates that substantial portions of EPA are considered at risk of displacement for Low-Income households.
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STUDY SESSION ITEM 10.1
Figure 1: Displacement Risk
Source: Urban Displacement Project
EPA is a regional leader when it comes to adopting and implementing equitable housing policies and has taken various steps to address displacement. EPA has adopted and implemented a series of housing policies as part of a pro-housing policy agenda to support production of units, protection of tenants, and preservation of affordable housing. The following table lists the housing policies and programs EPA has enacted:

Figure 2: Housing and Economic Development Policies in EPA Adopted Housing/Rent Stabilization Initiatives:
 Rent Stabilization Ordinance (1984 first passed, 1988 and 2010 revisions) - weblink  Transient Occupancy Tax Revenue (10%) for Affordable Housing (1998)  Income-Based Rental Housing Ordinance (2000)
 Below Market Rate Homeownership Program (2003) - weblink  Ellis Act Ordinance (2007)
 Rent Stabilization and Just Cause for Eviction Ordinance (2010) - weblink  Condominium Conversion Ordinance (2012)
 Housing Impact Fee Nonresidential (“Commercial Linkage Fee”) (2013)  Mobile Home Park Conversion and Closure Ordinances (2014)  Tenant Protection Ordinance (2014)
 Housing Impact Fee Residential (2014, no longer in effect, Inclusionary Housing now)  Inclusionary Housing (initial 2002, 2019) - weblink
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STUDY SESSION ITEM 10.1
 Measure O (2016) / Measure L Business License Tax (2022)  Anti-Displacement Program (Nuestra Casa, YUCA, CLSEPA)  2035 General Plan adoption (2016) - weblink
 Westside Area Plan - weblink
 Measure HH (2018) - weblink
 CalHOME ADU/JADU Loan Program (2020)
 Local Preference (2020) - weblink
 SB 2/Code Development Update for ADU Streamlining (potentially 2023/2024)  Home Sharing Program (HIP Housing)
Economic Development initiatives:
 Affordable Housing and Sustainable Communities (AHSC) Grant (2020)  East Palo Alto Career Center (2021)
 First Source Hiring (2022) - weblink
 Measure HH Workforce Development Pilot (2022) - Housing Production + STEM and Building Trades Training - weblink
 StreetCode, Live in Peace, JobTrain
Updating or In Progress:
 Affordable Housing Strategy Update (2024, every 5 years) - weblink  Housing Element Update (2023, every 8 years) - weblink  Affirmatively Furthering Fair Housing Programs (2018 state law AB 686)  Workforce Development
 Housing Assistance, Fair Housing, Other Resouces - weblink  Potential East Palo Alto Opportunity to Purchase - weblink  Community Opportunity to Purchase (COPA)
 Tenant Opportunity to Purchase (TOPA)
 Rent Registry (Council dedicated $150,000 to this effort) Tenants of Single-Family Homes however are not covered by Rent Stabilization in cases of extreme rent hikes in EPA, prompting consideration of an OPA ordinance which includes both Multifamily properties and Single-Family properties.

ANALYSIS
Proposed Ordinance
To provide more opportunities to purchase residential properties, EPA City Council directed staff to explore a potential East Palo Alto Opportunity to Purchase Act (“EPA OPA” or “OPA”).

The policy features certain key elements; Right of First Offer for qualifying properties, Right of First Refusal for qualifying Multifamily Properties, timelines which enable coordination of funds and financing, and exemptions for various property types and transaction types. EPA OPA requires notice to rights-holders about opportunities that both empowers them to make competitive offers and allows them to leverage resources that support home purchases and affordable housing preservation. Even as a small city, EPA has an established track record of 568
STUDY SESSION ITEM 10.1
competing for outside funding; a practice which will help to support housing affordability and anti-displacement efforts.

EPA OPA can be helpful in addressing the City’s preservation goals for many reasons. Firstly, it has been publicly vetted over multiple years through rigorous and ongoing community engagement including the voices of low-income families, landlords, homeowners and other community members. Second, it is timed in coordination with regional efforts to preserve homes and provide homeownership opportunities for low-income households. For example, in March 2023, the Metropolitan Transportation Commission (MTC) published its draft TransitOriented Communities (TOC) Policy guidelines, which highlight Tenant/Community Opportunity to Purchase policies as an affordable housing preservation approach. Third, local and regional organizations are committed to participating as technical assistants, missiondriven developers and community outreach and education specialists to facilitate implementation of EPA OPA if approved. Figure 3 demonstrates changes made to the policy as a result of public participation.

Figure 3: Draft EPA OPA Ordinance Revisions
To-Date*
Affordability Affordability limit to include Low-Income Households for future vacancies added to Section 14.26.120.B
Affordability Affordability requirements factor when public funds are accepted to support purchase.

Applicability/
Exemptions
Exemptions added: Owner-occupied properties, ADUs,
properties owned by East Palo Alto residents, Family Transfers (including nieces and nephews), Foreclosures due to state law, Health Emergencies.

Other Eliminate appraisal process for both SFH and Multifamily properties.

Other Add language requiring facilitation of 1031 Exchange.

Enforcement Increase contract purchase deposit from 1% to 3%.

Implementation Council, not City Manager, certifies and re-certifies Qualified Non-Profits.

Enforcement Owners, in addition to buyers, can pursue legal action to enforce ordinance.

Implementation City Council, not City Manager, approves Administrative Guidelines
ROFR Clarified that ROFR is triggered by Seller’s intent or attempt to accept a Third-Party Offer, as differentiated from receipt of an offer
ROFR Create 15% ROFR cap1
1 When a Seller Rejects First Offer(s) and markets its real property conventionally, ROFR will apply to any accepted Third-Party offer less than or equal to 115% of the highest rejected First Offer. In this way, ROFR 569
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ROFR ROFR Removed from SFH properties.

Timelines Timelines reduced overall from 90 days (SFH) to 280 days (Larger Multifamily).

Timelines Statement of Interest Period reduced to from 30 days to 15 days, with contingent 15 additional days, if applicable.

Timelines Allow for further shortening of timelines with consent from both parties when there is only one Potential Eligible Purchaser.

Timelines ROFR timeline reduced to 5 days for SFH properties; to 20 days for QNP or City purchase.

Timelines Potential Eligible Purchasers must submit timely letter of interest in order to submit First Offer; ROFR only applies in cases where First Offer is submitted accordingly.

Exemptions
Due to limitations in available funding resources and community feedback during the policy deliberation process, multiple exemptions (see attachment 1) are included in the policy. As a result, EPA OPA will only apply to a select sample of properties in EPA.  Pro: Exemptions limit potential for disruption and maintain conventional transaction requirements for the majority of properties in EPA.
 Con: Exemptions limit the quantity of opportunities and reduce the possible scale of impact that the policy can have in preventing displacement and keeping EPA residents in their homes.
o Staff Recommendation: Monitor exemptions during implementation and consider removing redundancies since the current list may double-exempt in some cases.

Scale
Exemptions substantially limit the scale of transactions that would qualify for OPA procedural requirements. The David Rosen & Associates Report, which was presented to the Council in 2022, estimated for Single-Family Homes roughly 12 qualifying transactions during cooler market conditions (2007-2011) and roughly 32 qualifying transactions during warmer market conditions (2017-2021). These estimates did not consider transfer type exemptions, and thus smaller numbers may actually qualify. Scale of the program is also limited by funding availability; the City can increase reach by dedicating additional funds to support purchases, or seeking/facilitating funding from county, regional, or state sources.  Pro: Starting at smaller scale limits disruption and enables program implementation to grow as resource availability increases.

applies to a limited set, and Sellers can avoid the requirements of a ROFR when Buyers make offers exceeding this threshold.
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 Con: Excessive limits can constrain opportunities to purchase and reduce the positive impact of stabilizing households during a period of displacement risk. o Staff Recommendation: Monitor implementation and consider devoting public resources to support scale of affordable housing preservation as an antidisplacement strategy.

Rights-Holders
Under the proposed ordinance for qualifying properties, the Right of First Offer is provided to three groups of rights-holders – Tenants, Non-Profit Housing Providers, and the City. This means that when an owner of a qualifying property decides to sell, that seller is required to notify rights-holders of their Right of First Offer. Until that right is exercised or waived, the seller is prohibited from listing or marketing to afford rights-holders an incubation period to compile an initial competitive offer. For Multifamily properties, the Right of First Refusal also enables rights-holders to purchase at the highest price bid under qualifying circumstances. Right  Pro: Existing practices (rapid transactions, off-market deals) can exclude long-term EPA residents looking to buy their first home or stabilize through affordable housing preservation. Giving rights creates a reliable flow of opportunities; reliability helps EPA residents take advantage of funding and financing resources currently available and that become available over the years.
 Con: Buyers and/or Sellers may be sensitive to delays in marketing associated with Right of First Offer; similar sensitivity can apply for Right of First Refusal where it applies.
o Additional Consideration: While the City of EPA may only consider purchase under specific circumstances, including the City as a rightsholder also enables data collection for audit and evaluation to track notifications, measure the impact of the policy over time, and propose adjustments as needed.

Timelines
Upon notification of rights, rights-holders have an allotted amount of time to deliver a Statement of Interest and to submit the First Offer which a seller can choose to accept or reject and continue marketing. Timelines are varied by building type, as informed by practice (see support letter from the Local Initiatives Support Corporation in 2021), such that larger buildings which require more due diligence have longer time periods.

Figure 4: EPA OPA Timeframes
1 unit 2-3 unit 4 unit
Statement of Interest 15-30 Day 15-30 Day 15-30 Day
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First Offer 30 Day 60 Day 90 Day
First Refusal Match Not Applicable 20 Day 20 Day
Closing 30 Day 90 Day 120 Day
 Pro: Allotting time for coordination of funds and financing is necessary to help enable local purchasers to make competitive offers and close on transactions to facilitate home purchase for tenants and affordable housing preservation for Non-Profit Housing Providers. The 15-day automatic waiver of rights for non-response ensures that marketing delays are limited.
 Con: Even with limits on the marketing restriction which ensures Right of First Offer, buyers and sellers may be sensitive to changes in transaction requirements. o Additional Consideration: In cases where applicable, sellers and rights-holders can communicate in good faith to accelerate the waiver of rights for example in a situation in which no rightsholder is likely to make an offer. However, parties must operate in good faith and cannot pressure rights-holders to waive rights. o Staff Recommendation: Finalize timelines as recently updated inclusive of the removal of Right of First Refusal for Single Family Homes.

Right of First Refusal
Because the purpose of the policy is to strengthen long term EPA residents’ ability to stay in EPA either through homeownership or affordable housing preservation, the Right of First Refusal was initially included to give rights-holders a tiebreaker advantage in the event that they can match the highest and best offer made by a Third Party. During policy deliberation, the ROFR was removed from Single-Family Home purchases.  Pro: ROFR helps long term EPA residents compete in contested market conditions while protecting Sellers’ ability to secure the highest bid that the market provides.  Con: ROFR may discourage some buyers based on transaction process differing from the conventional process.
o Staff Recommendation: Monitor use of Right of First Offer and Right of First Refusal by rights-holders to evaluate program uptake and efficacy.

Affordability
For properties purchased through OPA using public funds, e.g., Multifamily properties using affordable housing preservation funding, permanent affordability requirements will apply to those units of housing if they are rented at any point after sale. Within a Multifamily property, rents must maintain an average affordability level of 50% AMI. If at any point the average 572
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affordability level is higher across units, future rents must be set at 50% AMI until the average is achieved.
 Pro: Affordable Housing Preservation is an underutilized housing affordability strategy which has recently been gaining traction and funding on regional, statewide, and national levels. It offers an additional tool to increase the number of affordable units in EPA, which is critically important for a city with substantial overburdening where displacement risk is high.
 Con: Deep targeting for Very Low-Income households requires more funding per unit, and may require the city to consider dedicating local funding in the future to complement external funding support.
o Additional Consideration: The per-unit costs for housing preservation based on building type is relevant to city affordable housing strategy. Typically, Multifamily properties may have lower per unit costs to preserve affordability. The funds necessary to preserve a Single-Family home could likely be matched with other external funds.
o Staff Recommendation: Encourage and support Qualified Non-Profit Housing Providers to leverage Affordable Housing Preservation funding and financing resources to maintain deep levels of affordability to meet the needs of EPA households.

Property Tax Revenue
For select completed purchases under the EPA OPA, some properties could qualify for the Welfare Tax Exemption which can result in a decrease in tax revenue received by the County and subsequently the City’s share of such funding. Such a decrease would constitute an expenditure towards increasing affordable housing in EPA. Ownership purchases don’t qualify for the Welfare Tax Exemption, but affordable housing preservation purchases for the purpose of housing low-income households might qualify.
 Pro: Using available and future affordable housing preservation funding can bring public investment that substantially outweighs marginal decline in property tax revenue to the City. Most affordable housing models rely on some form of tax advantage strategy to achieve and maintain financial feasibility – Welfare Tax Exemption helps to ensure that housing can be priced affordable to low-income households in EPA and is thus often a worthwhile tradeoff.
 Con: Smaller numbers can still make a difference and budgetary scrutiny remains important especially for a smaller city expected to perform similarly with at times fewer resources than comparable cities.
o Staff Recommendation: Monitor and evaluate properties entering tax-exempt status through OPA purchases.
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Funding
Affordable Housing typically requires complex financing, sometimes referred to as patchwork financing, which requires collecting funds from multiple sources to achieve financial feasibility at reduced prices to end users. These sources can be a combination of Federal, State, Regional, Local, and Philanthropic funds varying on a case-by-case basis (see staff report for March 21, 2023 discussion of Affordable Housing Preservation funding sources)2. The implementation of OPA currently does not include dedicated funding from EPA and instead seeks to rely on outside sources to support both homeownership purchases and affordable housing preservation purchases.
 Pro: The city maintains the discretion and flexibility over local funding to support affordable housing, and thus may consider real property transactions subject to EPA OPA along with other affordable housing opportunities, including preservation and production of affordable units.
 Con: The City may miss out on opportunities to increase the number of affordable housing units in cases where consistent public contributions from local government could pair with funds from outside to city to help affordable housing endeavors achieve financial feasibility.
o Additional Consideration: Staff can analyze total development costs for preservation projects to determine likely ranges of per-unit local funding contribution.
o Staff Recommendation: Collect and maintain lists of funding and financing resources for Homeownership and Affordable Housing Preservation and publish on City website. Continue to seek funding support from County, Regional, State, Federal government when opportunities arise. Consider local funding allocations to support affordable housing preservation.
2 On March 21, 2023, staff presented to council on existing and emerging funding sources for Affordable Housing Preservation; see item 9.3 project packet page 403-404:
http://eastpaloalto.iqm2.com/Citizens/FileOpen.aspx?Type=1&ID=1852&Inline=True 574
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Qualified Non-Profits
To comply with notification requirements, the City will produce and maintain a list of Qualified Non-Profit Housing Providers to which notification must be sent. A qualified Non-Profit is a 501(c)3 organization or California Cooperative Corporation that has the capacity to acquire, provide and manage affordable housing for low-, very-low-, and extremely-low-income households as defined by the City’s annual Area Median Income calculations, has a commitment to prevent displacement, has a demonstrated commitment to community engagement, and is certified by the City through an application and selection process. A NonProfit organization’s certification as a Qualified Non-Profit shall be valid for five (5) years. The City Manager or designee shall solicit new applications for Qualified Non-Profit status at least once each calendar year, at which time existing Qualified Non-Profits shall be eligible to apply for renewed certification, along with certification of new nonprofits. A list of Qualifying NonProfits shall be published on the City’s website.  Pro: Maintaining a list enables clear notification and communication to Non-Profit Housing Provider rights-holders and ensures that the list is composed of qualified organizations.
 Con: New Non-Profit Housing Providers interested in preserving affordable housing through OPA will have to apply for certification to be qualified as a required recipient of notification.
o Staff Recommendation: The City can delineate a process for certification of Qualified Non-Profits in the Administrative Guidelines.

Implementation Considerations
Taxes
The fiscal impact of OPA largely concerns Property Tax implications and Assessed Valuation implications. The July 18, 2023 City Council Meeting discussed Property Tax concerns. In summary, concern about affordable housing providers’ use of the Welfare Tax exemption could reduce tax revenue for each completed Multifamily purchase which converts to permanently affordable housing. Affordable housing preservation funding is likely to be necessary for these transactions, and funding support can greatly outweigh property tax distribution to the city. OPA can be beneficial to the financial health of EPA by bringing resources to the city to support affordable housing preservation and homeownership while stabilizing households.
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The David Rosen & Associates Report in 2022 addressed Assessed Valuation concerns. In an unlikely worst-case scenario in which 100% of absentee homes were purchased by Non-Profit Housing Providers, the study estimated that $67 million worth of property over a five-year period could enter tax exempt status, based on an estimated 32 properties sold per year. The San Mateo County Property Tax Rate of 1% suggests $670,000 in tax exemption over such a 5-year period, 16% of which (roughly $107,200) could be expected to return to EPA from San Mateo County.

This amount may be an over-estimate due to the lagged timeline on which properties enter taxexempt status over the five-year period. This hypothetical gross decrease does not factor in the positive net effect of funding and financing support which would enable acquisition and rehabilitation of properties, which for programs like the Foreclosure Intervention Housing Preservation Program can bring up to $500,000 per unit for Multifamily and up to $600,000 per unit for Single-Family properties.

Funding
One funding implication could arise if the City were to dedicate local funds toward affordable housing preservation. It would require the City Council to evaluate its overall strategy for investing in affordable preservation, including the impact such decisions would have in funding affordable housing projects (e.g., by being a “patchwork” financier). This could involve establishing rolling funds to support affordable housing preservation, produce RFP/notice of funding availability to routinize the funding of deals by the City.

Lastly, funding availability is relevant in cases in which the City decides to purchase property as a rights-holder. This likely occurs in infrequent select cases. The city may choose to partner through joint venture or other such strategy with a development organization to share ownership and operations responsibilities to preserve affordable housing. Specifics of such infrequent cases can be delineated in administrative guidelines.

Administrative Costs
OPA is a program designed to require limited City Staff time because transactions will be facilitated by selling and purchasing parties. Staff expects program administration to be absorbed by existing staff in the Community and Economic Development Department (developing informational materials, updating website, convening informational public meetings) as well as City Attorney’s Office (reviewing documents, forms, and assisting on addressing questions and inquires) and Finance Department. The City can use the Partnership for the Bay’s Future Breakthrough Grant Fellow (1 FTE) to support program implementation and administration through May 2024. Anticipated administrative roles include establishing Administrative Guidelines, preparing and updating informational materials, periodically informing the public on policy updates.

The City may decide to fund community organizations to support tenant education and potential organizing for cooperative-living situations. In addition, staff anticipates initially seeing a smaller volume of transactions due to the lack of dedicated City funding sources, the property and transfer type exemptions, and due to the City’s smaller housing stock. Below is a 576
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list of other jurisdictions and the size of their teams that administer or would administer an OPA program, if adopted:
 Washington, DC’s TOPA program funds the equivalent of 8 full-time equivalent (FTE) staff to conduct outreach, provide resident organizing support, and help with thirty transactions a year. EPA’s housing stock is thirty-eight times smaller than Washington, DC’s.
 San Francisco did not devote any additional FTE staff time toward the COPA program, and ordinance implementation was absorbed by existing staff.  Berkeley, which is exploring TOPA legislation, expects to need 6 FTE staff to adequately support the anticipated number of tenant groups exploring TOPA rights, and anticipates funding the FTE at outside partner organizations. The initial “ramp-up” need is expected to be 2-3 FTE. EPA’s housing stock is five times smaller than Berkeley’s.  Minneapolis, which is also exploring TOPA legislation, expects to need 4 FTEs during the initial 18-24 month “ramp-up” period, including a manager to oversee all TOPA processes, attorneys, and administrative staff, and the equivalent of two additional FTEs to manage the Qualified Organization certification process.

Technical Assistance
Technical assistance for Affordable Housing Preservation by Housing Providers is available through the Partnership for the Bay’s Future including Enterprise Community Partners which holds regular trainings and office hours to support affordable housing preservation and the organization which take on that work.

For first time homebuyers, EPA may seek to partner with San Mateo County, the Housing Endowment And Regional Trust (HEART), and local and regional banks/financial institutions to support first time homebuyers with resources, education and training to prepare for homeownership.

Community Outreach and Education
The City will need to develop, distribute, and post on its website materials to educate the public on the rules and requirements for OPA to ensure compliance. Staff also recommend hosting webinars and/or in-person trainings 1-2 times per year to engage community members and answer questions about program compliance and implementation. Materials for website include:
 Toolkit for Sellers
 Toolkit for Tenant Rights-holders
 Toolkit for Qualified Non-Profit Rights-holders
 List of Certified QNPs
 Funding/Financing Resource Lists for Affordable Housing Preservation and First Time Home Purchase
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Next Steps
If Council wishes to move forward with exploring the EPA OPA ordinance, staff will return to Council with an updated draft Ordinance as well as proposed administrative guidelines, and an implementation plan that outlines funding, community education, and marketing strategies that the City will implement if the Ordinance is adopted.

As a reminder, the Administrative Guidelines will contain an outline of how EPA OPA works in practice, address “gray areas” for scenarios not explicitly referenced in the ordinance, set threshold criteria to fulfill the ordinance’s intent, and promote program uptake. Key topics of the Administrative Guidelines include qualification of nonprofits, transfer exemption procedures, assignment of rights procedures, noticing and disclosure requirements, prohibited conduct, and more.

Fiscal Impact
There is no fiscal impact associated with this staff report. As discussed above, the City’s award of a Partnership for the Bay’s Future Breakthrough Grant partially mitigates that cost by adding dedicated staff capacity from the Policy Grant Fellow, who will support with the mechanisms associated with potential implementation.

Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website and at the San Mateo County Library located at 2415 University Avenue, East Palo Alto.

Environmental
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.
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EAST PALO ALTO OPPORTUNITY TO PURCHASE ACT - EXEMPTIONS

14.26.040 Exemptions
A. Exempt Residential Property. Residential Property not subject to the requirements of this chapter:

1. Owner-Occupied Single-Family Dwellings (including ADU/JADU) lived in for at least one (1) year or more.

2. Non-Owner-Occupied Residential Property owned by an East Palo Alto resident, when the Owner has lived in EPA for at least one (1) year or more.

3. Owner-Occupied Condominiums when the Owner has lived in for at least one (1) year or more.

4. Any Owner-Occupied Duplex lived in for at least one (1) year or more.

5. Any Owner-Occupied Triplex lived in for at least one (1) year or more.

6. Residential Property owned by the local, state, or federal government.

7. Residential Property subject to resale price control under Chapter 18.37 of East Palo Alto’s Municipal Code.

8. Residential Property owned by and operated as a hospital, convent, monastery, extended care facility, convalescent home, or dormitories owned by educational institutions.

B. Exempt Transfers. Transfers of Residential Property not subject to the requirements of this chapter:

1. An inter vivos transfer, whether or not for consideration, between spouses, domestic partners, parents and children, siblings, and/or grandparents and grandchildren.

2. A transfer for consideration by a decedent’s estate if the consideration arising from the transfer will pass from the decedent’s estate to, or solely for the benefit of, charity.

3. A transfer of legal title or an interest in an entity holding legal title to a 579
Residential Property pursuant to a bona fide deed of trust or mortgage, and thereafter any transfer by foreclosure sale or deed in lieu of foreclosure pursuant to a bona fide deed of trust or mortgage. This exemption does not supersede any rights to purchase afforded to Potential Eligible Purchasers under California Civil Code Sections 2924(f) (g) (h), 2924(m)-(n), or 2929.3.

4. A transfer of bare legal title into a revocable trust, without actual consideration for the transfer, where one or more transferors is a current beneficiary of the trust.

5. A transfer by devise, descent, or operation of the law upon the death of a natural person.

6. A transfer pursuant to court order or court-approved settlement.

7. Any transfer to a public agency, including but not limited to a transfer by eminent domain or under threat of eminent domain.

8. Any transfer of a fractional interest in a Residential Property that is less than fifty percent (50%) of an undivided interest in the Residential Property.

9. Any transfer in which the transferee receives a low-income housing credit pursuant to 28 U.S.C. § 42.

10. A transfer of a Residential Property with no more than four (4) Dwelling Units made for the purpose of either: (a) paying for imminently necessary health care expenses of an Owner of the Residential Property, or (b) an emergency circumstance placing the Owner in financial hardship and at imminent risk of foreclosure or bankruptcy and the Owner has occupied the Residential Property as the Owner’s Principal Residence during the prior year. For purposes of this subsection only, “Owner” shall be limited to a natural person having an undivided interest in the Residential Property of at least fifty percent (50%). An Owner may claim this Exempt Transfer within one (1) year of having vacated the Residential Property where the Owner demonstrates the existence of the conditions set forth in this subsection.

Transfer Exemption Procedures. The Owner shall submit a Certificate of Exemption signed under penalty of perjury to the City after deciding to sell and before marketing the property, self-certifying one of the exemptions described in subsection B. A Certificate of 580
Exemption must be accompanied by supporting documents as set forth in the Administrative Guidelines. The City shall make the template Certificate of Exemption available on the City website. This section shall not be construed to or used in a manner that unreasonably delays an Owner’s valid and lawful transfer of a real property interest under Exempt Transfers.
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January 14, 2022
Via email
To: Patrick Heisinger, Rachel Horst
From: Nora Lake-Brown, David Rosen
Subject: Research Regarding Potential Effects of TOPA
This memorandum summarizes the information and analysis conducted by DRA related to the potential economic effects of an Opportunity to Purchase (OPA) ordinance on the housing market and property tax base in the City of East Palo Alto. The purpose of the review is to inform the City Council on potential fiscal and economic effects of OPA on the City.

Summary of Findings and Conclusions
• Single-family home prices, rents and the price of rental units in East Palo Alto are established by housing supply and demand within the regional housing market.

Housing demand is strong in many areas of the country, across California, and especially in the Bay Area where rising home prices are spurred on by the continued growth of the Silicon Valley economy.
• The supply of new housing in the Bay Area has not kept pace with demand, and these forces are expected to continue into the near future. EPA’s proposed OPA must be viewed in the context of these forces. The ordinance does not limit sales prices on single-family homes or any unit. If the home’s tenants are not able to complete a purchase at market price within a set time frame, the home may be sold to any buyer.
• The OPA affects a small proportion of single-family homes in EPA. Buyers will clearly identify those home sales that are covered by the ordinance and those that are not, just like they identify school districts, transit, and other factors influencing their decision to buy. High market demand makes the market very efficient in adjusting to regulatory changes. The OPA should have no effect on prices for home sales not covered by the ordinance. Since price is not limited, DRA also believes the ordinance will have no effect on sales prices for units covered by the ordinance. Changes in interest rates, employment, wages, buyer demand and supply of homes for sale—all factors beyond the control of any city—are the key determinants of market price.
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Patrick Heisinger, Rachel Horst
January 14, 2022

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