Item 468/2024
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Laura Stover
Dept:
City Manager Dept: Human Resources
Date: 11/12/2024
Subject: Adoption of a Resolution amending the Memorandum of Understanding between the City of Garden Grove and the Garden Grove Police Association. (Action Item)
OBJECTIVE
To obtain City Council approval of a resolution to amend the Memorandum of Understanding (hereinafter “MOU”) with the Garden Grove Police Association (hereinafter “Union”) to extend it for an additional two (2) years and provide an adjustment to wages and benefits.
BACKGROUND
The current MOU expires on June 30, 2025. The City, at the request of the Union engaged in a dialogue with the Union and agreed to an exten sion of the current contract. Once approved, the extended MOU will expire on June 30, 2027.
DISCUSSION
The City and Union agreed to extend the current MOU, which expires June 30, 2025, to June 30, 2027. The City and the Union also agreed to the following:
A three percent (3.0%) base salary increase effective July 2025. Add one (1) percent to step “I” in July 2026.
Create a new step “J” with the rate to be four (4) percent higher than step “I” in July 2026.
Eliminate Steps B and C of the salary schedule in July 2026. Add a “Me too Clause” for Medical benefit contributions for the term of this contract.
FINANCIAL IMPACT
The cost of the 3% COLA increase in Fiscal Year 2025-26 for Union members is approximately $1.3 million per year. The cost of adding 1% to step “ I”, plus creating a step “J”, which is 4% above the new Step “I” , and elimination of steps “B’ and “C” in Fiscal Year 2026 -27 is Item 468/2024
approximately $ 2.3 million . The cost impact for salary and step changes will total approximately $4.9 million over the two years.
These increases will be incorporated into the Fiscal Years 2025 through 2027 biennial budget when the budget is prepared for adoption in June 2025.
RECOMMENDATION
It is recommended that the City Council:
Adopt the attached Resolution to approve the amendment to the Memorandum of Understanding between the Garden Grove Police Association and the City of Garden Grove.
ATTACHMENT(S)
1. Resolution - POA MOU Amendment