Agenda Item No: L.3
AGENDA REPORT
DATE: December 2, 2025
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 2025-240 HR Amending Terms and Conditions for Fairfield Employees Association Memorandum of Understanding
Amending the Terms and Conditions of the Memorandum of Understanding for the Fairfield Employees’ Association
Funding Source: $1,187,179; Various Funds
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 Employees’ Association (FEA ) to reflect t he amendments made to the agreement as a result of successful bargaining between the parties.
DISCUSSION
In March of 2025, city management and representatives from FEA began negotiations and have since successfully negotiated a new MOU, which F EA members have ratified. The city's primary goal was to achieve significant savings while maintaining essential services.
The total cost over the two -year contract term is estimated at $1,187,179, driven primarily by one-time expenses of $917,842, which re flect cash payments of 3% in Year 1 and 1% in Year 2.
There are no cost-of-living adjustments during this term of this MOU. On-going annual costs are projected to average $151,230 over the subsequent ten years, largely due to the anticipated impacts of the compensation study that both parties agreed to in the prior MOU.
The term of the successor MOU begins July 1, 2025, and expires June 30, 2027. The amendments will take effect on the first full pay period following the council adoption of the successor 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.
Bilingual Pay Updated eligibility standards to ensure pay is granted only where language skills are
routinely used.
Off-Salary Schedule Pay with Paid Time Off
Alternative
Provides the option to receive a 3% cash
payment in year one and 1% in year two, or to
take the equivalent value in time off.
Health, Life Insurance, and Other Benefits Streamlined existing language.
Sick Leave Cash Out Options Reduced maximum accrual limit but enhanced benefit offering for yearly distribution if
contributed to a retirement account.
Removed sick leave cash out upon separation.
Union Business Time Defined maximum release time for members and the paid general membership meetings.
Compensation Study Salary adjustments for classifications that are more than 4% below the market median.
Pro-Rata Employment Aligned MOU language to current practice.
Discipline Procedure Established process for removing disciplinary outcomes from personnel file at employee’s
request.
Boot Reimbursement Revised to implement a tiered reimbursement system.
Shift Differential Expanded eligibility to include Public Works Inspectors working at least two consecutive
evenings.
Prescription Safety Glasses Allowed annual use of the safety glasses benefit with proof of prescription change.
Mandatory Rest Periods Expanded eligibility to include additional classifications. Extended minimum rest
period.
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 FEA is $1,187,179. The General Fun d will absorb 5 2% of the costs and savings and the remaining impact will be applied to various funds across the City that fund F EA-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 F EA 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 FEA MOU