Fremont City Council Meeting: 09/16/25 07:00 PM
3300 Capitol Avenue Div/Dept: Human Resources
Fremont, CA 94538 Category: Labor Relations
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5539) DOC ID: 5539
Updated: 9/12/2025 11:02 AM by Dina Lewis Page 1
PROFESSIONAL ENGINEERS AND TECHNICIANS ASSOCIATION MOU - Consideration of a Resolution Approving a Successor Memorandum of Understanding with the Professional Engineers and Technicians Association (PETA)
Contact Persons:
Name: Tina Gallegos Brian Stott
Title: Human Resources Director Assistant City Manager
Div/Dept: Human Resources City Manager's Office
Phone: 510-494-4652 510-494-4660
E-Mail: [email protected] [email protected]
Executive Summary: In September 2025, the City of Fremont (City) reached a tentative agreement with the Professional Engineers and Technicians Association (PETA) for a successor Memorandum of Understanding (MOU). The bargaining unit is made up of 35 members. The proposed MOU contains the following changes from the prior agreement term: modest compensation increases and health-benefit allowance increases (inclusive of a parity clause). The remaining substantive provisions of the prior MOU are unchanged. The effective date of the successor MOU will be September 21, 2025 (the start of the first full pay period following notification of PETA ratification), through June 30, 2026.
BACKGROUND: The City’s current MOU with PETA expired on June 30, 2025. The City’s negotiating team met and conferred with PETA representatives regarding a successor agreement and signed a tentative agreement on September 11, 2025. The City received notice that PETA members ratified the tentative agreement on September 11, 2025.
California Government Code Section 3505.1 requires the City Council to vote on the proposed successor MOU at a duly noticed public meeting.
DISCUSSION/ANALYSIS: The significant changes in the proposed successor MOU include:
1. Employee Compensation:
a) Effective the start of the first full pay period following PETA ratification of the tentative agreement, PETA members will receive a base wage increase of
1.3%.
2. Health Benefit Allowance:
a) Effective the first of the month following PETA ratification of the tentative agreement, the unit’s health benefit allowance will be increased by $100 per month (from $2,700 per month to $2,800 per month).
b) Effective January 1, 2026, the unit’s health benefit allowance will be increased by an additional $100 per month (from $2,800 per month to $2,900 per month).
3. Parity or “Me Too”:
Council Staff Report (ID # 5539) Meeting of September 16, 2025 Updated: 9/12/2025 11:02 AM by Dina Lewis Page 2
a) If during the term of this Memorandum of Understanding, the City grants a general, across-the-board wage increase to another bargaining unit greater than 1.3%, the City agrees to extend the equivalent general wage increase to all PETA classifications listed in Appendix A. This provision does not apply to increases as a result of any market equity increases or increases based on internal relationships. This provision will sunset at 11:59pm on June 30, 2026.
b) If during the term of this Memorandum of Understanding, the City grants a larger Health Benefit Allowance increase to another bargaining unit, the same allowance increase shall be granted to PETA classifications listed in Appendix A.
FISCAL IMPACT:
1. Compensation Increase:
a) Fiscal Year 2025/26 Anticipated Fiscal Impact: $70,816
2. Health Benefit Allowance
a) Fiscal Year 2025/26 Anticipated Fiscal Impact: $30,750
Staff will return to the City Council with recommended adjustments to the FY 2025/26 Adopted Budget reflecting the terms of the approved MOU.
ENVIRONMENTAL REVIEW: The proposed approval of a successor MOU is exempt from and not subject to review under the California Environmental Quality Act (CEQA) because, without limitation, it is not a “project” as defined in CEQA Guidelines Section 15378(b)(2) and/or 15378(b)(5), and it has no possibility of having a significant effect on the environment, as specified in CEQA Guidelines Section 15061(b)(3), each as a separate and independent basis for CEQA compliance.
LINKS: None
ATTACHMENTS:
• Draft Resolution- PETA MOU Adoption
RECOMMENDATION: Adopt a resolution approving the tentative agreement with Professional Engineers and Technicians Association (PETA) and authorizing the City Manager to execute a Memorandum of Understanding (MOU) for the period of September 21, 2025, through June 30, 2026, between the City of Fremont and PETA.