Item 218/2025
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Jany Lee
Dept:
City Manager Dept: Human Resources
Date: 6/10/2025
Subject: Adoption of a Resolution implementing the terms and conditions of employment for Central Management. (Action Item)
OBJECTIVE
To obtain City Council approval of a resolution implementing terms and conditions of employment for the City’s Central Management classifications identified in the Resolution.
BACKGROUND/DISCUSSION
At the direction of the City Council, the City extend ed its current Memorandum of Understanding (hereinafter “MOU”) with the Garden Grove Police Association and negotiated a new MOU with the Garden Grove Police Management Association with similar terms and conditions of employment. These agreements are set to expire on June 30, 2027.
Accordingly, a Resolution for Central Management employees has been prepared to align with the City Co uncil’s direction to provide similar wage and benefit provisions to ensure consistency across employee groups. A new Resolution provides for the following:
A three percent (3.0%) base salary increase effective July 2025; Eliminate Step A of the salary schedule in July 2025; Create a new Step J with the rate to be five percent (5%) higher than Step I in July 2026;
Eliminate Steps B and C of the salary schedule in July 2026; Cafeteria Benefit to be consistent with other bargaining groups; and Vacation accrual rates to be consistent with OCEA Employee’s League and Employee’s Association.
FINANCIAL IMPACT
The estimated annual cost of a three percent (3%) base salary increase is approximately $131,000. Establishing a new Step “J” at five percen t (5%) above Step “I” and eliminating Steps “A”, “B”, and “C” is projected to cost $141,400 in the year of implementation.
Item 218/2025
At this time, the cost impact of increased cafeteria plan contributions cannot be determined, as further information is still pending.
These estimates do not include routine cost increases associated with merit -based step advancements, changes in eligibility for specialty pay, employee promotions, or associated pension impacts.
Appropriate budget appropriations reflecting the agreed-upon terms of the new MOU will be incorporated across all applicable funds.
RECOMMENDATION
It is recommended that the City Council:
Adopt the attached resolution implementing terms and conditions of employment for the City’s Central Management group; and
Authorize the City Manager to finalize any last minute language changes that may required.
ATTACHMENT(S)
1. Central Management Resolution 2025