Cities Index.
Attach 9 - Resolution - Unrepresented Mgmt

Laguna Beach City Council
April 14, 2026

Document
Attach 9 - Resolution - Unrepresented Mgmt
Meeting
April 14, 2026
Body
Laguna Beach City Council
Original file
975 KB
Text extracted from the city's file for reading and search. Open the original on lagunabeachcity.primegov.com. That file is the official record.

RESOLUTION NO. 26.XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF LAGUNA BEACH, CALIFORNIA, RELATING TO

CONDITIONS OF EMPLOYMENT, POLICIES, AND

BENEFITS FOR UNREPRESENTED EXECUTIVE
MANAGEMENT AND MANAGEMENT EMPLOYEES;

AND FINDING THE ACTION IS NOT A PROJECT WITHIN

THE MEANING OF THE CALIFORNIA ENVIRONMENTAL

QUALITY ACT
WHEREAS, the employees covered by this Resolution constitute certain Executive Management and Management personnel (as further identified in Section 1 of Attachment A, referenced below [the “Management Classification Employees”]); and WHEREAS, the Executive Management/Management Employees are unrepresented and have historically been subject to certain City policies regarding employment and have received certain benefits of employment, including policies and benefits consistent with certain terms set forth in the Laguna Beach Municipal Employees Association’s Memorandum of Understanding.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA BEACH DOES HEREBY FIND, DETERMINE, AND RESOLVE AS FOLLOWS:

SECTION 1. The recitals set forth above are true and correct and are incorporated into this Resolution by this reference.

SECTION 2. The City Council hereby approves and authorizes the City Manager and his/her delegated staff, to implement the provisions of this Resolution and the Conditions of Employment, Policies, and Benefits for the Unrepresented Executive Management/Management Employees, as more fully set forth in Attachment A, which is attached hereto and incorporated herein by reference.

SECTION 3. The City Council hereby finds under the California Environmental Quality Act (“CEQA”) that the action consists of the creation of government funding mechanisms or other Attachment 9
51 -2- Reso. #
government fiscal activities, which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment and therefore does not constitute a “project” within the meaning of the CEQA. (Public Resources Code Section 21065; 14 CCR Section 15378(b)(4).) Here, the consolidation of policies of employment, including benefits, is a government fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment and is therefore not a project within the meaning of CEQA.

ADOPTED this 14th day of April, 2026.

Mark Orgill, Mayor
ATTEST:

Ann Marie McKay, City Clerk
I, Ann Marie McKay, City Clerk of the City of Laguna Beach, certify that the foregoing Resolution No. 26.XXX was duly adopted at a regular meeting of the City Council of said City held on April 14, 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

City Clerk, City of Laguna Beach, California
52 -3- Reso. #

ATTACHMENT A

CONDITIONS OF EMPLOYMENT, POLICIES, AND BENEFITS

FOR UNREPRESENTED EXECUTIVE MANAGEMENT AND MANAGEMENT

EMPLOYEES
Unless otherwise identified, the terms and conditions of this document are effective July 1, 2025. If a term or condition has a more specific effective date, then that date governs that specific term or condition.

SECTION 1: Classifications Subject to this Resolution
The following constitute those certain unrepresented Executive Management and Management classifications that are subject to this Resolution (“Management Classifications”):
2060 Assistant City Manager
2060 Police Chief
2060 Fire Chief
2050 Director of Community Development
2050 Director of Public Works and Utilities
2050 Assistant City Attorney
2050 Director of Administrative Services
2040 Chief of Marine Safety
2040 City Engineer
2040 Deputy Fire Chief
2040 Director of Transit and Community Services
2030 Accounting Manager
2030 Assistant City Engineer
2030 Deputy Director of Community Development
2030 Assistant Director of Public Works
2030 Human Resources and Risk Manager
2030 Finance Manager
2030 Information Technology Manager
2020 Building Official
2020 Deputy Director of Public Works
2020 Marine Safety Captain
2020 Planning Manager
2020 Project Director
2020 Zoning Administrator
2010 Communications Manager
2010 Assistant to the City Manager
2010 Recreation Manager
2000 Executive Assistant
53 -4- Reso. #
SECTION 2: At-Will Employment
All employees in the Management Classifications (“Management Classification Employees”) are at-will employees, as that term is defined by California Labor Code Section 2922. Nothing in this Resolution shall prevent, limit, or otherwise interfere with the right of the City Manager to terminate the employment of any Management Classification Employee at any time, with or without cause. In the event of termination, the City shall pay the Management Classification Employee for all services through the date of termination and such Management Classification Employee shall have no right to any additional compensation or payment; provided, however, that a severance may be provided at the discretion of the City Manager, as set forth in Section 5, below.

SECTION 3: Incorporation of Terms from the Laguna Beach Municipal Employees Association Memorandum of Understanding
The following conditions of employment, policies and benefits set forth below apply to all Management Classification Employees. The conditions are adopted from the provisions of the Laguna Beach Municipal Employees Association (LBMEA) Memorandum of Understanding (MOU), dated July 1, 2025 – September 30, 2026. For later ease of reference, the specific location within the LBMEA MOU is noted in brackets:
a) [Article 6: Salary and Compensation]
i. [Section 6.5: Compensation When Acting out of Classification] This provision is effective July 1, 2022.

Management Classification Employees shall receive 5% of their current base salary for working out of classification for 15 or more consecutive work days. This pay is for when an employee is working in an upgraded classification for a limited duration. The acting pay will commence on the first day of the pay period during which the employee worked the 16th consecutive day.

The parties agree that to the extent permitted by law, the compensation for acting out of classification is a special compensation for “classic member” employees and shall be reported as such pursuant to Title 2 CCR, Section 571(a)(3) Temporary Upgrade Pay. This pay shall not be reported for “new members” as defined under PEPRA. However, it is ultimately CalPERS who determines whether any form of pay is reportable special compensation. ii. [Section 6.10: Direct Deposit]
All Management Classification Employees shall participate in the City’s Direct Deposit Program.
b) [Article 7.0 (exclusive of Section 7.5): Vacation]
i. [7.1 Vacation Accrual]
Each full-time Management Classification Employee shall accrue vacation leave as follows:

Hours of Vacation Accrued
0 thru 9 yrs. service 5.24 hrs. biweekly
54 -5- Reso. #
10 + yrs. service 6.77 hrs. biweekly
Years of service for eligibility for vacation are based on years of service at a public agency. This includes both time with the City and with any other public agency where the employee was employed. “Public agency” means any city, county, district, other local authority, or public body of or within this state. See Government Code section 20056.

For current employees, this would start two pay periods after they submit a complete application and the City verifies previous government service.

Vacation leave accrues from the date of hire at bi-weekly rates consistent with the above schedule.

On June 24, 2013, all then current vacation accruals were placed in a bank (the “original” bank) in which additional vacation cannot be accrued. Vacation in the original bank will either be used or cashed out at the end of employment. As permitted to be agreed to by the parties, in accordance with Labor Code section 227.3, if cashed out, the value of the vacation will be at the employee’s base hourly rate of pay on June 23, 2013.

On June 24, 2013, a new vacation accrual bank was created. Each year in the first pay period in December, employees will be paid for any vacation in that bank above 400 hours at their base hourly rate of pay.

In accordance with Sections 7.2 and 7.3, employees may still use their vacation (both banks) and request pay for vacation time. However, for each employee, once the original bank has no more vacation hours in it, it will be closed. ii. [7.2 Use of Vacation]
Vacation leave may be taken as it accrues. The dates of vacation leave may be selected by the employee, but shall be approved by the department head and/or City Manager, who shall consider the wishes of the employee and the needs of the City. The City may limit the approval of vacation for deployment operational reasons. Once it is approved, the City may cancel vacation only in the event of an unavoidable emergency.
iii. [7.3 Pay for Vacation Time:]
By December 15 of each year, employees may make an irrevocable election to cash out up to the maximum number of hours of vacation leave which they can accrue per year which will be earned in the following calendar year at the employee’s base rate of pay. In the following year, the employee can receive the cash for the vacation leave they irrevocably elected to cash out in either two (2) separate increments of up to half their annual accrual cap (i.e., for those who accrue 6.77 hours per pay period – 176 hours per year, 88 hours each) or one (1) 55 -6- Reso. #
increment of up the maximum they can accrue in a year.

The employee would be paid one half of what they irrevocably elect to cashout hours on both the second pay day in July and the first pay day on December or the employee can elect to be paid their full amount they elected to cash out on the first pay day in December. However, if the employee’s vacation leave balance is less than the amount the employee elected to cashout (in the prior calendar year) the employee will receive cash for the amount of leave the employee has accrued at the time of the cash out.

If an employee makes an irrevocable election to cash out vacation leave in the following calendar year and uses vacation leave in that subsequent year, the vacation leave used will come from vacation leave the employee had earned prior to January 1 of the year the employee has elected to cash out vacation leave. This is to ensure that assuming an employee had a vacation leave balance prior to January 1, the vacation leave used will not result in a reduction in the amount of vacation leave the employee will be eligible to cash out. In addition to the above, an employee who has an “unforeseen emergency” (defined as an unanticipated emergency that is caused by an event beyond the control of the employee and that would result in severe financial hardship to the employee if early withdrawal were not permitted) shall be entitled to make a request to the Director of Human Resources & Risk Management for a payoff of up to one year’s accrual of vacation. The amount of vacation which may be paid off is limited to the amount necessary to meet the emergency.
iv. [7.4 Payment for Unused Vacation Upon Termination:] Any employee who is about to terminate their employment and who has unused vacation time in either bank shall be paid for such vacation time in their final paycheck. As noted above, payment of vacation time in the original bank will be paid (as permitted by Labor Code section 227.3 with an agreement of the parties) at the employee’s base hourly rate of pay as of June 23, 2013. It shall not be necessary to carry such employee on the payroll for the vacation period and the vacancy thus created may be filled at any time after the effective date of termination. When termination is caused by death of the employee, payment shall be made to the employee's designated beneficiary or in accordance with the law. v. [7.6 Holidays Within Vacation Leave:]
If a holiday falls within a scheduled vacation period, the day of the holiday shall be holiday leave and not deducted from vacation.
c) [Article 8.0: Holidays]
i. [8.1 Recognized Holidays:]
The following holidays shall be observed by the City of Laguna Beach:

1. New Year's Day - January 1st
56 -7- Reso. #

2. Martin Luther King Jr. Day – 3rd Monday in January

3. President’s Day - 3rd Monday in February

4. Memorial Day - Last Monday in May 165.

5. Juneteenth – June 19

6. Independence Day - July 4th

7. Labor Day - 1st Monday in September

8. Veterans Day - November 11th

9. Thanksgiving Day - 4th Thursday in November

10. The day after Thanksgiving

11. Christmas Day - December 25th
Management Classification Employees will be paid for the holiday provided that they were in paid status (either receive paying or using accrued paid leave) the day before and the day after a holiday.
ii. [8.2 Weekend Holidays:]
For those employees whose normal work week begins on Monday, when a holiday falls on a Sunday, the following Monday shall be deemed to be the holiday in lieu of the day observed. If a holiday falls on a Saturday in the case of employees whose normal work week ends on Friday, the employee shall be entitled to the Friday prior to the holiday. For those employees who work an alternate work schedule, e.g., 9/80 plan, when a holiday falls on a regularly scheduled day off, the first work day following the observed holiday shall be deemed to be a holiday, e.g., Tuesday, when the observed holiday falls on a Sunday or Monday. If the observed holiday falls on a Friday or Saturday, it shall be moved to the last work day prior to the observed holiday, e.g., Thursday.
d) [Article 9.0 (exclusive of Section 9.3): Sick Leave] i. [9.1 Sick Leave Accruals:]
Every full-time, Management Classification Employee shall accrue sick leave time at the rate of 80 hours per year, 3.08 hours per pay period. Unused sick leave may be accumulated without limit.
ii. [9.2 Evidence of Illness:]
When an employee uses sick leave, the appointing authority may require a physician's certificate. Unless the employee’s supervisor suspects that an employee is abusing their sick leave a request for a physician certification can only be made for an absence of at least five consecutive workdays. iii. [9.4 Sick Leave and Temporary Disability:]
A City employee who is entitled to temporary disability indemnity under the State Labor Code may elect to take that number of hours or portions of hours of their accumulated sick leave, or their accumulated vacation, as when added to the disability indemnity will result in a payment to the employee of their full salary.

When accumulated sick leave, or vacation, or both, are exhausted, the employee 57 -8- Reso. #
may be still entitled to receive disability indemnity.
iv. [9.5 Sick Leave for Dependent Care:]
A Management Classification Employee shall be eligible to use accrued sick leave in accordance with the law to care for an ill parent (including parent in law), spouse, registered domestic partner, child, grandparent, grandchild, sibling or designated person. The amount of sick leave which can be used for such purpose is one half of one year’s annual accrued sick leave, which is currently equal to 40 hours per year.
v. [9.6 Illness While on Vacation:]
An employee who becomes ill while on vacation may have such period of illness charged to their accumulated sick leave instead of to vacation provided that:
immediately upon return to duty, the employee submits to their immediate supervisor or the Human Resources & Risk Manager a written request for sick leave;
vi. [9.7 Holidays During Sick Leave:]
Observed holidays occurring during sick leave shall not be counted as a day of sick leave.
vii. [9.8 Payment for Unused Sick Leave:]
Payment for accrued sick leave will be available as follows:
a) Sick leave earned on or after June 24, 2013 – Sick leave earned on or after June 24, 2013 can be cashed in (into the RHS Plan) at the rate of fifty percent (50%) of its value upon death, retirement for disability or service, resignation or layoff, but not if dismissed or terminated for cause to the extent that it is not used in each fiscal year.
b) Upon separation from the City, any sick leave not cashed into the RHS can be converted to CalPERS service credit per Government Code section 20965. The percentage used for conversion to service credit will be as set forth in paragraphs a-b above, i.e., based on when it was earned.
c) Except as provided above, cash-in (into the RHS Plan) can be requested in October or May of each fiscal year. Sick leave not cashed in may be carried over for cash-in (into the RHS Plan) during October or May of future fiscal years. Cashin (into the RHS Plan) may be made one additional time each year under extraordinary circumstances.
e) [Article 11.0: Bereavement Leave]
Employees shall be entitled to a maximum of hours equivalent to three (3) full working days absence with pay, (e.g., an employee working 12-hour shifts would receive 36 hours, an employee working nine-hour shifts would receive 27 hours) for bereavement leave. 58 -9- Reso. #
Bereavement leave can be used for the death, or critical illness where death appears to be imminent, of the employee’s immediate family. Employees shall be entitled to a maximum of two (2) bereavement leaves per calendar year.

Employees who have been with the City for at least thirty (30) days before the leave commences shall receive additional leave up to three (3) days without pay, in any one (1) instance (which must be used within three (3) months from the date of death and which days do not need to be taken consecutively), for bereavement leave related to the death of an immediate family member. Employees may use any paid vacation and accrued and available sick leave, which is otherwise available to the employee for this purpose. "Immediate family" of the employee, the employee' s spouse or domestic partner shall be construed to mean: father, mother, step-parents, brother, sister, stepsiblings, wife, husband, child, step-child, grandmother, grandfather, grandchild or any relative of the employee or employee's spouse or domestic partner residing in the employee' s household for two or more years.
f) [Article 13.0: Education and Professional Development Reimbursement Program] The purpose of this program shall be the reimbursement for tuition and book expenses to employees attending classes on their own time, which are to the direct benefit of the individual employee and the City. The approval of a request is subject to budgetary limitations.
i. [13.1 Eligibility:]
All regular employees (as that term is defined by the City’s Personnel Rules, currently Rule 2.1) shall be eligible for reimbursement (for education and professional development) under this program. Employees who have not completed their probationary period may also be eligible for reimbursement under this program if the job performance of such employees, as indicated by the department head and/or City Manager, appears to show promise of completing the probationary period.
ii. [13.2 Procedure:]
The department head will determine what types of courses will be allowed for reimbursement prior to commitment by the employee. Permitted use of funds, subject to approval of the City Manager, includes tuition, books, laboratory and parking fee, certification maintenance and course fees. In addition, professional association memberships, seminars, conferences, including material fees, and travel costs are included. Courses considered by the City Manager for reimbursement shall be designed to directly improve the knowledge of the employee in the public service, which will improve performance and enhance advancement opportunities. The department head and/or City Manager may recommend reimbursement upon the successful completion of college or professional conference/development courses. Each employee is limited to a maximum payment of one thousand dollars ($1,000) per fiscal year, dependent 59 -10- Reso. #
upon the availability of budgeted monies. The City Manager may authorize payment of additional educational and professional development reimbursement beyond the maximum payment for employees who are seeking formal degrees. g) [Article 16.0: Retirement]
The City contracts with the Public Employees’ Retirement System for administration of the retirement program. Coverage for regular full-time employees is as follows:
i. [Retirement Formula]
1) Miscellaneous Employees
Unit members (and not “new members as defined by the Public Employees’ Pension Reform Act of 2013 - PEPRA) are covered bythe

2.5% @ 55 formula provided for by the Public Employees’ Retirement Law at Government Code section 21354.4.

Unit members who are defined as “new members” under the PEPRA, are covered by the 2%@ 62 formula provided for by the Public Employees’ Retirement Law at Government Code section 7522.20(a). 2) Safety Employees
Unit members (and not “new members as defined by the PEPRA) are covered by the 3% @ 55 formula provided for by the Public Employees’ Retirement Law at Government Code section 21363.1.

Unit members who are defined as “new members” under the PEPRA, are covered by the 2.7% @ 57 formula provided for by the Public Employees’ Retirement Law at Government Code section 7522.25(d). ii. [Employee Contributions to the Retirement System]
1) Miscellaneous Employees subject to the 2.5%@55 Formula pay the eight percent (8%) member contribution.
2) Miscellaneous Employees subject to the 2%@62 Formula pay the statutorily mandated employee contribution rate of one half of the total normal cost as determined each year by CalPERS in its annual valuation report. 3) Safety Employees subject to the 3%@55 Formula pay the nine percent (9%) member contribution.

In addition to the nine percent (9%) of compensation earnable employee-paid member contribution noted above, these employees shall pay an additional four percent (4%) of compensation earnable of the required employer 60 -11- Reso. #
contribution as cost sharing per Government Code section 20516(f) for a total of thirteen percent (13%) of compensation earnable for retirement contributions.
4) Safety Employees subject to the 2.7%@57 Formula pay the statutorily mandated employee contribution rate of one half of the total normal cost as determined each year by CalPERS in its annual valuation report.

These employees shall also pay an additional two percent (2.0%) of compensation earnable of the required employer contribution as cost sharing per Government Code section 20516(f).
iii. [Optional Benefits]
In addition to the retirement formula provided above, the following optional benefits are in effect: One Year Final Compensation, Service Credit for Unused Sick Leave and the 1959 Survivors Benefit Level IV (employees pay the employee contribution for this benefit). For employees defined as new members by the PEPRA, their retirement will not be calculated by the One Year Final Compensation provision, but rather, based on the three (3) year average compensation as provided for in the PEPRA at Government Code section 7522.32(a).
h) [Article 17.0 (exclusive of Sections 17.7, 17.9, and 17.10): Medical Benefits] All regular full-time employees are eligible for enrollment in the medical, vision and dental benefit plans as outlined below..
i. [17.1 Rates: ]
The City will pay 100% of the cost of medical care coverage for the employee, 90% of the cost for employee plus one dependent, and 90% of the cost of the employee plus two or more dependents, with the employee responsible for the remaining 10%. See below for maximum contribution amount. The City may alter the above percentages with appropriate notice to Management Classification Employees.
ii. [17.2 City Contribution Maximum: ]
Employees of the City have a two-tier medical system that exists for purposes of determining the City’s contribution to employee medical insurance. The City’s contribution to any employee’s medical insurance premium under the premium sharing formula contained above shall be limited to the amount of the contribution under the above premium sharing formula for the HMO plan rate for an employee plus two or more dependents, regardless of the employee’s choice of medical plan. iii. [17.3 Medical coverage for domestic partners:]
Medical coverage shall be provided for domestic partners. Dental coverage shall be provided to domestic partners under the same terms as other dependents. 61 -12- Reso. #

iv. [17.4 Medical Insurance Waiver: Pursuant to the Affordable Care Act (ACA)] Employer Mandate “affordability” determination, an Eligible Opt-Out Arrangement requires the following for employees who opt-out of employerprovided health coverage and receive cash in lieu:
a. Employee must provide reasonable evidence that the employee and each member of the employee’s expected tax family (individuals the employee expects to claim personal exemption deduction) have or will have minimum essential coverage (other than coverage in the individual market, whether or not obtained through Covered California) during the period of coverage to which the opt-out arrangement applies;

b. The opt-out payment may not be made if the employer knows or has reason to know that the employee or any other member of the employee’s expected tax family does not have or will not have the alternative coverage; c. The evidence of alternative coverage must be provided every plan year to which the eligible opt-out arrangement applies; and d. The reasonable evidence must be provided no earlier than a reasonable period of time before the plan year begins. Employee’s who opt out of participation in the City’s plan and will be paid 60% of the HMO employee only rate. This payment will be made to the employee on a biweekly basis as a part of the employee’s payroll check. v. [17.5 Flexible Spending Plan:]
The City will make a flexible spending plan available to employees pursuant to IRS Code Section 125 to allow an employee to contribute a portion of their income each year on a pre-tax basis into an account from which they may receive reimbursement for medical, dental and child care expenses. vi. [17.6 Medical Plan Coverage for Retirees: [
Employees hired before July 1, 2013: The option of continuing membership in the City's medical plan shall be available to employees who retire from employment with the City after a minimum of three years of service. The employee shall be responsible for the entire premium. Employees hired on or after July 1, 2013: The option of continuing membership in the City’s medical plan shall be available to employees who retire from employment with the City after a minimum of ten years of service. The employee shall be responsible for the entire premium.

Retirees will be eligible to participate in the same plan as current employees. vii. 17.8 Retirement Health Savings Plan:

All Management Classification Employees are required to participate in the City’s Retirement Health Savings Plan (RHS). The City, will make a pre-tax contribution of $100.00 per month to the RHS plan on each employee’s behalf, paid at $46.16 per pay period.
62 -13- Reso. #
i) [Article 18.0: Life Insurance]
All regular full-time employees are covered by a $50,000 Life and Accidental Death and Dismemberment policy.
j) [Article 19.0: Long Term Disability]
All regular full-time employees are eligible for long term disability insurance coverage of 60% of the first $5,000 of salary after a sixty-calendar day elimination period. Employees are eligible for coverage after sixty days of employment. k) [Article 20.0: Uniform and Safety Footwear Policy] – The following provision on Uniforms is effective July 1, 2022.

Employees may be required to wear uniforms provided by the City or provide appropriate work attire for themselves. Positions or classifications required to wear uniform will be provided a uniform allowance of $450 each fiscal year. To the extent permitted by law, the value of the uniform allowance provided above is special compensation for “classic member” employees and shall be reported to CalPERS as such pursuant to Title 2 CCR, Section 571(a)(3). This pay shall not be reported for “new members” as defined under PEPRA. However, it is ultimately CalPERS who determines whether any form of pay is reportable special compensation.

The City shall provide a maximum reimbursement of $300 per fiscal year to all unit employees who are required to wear safety footwear such as steel-toed, oil and slip resistant soles, or other type of safety shoes, as approved by the. The City will provide appropriate personal protective equipment when deemed necessary for safety purposes. l) [Article 21.0: Mileage]
The reimbursement rate for use of personal vehicles for City business shall be the standard mileage rate allowed by the Internal Revenue Service.
m) [Article 22.0: Military Leave]
Military leave shall be granted in accordance with the provisions of state and federal law.

All employees entitled to military leave shall give the City Manager an opportunity within the limits of military regulations to determine when such leave shall be taken. n) [Article 23.0: Jury Duty]
Employees in the unit are entitled to up to one hundred and twenty (120) hours of paid time off each calendar year for jury duty. An employee accepted for jury duty shall immediately notify their department head and/or City Manager in writing.

Employees who are on jury duty are required to return to work if released by the Court from jury duty and they have at least four hours of work left in their day. In addition, if an employee calls into the court on the day before reporting for jury duty and finds out that they must report to jury duty the next day, the employee is required to notify their 63 -14- Reso. #
department head prior to the start time of their work shift. o) [Article 24.0 (exclusive of Section 24.3): Exceptional Performance Pay Plan] The following provisions on Exceptional Performance Pay are effective July 1, 2022.

In accordance with administrative guidelines, an employee performance evaluation report and a performance pay plan justification shall be prepared and submitted to the City Manager with all recommendations for performance pay bonus for employees whose performance merits such an increase.
i. [24.1 Lump Sum Bonus:]
A lump sum bonus may be any amount up to 5% of gross annual salary for employees whose performance merits such pay based on the employees’ superior performance.
ii. [24.2 Distribution of Exceptional Performance Pay]
Management Classification Employees will be assessed fairly and should all have the same ability to earn this pay based on their respective performance.

The parties agree that to the extent permitted by law, exceptional performance pay is special compensation as an annual performance bonus and shall be reported as such pursuant to Title 2, CCR 571(a)(1) for employees who are not new members per PEPRA (Bonus). This shall not be reported for new members. A system is in place to plan and identify performance goals and objectives. p) [Article 26.0: Alternate Work Schedule]
The City may assign any positions to a 4/10, 9/80, 5/8 or other work schedule as may suit the operational needs of the City.
iii. [26.1 9/80 Work Schedule Defined:]
The 9/80 work schedule shall be defined as an employee working 9 days for a total of eighty (80) hours in a two week pay period by working 8 days at 9 hours per day and working 1 day for 8 hours on Friday.

The workweek for employees on the 9/80 shall begin exactly four hours after the start time of the employee’s shift on their alternating regular day off (e.g., Friday).

SECTION 4: Additional Benefits
In addition to those policies and benefits set forth in Section 3, above, the following shall be provided for the benefit of the Management Classification Employees:
• Administrative Leave: Up to ninety (90) hours of Administrative Leave per fiscal year, as determined by the City Manager, in recognition of the additional scheduling demands that result from participation in City administration and public meetings. 64 -15- Reso. #
Employees appointed into a management-level position after July 1, 2024, shall not have the ability to convert, carry over or cash out any remaining balance, and any unused hours will expire at the end of the fiscal year (June 30) or upon separation. • Physical Exam: Reimbursement up to $300 per calendar year for expenses incurred for a general examination to determine physical fitness. • Deferred Compensation: City-paid contribution of two percent (2%) of base salary toward a Deferred Compensation Program.
• Automobile Allowance: For any Management Classification Employees not otherwise provided a City vehicle, the City shall provide an automobile allowance of Four Hundred ($400) dollars per month for Directors, and Two Hundred dollars ($200) per month for Deputy Directors or Managers as previously approved, or as otherwise deemed necessary for the performance of job duties, by the City Manager. • Cell Phone Stipend: Eighty dollars ($80) per month.
• Internet Stipend: Fifty dollars ($50) per month.
• One Shopper Parking Permit: Annual City Paid Laguna Beach Parking Permit. • Educational Incentive: Effective July 1, 2022, the City offers the following educational incentives to the following classifications. The City has determined that the following degrees and certificates enhance the classifications’ ability to perform their job. To the extent permitted by law, the following is special compensation and shall be reported as such (for classic and new members) pursuant to Title 2 CCR, Section 571(a)(2) and Section 571.1(b)(2) Educational Incentive Pay. However, it is ultimately CalPERS who determines whether any form of pay is reportable special compensation.
o Deputy Fire Chief:
 2.5% of base pay for obtaining and maintaining a Chief Officer Certificate.
 2.5% of base pay for possession of a Bachelor’s’ Degree.  2.5% of base pay for possession of a Master’s Degree. o Chief of Marine Safety
 2.5% of base pay for a Bachelor’s Degree.
o Police Chief and Fire Chief:
 2.5% of base pay for possession of a Bachelor’s Degree  2.5% of base pay for possesson of a Management POST Certification o Fire Chief:
 2.5% of base pay for a Bachelor’s Degree
 2.5% of base pay for a Chief Officer Certification
65 -16- Reso. #
SECTION 5: Severance
In the event an employee covered by this Resolution (i.e., a Management Classification Employee) is terminated from employment, the City Manager may, in its sole and absolute discretion, authorize severance pay up of at least three (3) months up to a maximum of six (6) months of base pay and health insurance coverage (medical, dental and vision), provided that such terminated Management Classification Employee timely executes and delivers to the City an original Separation and General Release, in a form approved by the City Attorney, and does not thereafter timely exercise his, her, or their right to revoke said Separation Agreement and General Release. Any severance provided must be reimbursed to the City if such Management Classification Employee is convicted of a crime involving abuse of his, her, or their position, as defined in Government Code section 53243.4.
66

← All documents from this meeting