Agenda Item No: L.2
AGENDA REPORT
DATE: November 18, 2025
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 2025 -231 HR Amending Terms and Conditions for Fairfield General Management Association Memorandum of Understanding
Amending the Terms and Conditions of the Memorandum of Understanding for the Fairfield General Management Association
Funding Source: $489,513; General Fund
Contact: Farbod Pirouzmand (707) 428-7397
RECOMMENDED ACTION
Adopt resolution.
STATEMENT OF ISSUE
The Human Resources Department (HR) seeks to amend the current terms and conditions and adopt the resolution for the new successor memorandum of understanding (MOU) between the City and Fairfield General Management Association (FGMA) to reflect the amendments made to the agreement as a result of successful bargaining between the parties.
DISCUSSION
City management and representatives from the F airfield General Management Association (FGMA) began negotiations in February 2025 and have successfully negotiated a new Memorandum of Understanding (MOU), which FGMA members have ratified. The city's primary goal was to achieve significant savings while maintaining essential services.
Approving this new agreement is a strategic financial move for the city. The immediate impact is a projected net cost of $489,513 over two years, however, the agreement provides significant long-term net savings of $922,013 anticipated over the subsequent ten-year period. The General Fund will bear 51% of the fin ancial impacts while the remaining 49% will be absorbed by the various funds supported by FGMA-represented positions.
This MOU is considered a proactive step toward securing the city's financial future, made possible by the collaborative and good -faith n egotiations between both parties. Staff therefore recommend that the City Council adopt the resolution for the successor MOU with FGMA.
The term of the successor MOU begins July 1, 2025, and expires June 30, 2027. The amendments will take effect within two full pay periods following the council adoption of the successor MOU.
There are no cost-of-living adjustments during this term of this MOU.
Additional amendments to the successor MOU are summarized in the table below:
Provision Summary of Change
Bereavement Leave Updated to ensure compliance with state law Deferred Compensation: 401(a) Enhanced benefit offerings to existing members; reduced benefit offering and introduced vesting
schedule for employees hired into the unit after the
adoption of successor MOU
Off-Salary Schedule Pay with Paid Time
Off alternative
Issued a one-time cash payment to compensate for
the period between expired and successor MOUs.
Personal Leave Established a maximum accrual limit where none existed previously and reduced benefit offering for all members
Pro-Rata Status Clarified benefit and premium calculations for employees working in less than full-time positions
Retirement (EPMC/Contribution Rates) Decreased employer obligations through a reduced benefit offering
Sick Leave Restricted value of unused sick leave upon separation and reduced benefit offering for employees hired into
the unit after adoption of successor MOU
Vacation Accrual Rates Reduced accrual rates for employees hired into the unit after the adoption of successor MOU
The redlined successor MOU is attached to this report.
FINANCIAL IMPACT
The total cost over the two years for the amendments made to the successor MOU between the City and FGMA is $489,513. The General Fund will absorb 51% of the costs and savings and the remaining impacts will be applied to various funds across the City that fund FGMA -represented positions.
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
The council may choose not to approve the new successor MOU between the City and FGMA and direct staff to negotiate different terms than stated above.
COORDINATED WITH:
City Attorney’s Office, City Manager’s Office, and the Finance Department.
STAFF CONTACT
Farbod Pirouzmand, Assistant City Manager/Director of Human Resources (707) 428-7397
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution
Attachment 3: Redlined FGMA MOU