Monterey Park City Council
September 7, 2022

CITY COUNCIL OF MONTEREY PARK

THE CITY COUNCIL ACTING ON BEHALF OF THE SUCCESSOR AGENCY OF THE FORMER

REDEVELOPMENT AGENCY, THE HOUSING AUTHORITY, THE MONTEREY PARK FINANCING

AUTHORITY AND THE MONTEREY PARK GEOLOGIC HAZARD ABATEMENT DISTRICT AGENDA

REGULAR CITY COUNCIL MEETING

MONTEREY PARK CITY HALL COUNCIL CHAMBERS
320 W. NEWMARK AVENUE, MONTEREY PARK, CA 91754

Wednesday
September 7, 2022
6:30 p.m.

GENERAL INFORMATION
Documents related to an Agenda item are available to the public in the City Clerk’s Office located at 320 West Newmark Avenue, Monterey Park, CA 91754, during normal business hours and the City’s website at http://www.montereypark.ca.gov/AgendaCenter/City-Council-17.

The public may watch the meeting live on the city’s cable channel MPKTV (AT&T U-verse, channel 99 or Charter Communications, channel 182) or by visiting the city’s website at http://www.montereypark.ca.gov/133/City-Council-Meeting-Videos.

PUBLIC PA RTICIPATION
You may speak up to 5 minutes on Agenda item. You may combine up to 2 minutes of time with another person’s speaking. No person may speak more than a total of 10 minutes. The Mayor and City Council may change the amount of time allowed for speakers. Written Communication will be accepted up to 24 hours before the meeting via email to [email protected].

Per the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please call City Hall at (626) 307-1359 for reasonable accommodation at least 24 hours before a meeting.

Council Chambers are wheelchair accessible.

CALL TO ORDER Mayor
FLAG SALUTE The Monterey Park Fire Explorers
ROLL CALL Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu

AGENDA ADDITIONS, DELETIONS, CHANGES AND ADOPTIONS

MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community.

Monterey Park City Council Agenda, September 7, 2022 - Page 2

PUBLIC COMMUNICATIONS:

While all comments are welcome, the Brown Act does not allow the City Council to take action on any item not on the agenda. The Council may briefly respond to comments after Public Communications is closed. Persons may, in addition to any other matter within the City Council's subject-matter jurisdiction, comment on Agenda Items at this time. If you provide public comment on a specific Agenda item at this time, however, you cannot later provide comments at the time the Agenda Item is considered.

STAFF COMMUNICATIONS:
• City Clerk’s Office
• Library Services
• Management Services
• Recreation and Community Services Department
• Police Department

[1.] PRESENTATION

1-A. MPK REWARDS PROGRAM UPDATE

1-B. SPIRIT BUS TRANSIT SERVICE EVALUATION

[2.] OLD BUSINESS – None.

[3.] CONSENT CALENDAR ITEM NOS. 3A-3G

3-A. 2021-2022 ANNUAL INVESTMENT REPORT
It is recommended that the City Council and the City Council acting on behalf of the Successor Agency consider:
(1) Receive and file the 2021-22 Annual Investment Report; (2) Adopt a Resolution authorizing the Treasurer to implement the City’s Investment Policy for FY 2022-23; and
(3) Taking such additional, related, action that may be desirable.

3-B. MINUTES
It is recommended that the City Council consider:
(1) Approving the minutes from the regular meetings of July 6, 2022 and July 20, 2022; the special meetings of July 30, 2022, August 1, 2022 @ 5:30 p .m., and August 1, 2022 @ 6:30 p.m.; and the special and regular meetings of August 17, 2022; and (2) Taking such additional, related, action that may be desirable.

Monterey Park City Council Agenda, September 7, 2022 - Page 3 3-C. RESOLUTION APPROVING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY AND THE MONTEREY PARK POLICE OFFICERS’ ASSOCIATION FOR THE TERM OF JULY 1, 2022 TO JUNE 30, 2023
It is recommended that the City Council consider:
(1) Adopting a Resolution approving a Memorandum of Understanding (“MOU”) between the C
ity of Monterey Park and the Monterey Park Police Officers’ Association (“MPPOA”).

The MPPOA represents the Police Officers and Police Corporals in the Monterey Park Police Department;
(2) Authorizing budget appropriation of approximately $408,307 from the General Fund and $342,000 from the American Rescue Plan Act (ARPA) Funds for the 2022-2023 fiscal year; and
(3) Taking such additional, related, action that may be desirable. 3 -D. PROPOSED LOCAL ROAD SAFETY PLAN AND VISION ZERO
It is recommended that the City Council consider:
(1) Adopting a Resolution approving the Local Road Safety Plan and a Resolution adopting a Vision Zero Policy; and
(2) Taking such additional, related, action that may be desirable.

CEQA (California Environmental Quality Act):

The Resolutions are exempt from additional environmental review under the California Environmental Quality Act (Public Resources Code §§ 21000, et seq., “CEQA”) and CEQA Guidelines (14 California Code of Regulations §§ 15000, et seq.) because they establish rules and procedures in compliance with California law; do not involve any commitment to a specific project that would result in a potentially significant physical impact on the environment; and constitute an organizational or administrative activity that will not result in direct or indirect physical changes in the environment. Accordingly the Resolution does not constitute a “project” that requires environmental review ( see specifically, CEQA Guidelines §§ 15378(b)(2,5) and 15308).
3 -E. AWARD OF CONTRACT TO CALGON CARBON FOR CARBON MEDIA CHANGEOUT It is recommended that the City Council consider:
(1) Authorizing the City Manager to execute a three-year Maintenance Agreement with C
algon Carbon Corp., in a form approved by the City Attorney, for Carbon Media C
hangeout for a not-to-exceed amount of $2.34M annually; (2) Appropriating $2.12M from Water Treatment Fund (403) for Fiscal Year 2022-23 Carbon Media Changeout costs; and
(3) Taking such additional, related, action that may be desirable. 3 -F. TERMINATION OF AGREEMENT 2223-A WITH GENTRY BROTHERS, INC.

It is recommended that the City Council consider:
(1) Terminating Agreement No. 2223-A with Gentry Brothers, Inc.; (2) Authorizing the City Manager to reimburse the contractor for actual costs associated with executing the contract; and
(3) Taking such additional, related, action that may be desirable.

Monterey Park City Council Agenda, September 7, 2022 - Page 4

3-G. HVAC IMPROVEMENTS AT VARIOUS FACILITIES – REJECT ALL SUBMITTED BIDS It is recommended that the City Council consider:
(1) Rejecting all submitted bids submitted for Capital Improvement Project No. 96029 HVAC Improvements at Various Facilities;
(2) Taking such additional, related, action that may be desirable.

[4.] PUBLIC HEARING -– None.

[5.] NEW BUSINESS

5-A INCLUSIONARY HOUSING ORDINANCE DISCUSSION ITEM
It is recommended that the City Council consider:
(1) Receive and file this report;
(2) Provide feedback and direction to staff on potential standards and issues to consider when drafting an inclusionary housing ordinance; and
(3) Taking such additional, related, action that may be desirable.

[6.] CITY COMMUNICATIONS (CITY COUNCIL)

[7.] FUTURE AGENDA ITEMS

[8.] CLOSED SESSION (IF REQUIRED; CITY ATTORNEY TO ANNOUNCE)

ADJOURN

DATE: September 7, 2022
AGENDA ITEM NO:

TO: The Honorable Mayor and City Council
FROM: Joseph Leon, City Treasurer
Mart
ha Garcia, Director of Management Services
SUBJECT: 2021-2022 Annual Investment Report
RECOMMENDATION:

It is recommended that the City Council:

1. Receive and file the 2021-22 Annual Investment Report;

2. Adopt a Resolution authorizing the Treasurer to implement the City’s Investment Policy for FY 2022-23; and

3. Take such additional, related, action that may be desirable.

EXECUTIVE SUMMARY:

The City's Investment Policy requires an annual investment report and a statement of investment policy to be submitted to the City Council for review within 60 days of the fiscal year-end. The attached annual report shows that all investment activities during 2021-22 were conducted according to the City’s Investment Policy.

BACKGROUND:

The City Investment Policy was created in 1989 to establish guidelines for investment operations (including City of Monterey Park, Monterey Park Public Financing Authority, and Monterey Park Housing Authority). The investment priorities are in the order of safety, liquidity, and yield. The Policy establishes allowable investments and the maximum maturity for each.

The allowable investments include U.S. Treasury securities, State LAIF, LA County Pooled Investment Fund, Certificates of Deposit, bankers’ acceptances, mutual funds, federal agency securities, commercial papers, and collateralized savings funds. Additionally, the Policy prescribes an internal control system, which delineates duties and responsibilities for Ci ty personnel handling investment operations.

The City's investment operations are under the direction of the City Treasurer. The City’s Investment Policy provides the creation of a Treasury Committee, which is comprised of the City
Treasurer, City Manager, Assistant City Manager and Director of Management Services to implement the Investment Policy and related procedures. Annually, if there is any recommended change to the Investment Policy, the change is presented to the City Council for approval.

City Council Staff Report
Consent Calendar - 3A

Staff Report
September 7, 2022

Investments (Attachment 2)

All investment activities during 2021-22 were made according to the Policy. During the year, funds were invested in the Local Agency Investment Fund, LA County Pooled Investment Fund, and Certificates of Deposits.

Local Agency Investment Fund (LAIF) was created by statute in 1977. It is a pooled investment program for local agencies and special districts to participate. LAIF is managed by the State and investment securities are purchased in accordance with the Government Code Sections 16430 and 16480.4. LAIF has 2386 participants and $36.8 billion in its portfolio. As of June 30, 2022, the City has $43.9 million invested with LAIF.

Los Angeles County Pooled Investment Fund (LACPIF) all ows local agencies in the County of Los Angeles to deposit excess funds in the Los Angeles County Treasury Pool for the purpose of investment by the Treasurer and Tax Collector of the County. As of June 30, 2022, the City has $42.8 million invested with LACPIF.

Certificates of Deposits (CD) C ertificates of Deposits are time deposits with banks or savings and loans. Federal Depository Insurance Corporation (FDIC) insures each depositor up to $250,000. The City invests CDs with California State or nationally chartered financial institutions. As of June 30, 2022, the City has (27) twenty-seven CDs.

Investment Composition

The City invests its idle cash from all operating funds on a pooled basis to maximize returns.

Earnings are allocated to each fund based on the average cash balance. Total investment balance for the City as of June 30, 2022 was $93,077,402.30.

Instruments Balance Interest Rate Maturity

LAIF $ 43,859,054.60 0.690% 1-day
LACPIF 42,843,347.70 0.940% 1-day
CDs 6,375,000.00 0.51% - 2.65% 2 months – 3 year

Total $ 93,077,402.30

Investment Balance

Timing of revenue collections, such as property tax, business licenses, and franchise tax, affects the monthly investment balance during the year. In 2021-22, monthly investment varied from $77 million to $93 million. The average balance was $85 million.

Staff Report
September 7, 2022

10-Year City Investment Summary

The chart below shows the City’s investment balance, interest income, yield, and the short - term investment rate during the past 10 years (for the purpose of comparison, short -term investment rate shown is the three-month treasury bill rate). The policy stipulates that the City investment rate of return shall equal or exceed the yield for the three-month Treasury Bill. The City’s average investment yield has exceeded the three-month treasury yield in each of the past 10 years.

0.00 20.00

40.00 60.00

80.00 100.00
120.00
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
in Millions
Month
Average Investment Balance
Fiscal Year 2021-22

0.00 1.00

2.00 3.00

0.00 0.20

0.40 0.60

0.80 1.00

1.20 12-13 13-14 14-15 15-16 16-17 17-18 18-19 19-20 20-21 21-22 Yield (%)
in Millions
Year
10-Year Investment Summary
From 12/13 to 21/22
Balance Income City Yield

Staff Report
September 7, 2022

Investment Pe rformance

The 2021-22 interest earning for the City totaled approximately $103,910 and the average yields were 0.464%. The City invested 47.12% of its funds into local government investment pools (LAIF), 46.03 % into Los Angeles County Pooled Fund (LACPIF), and 6.85% into certificates of deposits, which all can be effective mechanisms for obtaining liquidity, diversified portfolios, and competitive yields. The performance from the investment in the LAIF, County pooled funds, and Certificates of Deposit have provided the City higher investment earnings in 2021-22.

Investment Policy (Exh ibit A)

The City’s investment policy provides the ideal framework to itemize investment alternative, to detail the benefits and risks of these alternatives, and to recommend the maximum percentage allocation, the selection process, the risk framework and the allowable maturities of the investment alternatives. This Investment Policy is intended to provide guidelines for the prudent investments of the City funds and to outline the policies for maximizing the efficiency of the City’s cash management system.

The vast majority of public -sector cash management operations are governed by state laws and provisions that determine the type of investment product and manner in which the City manages its funds. Moreover, the City’s allowable investments are more conservative and restricted than those of the state types.

Conclusion

For the Fiscal Year 2022-202 3, the Committee will seek permitted investment ins truments according to the in vestment policy, and take a balanced approach consistent with the guidelines of safety, liquidity, and yield as established by the Council adopted Investment Policy. The ultimate goal is to enhance the economic status of the City while protecting its assets.

Respectfully submitted by: Prepared by:

Joseph Leon
City Treasurer
Martha Garcia
Director of Management Services

Staff Report
September 7, 2022

Approved by:

Reviewed by:

Ron Bow
City Manager

Karl Berger
City Attorney

ATTACHMENT(S):
1) Resolution with Exhibit A - Investment Policy
2) Investments

Staff Report
September 7, 2022
ATT
ACHMENT 1
Resolution with Exhibit A - Investment Policy

RESOLUTION NO. _______
SA RESOLUTION NO.

A JOINT RESOLUTION OF THE CITY OF MONTEREY PARK AND

SUCCESSOR AGENCY TO THE MONTEREY PARK REDEVELOPMENT

AGENCY ADOPTING AN INVESTMENT POLICY AND AUTHORIZING
THE TREASURER TO IMPLEMENT THE POLICY.

The City Council, acting on behalf of the City of Monterey Park and the Successor Agency to the Monterey Park Redevelopment Agency, (collectively, “City Council”) does resolve as follows:

SECTION 1: The City Council finds and declares as follows:

A. Government Code § 53646 allows the Treasurer, or Treasurer’s designee, to provide the City Council an investment policy for consideration;

B. Government Code § 53607 allows the City Council to delegate investment authority to the Treasurer, who may then designate persons to implement such authority, on an annual basis; and

C. The Treasurer proposed that the City Council consider the Investment Policy attached as Exhibit “A,” and incorporated by reference, for Fiscal Year 2022-23 (“Policy”).

SECTION 2: After due consideration, the City Council finds that the Policy conforms with applicable law and adopts it for use during Fiscal Year 2022-23 on behalf of the City of Monterey Park and the Successor Agency to the Monterey Park Redevelopment Agency (collectively, “City”). The Treasurer and Director of Management Services are authorized to implement the Policy for this time period on the City’s behalf.

SECTION 3: Severability. If any part of this Resolution or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications and, to this end, the provisions of this Resolution are severable.

SECTION 4: Recordation. The Mayor, or presiding officer, is authorized to sign this Resolution signifying its adoption by the City Council of the City of Monterey Park and the City Clerk, or his duly appointed deputy, may attest thereto.

SECTION 5: Electronic Signatures. This Resolution may be executed with electronic signatures in accordance with Government Code §16.5. Such electronic signatures will be treated in all respects as having the same effect as an original signature.

SECTION 6: Effective Date. This Resolution will become effective immediately upon adoption and remain effective unless superseded by a subsequent resolution.

Resolution No.

September 7, 2022

PASSED AND ADOPTED this ____ day of _________, 2022.

____________________________
Henry Lo, Mayor

ATTEST:

________________________________
Vincent D. Chang, City Clerk

APPROVED AS TO FORM:

________________________________
Karl H. Berger, City Attorney

Resolution No.

September 7, 2022

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.

CITY OF MONTEREY PARK )

I, VINCENT D. CHANG, City Clerk of the City of Monterey Park, California, do hereby certify that the foregoing Resolution No. was duly regularly adopted by the City Council of the City of Monterey Park at a meeting held on the 7th day of September 2022, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSTAIN: Councilmembers:

ABSENT: Councilmembers:

Dated this 7
th day of September 2022

Vincent D. Chang, City Clerk

1 CITY OF MONTEREY PARK

INVESTMENT POLICY
I. PURPOSE
This Stateme
nt is intended to provide guidelines for prudent investment of the City's temporary idle cash (including City of Monterey Park, Monterey Park Public Financing Authority, and Monterey Park Housing Authority) and outline the policies for maximizing the efficiency of the City's cash management system. The ultimate goal is to enhance the economic status of the City while safeguarding its assets.

The Investment Policy complies wi
th Government Code § 53600, et seq.

However, to meet the City's needs, the investment parameters set forth in the City's policy are more conservative than those allowed by the Government Code.

II. SCOPE
The policy directs
the investment of the City's temporarily idle monies for all funds that are accounted for in the City’s Comprehensive Annual Financial Report including the general fund, special revenue funds, fiduciary funds, and proprietary funds. Employee deferred compensation, long-term debt proceeds and reserves held by a Trustee and invested pursuant to contractual agreement, or retirement investments held by a trustee (such as CalPERS) are not managed by the City and are not subject to this Investment Policy.

This Investment Pol
icy also directs all investments related to the Monterey Park Public Financing Authority and the Monterey Park Housing Authority. For purposes of investments made for the Monterey Park Public Financing Authority and the Monterey Park Housing Authority, all references made to the City Treasurer also mean the appointed Treasurer(s) of each respective entity.

III. INVESTMENT OBJECTIVES
Criteria for selecting in
vestments and the order of priority are:

Exhibit A

2 1. Safety: The safety and risk associated with an investment refers to the potential loss of principal, interest or a combination of these amounts.

Safety of Principal is the foremost objective of the City’s investment program. To attain this objective, the City will select only those investments that ensure the preservation of capital in the overall portfolio and to mitigate credit risk and market risk.

2. Liquidity: This refers to the ability to "cash in" at any moment in time with a minimal chance of losing principal or interest. Liquidity is an important investment quality, especially when the need for unexpected funds occurs.

The objective is to remain sufficiently liquid to meet all operating requirements that may be reasonably anticipated within 180 days.

3. Yield: Yield is the potential dollar earnings an investment can provide, also referred to as the rate of return. The objective is to attain a rate of return that equals or exceeds the yield for the three-month Treasury Bill.

IV. TREASURY COMMITTEE
The Po
licy provides for the creation of a Treasury Committee (“The Committee”). The Committee is comprised of the City Treasurer, the City Manager, the Assistant City Manager and the Director of Management Services. The Committee meets periodically and performs the following:
• Development and i
mplementation of investment policy
• Development and im
plementation of investment procedures to
establish internal controls, investment reporting, recordkeeping, accounting and processes for movement of funds
• Formulation of in
vestment strategy
• Evaluation of financ
ial institutions
• Development an
d implementation of controls to ensure compliance
with State law and the City's Investment Policy
• Selection of
investment managers, when appropriate

3 V. INVESTMENT PROCEDURES AND RESPONSIBILITY
• An Investment Procedures Manual is established to guide staff with day-to- day investment operations. The Manual includes procedural elements such as cash position review, investment selection, investment transaction, investment recording, and investment reporting.
• Within the constraints set forth in this policy, the City Treasurer has the authority to oversee the Citywide investment operations. • The City Council delegates the authority to the Director of Management Services to advise and obtain approval from the City Treasurer, before opening new bank accounts, investment and cash management accounts, and other credit enhancement products, closing bank accounts, investment and cash management accounts, and signing all documents related thereto. • The Director of Management Services is responsible for the following implementation and supervision of investment controls: approving daily investment transactions, developing the projections of the City's cash requirements for operating needs, reviewing the liquidity position of the investment portfolio, ensuring that the citywide cash position is consistent with operating requirements, preparing appropriate investment reports for review by the Committee,
and developing, implementing and monitoring controls over investments. The Administrative Secretary will assist in the report preparation, execution of and recordkeeping for investment transactions.

ETHICS AND CONFLICTS OF INTEREST
VI. ALLOWABLE INVESTMENTS
• All invest
ments must conform with Government Code § 53600, et seq. and this investment policy.
• See the list of allowab
le investments (Investments) in the matrix provided in
Attachment A, which is incorporated by reference. lt should be noted that any newly developed derivative of an allowable investment that is not specifically mentioned in the policy must be recommended by the City Treasurer for inclusion in the policy and any amendments to the policy must be submitted to the City Council for approval.

4 VII. SELECTION OF FINANCIAL INSTITUTIONS AND DEALERS
• The Treas
ury Committee will maintain an approved list of primary dealers or regional dealers that qualify under Securities and Exchange Commission Rule 15C3-1 (uniform net capital rule) and government-sponsored investment pools. The Committee will review and amend the approved list periodically to ensure that the institutions continue to meet the selection criteria. • A copy of the City
's Investment Policy will be submitted to all dealers,
investment managers and fiscal agents who manage City monies. The City must obtain an annual certification evidencing that they (1) have reviewed the City's investment policies and objectives, (2) are familiar with the City's investment constraints and (3) have complied with the provisions contained in this policy.
• Purchases
of investments must be made directly from the issuer, with the exception of the State LAIF or the County Pool investments, from a member of a federally regulated securities exchange, from a national or state-chartered bank, or from a brokerage firm.
• Only commercial
banks and savings and loan associations that demonstrate financial strength and are insured by the federal government may be selected to provide investment services.
• Other financial inst
itutions must be selected using the following selection criteria: financial strength, reputation, area of expertise and ability to conform to the City and state-mandated investment parameters.

VIII. SAFEKEEPING AND CUSTODY
• Investments evidenced
by physical or book-entry securities must be secured
through third-party custody and safekeeping procedures or under a tripartite agreement (does not apply to insured certificates of deposit, money market funds and the Local Agency Investment Fund).
• All transactions descr
ibed above, where applicable, must be executed on a
delivery versus payment basis.
• The custodian
will hold assets until the investments mature or the bank receives a request from the City to dispose of the securities. • Bearer instruments
can only be held through third-party institutions.

5 INVESTMENT POOLS/MONEY MARKET MUTUAL FUNDS/BANK

SAVINGS FUNDS
The City will
conduct a thorough investigation before investing in the State Local Agency Investment Fund (LAIF), the Los Angeles County Pool Investment Fund (LACPIF), Treasury Bills and/or any money market mutual fund. Periodically, LAIF, LACPIF and all mutual funds will be required to respond to an investment pool questionnaire to ensure that the criteria as qualified investment vehicles for the City remain unchanged.

IX. COLLATERALIZATION
Certificates of
Deposits (CD) - The City will require any commercial bank or savings and loan association to deposit eligible securities with an Agent of a Depository approved by the California Department of Business Oversight, Division of Financial Institutions, to secure any uninsured portion of a non- negotiable certificate of deposit:
• The value of
eligible securities as defined pursuant to Government Code Section 53652, pledged against a certificate of deposit must be equal to 150% of the face value of the CD if the securities are classified as mortgages and 110% of principal of the CD for all other classes of security, if the Certificate of Deposit is not FDIC insured or goes over the FDIC $250,000 limit. • Financial I
nstitutions must mark the value of the collateral to market monthly and increase or decrease the collateral to satisfy the ratio requirement described above.

X. MATURITY
• The City
cannot make any new investments in instruments with stated remaining maturities that exceed the terms specified in attached Exhibit A ("Allowable Investments"), which is incorporated by reference, at the time of purchase. Overall, all investments must follow the City’s Investment Policy. • Maturities of investme
nt instruments in the portfolio will be staggered as much as practical and be consistent with projected cash requirements.

6 XI. LIQUIDITY
• All forecasted
operating requirements must be satisfied by maintaining an adequate level of liquidity in the portfolio.
• Maturities will be sele
cted to mature before or match the timing of the City's projected cash needs.
• The marketability
of a security is an important criterion in selecting an investment.
• A liquidity base equal
to the forecasted cash needs for 180 days should be
maintained whenever practical.

XII. DIVERSIFICATION
• Within the parameters
established by Section III, Investment Selection Criteria, and Section VI, Allowable Investments, investments should be diversified by security type and institution.

XIII. COMPETITIVE BIDDING
• The purcha
se or sale of securities should be made on the basis of competitive bids. A minimum of three bids, from a list of eligible dealers and/or banks should be obtained and documented. Exceptions to this policy may be granted by the majority of the Committee members when competitive bids are not practical. Reasons for granting exceptions to the competitive bid process should be stated.

XIV. REPORTING
• The Treasurer must r
eport to the City Council on a monthly and annual basis. • The monthl
y investment report submitted to the City Council will contain the following:
o An investment invent
ory including types and amounts of investments,
issuing financial institutions and maturities
o Average maturity of
the portfolio

7 o Average total yield to maturity of the portfolio

o For marketable securities only including current market value of investments with maturities of more than 12 months

o A statement indicating that the City can meet its expenditure requirements for the upcoming 180 days

o A statement indicating that the portfolio complies with the City's Investment Policy

o Percent of portfolio invested by type of instrument

o Comparison of portfolio performance to the average yield rate for the three-month treasury bill

o Written explanations for any variances to policy

• The Annual Investment Report must provide a summary of the annual investment activities and include a proposed statement of Investment Policy to be approved by the City Council during the first sixty days of the fiscal year.

XV. PRUDENCE

• The City of Monterey Park will follow the prudent investor standard of Government Code § 53600.3. Prudent Investor Standard: Investments must be made with judgment and care – under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived.

• Investment officers acting in accordance with this Investment Policy and written procedures and exercising due diligence are relieved of personal responsibility and liability for an individual security's credit risk or market price changes, provided that deviations from expectation s are reported in a timely and accurate fashion as required by this Policy and procedures and appropriate action is taken to control adverse developments.

8 XVI. INTERNAL CONTROLS

• Internal controls must be established and documented in writing. The controls must be designed to prevent losses of public funds arising from fraud, employee error, and misrepresentation by third parties, or imprudent actions by employees and officers of the City. Controls deemed most important include: separation of duties; separation of transaction authority from accounting and recordkeeping; custodial safekeeping; clear delegation of authority; specific limitations regarding securities losses and remedial action; control over wire transfers such as dual authorization; minimizing the number of authorized investment officials; documentation of transactions and strategies; and a code of ethics standard.

• The City's investment procedures manual will establish and maintain an internal control structure designed to ensure that the assets managed under the scope of the Policy are protected from loss, theft, or misuse. The internal control structure will provide reasonable assurance that these objectives are met.

• As part of the City's annual audit, the City's external auditor will review the City's investment activities to ensure compliance with the Investment Policy.

XVII. INVESTMENT GUIDELINES POLICY ADOPTION

• At the direction of the Treasurer, the City's Investment Policy will be reviewed and updated annually by the Committee to reflect changes in applicable law, general market conditions or to provide further clarification of the City's policies. The Investment Policy may be amended annually by resolution of the City Council. Any amendments to the Policy must be approved by the City Council.

9 Glossary of Terminology

Allowable Investments: A list of permitted investments by investment type maintained as a component to an investment policy. Allowable investment listings will generally include descriptions or parameters for investment diversification ratios, terms of maturity, and quality ratings.

Bankers' Acceptance (BA): A draft or bill of exchange accepted by a bank or trust company. The accepting institutions guarantee payment of the bill, as well as the issuer.

BID: The price offered for securities.

Book Entry Securities: All U.S. Treasury and Federal Agencies are maintained on computerized records at the Federal Reserve; now know as “wireable” securities.

Broker: A broker brings buyers and sellers together for a commission.

Certificate of Deposit (CD): A time deposit with a specific maturity evidenced by a certificate. Large-denomination CDs are typically negotiable.

Collateral: Securities, evidence of deposit, or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

Collateralized Bank Deposits: Non-negotiable Certificate of Deposit issued by a nationally or state - charted bank or association or a State - licensed branch or a foreign bank (insured by the federal government); Bank Collateralized Savings.

Commercial Paper (CP): An unsecured short-term promissory note issued by corporations, with maturities ranging from 2 to 270 days.

Cost: The purchase price of an investment.

Coupon: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on a bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment.

Credit Risk: The risk of loss of principal and interest due to failure of the security issuer or broker.

Dealer: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own.

10 Debenture: A bond secured only by the general credit of the issuer.

Delivery versus Payment: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities.

Derivatives: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities).

Discount: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount.

Discount Securities: Non-interest bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills.

Diversification: Dividing investment funds among a variety of securities offering independent returns.

Federal Credit Agencies: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters.

Federal Deposit Insurance Corporation (FDIC): A federal agency that insures bank deposits, currently up to $ 250,000 per deposit for anyone issuer with maturity on or before 12/31/2013.

Federal Open Market Committee (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money.

Federal Reserve System : The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., twelve Regional Banks and about 5,700 commercial banks that are members of the system.

Liquidity: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid

11 if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes.

Los Angeles County Pooled Investment Fund (LACPIF): Government Code § 53684 allows local agencies in the County of Los Angeles to deposit excess funds in the Los Angeles County Treasury Pool for the purpose of investment by the Treasurer and Tax Collector of the County.

Local Agency Investment Pool (LAIF): The aggregate of all funds from California political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment.

Market Risk: The risk that the market value and interest earnings of an investment or a portfolio will fall due to changes in general interest rates.

Market Value: The price at which a security is trading and could presumably be purchased or sold.

Maturity: The date upon which the principal or stated value of an investment becomes due and payable.

Money Market: The market in which short- term debt instruments (bills, commercial paper, bankers' acceptances, etc.) are issued and traded.

Par Value: The amount that will be realized upon maturity of an investment.

Portfolio: Collection of securities held by an investor.

Primary Dealer: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms.

Prudent Person Rule: An investment standard. In some states the law requires that a fiduciary, such as a trustee, may invest money only in a list of securities selected by the custody state-- the so called legal list. In other states the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital.

Qualified Public Depositories: A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral

12 having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits.

Rate of Return: The yield obtainable on a security based on its purchase price or its current market price. Or income earned on an investment, expressed as a percentage of the cost of that investment.

Rule 15C3-1: See Uniform Net Capital Rule.

Safekeeping: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank's vaults for protection.

Secondary Market: A market made for the purchase and sale of outstanding issues following the initial distribution.

Securities & Exchange Commission: Agency created by Congress to protect investors in securities transactions by administering securities legislation.

Treasury Bills: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year.

Treasury Bonds: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years.

Treasury Notes: Medium-term coupon- bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities from two to 10 years.

Uniform Net Capital Rule: Securities and Exchange Commission requirement that member firms as well as non-member broker -dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15:1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash.

Weighted Average Rate of Return: Rate of return calculated based on interest earnings and the length of actual holding for each individual security.

Yield: The rate of annual income return on an investment, expresse d as a percentage. (a) INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security. (b) NET YIELD OR YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in

13 purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond.

Zero Coupons: Securities that have no periodic interest payments and are sold at a deep discount from face value. For the purposes of the Monterey Park Investment Policy, zero coupons reference U.S Treasury issues.

14 CITY OF MONTEREY PARK

FINANCIAL INSTITUTIONS

Section I – Certificates of Deposit and Collateralized Bank Deposits

All California or nationally chartered banks and savings and loans covered by the Federal Deposit Insurance Corporation.

Section II – Government Investment Pools

Local Agency Investment Fund (State of California) Investment Pools (LAIF) Los Angeles County Pooled Investment Fund (LACPIF)

Section III – “Primary” or “Regional” Security Dealers

Name Address

Bank of the West/BNP Paribas 13300 Crossroads Parkway North (City’s Servicing Bank) City of Industry, CA 91746
(800) 676-4549

Bank of America Securities Inc. 300 S. Grand Avenue, 19 th Floor
Los Angeles, CA 90071

Morgan Stanley 245 Lytton Avenue, #200
Palo Alto, CA 94301
(800) 755-8081

Multi-Bank Securities, Inc. 6 Sea Island Drive
Newport Beach, CA 92660
(800) 337-3467

Wells Fargo Bank, N.A 333 S. Spring Street
Los Angeles, CA 90013
(213) 972-0828

Merrill Lynch Government Securities, Inc. 350 S. Grand Avenue, 28 th Fl.

Los Angeles, CA 90071
(213) 236-2047

ATTACHMENT A

ALLOWABLE INVESTMENTS

CITY AUTHORIZED STATE CODE
Maximum Maximum Minimum Maximum Maximum Minimum
% of Portfolio Maturity Quality % of Portfolio Maturity Quality Local Agency Bonds
Bonds issued by the City, including None 5 years None None 5 years None bonds payable solely out of revenues
fr
om a revenue producing property
owned, controlled, or operated by the
City or authority of the City
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- U.S. Treasury Obligations
∙ United States Treasury Notes, Bonds, None 5 years None None 5 years None Bills or other certificates of indebtedness
back
ed by the US government
∙ U.S. Treasury Zero Coupons
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- State Obligations - CA and Others
Bonds, notes or other evidence of None 5 years None None 5 years None indebtedness of any local agency
within this state
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- U.S. Agency Obligations
Discount notes or notes issued by None 5 years None None 5 years None Agencies of the Federal Government
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Collateralized Bank Deposits
Non - negotiable Certificate of Deposit None 5 years None None 5 years None issued by a nationally or state - charted
bank or association or a State - licensed
branch or a foreign bank (insured by the
federal government); Bank Collateralized
Savings.
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Medium-term notes issued by 30% 5 years "A" or better ranking 30% 5 years "A" or better ranking corporations by nationally recognized by nationally recognized rating service rating service
U.S. domiciled corporations U.S. domiciled corporations or U.S. licensed depository or U.S. licensed depository ------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Local Agency Investment Fund (LAIF)
State of California Local Agency Investment None Not applicable None None Not applicable None Fund (LAIF) or other Local Government
Investment Pools established by
public entities
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Investment Types
9/8/ 20214:14 PM

ATTACHMENT A

ALLOWABLE INVESTMENTS

CITY AUTHORIZED STATE CODE
Maximum Maximum Minimum Maximum Maximum Minimum
% of Portfolio Maturity Quality % of Portfolio Maturity QualityInvestment Types Los Angeles County Pooled Investment Fund
California Government Code Section 53684 10% of LACPIF None None Not applicable None None allows local agencies in the County of Los pool balance Angeles to deposit excess funds in the Los
Angeles County Treasury Pool for the purpose
of investment by the Treasurer and Tax
Collector of the County
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Mutual Funds and Money Market Mutual Funds 20% Not applicable Highest ranking by 20% Not applicable Highest ranking by not less 2 largest rating not less 2 largest rating
services services
Have an SEC registered Have an SEC registered
investment advisor with investment advisor with
more than 5 years' more than 5 years'
experience experience
Assets under management Assets under management
greater than $500 million greater than $500 million
"Banker's acceptance" 40% of portfolio (no more than 180 days None 40% of portfolio (no more than 180 days None 30% in any one commercial 30% in any one commercial
bank
) bank)
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Commercial Paper 40% of portfolio for counties, cities 270 days "A" or higher rating 40% of portfolio for counties, cities 270 days "A" or higher rating and other local agencies (No more for issuer's debt within and other local agencies (No more for issuer's debt within than 10% of agency's money in the U.S. corporations and have than 10% of agency's money in the U.S. corporations and have commerical paper of any one assets in excess of $500 million. commerical paper of any one assets in excess of $500 million. corporate issuer) corporate issuer)
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Repurchase Agreements Not Allowable Not Allowable Not Allowable None 1 year None Negotiable Certificates of Deposit
Negotiable Certificates of Deposit 30% 5 years None 30% 5 years None issued by a nationally or State - charted
Bank, a federal association, or a State -
licensed branch of a foreign - owned
bank (insured by the federal government).
9/8/ 20214:14 PM

ATTACHMENT A

ALLOWABLE INVESTMENTS

CITY AUTHORIZED STATE CODE
Maximum Maximum Minimum Maximum Maximum Minimum
% of Portfolio Maturity Quality % of Portfolio Maturity QualityInvestment Types Financial Futures and Financial None 5 years None None 5 years None option contracts.
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Reverse Repurchase Agreements and Not Allowable Not Allowable Not Allowable 20% of the base value of the 92 days None Securities Lending Agreements portfolio
------------------------------------------------------------------- ----------------------------------------------- ---------------------------------- ------------------------------------------- -- ---------------------------------------------- -------------------------- ----------------------------------------- Mortgage Pass-Through Securities
∙ Mortgage-backed securities Not specified Not specified '(Corporate issued)
∙ Diversified Management Companies 20% 5 years "A" or better ranking 20% 5 years "A" or better ranking by nationally recognized by nationally recognized
rating service rating service
9/8/ 20214:14 PM

Staff Report
September 7, 2022
ATTACHMENT 2
Investments

(1) LA COUNTY POOLED INVESTMENT FUND 42,843,347.70$
(2) LOCAL AGENCY INVESTMENT FUND 43,859,054.60$
Purchase Maturity Interest
(3) CERTIFICATES OF DEPOSIT Date Date Rate
1 PREFERRED BANK 09/03/21 09/03/22 0.51% 100,000
2 PREFERRED BANK 09/08/21 09/08/22 0.51% 150,000
3 SALLIE MAE BANK 08/11/21 08/12/24 0.70% 245,000
4 GOLDMAN SACHS BANK 08/11/21 08/12/24 0.60% 245,000
5 TOYOTA FINANCIAL SAVINGS BANK 09/16/21 09/16/24 0.65% 245,000 6 BMW BANK NORTH AMERICA 09/17/21 09/17/24 0.65% 245,000 7 SYNCHRONY BANK 09/17/21 09/17/24 0.65% 245,000
8 UBS BANK USA 09/22/21 09/23/24 0.65% 245,000
9 STATE BANK OF INDIA 10/18/21 10/18/24 0.70% 245,000
10 LIVE OAK BANKING CO. 01/14/22 01/16/24 0.70% 245,000 11 GREENSTATE CREDIT UNION 01/14/22 01/16/24 0.70% 245,000 12 BEAL BANK USA 01/19/22 01/17/24 0.70% 245,000
13 MEDALLION BANK UTAH 01/28/22 01/28/25 1.25% 245,000 14 PENTAGON FEDERAL UNION 01/31/22 01/31/25 1.25% 245,000 15 BEAL BANK 02/02/22 01/29/25 1.15% 245,000
16 AMERICAN EXPRESS NATL BANK 03/09/22 03/11/24 1.60% 245,000 17 BARCLAYS BANK DELAWARE 03/09/22 03/11/24 1.55% 245,000 18 CAPITAL ONE BANK USA 03/16/22 03/17/25 1.80% 245,000 19 VALLIANCE BANK 03/18/22 03/18/25 1.40% 245,000
20 STATE BANK OF TEXAS 03/25/22 03/25/25 1.45% 245,000 21 FIRST FED SAVINGS & LOAN 03/30/22 03/31/25 2.00% 245,000 22 LAFAYETTE FEDERAL CREDIT UNION 03/30/22 03/31/25 2.20% 245,000 23 ALLY BANK 03/31/22 03/28/24 1.95% 245,000
24 COMENITY CAPITAL BANK 04/14/22 04/14/25 2.55% 245,000 25 AMERICU CREDIT UNION 04/21/22 04/21/25 2.30% 245,000 26 BALBOA THRIFT & LOAN 04/29/22 04/29/25 2.00% 245,000 27 CONNEXUS CREDIT UNION 05/26/22 05/28/24 2.65% 245,000 6,375,000.00$

CITY OF MONTEREY PARK

INVESTMENTS
AS OF JUNE 30, 2022

City Council Staff Report
DATE: September 7, 2022
AGENDA ITEM NO:

TO: The Honorable Mayor and City Council
FROM: Vincent D. Chang, City Clerk
SUBJECT: Minutes
RECOMMENDATION:

It is recommended that the City Council consider:

1. Approving the minutes from the regular meetings of July 6, 2022 and July 20, 2022; the special meetings of July 30, 2022, August 1, 2022 @ 5:30 p.
m., and August 1, 2022 @ 6:30 p.m.; and the special and regular meetings
of August 17, 2022; and

2. Taking such additional, r
elated, action that may be desirable.

EXECUTIVE SUMMARY:

None.

BACKGROUND:

None.

FISCAL IMPACT:

None.

Respectfully submitted,
Prepared by:

Vincent D. Chang
City Clerk
Viridiana Martinez
Senior Clerk Typist
Approved By:

Ron Bow
City Manager
ATTACHMENT(S):

1. Draft Minutes
Consent Calendar - 3B

Staff Report
September 7, 2022
ATTACH
MENT 1
Draft Minutes

70-XX

MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

REGULAR MEETING
JULY 6, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatem ent District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Regular Meeting of the Council in the Council Chamber, located at 320 West Newmark Avenue in the City of Monterey Park, Wednesday, July 6, 2022 at 6:30 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 6:31 p.m.

FLAG SALUTE:

The Monterey Park Fire Explorers led the Flag Salute.

ROLL CALL:

Deputy City Clerk Cindy Trang called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None.

ALSO PRESENT: City Treasurer Joseph Leon, City Manager Ron Bow, City Attorney Karl Berger, Assistant City Manager Inez Alvarez, Fire Chief Matt Hallock, Police Chief Kelly Gordon, City Librarian Diana Garcia, Director of Management Services Martha Garcia, Interim Direct or of Public Works Anthony Antich, Recreation Supervisor Guillermo Chavez, Police Lieutenant Paul Yniguez, Planning Manager Jessica Serrano, Deputy City Clerk Cindy Trang , Assistant Deputy City Clerk Helena Cho, Community Communications Coordinator Randy Ishino

VIRTUALLY PRESENT: City Clerk Vincent Chang, Director of Human Resources and Risk Management Christine Tomikawa, Economic Development Manager Joseph Torres, Housing Consultant Debbie Sotteck, Housing Consultant Priscila Davita

AGENDA ADDITIONS, DELETIONS, CHANGES AND ADOPTIONS

City Manager Bow announced additional Staff Communications from the Police Department and Management Services.

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July 6, 2022

PUBLIC COMMUNICATIONS

- Sarkis Antonian shared his concerns regarding traffic safety at the Mark etplace.

He also suggested that the Police Department should consider using electric vehicles.

- Nancy Arcuri suggested that City staff advise residents on the City’s districts before the November election. She also inquired about adding a traffic light to the project site on New Avenue.

- Carol Sullivan on behalf of the Monterey Park Woman’s Club thanked City staff for their contributions towards the Woman’s Club Fashion Show on July 23 rd and
announced that it is a sold out event.

- Jason Dhing announced that the theme for the Woman’s Club Fashion Show on July 23
rd will be 100 years of fashion.

STAFF COMMUNICATIONS

- Recreation Supervisor Chavez gave an update on prior and upcoming City events.

- Police Lieutenant Yniguez invited City Council and the community to attend National Night Out on August 2
nd at Barnes Park.

- City Librarian Garcia invited the community to attend the upcoming Community Workshops to hear from City leaders about City services and learn about the results of a recent priority survey.

1. PR
ESENTATION – None.

Matters listed under presentation are informational content and for discussion only.

2. O

LD BUSINESS

2A. 2022 CITY HALL CARPET REPLACEMENT – REJECT ALL SUBMITTED BIDS

AND ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO
EXECUTE A PUBLIC WORKS CONTRACT WITH JJJ FLOOR COVERING, INC.

WITHOUT THE NEED FOR ADDITIONAL BIDDING TO COMPLETE THE CITY

HALL CARPET REPLACEMENT PROJECT

On March 16th, 2022, the City Council adopted Resolution No. 2022- R13 approving the design and plans for the City Hall Carpet Replacement Project and authorizing the solicitation of bids for the City Hall Carpet Replacement project.

The public bid opening for this project was held on April 12, 2022. Only one bid was received from Empire Today LLC. Staff recommends rejection of all bids due to it being unresponsive. In order to minimize additional cost, staff is also recommending that the City Council adopt a resolution authorizing the C ity

70-XX
July 6, 2022
Manager to execute a Public Works contract with JJJ Floor Covering, Inc. without the need for additional bidding to complete the City Hall Carpet Replacement project in the amount of $189,910.09, plus 5% contingency.

CEQA (California Environmental Quality Act):

Since the proposed work is a minor alteration to an existing public facility, this project is Class 1 Categorically Exempt pursuant to the California Environmental Quality Act (CEQA).

Action Taken: The City Council (1) rejected all submitted bids submitted pursuant to the solicitation authorized via Resolution No. 2022- R13; (2) adopted Resolution No. 2022- R51 authorizing the City Manager to execute a Public Works contract with JJJ Floor Covering, Inc., in the amount of $189,910.09, without the need for additional bidding to complete the City Hall Carpet Replacement project; (3) authorized the Director of Public Works to approve change orders and contingency up to $9,496, or 5% of the contract amount; and (4) appropriated an additional $9,407 from the General Fund for this project.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Chan, Liang, Lo
Noes: Council Members: Yiu

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R51:

A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A
STANDARD PUBLIC WORKS AGREEMENT WITH JJJ FLOOR COVERING, INC.

WITHOUT THE NEED FOR ADDITIONAL BIDDING TO COMPLETE THE CITY

HALL CARPET REPLACEMENT PROJECT

3. CO
NSENT CALENDAR ITEMS NOS. 3A-3J

Matters listed under consent calendar are considered to be routine, ongoing business and are enacted by one motion unless specified.

Action Taken: The City Council approved and adopted Item Nos. 3A, 3B, 3E, 3G, 3H, 3I, and 3J on Consent Calendar, excluding Item Nos. 3C, 3D , and 3F which were pulled for discussion and separate motion, reading resolutions and ordinances by the title only and waiving further reading thereof.

70-XX
July 6, 2022

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3A. MINUTES

Approving the minutes from the regular and special meetings of May 18, 2022, and the special meeting of May 25, 2022.

Action Taken: The City Council approved the minutes from the regular and special meetings of May 18, 2022, and the special meeting of May 25, 2022 on Consent Calendar.

3B. CITY OF MONTEREY PARK RATIFYING MEMBERSHIP IN PUBLIC RISK INNOVATION, SOLUTIONS, AND MANAGEMENT (“PRISM”) RISK

MANAGEMENT POOL

City Council authorized the City Manager to move forward with negotiating quotes for the City’s excess insurance coverage and programs. On June 22, 2022, PRISM and City staff finalized coverage options and final quotes. The City of Monterey Park will participate in the PRISM join powers risk management pool effective July 1, 2022.

Action Taken: The City Council adopted Resolution No. 2022-R52 approving the City of Monterey Park’s membership in Public Risk Innovation, Solutions, and Management (“PRISM”) joint powers risk management pool on Consent Calendar.

Resolution No. 2022-R52:

A RESOLUTION JOINING THE PUBLIC RISK INNOVATION, SOLUTIONS AND MANAGEMENT (“PRISM”), A JOINT POWERS AUTHORITY OPERATING PURSUANT TO A JOINT POWERS AGREEMENT AS AMENDED JUNE 30, 2020

AND APPOINTING REPRESENTATIVES TO PRISM

3C. ACCEPTANCE OF A DONATION IN THE AMOUNT OF $113,333.33 ON

BEHALF OF THE CITY OF MONTEREY PARK FOR THE BRUGGEMEYER

LIBRARY

Pursuant to Resolution No. 11776, the City Council may accept donations with a value estimated at $25,000 or greater (Attachment 1 to the staff report ). It is requested that the City Council accept a donation from the estate of Mr. Robert G.

70-XX
July 6, 2022
Low in the amount of $113,333.33 on behalf of the City of Monterey Park for the Bruggemeyer Library.

Action Taken: The City Council a ccepted a donation in the amount of $113,333.33 of behalf of the City of Monterey Park for the Bruggemeyer Library ; and authorized the City’s Management Services Department to appropriate $20,000 of this donation to the FY22-23 budget.

Motion: Moved by Council Member Chan and seconded by Council Member Yiu, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3D. PURCHASE OF TWO AUTOMATED LICENSE PLATE READER SYSTEMS FROM 2020 URBAN AREA SECURITY INITIATIVE GRANT

The Monterey Park Police Department was awarded $76,252 in federal grant funding through the 2020 Urban Areas of Security Initiative (UASI) for the procurement and installation of two mobile automated license plate reader systems (ALPR). The City of Los Angeles, the UASI Administr ative Agent, will reimburse the City of Monterey Park for the equipment and installation of the system.

Action Taken: The City Council w aived bidding requirements pursuant to Monterey Park Municipal Code Section 3.20.050 (2) and (4), and authorized the City Manager to execute an agreement with Motorola Solutions, Inc., in a form approved by the City Attorney, not to exceed $76,252.00 for the purchase of two Mobile Automated License Plate Reader Systems (ALPR).

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3E.

CANNABIS TAX FUND GRANT PROGRAM (CTFGP) FUNDING FISCAL YEAR 2022/2023

The City of Monterey Park Police Department was notified of an award of $82,713.42 from the Department of California Highway Patrol (CHP) Cannabis Tax Fund Grant Program (CTFGP). The police department will utilize the grant funding to reduce and mitigate the impacts of impaired driving in our community.

70-XX
July 6, 2022

Action Taken: The City Council accepted g rant funds and authorized the City Manager to execute an agreement, in a form approved by the City Attorney, with the California Highway Patrol in the amount of $87,173.42 for the Cannabis Tax Fund Grant Program (CTFGP); and a uthorized the City’s Managemen t Services Department to allocate $82,713.42 in grant funding to the FY22 -23 budget on Consent Calendar.

3F. A RESOLUTION DECLARING THE MONTH OF JULY AS “PARKS MAKE LIFE BETTER” MONTH IN THE CITY OF MONTEREY PARK

During the month of July, the Recreation and Community Services Department is celebrating "Parks Make Life Better” month. By designating July as "Parks Make Life Better" month, the City of Monterey Park, Recreation and Community Services Department urges all residents to enjoy and recognize the social, physical, mental, economic, environmental, and community benefits derived from our parks, which provide something of value to everyone. As we observe "Parks Make Life Better" month, we recognize the vital contributions of our employees and volunteers who contribute to making parks and recreation facilities a great place to visit. These dedicated staff and volunteers keep our parks clean and safe for visitors, coordinate and organize special events, childcare, summer day camp, swim lessons, educational classes, senior activities, and health and fitness programs.

They ensure that parks and recreation facilities are safe and accessible places for all to enjoy.

Public Communication

- Deputy City Clerk Trang received, filed, and read into the record a written communication from Jon Chavira voicing his concerns regarding the lack of fruit bearing trees in City parks. He communicated that there are too many trees that produce pollen and urged the City Council to incorporate more fruit bearing trees throughout City Parks.

Action Taken: The City Council adopted Resolution No. 2022-R53 declaring the month of July as “Parks Make Life Better” Month in the City of Monterey Park.

Motion: Moved by Council Member Chan and seconded by Council Member Yiu, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

70-XX
July 6, 2022
Resolution No. 2022-R53:

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MONTEREY PARK DECLARING THE MONTH OF JULY 2022 AS PARKS MAKE LIFE BETTER MONTH

3G. AWARD OF PROFESSIONAL SERVICES AGREEMENT TO KIMLEY -HORN

FOR THE PREPARATION OF A LOCAL ROAD SAFETY PLAN (LRSP)

The City was awarded grant funding from the California Department of Transportation for the Monterey Park Local Roadway Safety Plan (LRSP). The City released a Request for Proposals (RFP) and received one bid from Kimley -Horn for the preparation of the City’s LRSP. Staff requests City Council approval to enter into an agreement with Kimley -Horn, in an amount not to exceed $49,978, for the preparation of the City’s LRSP.

Action Taken: The City Council authorized the City Manager to execute a Professional Services Agreement, in a form approved by the City Attorney, with Kimley-Horn, in an amount not to exceed $49,978, for the preparation of a Local Road Safety Plan (LRSP) on Consent Calendar.

3H. TRAFFIC SIGNAL IMPROVEMENTS – RECEIVE AND APPROPRIATE ADDITIONAL HIGHWAY SAFETY IMPROVEMENT PROGRAM (HSIP) CYCLE 7

GRANT FUNDS AND ISSUE TASK ORDER TO TRANSTECH ENGINEERS

The City was awarded a grant from Caltrans Highway Safety Improvement Program (HSIP) Cycle 7 for traffic signal improvements, CIP Project No. 96004.

The City was recently awarded an additional $100,000 from Caltrans for this project. Staff recommends receiving and appropriating the additional funding for construction phase. Additionally, staff recommends issuing a Task Order under the City’s On -call Engineering Agreement 2282-A with Transtech Engineers, in an amount not to exceed $100,000, for the required Construction Engineering Services. Staff recommends transferring $100,000 of Measure R Funds from construction phase to construction engineering phase to pay for the required services.

CEQA (California Environmental Quality Act):

The proposed project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to 14 California Code of Regulations §15301 as a Class 1 categorical exemption (Existing Facilities). The project results in minor alterations to existing public facilities involving no significant expansion of the existing use. The Project is not anticipated to have any signifi cant impacts with regards to traffic, noise, air quality or water quality.

70-XX
July 6, 2022
Action Taken: The City Council authorized the City Manager to receive and appropriate an additional $100,000 in Highway Safety Improvement Program (HSIP) Cycle 7 Grant Funds; and authorized a Task Order to Transtech Engineers, in an amount not to exceed $100,000, for Construction Engineering Serv ices for the HSIP Cycle 7 Traffic Signal Improvement project on Consent Calendar.

3I. AWARD OF CONTRACT TO STETSON ENGINEERS, INC. FOR ANALYSIS

AND REPORTING SERVICES RELATED TO POTABLE WATER TREATMENT

Stetson Engineers, Inc. has assisted the City in complying with regulations governing potable water treatment for over 25 years. Annual contracts were previously up to $60,000. New California law, however, will require additional assistance from this Company. Staff is requesting a three- year Professio nal Services Agreement with Stetson Engineers, Inc. for an amount not to exceed $80,000 annually.

Action Taken: The City Cou ncil authorized the City Manager to execute a three- year Agreement, in a form approved by the City Attorney, with Stetson Engineers , Inc. for professional services in an amount not to exceed $80,000 annually on Consent Calendar.

3J. APPROVAL OF THE SIXTH AMENDMENT TO SA ASSOCIATES’

PROFESSIONAL SERVICES AGREEMENT FOR THE CENTRALIZED

GROUNDWATER TREATMENT SYSTEM

SA Associates has an agreement with the City to provide construction management services for the Centralized Groundwater Treatment System. The project was augmented to incorporate a polyfluoroalkyl substances (PFAS) removal system which has extended the completion of the project. Staff is requesting the approval of the Sixth Amendment to the Professional Services Agreement to include additional construction management services for an amount not to exceed $60,000.

Action Taken: The City Council a uthorized the City Manager to execute the Sixth Amendment, in a form approved by the City Attorney, to the Professional Services Agreement with SA Associates for construction management of the Centralized Groundwater Treatment System, for an amount not to exceed $60,000 on Consent Calendar.

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July 6, 2022

4. P UBLIC HEARING

4A. PUBLIC HEARING AND APPROVAL OF THE 2022 -2023 ANNUAL ACTION

PLAN AS REQUIRED BY THE COMMUNITY DEVELOPMENT BLOCK GRANT,

AND HOME INVESTMENT PARTNERSHIPS PROGRAMS

The U.S. Department of Housing and Urban Development provides funding to states, counties and cities in the form of Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) funds. Since the City of Monterey Park is an Entitlement City, the City is eligible to receive both CDBG and HOME funds which it has for many years.

Before Monterey Park can receive these funds, federal regulations require that a Consolidated Plan (i.e., five- year plan) be adopted by the City that serves as the federal planning document for those jurisdictions receiving CDBG and HOME Investment Partnerships HOME Program funds. The Consolidated Plan was adopted by the City Council in 2020. In addition, federal regulations also require the adoption of an Annual Action Plan to the Consolidated Plan that operates on a single program year established by the City (i.e., July 1, 2022 through June 30, 2023). As required by federal requirements, the City will submit its One Year Annual Action Plan to the U.S. Department of Housing and Urban Development (HUD) by the statutory deadline of August 16, 2022.

The City of Monterey Park views the Annual Action Plan requirements as an opportunity to reassess its housing needs and priorities, as well as its programs and resources in a manner that will best meet the affordable housing and community development challenges of the Monterey Park community. The estimated City entitlement for FY 2022- 23 is $602,926 in CDBG funding and $338,882 in HOME funding.

Action Taken: The City Council (1) opened the public hearing at 7:41 p.m. with no testimonial and documentary evidence being presented; closed the public hearing at 7:41 p.m; (2) approved the One- year Action Plan (Action Plan) for Fiscal Year 2022-2023 for the Community Development Block Grant ("CDBG"), and HOME Investment Partnerships ("HOME") Programs; (3) directed staff to prepare and transmit the final documents to the U.S. Department of Housing and Urban Development ("HUD"); and (4) authorized the City Manager, or his designee, to take all actions necessary or desirable to implement the Annual Action Plan, and Subrecipient Agreements.

Motion: Moved by Council Member Liang and seconded by Council Member Chan, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

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July 6, 2022

5. NE W BUSINESS

5A. INITIATIVE PETITION FOR HEALTHCARE WORKER MINIMUM WAGE

ORDINANCE

On February 11, 2022, the City Clerk received a Notice of Intent to Circulate a Petition and a Request for Title and Summary for the proposed initiative filed by proponent Hortencia Armendariz, a Monterey Park resident. Subsequently, the Notice was published in the Monterey Park Progress and the proponent began circulation of the petition.

The signed Petition was filed with the City Clerk on May 11, 2022. Upon receiving the Petition, the City Clerk (as the City’s Elections Official1) forwarded it to the County of Los Angeles Registrar of Voters for verification of the signatures. The Elections Code allows the City Clerk up to thirty days “excluding Saturdays, Sundays, and holidays” to examine the Petition for sufficiency.

Public Communications

- Paul Young, on behalf of the Hospital Association of Southern California, voiced his opposition to the Healthcare Workers Minimum Wage Ordinance and communicated that the language used in the ballot measure is misleading.

- Tony Ramirez voiced his support for the Healthcare Workers Minimum Wage Ordinance and asked the City Council to adopt the ordinance.

- Carla Nunez urged the City Council to vote yes on the Healthcare Workers Minimum Wage Ordinance.

- Alberto Lopez expressed his support for the Healthcare Workers Minimum Wage Ordinance and urged the City Council to pass the ordinance.

- Jesus Rodrate spoke in support of the Healthcare Workers Minimum Wage Ordinance.

- Esteban Viramontez urged the City Council to pass the Healthcare Workers Minimum Wage Ordinance.

- Paul Nino Mira nda expressed his support for the Healthcare Workers Minimum Wage Ordinance.

- Rolando Calero voiced his support for the Healthcare Workers Minimum Wage Ordinance and urged the City Council to pass the ordinance.

- Jennifer Acosta said she is in support of the Healthcare Workers Minimum Wage Ordinance.

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July 6, 2022

- Luis Portillo, President & CEO of San Gabriel Valley Economic Partnership, urged the City Council to refer Item No. 5A to the ballot and expressed his opposition for the Healthcare Workers Minimum Wage Ordinance.

- Deputy City Clerk Trang received, filed, and read into the record a written communication from Thomas W. Hiltachk of Bell, McAndrews & Hiltachk, LLP voicing the firm’s objection to the Healthcare Workers Minimum Wage Ordinance.

Action Taken: The City Council directed the City Attorney to order an impacts report.

Motion: Moved by Council Member Liang and seconded by Council Member Chan, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

6. CITY COMMUNICATIONS (CITY COUNCIL)

- Councilmember Yiu recognized the increase in interest rates and gave an update on bond investments in the City.

- Councilmember Chan appointed Bethelwel Wilson to the Recreation & Parks Commission. He thanked City staff for putting together the Independence Day Celebration on July 2
nd.

- Councilmember Liang wished everyone a Happy Fourth of July and announced he was unable to attend any City events due to testing positive for COVID.

- Mayor Lo wished everyone a Happy Fourth of July and announced that he attended the City’s Independence Day Celebration on July 2 nd. He thanked the
Chinese American Military Support (CAMS) for inviting him to their Independence Day Celebration on July 3 rd. He also announced that the attended the Cambodia Ethnic Chinese Association’s July 4th celebration. Mayor Lo invited the Community to the Friendly Fred Walk on July 16 th at Bella Vista Park in recognition of former Councilmember Fred Sornoso.

7. FUTURE AGENDA ITEMS

8. CLOSED SESSION (IF REQUIRED; CITY ATTORNEY TO ANNOUNCE) None.

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July 6, 2022

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 8:40 p.m.

__________________________
Vincent D. Chang
City Clerk

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MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

REGULAR MEETING
JULY 20, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatem ent District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Regular Meeting of the Council in the Council Chamber, located at 320 West Newmark Avenue in the City of Monterey Park, Wednesday, J uly 20, 2022 at 6:30 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 6:30 p.m.

FLAG SALUTE:

The Monterey Park Police Explorers led the Flag Salute.

ROLL CALL:

City Clerk Vincent Chang called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None.

ALSO PRESENT: City Treasurer Joseph Leon, City Manager Ron Bow, Deputy City Attorney Joaquin Vasquez, Assistant City Manager Inez Alvarez, Fire Chief Matt Hallock, City Librarian Diana Garcia , Director of Recreation & Community Services Robert Aguirre, Director of Human Resources & Risk Management Christine Tomikawa, Director of Management Services Martha Garcia, Police Captain Scott Wiese, Planning Manager Jessica Serrano, Interim City Engineering Manager Ziad Mazboudi, Public Works Manager Chris Reyes, Public Works Principal Management Analyst Xochitl Tipan, Senior Librarian Reference Deborah Niblick, Deputy City Attorney Joaquin Vasquez, Deputy City Clerk Cindy Trang , Community Communications Coordinator Randy Ishino

VIRTUALLY PRESENT : City Attorney Karl Berger, Police Chief Kelly Gordon, Economic Development Manager Joseph Torres , CounterRisk Inc . RTG Intelligence Chief Candidate Michael T. Little, CliftonLarsonAllen LLP Principal Daphnie Munoz, FM3 Research Partner Richard Bernard

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July 20, 2022

AGENDA ADDITIONS, DELETIONS, CHANGES AND ADOPTIONS

City Manager Bow requested to move presentation to be heard after Consent Calendar items or upon the arrival of Senator Susan Rubio.

PUBLIC COMMUNICATIONS

- Nancy Arcuri expressed her opposition to the Healthcare Workers Minimum Wage Ordinance.

- Paul Young, on behalf of the Hospital Association of Southern California, voiced his opposition to the Healthcare Workers Minimum Wage Ordinance.

- Vinh T. Ngo, on behalf of the Garvey School District , recognized the Police Department for visiting Monterey Vista Elementary School and Hillcrest Elementary School.

- Christina Smith spoke in support of the Healthcare Workers Minimum Wage Ordinance.

- Rolando Calero expressed the importance of adopting the Healthcare Workers Minimum Wage Ordinance.

- Erica Ruiz expressed her support for the Healthcare Workers Minimum Wage Ordinance and urged the City Council to adopt the ordinance.

- Jordan Sorto voiced his support for the Healthcare Workers Minimum Wage Ordinance.

- Christiane Ruiz spoke about the importance of adopting the Healthcare Workers Minimum Wage Ordinance.

- Jennifer Acosta voiced her support for the Healthcare Workers Minimum Wage Ordinance and urged City Council to adopt the ordinance.

- April Valle spoke in support of the Healthcare Workers Minimum Wage Ordinance.

- Marta Alvardo expressed her support for the Healthcare Workers Minimum Wage Ordinance.

- Lisa Edwards voiced her support for the Healthcare Workers Minimum Wage Ordinance.

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July 20, 2022
- Cheer Liv expressed the importance of adopting the Healthcare Workers Minimum Wage Ordinance.

- Iris Tejada voiced her support for the Healthcare Workers Minimum Wage Ordinance.

- Deputy City Attorney Joaquin Vasquez shared a written communication from City Attorney Karl Berger , on behalf of the Hensley Law Group, proposing creating a “Dodger Day” memorial fund in honor of the late Council Member Fred Sornoso.

He informed Council that the memorial fund would provide assistance to young Dodger Fans experiencing financial hardships and unable to attend games.

STAFF COMMUNICATIONS

- Director of Recreation & Community Services provided an update on prior and upcoming City events. He also reported that the Night at Dodger Stadium event on August 5
th and the Hollywood Bowl Trip on August 27th are sold out.

- Senior Librarian Niblick informed the community of “Through the Lens an Asian American Experience” photo exhibition opened at the Library from July 8 th to
August 8th.

RECESSED AND RECONVENED
The City Council recessed at 7:14 p.m. and reconvened at 7:24 p.m.

1. PR
ESENTATION – None.

Matters listed under presentation are informational content and for discussion only.

- State Senator Susan Rubio provided a Powerpoint presentation regarding Legislative updates.

2. O
LD BUSINESS - None.

3. CO
NSENT CALENDAR ITEMS NOS. 3A-3J

Matters listed under consent calendar are considered to be routine, ongoing business and are enacted by one motion unless specified.

Action Taken: The City Council approved and adopted Item Nos. 3A , 3C, 3F, 3G, and 3H on Consent Calendar, excluding Item Nos. 3B, 3D , and 3E which were pulled for discussion and separate motion, reading resolutions and ordinances by the title only and waiving further reading thereof.

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July 20, 2022

Motion: Moved by Council Member Liang and seconded by Council Member Chan, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3A. MINUTES

Approving the minutes from the regular and special meetings of June 1, 2022, and the special meeting of June 8, 2022.

Action Taken: The City Council approved the minutes from the regular and special meetings of June 1, 2022, and the special meeting of June 8, 2022 on Consent Calendar.

3B. MONTHLY INVESTMENT REPORT – JUNE 2022

As of June 30, 2022 invested funds for the City of Monterey Park is $93,077,402.30.

Public Communication:

- City Treasurer Leon gave an update on the June 2022 monthly investment report and the City’s investment policy.

Action Taken: The City Council r eceived and filed the monthly investment report of June 2022.

3C. AUDITING SERVICES AGREEMENT - AWARD OF CONTRACT EXTENSION

The City signed a five- year contract (three years plus two optional years) with public accounting firm White Nelson Diehl Evans, LLP (WNDE) on April 20,2016 for audit services of fiscal years 2016 to 2020. To maintain continuity during the COVID-19 pandemic and while the City transitioned to its new Enterprise Resource Planning (ERP) system, City Council approved an extension for audit services through fiscal year 2022.

In November 2020, CliftonLarsonAllen, LLP (CLA), became successor to White Nelson Diehl Evans, LLP. Robert J. Callanan continued as the lead audit engagement principal.

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July 20, 2022
Government Code § 12410.6(b) prohibits the lead audit principal having primary responsibility for the audit from performing audit services for a local agency for more than six consecutive years; Robert J. Callanan has been the lead engagement principal for that amount of time. Therefore, the City is requesting to continue with CLA LLP and change the engagement principal. Daphnie Munoz will be the lead engagement principal for the term of this extension. A copy of her resume is available.

Action Taken: The City Council a warded a three- year contract extension of the City's auditing services to the City's current audit service provider, CliftonLarsonAllen LLP a certified public accounting and consulting firm ; and authorized the City Manager to execute an agreement amendment for the three- year extension, in a form approved by the City Attorney on Consent Calendar.

3D. CANNABIS TAX FUND GRANT PROGRAM (CTFGP) FUNDING FISCAL YEAR 2022/2023 RESOLUTION

On July 6, 2022 the Monterey Park City Council approved the acceptance of $82,713.42 from the Department of California Highway Patrol (CHP) Cannabis Tax Fund Grant Program (CTFGP) and authorized the City manager to execute an agreement with the California Highway Patrol. On July 7, 2022 staff was notified that the California Highway Patrol required a resolution by the city council in ord er to execute an agreement.

Action Taken: The City Council adopted Resolution No. 2022-R54 authorizing the City Manager to receive grant funds and execute an agreement, in a form approved by the City Attorney, with the California Highway Patrol in the amount of $82,713.42 for the Cannabis Tax Fund Grant Program (CTFGP).

Motion: Moved by Council Member Chan and seconded by Council Member Yiu , motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R54:

A RESOLUTION AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO

RECEIVE AND APPROPRIATE GRANT FUNDS FOR THE CANNABIS TAX FUND

GRANT PROGRAM

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July 20, 2022
3E. STATE HOMELAND SECURITY PROGRAM – AWARD OF CONTRACT TO MICHAEL T. LITTLE, OF COUNTERRISK, INC., FOR THE REGIONAL

TRAINING GROUP (RTG) INTELLIGENCE CHIEF POSITION

The County of Los Angeles is a Subgrantee of the State Homeland Security Program (SHSP) that is provided by the U.S. Department of Homeland Security.

Per the subrecipient agreement, the County of Los Angeles is authorized to enter into a subrecipient agreement with the City of Monterey Park. A portion of the grant funds awarded to the City of Monterey Park will include subsidies for a fulltime Regional Training Group (RTG) lntelligence Chief position, for the Los Angeles Area Fire Chiefs Associations (LAAFCA).

ln accordance with MPMC Chapter 3.20, staff completed a bidding process to identify a viable candidate for the RTG lntelligence Chief position. The position was advertised on multiple job search websites. Two candidates submitted proposals and interviews were conducted to select the most qualified applicant. Staff identified Michael T. Little of CounterRisk, lnc. Mr. Little has nearly 17 years of experience with the Los Angeles Fire Department, serving in various chief officer positions; including, Assistant Chief - Homeland Security Division. Additionally, he has a Bachelor of Science in Criminal Justice and a Master's in Homeland Security. Mr. Little's work experience coupled with his education make him a prime candidate for the position.

Staff recommends City Council to authorize the City to execute an agreement, in a form approved by the City Attorney, with the Michael T. Little of CounterRisk, lnc. for an amount not to exceed $606,720. The grant funded position will span over three grant award years. Commencing in the current grant year, SHSP 2020, and culminating with grant year SHSP 2022. The initial contract will be for a total of $146,720, with the option to renew for two subsequent grant award years, each for $230,000. The contract is contingent on award of funds from the County of Los Angeles.

Action Taken: The City Counc il authorized the City Manager to execute a year agreement, with the potential to extend for an additional two years, with Michael T.

Little of CounterRisk, Inc., in a form approved by the City Attorney, to provide and coordinate effective intelligence- sharing between Los Angeles area fire service agencies and intelligence, counterterrorism, and homeland security stakeholders for an amount of $606,720.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

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July 20, 2022
3F. PREQUALIFICATION OF CONTRACTORS TO BID ON PUBLIC WORKS

CONTRACTS

Staff recommends the City Council approve a program that allows the City to prequalify contractors to bid on Public Works contracts by establishing procedures to rate prospective bidders and procedures allowing contractors to appeal the City’s prequalification decisions.

Action Taken: The City Council adopted Resolution No. 2022-R55 establishing a procedure for Prequalifying Contractors to bid on Public Works Contracts pursuant to the Public Contracts Code; and adopted Resolution No. 2022-R56 establishing a procedure allowing Contractors to appeal decisions regarding prequalification for Public Works Contracts on Consent Calendar.

Resolution No. 2022-R55:

A RESOLUTION A PROCEDURE FOR PREQUALIFYING CONTRACTORS TO

BID ON PUBLIC WORKS CONTRACTS PURSUANT TO PUBLIC CONTRACTS CODE § 20101

Resolution No. 2022-R56:

A RESOLUTION ADOPTED IN ACCORDANCE WITH PUBLIC CONTRACTS CODE § 20101, ESTABLISHING A PROCEDURE ALLOWING CONTRACTORS

TO APPEAL DECISIONS REGARDING PREQUALIFICATION FOR PUBLIC

WORKS CONTRACTS

3G. PURCHASE O F PASSIO TECHNOLOGIES AUTOMATIC PASSENGER

COUNTING SYSTEM

Staff recommends entering into a three- year agreement with Passio Technologies for the purchase and installation of an Automatic Passenger Counting system for its Spirit Buses. Passio Technologies is currently used by, First Transit, the City’s Spirit Bus operator and offers the City optimal pricing for its system. This system is a transit management tool that collects valuable data and assists transit administrators track and analyze ridership patterns and provides insight into the bus system’s efficiency.

Action Taken: The City Council authorized the City Manager to execute an Agreement, in a form approved by the City Attorney, with Passio Technologies, in an amount not -to-exceed $101,809 for the purchase and installation of an Automatic Passenger Counting System for the City’s Spirit Buses ; and appropriated $101,809 from Proposition A funds for this purchase on Consent Calendar.

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July 20, 2022
3H. AMENDMENT TO AGREEMENT 2057 -A WITH ATHENS SERVICES FOR

STREET SWEEPING SERVICES

The street sweeping agreement with Athens Services will expire on August 31, 2022. Staff recommends that the City exercise its option to extend the agreement for an additional three years through August 31, 2025.

Action Taken: The City Council authorized the City Manager to execute an Amendment, in a form approved by the City Attorney, to Agreement 2057- A with Athens Services, in an amount not-to-exceed $345,092 per year (plus annual CPI), to extend the contract for street sweeping services for an additional three years on Consent Calendar.

4. P
UBLIC HEARING – None.

5. N

EW BUSINESS

5A. BALLOT PROPOSITION TO IMPOSE A ¾ CENT SALES TAX FOR GENERAL

MUNICIPAL PURPOSES

The recommended actions would cause a proposition to be placed on the November 8, 2022 ballot regarding a general sales tax. If adopted by voters, the sales ta x would increase the City’s local sales tax revenue by a projected $6,000,000 per year. Revenue from that sales tax measure may be used for any general municipal purpose.

Public Communications:

- Nancy Arcuri expressed her support for the ballot proposition to impose a ¾ cent sales for general municipal purposes.

Action Taken: The City Council (1) adopted Resolution No. 2022-R57 placing a proposition on the November 8, 2022, ballot which, if adopted by a majority of voters, would impose a general sales tax, as amended to delete the word “for” in the ballot title; (2) d etermined Mayor Lo as the person designated for filing an argument favoring the ballot proposition; (3) adopted a Resolution No. 2022-R58 requesting that the City Attorney prepare an impartial analysis for the ballot measure; (4) adopted Resolution No. 2022-R59 establishing regulations for ballot arguments; and (5) a dopted Resolution No. 2022 -R60 supporting the sales tax proposition.

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July 20, 2022
Motion: Moved by Mayor Lo and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R57:

A RESOLUTION ADDING A PROPOSITION TO THE BALLOT FOR THE PREVIOUSLY CALLED NOVEMBER 8, 2022, REGULAR MUNICIPAL ELECTION PURSUANT TO ELECTIONS CODE § 9222

Resolution No. 2022-R58:

A RESOLUTION DIRECTING THE CITY ATTORNEY TO PREPARE AN

IMPARTIAL ANALYSIS OF THE PROPOSITION AUTHORIZING IMPOSITION OF

A THREE-QUARTER CENT TRANSACTIONS AND USE TAX (SALES TAX) TO

FUND GENERAL MUNICIPAL SERVICES TO BE ADMINISTERED BY THE

STATE BOARD OF EQUALIZATION

Resolution No. 2022-R59:

A RESOLUTION ESTABLISHING REQUIREMENTS FOR BALLOT ARGUMENTS

FILED WITH THE CITY CLERK TO BE INCLUDED WITH VOTER INFORMATION FOR THE GENERAL ELECTION ON NOVEMBER 8, 2022

Resolution No. 2022-R60:

A RESOLUTION OF THE CITY OF MONTEREY PARK TO SUPPORT A BALLOT PROPOSITION NEEDED TO MAINTAINING MONTEREY PARK’S LONG TERM

FINANCIAL STABILITY AND LOCALLY CONTROLLED SERVICES BY
ESTABLISHING A ¾ CENT TRANSACTIONS AND USE (SALES) TAX, RAISING APPROXIMATELY $6,000,000 ANNUALLY TO THE GENERAL FUND

RECESSED AND RECONVENED
The City Council recessed at 9:15 p.m. and reconvened at 9:25 p.m.

5B. PROPOSED DISSOLUTION OF THE NEWMARK AVENUE UNDERGROUND UTILITY DISTRICT; CREATION OF THE MONTEREY PASS ROAD

UNDERGROUND UTILITY DISTRICT

Resolution No. 11264 (adopted April 1, 2009) created an Underground Utility District on Newark Avenue between Garfield Avenue to New Avenue (“Newmark UUD”). If adopted, the draft Resolution would set a public hearing to consider dissolution of the Newmark UUD on August 17, 2022. At that time, the City Council would also consider the recommended creation of a new Underground Utility District on Monterey Pass Road from Garvey Avenue to Vagabond Drive (“MPR UUD”).

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July 20, 2022
Action Taken: The City Council (1) adopted the Resolution of Intent, Resolution No. 2022- R61, to dissolve the existing Underground Utilities District on Newmark Avenue from Garfield Avenue to New Avenue and, also, to create the Monterey Pass Underground Utility District. The date for considering such actions would be August 17, 2022 at 6:30 p.m; (2) directed the City Manager, or designee, to notify all affected property owners of the Underground Utility Districts in accordance with Monterey Park Municipal C ode (“MPMC”) §

14.16.020; and (3) directed the City Manager, or designee, to file necessary documents with all affected utility companies.

Motion: Moved by Council Member Liang and seconded by Council Member Chan, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R61:

A RESOLUTION DECLARING THE CITY COUNCIL’S INTENT TO REPEAL RESOLUTION NO. 11264 A ND ESTABLISH A NEW MONTEREY PARK PASS

ROAD UNDERGROUNDING DISTRICT PURSUANT TO MONTEREY PARK
MUNICIPAL CODE CHAPTER 14.16.

6. CITY COMMUNICATIONS (CITY COUNCIL)

Council M ember Yiu reported that she attended the “Friendly Fred Walk” and expressed her condolences to the late Council Member Fred Sornoso’s family.

Council Member Chan reported that he attended the “ Friendly Fred Walk ” and suggested organizing future tribute walks in honor of the late Council Member Fred Sornoso. He also reported that on July 14
th Sun Yet-Sen school toured City Hall,
the Police Department, and Fire Department.

Council Member Liang reported that he attended the “Friendly Fred Walk” and expressed his condolences to the late Council Member Fred Sornoso’s family.

Mayor Lo expressed gratitude for the outpouring turnout for the “Friendly Fred Walk” and suggested organizing more walks in honor of the late Council Member Fred Sornoso.

7. FUTURE AGENDA ITEMS

8. CLOSED SESSION (IF REQUIRED; CITY ATTORNEY TO ANNOUNCE) None.

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July 20, 2022

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 9:35 p.m. in memory of late Council Member Fred Sornoso.

__________________________
Vincent D. Chang
City Clerk

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MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

SPECIAL MEETING
JULY 30, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatement District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Special Meeting of the Council in Courtyard by Marriott Boardroom located at 555 N. Atlantic in the City of Monterey Park on Saturday, July 30, 2022 at 8:30 a.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 8:35 a.m.

FLAG SALUTE:

Mayor Lo led the Flag Salute.

ROLL CALL:

City Manager Ron Bow called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None

ALSO PRESENT: City Attorney Karl Berger, Assistant City Manager Inez Alvarez, Fire Chief Matt Hallock, Police Chief Kelly Gordon, Director of Management Services Martha Garcia, Director of Recreation & Community Services Robert Aguirre, Director of Human Resources & Risk Management Christine Tomikawa, City Librarian Diana Garcia, Interim Director of Community & Economic Development Steve Sizemore, Police Captain Scott Wiese, Planning Manager Jessica Serrano, Deputy City Clerk Cindy Trang, Secretary to the City Manager Diana Wong

VIRTUALLY PRESENT: City Manager Ron Bow

Public Communications:

- Thomas Wong spoke about climate change.

- Gabe Montoya voiced his support for increasing Healthcare Workers minimum wage.

- Maky Peters expressed support for increasing Healthcare Workers minimum wage.

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July 30, 2022

- Albert Young expressed his opposition against increasing the Healthcare Workers minimum wage.

- Planning Manager Serrano presented a presentation on Going Green Work Program and provided a timeline for implementation.

NEW BUSINESS

1. STRATEGIC PLANNING WORKSHOP

This is a City Council workshop to prioritize the City’s legislative and project agenda.

It is anticipated that the workshop will not result in the City Council taking any particular action. Instead, City Councilmembers and key staff members will be reviewing the City Council’s previous strategic plan; updating it; and providing direction to the City Manager. Topics may include, without limitation, infrastructure improvements; revenue enhancement; land use challenges; and municipal property needs assessment. Any direction provided by the City Council will appear on future meeting agendas. The anticipated outline of the workshop will follow this general order:

• Overview
• Lasting Community Impacts
• Refresher on Form of Government
• Review Work to Date for 2022, Explore Plans for remainder of 2022 and into 2023
• Headwinds: Change as Process, not an Event
• Hot Topics
• Strategic Plan
• Next Steps

DISCUSSION: City Consultant, Patrick Ibarra of the Mejorando Group, facilitated a strategic workshop for the City Council to discuss ideas and suggestions towards the future vision of the City. The City Council ensued in discussions regarding Lasting Community Impacts; Review Work to Date for 2022, Explore Plans for remainder of 2022 and into 2023; “Headwinds: Change as Process, not an Event”; Hot Topics including discussion on governance, fiscal, community, land use, internal/operational, environmental, housing, amenities, and public safety; Strategic Plan; and Next Steps to include periodic updates and inclusion in future council reports.

Action Taken: No reportable action taken.

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July 30, 2022

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 2:42 p.m.

Vincent D. Chang
City Clerk

70-XX

MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

SPECIAL MEETING
AUGUST 1, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatement District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Special Meeting of the Council in Room 266, Second Floor of City Hall located at 320 West Newmark Avenue in the City of Monterey Park on Monday, August 1, 2022 at 5:30 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 5:30 p.m.

ROLL CALL:

City Manager Ron Bow called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None

ALSO PRESENT: City Manager Ron Bow, City Attorney Karl Berger , Assistant City Manager Inez Alvarez, Alan Sozio of Burke, Williams & Sorensen

ORAL AND WRITTEN COMMUNICATIONS – None.

1. CLOSED SESSION
The City Council adjourned to Closed Session at 5:30 p.m.

1-A. CONFERENCE WITH LEGAL COUNSEL – INITIATION OF LITIGATION – GOVERNMENT CODE § 54956.9(D)(4)). NUMBER OF POTENTIAL CASES: ONE.

Potential defendants and properties listed below (not required by applicable law; voluntarily disclosed):

1. Center Int’l Investments, Inc. and Does 1-25. 1688 West Garvey (APN 5254-002-031).

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1-B. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION – GOVERNMENT CODE § 54956.9(D)(1). NUMBER OF CASES: FOUR.

1. The People of the State of California, ex rel., Mark D. Hensley, City Attorney for the City of Monterey Park v. Center Int’l Investments, Inc., et al. (filed December 31, 2015) LASC Case No. BC605788.

2. Save Our Slopes v. City of Monterey Park, et al. (filed July 21, 2022) LASC Case No. 21STCP02365.

3. Center Int’l Investments, Inc. v. City of Monterey Park (filed May 2, 2022) LASC Case No. 22STCV14135.

4. Center Int’l Investments, Inc. v. City of Monterey Park (filed May 4, 2022) LASC Case No. 22STCP01678.

RECONVENE & ADJOURNMENT
The City Council reconvened from Closed Session with all Council Members present. The meeting was adjourned at 6:05 p.m.

Action Taken: No reportable action taken.

__________________
Vincent D. Chang
City Clerk

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MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

SPECIAL MEETING
AUGUST 1, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatem ent District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Special Meeting of the Council in the Council Chamber, located at 320 West Newmark Avenue in the City of Monterey Park, Monday , August 1, 2022 at 6:30 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 6:30 p.m.

FLAG SALUTE:

The Monterey Park Fire Explorers led the Flag Salute

ROLL CALL:

City Clerk Vincent Chang called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None.

ALSO PRESENT: City Attorney Karl Berger, Assistant City Manager Inez Alvarez , Police Chief Kelly Gordon, Director of Management Services Martha Garcia, Planning Manager Jessica Serrano, Public Works Principal Management Analyst Xochitl Tipan, Deputy City Clerk Cindy Trang, Community Communications Coordinator Randy Ishino

VIRTUALLY PRESENT: City Manager Ron Bow, Director of Recreation & Community Services Robert Aguirre, City Librarian Diana Garcia, Fire Division Chief Ryan Weddle, Economic Development Manager Joseph Torres, Police Captain Scott Wiese

AGENDA ADDITIONS, DELETIONS, CHANGES AND ADOPTIONS

City Attorney Berger announced there is a supplemental staff report for Item No. 2A.

PUBLIC COMMUNICATIONS

- Nancy Arcuri spoke in opposition of the Initiative Petition and urged City Council to not adopt it as an ordinance.

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August 1, 2022
- Nayiri Baghdassaian, on behalf of the San Gabriel Valley Economic Partnership, urged the City Council to place the Initiative Petition on the November 8th ballot.

- Paul Young, on behalf of the Hospital Association of Southern California, spoke in opposition of adopting the Initiative Petition as an ordinance.

- Adena Tesslee, on behalf of the Hospital Association of Southern California, voiced her opposition for the Initiative Petition and asked that City Council not adopt it as an ordinance.

- Rolando Calero expressed his support for adopting the Initiative Petition as an ordinance.

- Martha Capra voiced her support for raising the minimum wage for Healthcare Workers.

- Esteban Viramontes urged the City Council to adopt the Initiative Petition ordinance.

- Lisa Edwards expressed her support for the Initiative Petition and asked that the City Council adopt the ordinance.

- Bing Fu Guan voiced his support for raising the minimum wage for Healthcare Workers.

- Mark Garcia encouraged that City Council to adopt the Initiative Petition as an ordinance.

- Jose Jimenez spoke in support of adopting the Initiative Petition ordinance.

- Yue Xi Yang voiced her support for the Initiative Petition and asked that the City Council adopts the ordinance.

- Jorge Hernandez asked that City Council to adopt the Initiative Petition as an ordinance.

- Jairo Castillo voiced his support for adopting the Initiative Petition ordinance.

- Osca r Najarro urged City Council to adopt the Initiative Petition as an ordinance.

- Leo Sanglang expressed his support for the Initiative Petition and urged the City Council to adopt the ordinance.

- Tony Ramirez said he is in support adopting the Initiative Petition ordinance.

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August 1, 2022
- Suzzane Ramirez voiced her support for adopting the Initiative Petition ordinance.

- Maky Peters expressed support for raising the minimum wage for Healthcare Workers and urged the City Council to adopt the Initiative Petition as an ordinance.

- Jaime Rojas, on behalf of the California Hispanic Chamber of Commerce, spoke in opposition of the Initiative Petition as it is currently written and opposed adopting it as an ordinance.

- Juan Sanjuan, on behalf of the LA Metro Hispanic Chamber , urged the City Council to place the Initiative Petition on the November 8th ballot.

- Monica Gonzalez, on behalf of the No On the Unequal Pay Measures Coalition , suggested that City Council add the Initiative Petition to the November 8th ballot.

- Michael Juarez , on behalf of the California Hispanic Chamber of Commerce , expressed opposition for adopting the Initiative Petition as an ordinance.

- Gabriel Montoya spoke in support of the Initiative Petition and urged the City Council to adopt the ordinance.

- Lorena Vellanoweth voiced her support for the Initiative Petition and urged the City Council to vote yes on raising the minimum wage for Healthcare Workers.

- Linna Chu urged the City Council to adopt the Initiative Petition as an ordinance.

- Arturo Perez voiced his support for raising the minimum wage for Healthcare Workers.

- Clara Nunez urged the City Council to adopt the Initiative Petition as an ordinance.

- Jose Barrera expressed his support for the Initiative Petition and asked the City Council to adopt it as an ordinance.

- April Valle spoke in support of the Initiative Petition and urged the City Council to adopt the petition as an ordinance.

- City Clerk Chang received, filed, and informed the City Council that three written communications were received after the submittal period, with two being in opposition and one being in support of adopting the Initiative Petition as an ordinance.

STAFF COMMUNICATIONS – None.

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August 1, 2022

1. PR ESENTATION – None.

Matters listed under presentation are informational content and for discussion only.

2. O
LD BUSINESS - None.

2A. IMPACT REPORT REGARDING HEALTHCARE WORKER COMPENSATION INITIATIVE PETITION (THE “INITIATIVE PETITION”)

On July 6, 2022, the City Council considered Agenda Item No. 5- A. After a staff presentation and public comment, the City Council asked that a report be presented to the City Council outlining the potential impacts to the City were the Initiative Petition to become law.

This Report outlines the positions of the proponents and opponents of the Initiative Petition. Additionally, it provides the City Council information regarding the projected cost to the City were the petition to become law. Contrary to the assertions of the proponents, were the Initiative Petition to become effective, the City will incur costs associated with the Initiative Petition. While somewhat speculative, the ongoing administration and enforcement costs would be approximately $125,000 per year. This does not include any costs associated with defending against already threatened lawsuits by the opponents to the Initiative Petition. Nor does it include the approximately $30,000 that must be paid to L os Angeles County to place the matter onto the ballot.

Action Taken: Council Member Yiu declared a potential conflict of interest as her spouse’s employment is in the healthcare industry, therefore she recused herself from the dais and did not participate in discussion. Upon the City Clerk’s certification of the qualifying petition, the City Council adopted Resolution No. 2022-R62.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: Yiu
Abstain: Council Members: None

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August 1, 2022
Resolution No. 2022-R62:

A RESOLUTION CERTIFYING THAT AN INITIATIVE ENTITLED “AN INITIATIVE

REQUIRING PERSONS EMPLOYING PARTTIME AND FULL -TIME

HEALTHCARE WORKERS INCLUDING, WITHOUT LIMITATION, CLINICIANS,

NURSES, CERTIFIED NURSING ASSISTANTS, AIDES, TECHNICIANS,

MAINTENANCE WORKERS, JANITORIAL OR HOUSEKEEPING STAFF

PERSONS, GROUNDSKEEPERS, GUARDS, FOOD SERVICE WOR KERS,

LAUNDRY WORKERS, PHARMACISTS, NONMANAGERIAL ADMINISTRATIVE

WORKERS, AND BUSINESS CLERICAL WORKERS (BUT NOT MANAGERS OR SUPERVISORS) TO PAY A MINIMUM HOURLY WAGE OF $25 TO BE INCREASED ON AN ANNUAL BASIS.” QUALIFIES FOR THE BALLOT

Action Taken: Council Member Yiu declared a potential conflict of interest as her spouse’s employment is in the healthcare industry, therefore she recused herself from the dais and did not participate in discussion. The City Council adopted the petition and adopted Ordinance No. 2223.

Motion: Moved by Council Member Liang and seconded by Mayor Lo, motion carried by the following vote:

Ayes: Council Members: Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: Yiu
Abstain: Council Members: None

Ordinance No. 2223:

AN ORDINANCE ADOPTING AN INITIATIVE ENTITLED “AN INITIATIVE

REQUIRING PERSONS EMPLOYING PART -TIME AND FULL -TIME

HEALTHCARE WORKERS INCLUDING, WITHOUT LIMITATION, CLINICIANS,

NURSES, CERTIFIED NURSING ASSISTANTS, AIDES, TECHNICIANS,

MAINTENANCE WORKERS, JANITORIAL OR HOUSEKEEPING STAFF

PERSONS, GROUNDSKEEPERS, GUARDS, FOOD SERVICE WORKERS,

LAUNDRY WORKERS, PHARMACISTS, NONMANAGERIAL ADMINISTRATIVE

WORKERS, AND BUSINESS CLERICAL WORKERS (BUT NOT MANAGERS OR SUPERVISORS) TO PAY A MINIMUM HOURLY WAGE OF $25 TO BE INCREASED ON AN ANNUAL BASIS. ” AND CODIFYING THAT INITIATIVE INTO A NEW CHAPTER 6.40 IN THE MONTEREY PARK MUNICIPAL CODE ENTITLED “HEALTHCARE WORKER COMPENSATION.”

RECESSED AND RECONVENED
The City Council recessed at 8:01 p.m. and reconvened at 8:10 p.m.

3. CO
NSENT CALENDAR ITEMS NOS. 3A-3G

Matters listed under consent calendar are considered to be routine, ongoing business and are enacted by one motion unless specified.

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August 1, 2022
Action Taken: The City Council approved and adopted Item Nos. 3A, 3B, 3C, 3D, 3E, 3F, and 3G on Consent Calendar.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3A. MINUTES

Approving the minutes from the regular meeting of June 15, 2022, and the special meeting of June 29, 2022.

Action Taken: The City Council approved the minutes from the regular meeting of June 15, 2022, and the special meeting of June 29, 2022 on Consent Calendar.

3B. CONSIDERATION AND POSSIBLE ACTION TO ADOPT A RESOLUTION TO

RECORD A NOTICE OF NUISANCE ABATEMENT LIEN AGAINST CERTAIN PROPERTY IN THE CITY (APN 5254-002-031)

Adopting the resolution attached to the staff report, will allow the City to recover costs, inclu ding attorney’s fees, incurred the City’s abatement of the public nuisance present on certain real property located in the City (APN 5254- 002-031) (the “Property”) owned by Center Int’l Investments Inc. (“CII”). The Resolution authorizes recording the associated Notice of Nuisance Abatement Lien in the amount of $4,436,217.07. This will be the second lien on the Property for the time period of April 1, 2022 and June 30, 2022. After recording this lien, the liens against the Property will total $5,689,830.53.

CEQA (California Environmental Quality Act):

Adoption of this Resolution is exempt from the California Environmental Quality Act (“CEQA”) under CEQA Guidelines § 15061(b)(3) because it can be seen with certainty that there is no possibility that the action proposed by the proposed resolution would have a significant effect on the environment.

Action Taken: The City Council adopted R esolution No. 2022- R63 to record a Notice of Nuisance Abatement Lien on Consent Calendar.

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August 1, 2022
Resolution No. 2022-R63:

A RESOLUTION EXTENDING THE LOCAL EMERGENCY FOR THE
GOODVIEWS ABATEMENT PROJECT (“GAP”) PURSUANT TO GOVERNMENT CODE § 8630 AND AUTHORIZING THE RECORDATION OF A NUISANCE

ABATEMENT LIEN AGAINST CERTAIN REAL PROPERTY LOCATED IN THE CITY (APN 5254-002-031)

3C. IDENTIFYING A TAX RATE FOR COLLECTING VOTER AUTHORIZED

PROPERTY TAXES FOR EMPLOYEE RETIREMENT BENEFITS BASED ON THE ASSESSED VALUATION ESTABLISHED BY THE COUNTY ASSESSOR’S OFFICE

The City of Monterey Park’s retirement costs are, in part, funded by a special voter approved property tax. Each year the City is required to establish a tax rate to generate the retirement property tax based on the assessed valuation established by the County Assessor’s Office.

Action Taken: The City Council a dopted Resolution No. 2022-R64 identifying the amount of tax revenue required to fulfill the voters’ intent in funding the City’s retirement system on Consent Calendar.

Resolution No. 2022-R64:

A RESOLUTION IDENTIFYING THE AMOUNT OF TAX REVENUE REQUIRED TO FU LFILL THE VOTERS’ INTENT IN FUNDING THE CITY’S RETIREMENT SYSTEM DURING FISCAL YEAR 2022-2023 AND AUTHORIZING THE LEVY OF

APPROPRIATE TAXES

3D. PROFESSIONAL SERVICES AMENDMENT WITH MV CHENG AND

ASSOCIATES FOR GOVERNMENTAL ACCOUNTING CONSULTING

SERVICES

The Management Services Department currently has six full time staff positions vacant. The City is struggling to find qualified applicants and has contracted with MV Cheng and Associates to provide governmental accounting services for the Management Servic es Department while qualified candidates are identified and hired with the City.

The City is requesting to a mend the contract with MV Cheng and Associates to increase the not to exceed amount from $60,000 to $150,000.

Action Taken: The City Council a uthorized the City Manager to execute an amendment with MV Cheng and Associates in a form approved by the City Attorney; to provide governmental accounting services for an amount not to exceed $150,000 on Consent Calendar.

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August 1, 2022
3E. SECOND AMENDMENT TO AGREEMENT 2260-A WITH THE SAN GABRIEL

VALLEY COUNCIL OF GOVERNMENTS FOR PARTICIPATION IN ITS

REGIONAL FOOD RECOVERY PROGRAM

Senate Bill 1383 (SB 1383) requires cities to implement mandatory organics recycling programs that provide organic waste collection services to all residents and businesses and to establish a food recovery program. The City joined the San Gabriel Valley Council of Governments (SGVCOG) Regional Food Recovery Program to comply with SB1383’s food recovery components and assist businesses to comply with the law. Staff recommends the City amend the agreement with SGVCOG to participate in the expansion of the Food Recovery Program (Tasks 7-9) to increase food recovery capacity in the region.

Action Taken: The City Council authoriz ed the City Manager to execute Amendment No. 2, in a form approved by the City Attorney, to Agreement 2260- A with the San Gabriel Valley Council of Governments, for participation in Tasks 7- 9 of the Food Recovery Program on Consent Calendar.

3F. CALIFORNIA OFFICE OF TRAFFIC SAFETY (OTS) STEP GRANT FISCAL YEAR 2022/2023

The City of Monterey Park Police Department was notified of a tentative award of $189,000.00 from the California Office of Traffic Safety (OTS) Selective Traffic Enforcement Program (STEP) Grant. The police department will utilize the grant to continue its education and enforcement of traffic related laws to reduce injury and fatal traffic collisions.

Action Taken: The City Council adopted Resolution No. 2022-R65 authorizing the City Manager to apply for, accept, and execute any documents, in a form approved by the City Attorney, with the California Office of Traffic Safety in the amount of $189,000 for the Selective Traffic Enforcement Program (STEP) Grant ; and authorized an amendment to the City’s FY 2022-23 Budget to allocate $189,000 in grant funding on Consent Calendar.

Resolution No. 2022-R65:

A RESOLUTION AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO

RECEIVE AND APPROPRIATE GRANT FUNDS FOR THE SELECTIVE TRAFFIC

ENFORCEMENT GRANT PROGRAM

3G. OFFICE OF TRAFFIC SAFETY (OTS) PEDESTRIAN AND BICYCLE SAFETY PROGRAM GRANT FISCAL YEAR 2022/2023

The City of Monterey Park Police Department was notified of a tentative award of $25,000 from the California Office of Traffic Safety (OTS) Pedestrian and Bicycle Safety Program Grant.

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August 1, 2022
The police department will utilize the grant to educate the community on pedestrian and bicycle safety to reduce injury and fatal traffic collisions.

Action Taken: The City Council adopted Resolution No. 2022-R66 authorizing the City Manager to apply for, accept, and execute documents, in a form approved by the City Attorney, with the California Office of Traffic Safety in the amount of $25,000 for the Pedestrian and Bicycle Safety Program Grant ; and amended the FY 2022-23 Budget to allocate $25,000 on Consent Calendar.

Resolution No. 2022-R66:

A RESOLUTION AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO

RECEIVE AND APPROPRIATE GRANT FUNDS FOR THE PEDESTRIAN AND

BICYCLE SAFETY GRANT PROGRAM

4. P
UBLIC HEARING – None.

5. NE
W BUSINESS – None.

6. CITY COMMUNICATIONS (CITY COUNCIL)

Council Member Yiu reported that she attended Council Member Fred Sornoso’s memorial event at the Langley Senior Center and thanked Council Member Liang for hosting the memorial.

Council Member Chan reported that he attended Council Member Fred Sornoso’s memorial event at the Langley Senior Center. He also reported that he attended the Woman’s Club Fashion Show event.

Council Member Liang reported that he attended Council Member Fred Sornoso’s memorial event at the Langley Senior Center and his funeral services at Rose Hills.

Mayor Lo reported that he attended Council Member Fred Sornoso’s memorial event at the Langley Senior Center and thanked the Monterey Park Hospital for caring for Mr. Sornoso during his final days.

7. FUTURE AGENDA ITEMS

8. CLOSED SESSION (IF REQUIRED; CITY ATTORNEY TO ANNOUNCE) None.

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August 1, 2022

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 8:55 p.m. in memory of former Council Member Fred Sornoso.

_______________________
Vincent D. Chang
City Clerk

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MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

SPECIAL MEETING
AUGUST 17, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatement District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Special Meeting of the Council in Room 266, Second Floor of City Hall located at 320 West Newmark Avenue in the City of Monterey Park on Wednesday, August 17, 2022 at 5:00 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 5:10 p.m.

ROLL CALL:

City Manager Ron Bow called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None

ALSO PRESENT: City Manager Ron Bow, City Attorney Karl Berger , Assistant City Manager Inez Alvarez , Director of Human Resources and Risk Management Christine Tomikawa, Director of Management Services Martha Garcia, Steve Berliner of Liebert Cassidy & Whitmore

ORAL AND WRITTEN COMMUNICATIONS

- Wes Hellman introduced himself as the Congressional candidate for District 28.

1. CLOSED SESSION
The City Council adjourned to Closed Session at 5:10 p.m.

1-A. CONFERENCE LEGAL COUNSEL, EXISTING LITIGATION - GOVERNMENT CODE SECTION 54956.9(d) - Number of Cases: One
Gonzalez v. City of Monterey Park, et al. (filed August 8, 2022) LASC Case No. 22STCP02942

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August 17, 2022
1-B. CONFERENCE WITH LABOR NEGOTIATORS, PURSUANT TO CALIFORNIA GOVERNMENT CODE § 54957.6
City Negotiators: Steve Berliner , Esq. from Liebert Cassidy & Whitmore (the City’s special counsel for labor matters) and Christine Tomikawa, Director of Human Resources and Risk Management
Employee
Organizations:

Confidential Employees' Association, Firefighters' Association, Mid- Management Association, Police Captains' Association, Police Officers' Association, Police Officers' Mid -Management Association, Professional Chief Officers' Association, and Service Employees International Union, Local 721

RECONVENED
The City Council reconvened from Closed Session with all Council Members present.

Action Taken: Mayor Lo reported out of closed session the following regarding Item No. 1A:

“This is a report from closed session regarding Agenda Item No. 1A: existing litigation.

The case is captioned Gonzalez V. City of Monterey Park.

The litigation resulted from the City Council’s decision ton August 1, 2022 to adopt Ordinance No. 2223. That ordinance implements the initiative petition establishing a minimum wage for Healthcare Workers. It was proposed by an initiative petition circulated by the Service Employee’s International Union or “SEIU”.

The City Council took its action after Council Member Yvonne Yiu declared a conflict of interest. Her decision was based upon a letter received from the SEIU alleging that she had an economic conflict of interest resulting from her spouse’s business.

While the City Council could have placed the initiative petition onto the November 2022 ballot, it instead chose to adopt the ordinance. That action was specifically – and repeatedly – requested by SEIU representatives over the objections of private employers who would be affected by the minimum wage.

On August 8, 2022, opponents of the initiative petition – representing various private employers that would be affected by the minimum wage – filed a lawsuit against the City.

The City expected this lawsuit, consequently, before and after the lawsuit was filed, City officials contacted SEIU representatives and asked whether SEIU would be defending the City or, at a minimum, reimbursing the City for its defense costs. SEIU declined to take either action.

This is not the City’s fight; the minimum wage for Healthcare Workers was proposed by the SEIU and the SEIU should stand by its own init iative petition. Because SEIU is not

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August 17, 2022
willing to defend its own initiative petition – which it asked the City Council to adopt by ordinance – there is no reason for the City to defend the City Council’s actions.

Accordingly, the City Council directed City Attorney to take no action regarding the lawsuit. Instead, the City will simply inform the court that the City stands ready to comply with any legal order issued by the court.”

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 6 :20 p.m.

__________________
Vincent D. Chang
City Clerk

70-XX

MISSION STATEMENT
The mission of the City of Monterey Park is to provide excellent services to enhance the quality of life for our entire community

MINUTES

MONTEREY PARK CITY COUNCIL

FINANCING AUTHORITY (MPFA)

HOUSING AUTHORITY (MPHA)

GEOLOGIC HAZARD ABATEMENT DISTRICT (GHAD)

SUCCESSOR AGENCY (SA)

REGULAR MEETING
AUGUST 17, 2022

The City Council, the Financing Authority (MPFA), the Housing Authority (MPHA), the Geologic Hazard Abatem ent District (GHAD), and the Successor Agency (SA) of the City of Monterey Park held a Regular Meeting of the Council in the Council Chamber, located at 320 West Newmark Avenue in the City of Monterey Park, Wednesday, August 17, 2022 at 6:30 p.m.

CALL TO ORDER:

Mayor Lo called the meeting to order at 6:30 p.m.

FLAG SALUTE:

The Monterey Park Police Explorers led the Flag Salute

ROLL CALL:

City Clerk Vincent Chang called the roll:

Council Members Present: Peter Chan, Hans Liang, Henry Lo, Yvonne Yiu Council Members Absent: None.

ALSO PRESENT: City Treasurer Joseph Leon, City Manager Ron Bow, City Attorney Karl Berger, Assistant City Manager Inez Alvarez, Fire Chief Matt Hallock, Police Chief Kelly Gordon, City Librarian Diana Garcia, Director of Management Services Martha Garcia, Interim Director of Public Works Anthony Antich, Finance Manager Laure Borjon, Recreation & Community Services Manager Orlando Muro, Water Utility Manager Richard Gonzales, Assistant Deputy City Clerk Helena Cho, Community Communications Coordinator Randy Ishino

VIRTUALLY PRESENT: Director of Recreation & Community Services Robert Aguirre, Economic Development Manager Joseph Torres , Planning Manager Jessica Serrano, Public Works Management Analyst Xochitl Tipan, Los Angeles County Agriculture Commissioner Weights & Measures Department Representative Celine Chiew

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August 17, 2022

AGENDA ADDITIONS, DELETIONS, CHANGES AND ADOPTIONS

Mayor Lo reported out of closed session the following regarding Item No. 1A:

“This is a report from closed session regarding Agenda Item No. 1A: existing litigation.

The case is captioned Gonzalez V. City of Monterey Park.

The litigation resulted from the City Council’s decision ton August 1, 2022 to adopt Ordinance No. 2223. That ordinance implements the initiative petition establishing a minimum wage for Healthcare Workers. It was proposed by an initiative petition circulated by the Service Employee’s International Union or “SEIU”.

The City Council took its action after Council Member Yvonne Yiu declared a conflict of interest. Her decision was based upon a letter received from the SEIU alleging that she had an economic conflict of interest resulting from her spouse’s business.

While the City Council could have placed the initiative petition onto the November 2022 ballot, it instead chose to adopt the ordinance. That action was specifically – and repeatedly – requested by SEIU representatives over the objections of private employers who would be affected by the minimum wage.

On August 8, 2022, opponents of the initiative petition – representing various private employers that would be affected by the minimum wage – filed a lawsuit against the City.

The City expected this lawsuit, consequently, before and after the lawsuit was filed, City officials contacted SEIU representatives and asked whether SEIU would be defending the City or, at a minimum, reimbursing the City for its defense costs. SEIU decline d to take either action.

This is not the City’s fight; the minimum wage for Healthcare Workers was proposed by the SEIU and the SEIU should stand by its own initiative petition. Because SEIU is not willing to defend its own initiative petition – which it asked the City Council to adopt by ordinance – there is no reason for the City to defend the City Council’s actions.

Accordingly, the City Council directed City Attorney to take no action regarding the lawsuit. Instead, the City will simply inform the court that the City stands ready to comply with any legal order issued by the court.”

City Manager Bow reported an addition to Staff Communications from the Fire Department.

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August 17, 2022

PUBLIC COMMUNICATIONS

- Chief Gordon spoke of Officer Gadriel Solorio, who lost his life off duty on August 8th. She informed the community that City Hall will be closed to the public on Thursday, August 26 , in honor of Officer Solorio’s funeral services and a fundraiser will be held on September 1 st at Brew Kitchen from 5 p.m. to 10 p.m.

Chief Gordon stated that the memorial for Officer Solorio outside of City Hall will be cleaned, but not removed.

- Paul Lee, Chair of the Recreation & Community Services Commission informed the community of a successful Monterey Park Dodger Night. He also invited the community to the 2
nd Annual Pickleball tournament on November 12 and Electric Park event on October 8th.

- Charles Leon, on behalf of SEIU Local 721 , inquired about a follow -up meeting with City Council to discuss HERO’s Pay.

- Bill Lam stated that when he rode the Spirit bus and noticed missing bus stop signage and suggested that the City Council look into expanding the Spirit bus routes.

STAFF COMMUNICATIONS

- Recreation Manager Muro gave an update on prior and upcoming City events.

- Fire Chief Hallock informed the community of free COVID-19 shots and free rapid tests at Barnes Park on August 12
th.

1. PR

ESENTATION
Matters listed under presentation are informational content and for discussion only.

1A. DROUGHT CONDITIONS AND WATER CONSERVATION UPDATE

Water Utility Manager Richard Gonzales provided a Powerpoint presentation on current drought conditions and water conservation.

2. O
LD BUSINESS – None

3. CO
NSENT CALENDAR ITEMS NOS. 3A-3F

Matters listed under consent calendar are considered to be routine, ongoing business and are enacted by one motion unless specified.

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August 17, 2022
Action Taken: The City Council approved and adopted Item Nos. 3C, 3D, 3E, and 3F on Consent Calendar, excluding Item Nos. 3A and 3B which were pulled for discussion and separate motion, reading resolutions and ordinances by the title only and waiving further reading thereof.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

3A. MONTHLY INVESTMENT REPORT – JULY 2022

As of July 31, 2022 invested funds for the City of Monterey Park is $90,422,593.37.

Public Communication:

- City Treasurer Leon provided an update on the City’s annual investment report and stated that it is still in progress.

Action Taken: The City Council received and filed the monthly investment report for July 2022.

3B. REPORT SUBMITTED TO THE CITY COUNCIL PURSUANT TO GOVERNMENT CODE § 8630 REGARDING THE CITY’S EMPLOYMENT EMERGENCY (AS ADOPTED BY RESOLUTION NO. 2022 -R49, ON JUNE 15, 2022);

CONTINUANCE OF SUCH EMERGENCY

City Council adopted Resolution No. 2022-R49 at the City Council meeting of June 15, 2022, declaring an employment emergency. Since the employment emergency was declared, the City has been able to fill 10 key vacancies for the positions of Finance Manager, Senior Planner, Administrative Aide, two Library Assistants, Cross Connection Control Inspector, three Maintenance Workers, and Senior Clerk Typist. In addition, nine candidates are in the pre- employment screening process and should be commencing employment soon for the positions of Director of Public Works, Recreation Coordinator, Senior Clerk Typist, Firefighter, Maintenance Worker, Jail Supervisor, two Dispatchers, and Water Utility Maintenance Worker.

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August 17, 2022
It is recommended that the City Council continue to extend the employment emergency as to personnel recruitment. This will continue to allow the City Manager to (1) accelerate the testing and interview process for new employees (all candidates would continue to undergo the City’s background process); (2) after conferring with affected bargaining units, consider changing the titles of employment positions to discard outmoded descriptions and update such titles to contemporary titles; and (3) immediately commence the review, revision, and negotiation with bargaining units regarding desirable changes to the City’s personnel rules. Among other things, the City Manager would be able to temporarily appoint qualified persons to positions in accordance with Monterey Park Municipal Code § 2.28.100 and contract for the services listed in MPMC §

2.28.190.

Action Taken: The City Council received and filed this report; and a dopted Resolution No. 2022-R67 to continue the local emergency for the City of Monterey Park and authorizing the City Manager to take all practical actions needed to implement the efficient recruitment and retention of persons for employment.

Motion: Moved by Council Member Chan and seconded by Council Member Liang, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R67:

A RESOLUTION EXTENDING THE LOCAL EMPLOYMENT EMERGENCY
PURSUANT TO GOVERNMENT CODE § 8630 AND AUTHORIZING

SUBSEQUENT EXTENSIONS VIA MINUTE ORDER

3C. NOTICE OF COMPLETION FOR NORTHEAST AREA WATER MAIN
IMPROVEMENTS PHASE II, SPECIFICATION NO. 2021-002

Pursuant to City Council Resolution No. 11701, the Public Works Director recorded the Notice of Completion for the Northeast Area Water Main Improvements Phase II on July 21, 2022. The project is now complete, and the work was approved by the City Engineer.

Action Taken: The City Council r eceived and fil ed the Notice of Completion recorded by the Public Works Director on July 21, 2022 accepting the Northeast Area Water Main Improvements Phase II, Specification No. 2021- 002 completed by Big Ben, Inc on Consent Calendar.

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August 17, 2022
3D. RECEIVE AND FILE CITY’S MANDATORY COMMERCIAL ORGANICS

RECYCLING PROGRAM ACTION PLAN TO CALRECYCLE AND ADOPT

RESOLUTION ESTABLISHING CRITERIA FOR REVIEW AND AWARD OF

SOLID WASTE FRANCHISES

The City developed a Mandatory Commercial Organics Recycling Program Action Plan to ensure that all businesses and multi -family customers comply with recycling laws and that the City meets CalRecycle regulations. The goal of this action plan is to have all businesses and multi -family customers enrolled in organics waste recycling service or apply for exemptions if eligible. The City has been working with its trash haulers to increase commercial recycling compliance.

To meet the goals of the action plan, staff recommends the City execute an agreement with Go2Zero Strategies, LLC for Recycling Outreach and Compliance Assistance. Additionally, it is recommended that City Council adopt a resolution establishing criteria for the review and award of solid waste franchises.

Action Taken: The City Council (1) r eceived and fil ed the City’s Mandatory Commercial Organics Recycling Program Action Plan to CalRecycle; (2) authorized the City Manager to execute a Professional Services Agreement, in a form approved by the City Attorney, with Go2Zero Strategies, LLC, in an amount not-to-exceed $99,190 for Recycling Outreach and Compliance Assistance ; (3) appropriated $18,510 from Refuse Fund 421 to execute this contract ; (4) adopted Resolution No. 2022-R68 establishing Criteria for the Review and Award of Solid Waste Franchises on Consent Calendar.

Resolution No. 2022-R68:

A RESOLUTION ADOPTING ADDITIONAL CRITERIA FOR THE REVIEW AND

AWARD OF SOLID WASTE FRANCHISES

3E.

AMENDMENT TO JOHN L. HUNTER & ASSOCIATES AGREEMENT

The Interim Public Works Director recommends the City Council approve an Amendment to Agreement 2303- AB with John L. Hunter & Associates agreement for Fat, Oil and Grease (FOG) Program assistance services.

Action Taken: The City Council authorized the City Manager to execute an Amendment to Agreement 2303-AB with John L. Hunter & Associates for Fat, Oil & Grease (FOG) Program assistance services on Consent Calendar.

3F. EMERGENCY REPAIRS OF WATER MAIN AND ROADWAY ON MONTEREY

PASS ROAD

Last night, the City took emergency action to repair water leaks on the water main located along Monterey Pass Road. These temporary repairs are the culmination of at least 12 other breaks along the water main (and over 100 service requests) during the past year.

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August 17, 2022
It is difficult to quantify the amount of water that was lost from these breaks, but – particularly considering the current drought conditions – it is significant. These water leaks and constant repairs not only constitute an immediate and imminent threat to public health and safety by themselves, but the failures also threaten other public infrastructure such as Monterey Pass Road. It is plain that immediate action is needed to replace the entire water main. Accordingly, the Interim Public Works Director is recommending that the City Council adopt a resolution declaring a public emergency to perform major repairs along Monterey Pass Road between Vagabond Dr and Brightwood Street.

CEQA (California Environmental Quality Act):

The emergency and extended repairs are categorically exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to 14 California Code of Regulations § 15269 (emergency repair to this public facility is necessary to maintain service essential to the public, health and welfare) and § 15301 (Existing Facilities). The extended repairs would result in minor alterations to existing public facilities involving no significant expansion of the existing use.

The project is not anticipated to have any significant impacts regarding traffic, noise, air quality, or water quality. There are adequate utilities and public services to serve the project. Additionally, the City Council’s actions are exempt from additional CEQA review as they are being made to protect public and private property and necessary to maintain services essential to the public, health and welfare (see, Ca/Beach Advocates v. City of Solana Beach (2002) 103 Cal.App.4 th
529: CEQA findings regarding an anticipated imminent emergency are valid).

Action Taken: The City Council (1) adopted Resolution No. 2022-R69 declaring an emergency and authorizing contracting without the need for bidding pursuant to Public Contracts Code §§ 20168 and 22050; (2) a uthorized the City Manager, or designee, to (a) execute a public works contract between the City of Monterey Park and a qualified contractor(s) to repair water lines on Monterey Pass Road, in a form approved by the City Attorney; and (b) a ppropriate funds from the Water Capital accounts from the current fiscal year budget to cover the cost of these repairs; and (3) authorized the Interim Director of Public Works to approve change orders and contingency as appropriate up to 15% of the contract amount for this project on Consent Calendar.

Resolution No. 2022-R69:

A RESOLUTION ADOPTED PURSUANT TO PUBLIC CONTRACTS CODE § 20168 FINDING THAT AN EMERGENCY EXISTS WITHIN THE CITY AND

AUTHORIZING CONTRACTING WITHOUT THE NEED FOR BIDDING
PURSUANT TO § 22050 AND MONTEREY PARK MUNICIPAL CODE (“MPMC”) CHAPTER 2.52 AND FINDING THAT THE PROJECT IS EXEMPT FROM

REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT AS AN

EMERGENCY REPAIR

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August 17, 2022

4. P UBLIC HEARING

4A. CONSIDERATION OF COSTS RESULTING FROM ABATING WEED

NUISANCES AND AUTHORIZING COLLECTION VIA SPECIAL ASSESSMENT

On February 16, 2022, the City Council determined that weeds, brush, rubbish, refuse and dirt maintained on certain private properties in the City constitute a public nuisance. The Los Angeles County Department of Agriculture Commissioner/Weights and Measures (“County”) is contracted to provide weed abatement services to the City. The County compiled its annual list of properties within the City which contain, or have the potential to contain, weeds, brush or other flammable materials sufficient to be considered a fire hazard (the “Weed Abatement Declaration List”). Persons identified as owning property on the Weed Abatement Declaration List were provided sufficient notice to either protest their inclusion thereon, or voluntarily remove the nuisance conditions identified on their property. The deadlines for voluntary compliance or protest have passed, and the County has abated the noncompliant properties on the Weed Abatement Declaration List.

The final step in the City’s Weed- Abatement process is for the Council to consider approving the County’s costs related to abatement and directing that these costs be collected via special assessment.

Action Taken: The City Council opened the public hearing at 7: 14 p.m. and received one public comment ; closed the publ ic hearing at 7: 17 p.m; and adopted Resolution No. 2022-R70 approving the Weed Abatement Clearance Charge List and authorizing collection of such costs through special assessment

Motion: Moved by Council Member Liang and seconded by Council Member Chan, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Public Communication:

- Katherine Ortega shared her concerns regarding the quality of the hillsides in Monterey Park.

Resolution No. 2022-R70:

A RESOLUTION CONFIRMING THE ITEMIZED WEED ABATEMENT CHARGE LIST

OF WEED ABATEMENT COSTS AND DIRECTING THE LOS ANGELES COUNTY

AGRICULTURAL COMMISSIONER TO COLLECT THESE COSTS THROUGH

PROPERTY TAX BILLINGS

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August 17, 2022
4B. PROPOSED UNDERGROUND UTILITY DISTRICT ON MONTEREY PASS ROAD

On July 20 th, 2022, the City Council adopted Resolution 2022- R61 to initiate the creation of a new underground utility district on Monterey Pass Road between W.

Garvey Avenue and Vagabond Drive, identified as the Monterey Park Road Underground Utility District (MPR UUD). Following public testimony, staff recommends the adoption of a Resolution establishing the MPR UUD.

CEQA (California Environmental Quality Act):

The recommended actions are exempt from review under the California Environmental Quality Act (California Public Resources Code §§ 21000, et seq., “CEQA”) and CEQA regulations (14 California Code of Regulations §§ 15000, et seq.) because such actions – even if the City Council were to establish an underground utility district - are only for the purpose of obtaining funds for future capital projects. Any such eventual undergrounding project will undergo its own CEQA review. This Resolution, therefore, is categorically exempt from further CEQA review under 14 Cal. Code Regs. § 15273.

Action Taken: The City Council (1) opened the public hearing at 7: 20 p.m., receiving no documentary or testimonial evidence; (2) closed the public hearing at 7:20 p.m., adopted Resolution No. 2022-R71 establishing an Underground Utility District on Monterey Pass Road from W. Garvey Avenue to Vagabond Drive; and (3) directed the City Clerk to notify all affected utilities and property owners of the adoption of this resolution within 10 days after the date of adoption.

Motion: Moved by Council Member Liang and seconded by Council Member Yiu, motion carried by the following vote:

Ayes: Council Members: Yiu, Chan, Liang, Lo
Noes: Council Members: None

Absent: Council Members: None
Abstain: Council Members: None

Resolution No. 2022-R71:

A RESOLUTION ESTABLISHING AN UNDERGROUND UTILITY DISTRICT ON MONTEREY PASS ROAD FROM W. GARVEY AVENUE TO VAGABOND DRIVE PURSUANT TO MONTEREY PARK MUNICIPAL CODE CHAPTER 14.16

5. NE
W BUSINESS – None.

6. CITY COMMUNICATIONS (CITY COUNCIL)

Council Member Yiu reported that she attended the Independent Cities Association (ICA) conference in San Diego.

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August 17, 2022
Council Member Chan gave his deepest condolences to Officer Solorio’s family and the Police Department.

Council Member Liang gave his condolences to Officer Solorio’s family. He reported that he attended the Independent Cities Association (ICA) Conference in San Diego.

Mayor Lo spoke on his appreciation for the outpouring support from the community and neighboring cities in honor of Officer Solorio.

7. FUTURE AGENDA ITEMS

8. CLOSED SESSION (IF REQUIRED; CITY ATTORNEY TO ANNOUNCE) None.

ADJOURNMENT
There being no further business for consideration, the meeting was adjourned at 7:25 p.m. in memory of Officer Gadriel Solorio.

__________________________
Vincent D. Chang
City Clerk

City Council Staff Report
+
DATE: September 7, 2022
AGENDA ITEM NO:

TO: The Honorable Mayor and City Council
FROM: Christine Tomikawa, Director of Human Resources and Risk Management SUBJECT: Resolution approving the Memorandum of Understanding between the City and the Monterey Park Police Officers’ Association for the term of July 1, 2022 to June 30, 2023
RECOMMENDATION:

It is recommended that the City Council consider:

1. Adopting a Resolution approving a Memorandum of Understanding (“MOU”) between the City of Monterey Park and the Monterey Park Pol ice Officers’ Association (“MPPOA”). The MPPOA represents the Police Officers and Police Corporals in the Monterey Park Police Department;

2. Authorizing budget appropriation of approximately $408,307 from the General Fund and $342,000 from the American Rescue Plan Act (ARPA) Funds for the 2022-2023 fiscal year; and

3. Taking such additional, related, action that may be desirable.

EXECUTIVE SUMMARY:

Representatives of the City of Monterey Park (“City”) and MPPOA met and conferred to negotiate the terms and conditions of a new Memorandum of Understanding (“MOU”) regarding employment. The parties reached an agreement on an MOU effective July 1, 2022 to June 30, 2023.

BACKGROUND:

MPPOA’s current MOU term is valid from July 1, 2018 to June 30, 2022. On August 23, 2022 MPPOA’s representatives agreed to the following terms and conditions:
• One year agreement – July 1, 2022 to June 30, 2023
• Base salary increase – 1% cost of living adjustment to base salary effective retroactively to the first full pay period when the MPPOA ratified the tentative agreement terms and after Council approval of this MOU. • Article 25 – Education Incentive Pay increase monthly contribution for qualified employees:
o In
crease Intermediate POST certificate pay from $175/mo. to $300/mo. o Increase Advanced POST certificate pay from $250/mo. to 7% of base salary per month.
o In
crease Bachelor’s degree pay from $275/mo. to 5% of base salary per month. o Increase maximum pay from $475/mo. to 12% of base salary per month.

Consent Calendar - 3C

Staff Report

September 7, 2022
• Article 28 – Longevity Pay adding a level at 15 years of service and increase monthly contribution for qualified employees:
o Add payment of $200/mo. after completion of 15 years of continuous safety service with the City.
o Increase monthly pay from $100/mo. to $300/mo. after completion of 20 years of continuous safety service with the City.
o Increase monthly pay from $350/mo. to $450/mo. after completion of 25 years of continuous safety service with the City.
• Article 34 – Special Assignment Pay increase monthly contribution for qualified special assignments from $200/mo. to $300/mo. and provide additional $100/pay period when an FTO is assigned to train another sworn officer.
• Modification to MOU language for:
o Article 11 – Irrevocable election method for all discretionary leave cash out(s) o Article 21 – Health Insurance
• Essential Worker Premium Pay – non-PERSable lump sum of $6,000 per employee covered by the MPPOA MOU, who was employed in the unit prior to March 31, 2021 and is still employed in this unit on the date of distribution. To be distributed with the first payroll distribution after Council adoption of this MOU.

FISCAL IMPACT:

The total cost of the MOU is estimated at a total of $750,307. An Authorized budget appropriation of approximately $408,307 from the General Fund and $342,000 from the American Rescue Plan Act (ARPA) Funds for the 2022-2023 fiscal year is required.

Respectfully submitted by: Review by:

Christine Tomikawa
Director of Human Resources and
Risk Management
Martha Garcia
Director of Management Services
Approved by: Reviewed by:

Ron Bow
City Manager
Karl H. Berger
City Attorney

ATTACHMENT
S:

1. Monterey Park Police Officers’ Association MOU – redline version

2. Proposed MOU Resolution with Monterey Park Police Officers’ Association MOU – clean version

Staff Report
September 7, 2022

ATTACHMENT 1
Monterey Park Police Officers’ Association
Memorandum of Understanding – Redline version

(POA 02-17-19 LON)
9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

MEMORANDUM OF UNDERSTANDING

between

THE CITY OF MONTEREY PARK, CALIFORNIA

and

THE MONTEREY PARK POLICE OFFICERS' ASSOCIATION

07/01/202218 – 06/30/2023

9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

TABLE OF CONTENTS

MEMORANDUM OF UNDERSTANDING
between

THE CITY OF MONTEREY PARK, CALIFORNIA
and

THE MONTEREY PARK POLICE OFFICERS' ASSOCIATION
- FOUR ONE_YEAR AGREEMENT 07/01/202218 – 06/30/202322

PREAMBLE 535
ARTICLE 1 - SCOPE OF MEMORANDUM OF UNDERSTANDING ..................................................... 53 5 ARTICLE 2 - RECOGNITION..................................................................................................................... 53 5 ARTICLE 3 - CITY RESPONSIBILITIES AND RIGHTS .......................................................................... 53 5 ARTICLE 4 - EMPLOYEE AND/OR EMPLOYEE REPRESENTATIVES ............................................... 64 6 ARTICLE 5 - COMMUNICATIONS ........................................................................................................... 75 7 ARTICLE 6 - CONTINUED PERFORMANCE OF CITY SERVICES AND OPERATIONS ................... 75 7 ARTICLE 7 - GRIEVANCE PROCEDURE ................................................................................................ 76 8 ARTICLE 8 - OVERTIME
.................................................................................................................................................... 1311 13 ARTICLE 9 - VACATION
.................................................................................................................................................... 1817 19 ARTICLE 10 - HOLIDAY
.................................................................................................................................................... 1918 20 ARTICLE 11 - ACCRUAL CASH-OUT
.................................................................................................................................................... 2119 22 ARTICLE 12 - SICK LEAVE
.................................................................................................................................................... 2220 22 ARTICLE 13 - BEREAVEMENT LEAVE
.................................................................................................................................................... 2423 25 ARTICLE 14 - MILITARY LEAVE
.................................................................................................................................................... 2523 25

9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 15 - JURY DUTY LEAVE
.................................................................................................................................................... 2523 25 ARTICLE 16 - LEAVE OF ABSENCE WITHOUT PAY
.................................................................................................................................................... 2524 25 ARTICLE 17 - FMLA/CFRA COMPLIANCE
.................................................................................................................................................... 2725 27 ARTICLE 18 - INDUSTRIAL INJURY AND ILLNESS LEAVE
.................................................................................................................................................... 2725 27 ARTICLE 19 - MODIFIED DUTY
.................................................................................................................................................... 2725 27 ARTICLE 20 - UNIFORM ALLOWANCE
.................................................................................................................................................... 2927 29 ARTICLE 21 - HEALTH INSURANCE
.................................................................................................................................................... 3028 30 ARTICLE 22 – RETIREE HEALTHCARE TRUST
.................................................................................................................................................... 3230 32 ARTICLE 23 - MEDICAL & DEPENDENT CARE FLEXIBLE SPENDING ARRANGEMENT .................................................................................................................................................... 3230 33 ARTICLE 24 - LIFE INSURANCE PLANS
.................................................................................................................................................... 3231 33 ARTICLE 25 - EDUCATIONAL INCENTIVE PAY
.................................................................................................................................................... 3231 33 ARTICLE 26 - EDUCATIONAL ENROLLMENT COST REIMBURSEMENT .................................................................................................................................................... 3332 34

9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 27 - BILINGUAL PAY
.................................................................................................................................................... 3433 34 ARTICLE 28 - SALARIES AND WAGES
.................................................................................................................................................... 3433 35 ARTICLE 29 - SENIORITY
.................................................................................................................................................... 3634 35 ARTICLE 30 - RETIREMENT
.................................................................................................................................................... 3635 36 ARTICLE 31 - MEDICAL EXAMINATION
.................................................................................................................................................... 3736 37 ARTICLE 32 – 401(a) PLAN & 457(b) DEFERRED COMPENSATION PLAN .................................................................................................................................................... 3836 38 ARTICLE 33 - EMPLOYEE SAFETY COMMITTEE
.................................................................................................................................................... 3937 41 ARTICLE 34 – DURATION OF SPECIAL ASSIGNMENTS AND SPECIAL ASSIGNMENT PAY .................................................................................................................................................... 3938 41 ARTICLE 35 – PROBATIONARY PERIOD
.................................................................................................................................................... 4644 48 ARTICLE 36 - PERFORMANCE EVALUATIONS
.................................................................................................................................................... 4644 48 ARTICLE 37 - WRITTEN NOTICES TO POA
.................................................................................................................................................... 4745 48 ARTICLE 38 - GENERAL PROVISIONS
.................................................................................................................................................... 4745 49

9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 39 - SUBSTANCE ABUSE POLICY
.................................................................................................................................................... 4846 49 ARTICLE 40 - TERM OF MEMORANDUM OF UNDERSTANDING
.................................................................................................................................................... 4846 50 ARTICLE 41 - CITY COUNCIL APPROVAL
.................................................................................................................................................... 4846 50 ADDENDUM A
.................................................................................................................................................... 5047 52

5 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

MEMORANDUM OF UNDERSTANDING
Between

THE CITY OF MONTEREY PARK
and
THE MONTEREY PARK POLICE OFFICERS’ ASSOCIATION
FOUR ONE YEAR -AGREEMENT 7/1/1822-6/30/232

PREAMBLE

This Memorandum of Understanding (MOU) has been prepared in accordance with the California Government Code (Section 3500 et seq.). The City of Monterey Park, California, hereinafter referred to as the "City", and the Monterey Park Police Officers Association, hereinafter referred to as the "POA," have reached this Memorandum of Understanding pursuant to meeting and conferring in good faith. Unless specifically provided herein, changes in wages, hours and terms and conditions of employment shall be prospectively effective on and after City Council adoption of this MOU.

ARTICLE 1 - SCOPE OF MEMORANDUM OF UNDERSTANDING

It is the intent and purpose of this MOU to assure sound and mutually beneficial working and economic relations between the parties, to provide an orderly and peaceful means of resolving any misunderstandings or differences which may arise, and to set forth the basic and full agreement between the parties concerning wages, hours of employment, and other conditions of employment.

ARTICLE 2 - RECOGNITION

A. The City acknowledges the POA as the representative for certain employees in the Police Department of the City of Monterey Park, California, for the purpose of meeting and conferring in good faith regarding wages, hours, and other terms and conditions of employment.

B. This MOU shall cover all employees working in the classification of Police Corporal and Police Officer.

C. This Memorandum does not preclude employees in such employment classifications from representing themselves individually in their employment relations with the City.

ARTICLE 3 - CITY RESPONSIBILITIES AND RIGHTS

A. To ensure that the City is able to carry out its statutory functions and responsibilities, the following matters will not be subject to the terms of this MOU, but shall be within the exclusive discretion of the City: to select and determine the number and types of employees required; to assign work to employees in accordance with the City; to establish and change work schedules and assignments; to hire, transfer and to promote or to lay off employees for lack of work and for all other legitimate reasons; to suspend, discipline or discharge for just cause; to expand or diminish services; to subcontract any work or operations; to determine and change at its sole discretion, the number of locations, relocations and types of operations and the processes and materials to be employed.

6 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

B. Notwithstanding the above, the City hereby agrees to Meet and Confer with the POA on any changes regarding hours, work schedules, salaries, or working conditions. The City agrees to adhere to the job specifications established for each classification.

ARTICLE 4 - EMPLOYEE AND/OR EMPLOYEE REPRESENTATIVES

A. All employees represented by POA, shall have the right to join the POA, or to refuse or refrain from joining the POA.

B. Members of the POA may, by any reasonable methods, select three (3) representatives who may or may not be City employees to meet and confer with the City Representative Committee or other management officials on subjects within the scope of representation during regular duty or working hours, without loss of time, provided:

1. That no employee representative shall leave his/her duty or workstation or assignment without specific approval by any authorized departmental management official.

2. That any such meeting is subject to scheduling by an authorized departmental management official so as to avoid interference with or interruption of assigned work schedules or work performance.

C. The City will deduct dues and initiation fees from those employees who voluntarily sign and have submitted to the City the necessary authorization card.

D. Deductions as are authorized in writing by the employee shall be deducted from earned wages or salaries on each payday. The City shall forward to the POA all dues and/or initiation fees deducted from the employees for any month, the first of the succeeding month.

E. The POA shall indemnify, defend and hold the City harmless against claims and any suit instituted by an employee against the City which shall arise out of any action which shall be taken by the City in accordance with the sections regarding dues deduction.

F. The POA representatives, while on City property, shall abide by the City's safety rules and regulations.

G. The Employee Representatives will include at least one employee member. Employee Representatives shall be provided reasonable release time, without loss of salary or benefits, for purposes of collective bargaining and/or processing of employee grievances. In addition, Association representatives may be granted reasonable release time to attend Association sponsored training programs, seminars, and conferences, subject to prior City approval. Such requests will not be unreasonably denied.

H. A written list of the Officers of the POA and the Employee Representatives shall be furnished to the City immediately after their designation, and the POA shall notify the City promptly in writing of any changes of such Officers or Representatives.

7 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

ARTICLE 5 - COMMUNICATIONS

Space shall be provided on City bulletin boards and use of City email may be made available for the posting/distribution of the following notices of immediate concern to the employee group members:

1. POA recreational and social activities.

2. POA election notices and results.

3. POA meetings and events.

4. Such other notices as may be mutually agreed upon by the POA and the Police Chief or designee.

5. All notices and materials regarding the business of the POA.

Use of the City email system does not provide privacy regarding the communications sent/received.

The City reserves the right to review any communications sent using its email system. POA communications sent via email may be subject to disclosure pursuant to the Public Records Act.

ARTICLE 6 - CONTINUED PERFORMANCE OF CITY SERVICES AND

OPERATIONS

A. The POA hereby agrees that during the term of this MOU, POA represented employees and the officers and/or corporals of the POA shall not engage in, encourage, sanction, support, authorize or suggest any work stoppages, strikes, boycotts, slowdowns, mass resignation, mass absenteeism, or any other intentional interference of work of the City. However, information pickets, following an impasse in the Meet and Confer process, are excluded from this Article and are therefore allowed as long as the picketing is not violent, does not block ingress or egress and/or does not interfere with the public health, safety or order.

B. In the event any employee, or employees, participate in any of the prohibited activities stated above, the POA shall notify such employee or employees, so engaged to cease and desist from such activities and shall instruct the employee or employees, to return to their normal work assignment and duties.

C. The employee, or employees, participating in the activities prohibited above shall be subject to disciplinary action by the City, including suspension or discharge in accordance with the City's Personnel Rules and Regulations.

ARTICLE 7 - GRIEVANCE PROCEDURE

A. DEFINITIONS

8 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

1. A "grievance" is a formal written or oral allegation by a member of the POA on behalf of specified unit members who have been adversely affected by an alleged violation of the specific provisions of this Memorandum of Understanding, the City's Personnel Rules, written Department Rules, Regulations, policies and procedures or an appeal of a disciplinary action decision by the City Manager.

2. A "disciplinary grievance" is a formal written objection or challenge to any disciplinary action as defined by the Personnel Rules and Regulations. A "disciplinary grievance" shall be filed after the written receipt of the City Manager's decision, and shall constitute the sole and exclusive process of appeal. Such appeals shall be processed at Level IV, Administrative Hearing.

3. A "grievant" is any unit member or the POA on behalf of specified unit members adversely affected by an alleged violation within the scope of the grievance procedure as defined above.

4. A "day" is any day in which the administrative offices of the City of Monterey Park are open for regularly scheduled business.

B. GENERAL PROVISIONS

1. If an employee is receiving direction from his/her supervisor but believes the direction forms the basis for a viable grievance, the employee must still comply with the direction. If that grievance is ultimately sustained only then may the employee not comply with that directive.

2. Grievance documents shall not be placed in an employee’s personnel file, unless they relate to discipline. If they relate to discipline, they will not be placed in an employee’s personnel file until after the discipline appeal process (if applicable) is completed.

3. Time limits for appeal provided at any level of this procedure shall begin the first day following receipt of the written decision by the grievant and/or the POA. Failure of the grievant to adhere to the time deadlines shall mean that the grievant is satisfied with the previous decision and waives the right to further appeal. The grievant and the City may extend any time deadline by mutual agreement. Failure by the City to meet established deadlines shall entitle but not obligate the grievant to appeal to the next step of the procedure.

4. Every effort will be made to schedule meetings for the processing of grievances during the regular work schedule of the participants. If any grievance meeting or hearing must be scheduled during duty hours, any employee required by either party to participate as a witness or grievant in such meeting or hearing shall be released from regular duties without loss of pay for a reasonable amount of time.

5. Any unit member may, at any time, present grievances to the City and have such grievances resolved without the intervention of the POA, as long as the resolution is

9 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 reached prior to the hearing and the resolution is not inconsistent with the terms of this MOU; provided that the City shall not agree to a resolution of the grievance until the POA has received a copy of the grievance and the proposed resolution, and has been given the opportunity to file a response within twenty (20) days. Upon request of the grievant, the grievant may be represented at any stage of the grievance procedure by a representative of the POA, which may include the attorney of the POA. The POA may also be represented at any grievance meetings and will be notified of any such meetings.

6. This grievance procedure shall be the sole and exclusive procedure for processing objections or challenges to disciplinary actions as defined in the Personnel Rules and Regulations and shall satisfy all administrative appeal rights and protection.

7. There shall be no reprisals, interference, coercion or discrimination against any employee for processing a grievance at any level, or for assisting a grievant in the processing of a grievance.

C. PROCEDURE - Grievances will be processed in accordance with the following procedures:

1. Level I - Informal Resolution: Any unit member or the POA who believes he/she has a grievance shall present the grievance orally to the immediate supervisor within fifteen (15) workdays after the grievant knew, or reasonably should have known, of the circumstances which form the basis for the grievance. Failure to do so will render the grievance null and void. The immediate supervisor shall hold discussions and attempt to resolve the matter within fifteen (15) workdays after the presentation of the grievance. It is the intent of this informal procedure that at least one personal conference be held between the aggrieved employee, their representative and the immediate supervisor.

2. Level II - Formal Written Grievance

a. If the grievance is not resolved during the informal conference and the grievant wishes to continue the grievance process, the grievant shall present the grievance in writing on the appropriate form to the Police Chief within ten (10) days after the oral decision by the immediate supervisor.

The written information shall include: (a) a description of the specific grounds of the grievance; (b) a listing of the provisions of this agreement, personnel rules, regulations or procedures alleged to have been violated; and (c) a listing of specific actions requested of the City which will remedy the grievance.

b. The Police Chief or his/her designee shall communicate the decision, in writing, to the grievant within ten (10) days after receiving the grievance.

c. Within the above time limits the parties may request a personal conference.

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3. Level III - Appeal to the City Manager

a. If the grievant is not satisfied with the decision at Level II, the grievant may, within ten (10) days of the receipt of the decision at Level II, appeal the decision to the City Manager. This statement shall include a copy of the original grievance and appeal, and a clear, concise statement of the reasons for the appeal.

b. The City Manager shall communicate the decision, in writing, to the grievant within ten (10) days. If the City Manager does not respond within the time limits provided, the grievant may appeal to the next level.

4. Level IV - Administrative Hearing

a. If the grievant is not satisfied with the decision at Level III, or if an employee or the POA wishes to appeal the disciplinary decision of the City Manager, the grievant/employee may, within ten (10) days of the receipt of the decision, for an administrative hearing of the dispute. Within twenty (20) days of the grievant's receipt of the decision at Level III, the POA shall inform the City, in writing, of its request to have an administrative hearing.

The POA and the City shall attempt to agree upon a hearing officer.

If no agreement can be reached, they shall request that the City supply a list of seven (7) names of persons experienced in hearing grievances in cities from a panel mutually selected by the POA and the City. Each party shall alternately strike a name until only one remains. The remaining panel member shall be the Hearing Officer. The order of the striking names shall be determined by coin toss.

b. If either the City or the Association so requests, the Hearing Officer shall be requested to hear the merits of any issues raised regarding grievability. No hearing on the merits of the grievance will be conducted until the issue of grievability has been decided. The same Hearing Officer shall decide the issue of grievability, and if grievable, then the merits of the dispute.

c. The Hearing Officer shall, within thirty (30) days unless both parties agree otherwise, hear evidence and render a decision on the issue or issues submitted to him/her. If the parties cannot agree upon a submission agreement, the Hearing Officer shall determine the issues by referring to the written grievance and the answers thereto at each step.

d. The Hearing Officer shall hold a hearing on the issue submitted or as determined by the Hearing Officer if the parties have not mutually agreed upon the issue, and render a written decision. The conduct of the hearing proceedings shall be governed by California Code of Civil Procedure section 1280 et. seq. The Hearing Officer's decision shall be the final administrative

11 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 action not subject to further administrative review. The Hearing Officer's decision is reviewable under California Code of Civil Procedure 1094.5.

e. The City and the POA agree that the jurisdiction and authority of the Hearing Officer so selected and the opinions the Hearing Officer expresses will be confined exclusively to the interpretation of the express provision or provisions of this MOU at issue between the parties. The Hearing Officer shall have no authority to add to, subtract from, alter, amend, or modify any provisions of this MOU or the written ordinances, resolutions, rules, regulations and procedures of the City or the Department, nor shall he/she impose any limitations or obligations not specifically provided for under the terms of this MOU. The Hearing Officer shall be without powers or authority to make any decision that requires the City or management to do an act prohibited by law.

f. In the event that this grievance procedure is used to challenge disciplinary actions, the Hearing Officer shall prepare a written decision containing findings of fact, determination of issues, and statement of the precise disciplinary penalty, if any.

g. After a hearing and after both parties have had an opportunity to make written arguments, the Hearing Officer shall submit in writing to all parties his/her findings and award.

h. The fees and expenses of the Hearing Officer shall be shared equally by the City and POA. All other expenses shall be borne by the party incurring them, and neither party shall be responsible for the expense of witnesses called by the other. Either party may request a certified court reporter to record the entire hearing. The cost of the services of such court reporter shall be shared equally by the parties.

i. By filing a grievance and processing it beyond Level III, the grievant expressly waives any right to statutory remedies or to the exercise of any legal process other than as provided by this grievance/administrative hearing procedure. The processing of a grievance beyond level III shall constitute an express election on the part of the grievant that the grievance/administrative hearing procedure is the chosen forum for resolving the issues contained in the grievance, and that the grievant will not resort to any other forum or procedure for resolution or review of the issues. The parties do not intend by the provisions of this paragraph to preclude the filing of a writ of administrative mandamus to challenge a decision issued on a grievance.

j. With regard to discipline-related hearings governed by this Section (C)(4), where the discipline subject to appeal consists of a minimum of 8.1 hours and a maximum of 24 hours, the following limitation shall apply to the amount of time available to each party to the hearing for a presentation of any individual party’s case. For purposes of time-limit computation only, the Association

12 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 and any one (1) employee, as well as any other entity that may properly be appearing on behalf of or with an interest similar to the Association or employee, shall be jointly deemed to be the same one party for computing the time limitation on presentations. Accordingly, the time limitation shall not be multiplied by the number of individuals or entities appearing, on behalf of, or with an interest similar to, the individual employee who has been disciplined.

Each party to the Article 7 administrative appeal shall be limited to a maximum of twelve (12) hours of presentation time during conduct of an administrative appeal pursuant to MOU Article 7(C)(4) Level IV Administrative Hearing.

“Presentation Time” against which shall be charged the twelve (12) hour presentation time limitation, shall include oral opening statement and oral closing argument, direct/redirect examination of witnesses, rebuttal and sur- rebuttal witness testimony, demonstrations, and site inspections (excluding travel time to and from the site). Cross examination shall not be counted as part of the “Presentation Time.”

The hearing officer shall record and maintain account of all such hours by means of a timekeeping device suitable to the task. Absent stipulation by the parties to extend the twelve (12) hour limitation, the hearing officer shall have no authority to extend said limitation.

5. Disciplinary Proceedings (one day suspension): For purposes of this section alone, a one (1) day suspension shall be equivalent to eight (8) hours of salary, regardless of the actual hours worked in a shift. Suspensions of one (1) day shall be excluded from the arbitration appeal process. Upon receipt from the Chief of Police or his designee of a notice of intended penalty of one (1) day or less, the employee shall have ten (10) business days (Monday - Friday) to submit a written request to the City Manager requiring mediation.

The matter shall then be submitted to a mediator provided by the State Mediation and Conciliation Service. Absent agreement as to identity of the mediator, the parties shall alternately strike names from a list supplied by the Los Angeles Office of SMCS. A mediation session shall then be calendared.

The mediation shall not be an evidentiary hearing. Neither party shall be represented by an attorney although non-attorney representatives shall be permitted. There shall be no subpoena power, no submission of briefs, and the mediation shall conclude within the same business day that it commenced. If the manner in which the mediation is resolved is unsatisfactory to either party, then the proceeding before the City Manager shall provide the due process mandated by Skelly v. State Personnel Board and shall not be an evidentiary hearing. The decision of the City Manager shall be the final administrative action not subject to further administrative review. The City Manager’s decision is reviewable under California Code of Civil Procedure 1094.5.

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ARTICLE 8 - OVERTIME

A. 7K EXEMPTION: The City of Monterey Park has exercised its ability to declare the "7K" exemption under the Fair Labor Standards Act (FLSA) for sworn police personnel. The work period for such employees shall be twenty-eight (28) days in length commencing on Saturday, April 20, 1985 at 2:00 a.m.

B. WORK HOURS PLANS: The City and the Association agree that the Department will utilize the three-twelve and a half (3/12.5) and four-ten (4/10) work hour plans during the term of this MOU. The five-eight work hour plan may be used when mutually agreed to by the Department and employee. The three-twelve and a half (3/12.5) work hour plan shall cover patrol Officers and Corporals. The four-ten (4/10) work hour plan shall cover motorcycle Officers and Corporals and all detective positions.

In the event of a bona fide emergency the City may cancel, alter or amend the work schedule as necessary, and only for the duration of the emergency, immediately and without the requirement of engaging in the meet and confer process. A bona fide emergency shall be defined as a circumstance requiring immediate action, a sudden unexpected happening, or an unforeseen occurrence or condition. It shall not include staffing shortages caused by common occurrences, such as an employee calling in sick or staff reductions due to preplanned leaves.

Officers shall be provided twelve (12) days notice prior to any shift change, reassignment or modification. The twelve (12) day notice requirement shall not apply in the case of emergency situations. For the purpose of this rule, emergencies shall mean any unforeseen or unplanned event that impacts Department staffing needs. The twelve-day notice requirement set forth above shall not apply to probationary Police Officers.

C. OVERTIME: For employees assigned to the three-twelve and a half (3/12.5) work hour plan, overtime shall be defined as that time authorized and actually worked by an employee in excess of one hundred sixty (160) hours within the twenty-eight (28) day work period. All employees required to work in excess of the standard work period of one hundred and sixty (160) hours shall receive compensation at the rate of time and one-half (1 1/2) of his/her rate of pay. For employees assigned to the four-ten (4/10) and five-eight (5/8) work hour plan, overtime shall be defined as that time authorized and actually worked by an employee in excess of eighty (80) hours within the fourteen (14) day pay period. All employees required to work in excess of the standard pay period of eighty hours within the fourteen day pay period shall receive compensation at the rate of time and one-half (1 1/2) of his/her rate of pay.

All employees assigned to work the three-twelve and a half (3/12.5) work hour plan and who work in excess of one hundred and sixty (160) hours within the twenty-eight (28) day work period shall be compensated at the completion of the twenty-eight (28) day work period.

Regardless of the amount of overtime hours accrued during the first half (80 hours) of the work period, employees shall be compensated eighty (80) hours for that pay period, and the balance of the hours worked shall be compensated at the completion of the twenty-eight (28)

14 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 day work period. All overtime requests must have the authorization of a supervisor prior to the commencement of such overtime work. Dispatched calls beyond the end of duty time are considered as authorized. An employee's failure to obtain prior approval will result in the denial of overtime request.

All eligible employees assigned to work the four-ten (4/10) and five-eight (5/8) work hour plans and who work in excess of eighty (80) hours within the fourteen (14) day pay period shall be compensated for overtime at the completion of the fourteen (14) day pay period.

Determination as to whether or not overtime shall be assigned and/or worked remains in the sole discretion of a responsible supervisor. However, where in the sole discretion of the responsible supervisor, overtime can be efficiently worked by any member of the shift without regard to particular skills or abilities of any eligible employee, then said overtime shall be assigned based on seniority, except in those cases where the overtime duty arises from a case or incident involving another shift Officer. In such case, the involved Officer shall be assigned the overtime, regardless of seniority.

In those instances where overtime is made available on a Department-wide basis (such as for a movie detail or grant run operations), then said overtime shall be assigned on a seniority basis, unless in the sole discretion of the responsible supervisor(s), particular skills and abilities of Officers are relevant to the assignment of any individual(s) to the overtime duty.

The assignment of overtime, as designated by the Police Chief’s 6/12/12 memorandum (attached as an Addendum B), will be the agreed Department method for overtime call out procedure for replacement of Corporals and/or Officers when a vacancy occurs due to a non- planned event. The intent of the memorandum is to call in overtime rank-for-rank as described in said reference memorandum without limiting the Chief from exercising his/her management authority and rights in meeting the staffing needs of the Department.

In cases where seniority is utilized to make overtime assignments, the responsible supervisor shall make a reasonable attempt to advise the eligible Officer(s) of the overtime opportunity.

Upon said overtime offer either being rejected or the eligible Officer not being responsive to reasonable contact, the responsible supervisor shall repeat said notification steps until the overtime opportunity is selected. Disputes as to whether or not a “reasonable attempt” was made to contact an Officer eligible for seniority-based overtime selection, shall not be subject to the grievance procedure or to any other administrative or civil method of appeal, and the determination of the responsible supervisor in this regard, shall be final, conclusive and not appealable through any means.

Regardless of the above, any responsible supervisor retains the right in his or her sole discretion to disregard seniority in rendering an overtime assignment when, in the sole discretion of the responsible supervisor, the needs of the Department and/or community so dictate. Said decision shall not be subject to any administrative or civil challenge and shall be final and conclusive.

For the purpose of determining overtime, vacation, sick leave, compensatory time off and/or other paid leave time shall be considered compensable hours of work.

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D. COMPENSATORY TIME OFF: In lieu of receiving cash payment at time and a half for overtime hours worked, an employee may elect the option of earning compensatory time off.

Compensatory time shall be earned at the rate of time and one-half (1 ½) for each hour worked. The maximum amount of comp time that may be accrued is 480 hours (320 hours worked). All compensatory time on the books will be cashed out to forty (40) hours as of December 1 of each year. The remaining balance will remain on the books until such time as employee utilizes the compensatory time.

E. PAID LEAVE ACCRUAL RATES: Employees assigned to the three-twelve and a half (3/12.5), four-ten (4/10) or 5/8 work hour plans shall accrue vacation, holiday and sick leave in accordance with the accrual rates as outlined herein. When vacation, holidays or sick leave is used, the employee shall be charged based on actual time taken off in relation to his/her regularly assigned shift.

F. REGULAR RATE OF PAY: For the purpose of computing overtime, the employee's regular rate of pay shall be used for the calculation of overtime under the Fair Labor Standards Act and includes the following components, if applicable, in addition to base salary:

1. Educational Incentive

2. Bilingual Pay

3. Special Assignment Pay

4. Longevity Pay

5. Medical Opt-Out Pay

G. COMPENSABLE HOURS OF WORK:

1. Firearms Qualification: Employees who choose to shoot at the range at times other than as required for qualification and training by the Department, will be considered to be on personal time. Such time is not counted as working time and is not compensable in any manner whatsoever.

2. Voluntary Training Time: Voluntary attendance at training schools/facilities (including the academy) which improves the performance of regular tasks and/or prepares for job advancement are not compensable for hours in excess of the employees' normal work shift. Any such time spent in excess of the normal work shift will not be counted as working time and is not compensable in any manner whatsoever. Time spent in studying and other personal pursuits is not compensable hours of work, even though the employee may be confined to campus or to barracks twenty-four (24) hours a day.

Travel time to and from the training facility outside of an employee's normal work shift is not compensable hours of work.

Mandatory training as required by the Department and/or POST is compensable for actual time spent in training. Travel time outside of regularly scheduled work hours for mandatory training is not compensable as work time unless training is approved

16 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 by a supervisor. If the use of a personal vehicle is authorized for attendance at mandatory training, mileage shall be reimbursed at IRS rates in effect at the time of the travel, for actual miles traveled.

3. City Vehicle Use: Employees who are provided with a City vehicle to travel to and from work shall not be compensated in any manner whatsoever for such travel time in the City vehicle.

This provision also applies in those situations where the radio must be left on and monitored.

This provision does not preclude compensation in those instances where an employee is required to perform emergency law enforcement duties as required by law. In such cases, appropriate compensation shall be provided.

4. Canine Assignment: Employees assigned to canine duty shall not be compensated in any manner whatsoever for hours spent in travel time to and from work in a City vehicle, unless such travel time is interrupted to perform law enforcement duties. In the event that such travel time is interrupted to perform law enforcement duties, the officer will be compensated for actual time spent engaged in such duties. Canine Officers shall be compensated for off-duty time spent in the care, feeding, grooming, exercise, incidental training, and companionship of their assigned dog in accordance with provisions of Article 34 – Special Assignment Pay.

Nothing herein precludes an officer from being compensated for actual time spent in department required and approved training at times other than the officer's regular working hours.

5. Gym Facility: The City provides a room to be used as a gym facility for the voluntary use of employees during their off-duty hours, in accordance with the letter of October 15, 1981 from the Association and agreed to by the City Manager. Time spent by employees in working out at the gym facility is not considered hours worked and will not be compensated in any manner.

6. Call Back Pay

Call back occurs when:

 An employee is ordered to return to duty by a supervisor during a period when the employee is not scheduled to work, or
 An employee voluntarily responds to a call to work from a supervisor.

A. Employees who are called back to duty shall receive a minimum of three (3) hours of overtime commencing when he/she receives the call, as described in Sections A1, A2, B and C, when:

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1. Any portion of those three (3) hours falls outside the employee’s regularly scheduled workday. For instance, a detective who is called back to work before his regular workday shall be paid at his/her overtime rate until the beginning of his/her regular workday;

2. All hours worked, in excess of three (3) hours, outside of the employee’s regularly scheduled workday shall be paid at the employee’s overtime rate.

For instance, when a detective is called back to work on a Saturday he/she shall be paid at his/her overtime rate for the entire time he/she is required to work.

B. Employees who volunteer to respond to work an assignment with a delayed start- time shall begin receiving overtime compensation at the prescheduled start-time.

For instance, an employee who volunteers the night before an unexpected patrol vacancy occurs will begin earning overtime at the beginning of the scheduled patrol shift: not when the call is received.

C. Employees who volunteer to respond to a call to work due to an unforeseen event (e.g. a staffing shortage created by another employee calling in sick) from a supervisor and is required to immediately respond shall be paid overtime commencing when the employee receives the call. For instance, an employee who voluntarily responds to a call to fill an unexpected day watch patrol vacancy at 0800hrs shall be paid overtime commencing when the employee receives the call until the employee completes his/her assigned shift.

Except as described elsewhere in this MOU, call back does not occur when an employee is held over from his/her shift or when an employee is working prior to the beginning of his/her regularly scheduled shift, unrelated to a call back.

Employees shall report for duty within a reasonable amount of time when immediate coverage is needed: generally within one and a half (1.5) hours of receiving the call.

Travel time at the completion of the call back shift from the station to an employee’s residence shall not be considered work hours or be compensated in any manner.

This provision is to be distinguished from “Court Standby” described in this MOU.

Employees who arrive at work but are later deemed unneeded (e.g. due to a scheduling error) shall receive a minimum of three (3) hours of overtime compensation.

7. Court Pay: When an officer is physically called to court, he/she shall be credited on a hour-for-hour basis for the time actually spent in court, commencing one-half (1/2) hour prior to the scheduled court appearance. An employee shall be credited with a minimum of three (3) hours for each scheduled court appearance. Only one (1) minimum shall apply per payday. These three (3) hours will ultimately be paid in the pay period at time and one-half (1 1/2).

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Travel time shall not be considered hours worked and shall not be compensated in any manner whatsoever unless the employee first responds to the station.

8. Court Standby: A member of the POA who, while off duty, is on court standby status, may leave a telephone number where he/she may be reached while on court standby. Such time is not considered hours worked. However, the employee will receive credit for three (3) hours (these three (3) hours will ultimately be paid in the pay period at time and one-half (1 1/2), provided that the employee is not actually required to be present in the court building. If any employee is required to go to court, this three (3) hour period is applied to court pay under Section 7.

Alternatively, an employee on court standby may, with the permission of the Chief of Police or his designee, report to the police facility, in uniform, for assignment while awaiting court. An employee shall be credited on a hour-for-hour basis for time actually worked while on standby. Travel time to the police facility shall not be considered hours worked and shall not be compensated in any manner whatsoever.

9. On-Call:

On-Call: Effective January 1, 2019, affected employees subject to on-call (e.g. detectives) shall be generally available by phone and/or able to work ready to perform their duties within one (1) hour or one-and-one-half (1.5) hours during peak traffic time.

Employees subject to on-call shall receive forty (40) hours of administrative leave credits each fiscal year. There is no cash out or annual roll over for these forty (40) hours of administrative leave. Affected employees will be awarded twenty (20) hours of administrative leave credits on the first pay period in July and January. Employees assigned to a position requiring restricted on-call after July or January shall receive administrative leave credits on a pro-rated basis.

ARTICLE 9 - VACATION

A. Policy: It is the intent and purpose of this vacation leave policy that all employees avail themselves of accrued vacation time in order to promote a safe and productive working environment. However, the parties do recognize that personal circumstances and/or the staffing requirements of the Police Department may periodically impact the ability of an employee to utilize any or all of his/her annual vacation accrual.

B. Vacation Accrual:

1. Accrual Rate: Employees shall accrue paid vacation time on the basis of years of paid service. The accrual rate shall be as follows:

0 – 6 years Eighty-eight (88) hours per year

19 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 7+ years Eight additional hours per year to a maximum of two-hundred (200) hours per year.

2. Accrual Caps: Except as provided herein, no employee may accrue greater than four hundred (400) vacation hours.

The total number of vacation hours accrued on or before January 14, 1995 shall not be subject to the above accrual limitation and shall be placed in a separate accrual bank (vacation hours Bank No. 1). The number of vacation hours contained within Bank No. 1 on January 14, 1995 shall not increase except as provided below.

Concurrent with the creation of Bank No. 1, there shall be created a second vacation bank (Bank No.2) that shall have a balance of zero at its inception. Vacation hours accumulated after January 14, 1995 shall be deposited in Bank No. 2. Except as provided below, if Bank No. 2 should equal 400 hours, then no vacation hours or cash equivalency shall be earned by the employee until the balance in Bank No. 2 is less than 400 hours.

Only in exceptional circumstances shall an employee be allowed to exceed the maximum vacation accrual. In no case shall an employee’s request to accrue vacation in excess of the accrual cap be granted if the employee has not, within the fiscal year, taken advantage of the cash-out provisions of Article 11 of this MOU.

Any approval to accrue in excess of the accrual cap requires a written request from the Police Chief to the City Manager stating that the employee will not be authorized to utilize vacation prior to reaching the accrual cap because of Department staffing requirements. The City Manager’s approval is required. The number of hours allowed above the cap shall be in an amount sufficient to allow the employee 60 days to utilize vacation time prior to again reaching the cap. The approved number of hours shall be placed in bank number 1.

C. Use of Vacation Time: Probationary employees shall be authorized to utilize accrued vacation time prior to conclusion of the probationary test period.

Use of vacation time during the calendar year shall be approved by the Chief of Police or his designee, with due regard for the wishes of the employee, the employee's accumulated vacation credits, and particular regard for the needs of the Department. Seniority shall be considered when approving vacation requests from employees. Employees’ vacation requests shall not be limited by the amount of vacation time that the employee will accrue in a calendar year. Employees shall be eligible to submit vacation requests for all eligible vacation hours that the employee has available in their leave banks in addition to the hours they will accrue prior to the use of the vacation leave.

ARTICLE 10 - HOLIDAY

Policy: It is the intent and purpose of this holiday leave policy that all employees avail themselves of accrued holiday time in order to promote a safe and productive working environment. However, the parties do recognize that personal circumstances and/or the staffing requirements of the Police

20 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 Department may periodically impact the ability of an employee to utilize any or all of his/her annual holiday accrual.

Currently and until December 31, 2019, employees of the Police Department who are assigned to work around-the-clock shifts receive thirteen 10-hour (130 hours total) floating "holidays-in-lieu" of specific holidays off. These holidays shall accrue on the following days:

Regular: New Year's Day Thanksgiving Day
Washington's Birthday Day After Thanksgiving Day
Memorial Day Christmas Eve
Independence Day Christmas Day
Labor Day New Years Eve Day (effective 12/31/2007)
Veteran's Day Admission's Day
Columbus Day

Currently and until December 31, 2019 all other unit employees shall receive eleven (10-hour) paid holidays (see “Regular” holidays listed above), two (10-hour) floating holidays to replace Admission’s Day and Columbus Day. These amounts are the maximum an employee can accrue.

Hold over time and/or overtime greater than assigned hours shall not be applicable to this article.

Effective January 1, 2020, all employees shall receive thirteen 10-hour (130 hours total) “holidays- in-lieu” of specific holidays off. Employees shall accrue 10.84 hours each calendar month of employment in lieu of the above-listed holidays.

Except as provided herein, no employee may accrue greater than two-hundred sixty (260) holiday hours.

The total number of holiday hours accrued on or before January 14, 1995 shall not be subject to the above accrual limitation and shall be placed in a separate accrual bank (Bank No. 1). The number of holiday hours contained within Bank No. 1 shall not increase after January 14, 1995 except as provided below.

Concurrent with the creation of Bank No. 1, there shall be created a second holiday bank (Bank No.2) that shall have a balance of zero at its inception. Holiday hours accumulated after January 14, 1995 shall be deposited in Bank No. 2. Except as provided below, if Bank No. 2 should equal 260 hours, then no holiday hours or cash equivalency shall be earned by the employee until the balance in Bank No. 2 is less than 260 hours.

Only in exceptional circumstances shall an employee be allowed to exceed the maximum holiday accrual. In no case shall an employee’s request to accrue holiday in excess of the accrual cap be granted if the employee has not, within the fiscal year, taken advantage of the cash-out provisions of Article 11 of this MOU. Any approval to accrue in excess of the accrual cap requires a written request from the Police Chief to the City Manager stating that the employee will not be authorized to utilize holiday prior to reaching the accrual cap because of Department staffing requirements. The City Manager’s approval is required. The number of hours allowed above the cap shall be in an

21 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 amount sufficient to allow the employee an opportunity to utilize holiday time prior to again reaching the cap. The approved number of hours shall be placed in bank number 1.

ARTICLE 11 - ACCRUAL CASH-OUT

Unit members who use eighty (80) hours (can be combination of administrative leave, vacation and/or holiday) of leave during any fiscal year and who designate to cash-out one hundred (100) hours of accumulated and earned vacation time or holiday time (or a combination thereof) will receive automatic payment for any earned vacation or holiday once they reach their maximum accrual of vacation and/or holiday for the remainder of the fiscal year. Requests for cash-out are to be submitted in a manner prescribed by the City. This requirement does not apply to members who are unable to work while on leave (e.g. IOD). Excess leave for members who are on leave will be paid to the employee as it is earned by the affected employee.

Beginning in December 2022, and each December thereafter, employees may irrevocably choose in writing, on a form available from the Human Resources Department, to cash out a combined maximum of 100 hours of administrative leave, vacation time or holiday time that are to be accrued and remaining unused in the following calendar year. Administrative leave, vacation and holiday time balances rolled over from prior calendar years are not eligible for cash out.

Regardless of the number of hours irrevocably elected for cash out, the cash out will only be made from hours accrued during the calendar and not otherwise used for time off or otherwise by the employee at the time of the cash out. Cash outs shall be paid in December of each year.

The payment shall be made via payroll with the last paycheck in the following December after receipt of the irrevocable election form.

Employees who do not submit an irrevocable election form by December 15th will be deemed as foregoing participation in the optional annual leave cash-out program for that following calendar year.

In the event an employee has less hours in their leave bank at the time the cash-out is to be paid than they had previously elected to cash-out, the employee shall only be paid for up to the amount that was accrued that calendar year that is remaining in their designated leave bank at the time of the actual cash-out.

If an employee makes an irrevocable election to cash-out leave in the following calendar year and uses leave during that subsequent calendar year, the leave used may come from leave the employee had earned (if any) prior to January 1st of the calendar year the employee had elected to cash-out and/or in the same calendar year. The employee’s use of earned, but unused leave accumulated from previous calendar years shall not result in a reduction in the amount of leave hours the employee is eligible to cash-out.

An employee who experiences an unforeseeable emergency may be permitted to make a new irrevocable election and/or to increase the amount of a previous election, subject to the same value that was permitted at the time the annual irrevocable election forms were due.

22 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 For these purposes, an “unforeseeable emergency” means a financial hardship to the employee resulting from any of the following:

• Accident, illness, injury or death of the employee or an immediate family member. For this purpose, an “immediate family member” is restricted to a spouse, registered domestic partner, child/legal dependent, or parent; or

• Loss of extensive damage to the employee’s property due to casualty; or

• Other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the participant.

Whether an occurrence is an unforeseeable emergency shall be solely determined by the City Manager or designee.

The City shall make a form available for employees to make their irrevocable election.

ARTICLE 12 - SICK LEAVE

A. Sick leave with pay shall be granted to every full time employee who has been continuously employed for a period of time in excess of 30 days. Such sick leave shall be granted by the City at the rate of 8.00 hours per month (96 hours per year) for each full calendar month of continuous employment with the City, including time served in probationary status.

B. Sick leave is paid leave from work that can be used for the following purposes:

(a) diagnosis, care, or treatment of an existing health condition of, or preventative care for, an employee or any of the following of the employee’s family members: child of any age or dependency status; parent; parent-in-law; spouse; registered domestic partner; grandparent; grandchildren; or sibling; or

(b) for an employee who is a victim of domestic violence, sexual assault, or stalking to:
i) obtain or attempt to obtain a temporary restraining order or other court assistance to help ensure the health safety or welfare of the employee or his or her child; or ii) obtain medical attention or psychological counseling; services from a shelter; program or crisis center; or participate in safety planning or other actions to increase safety.

For full time employees, one-half of the employee's accrued and available annual sick leave is protected and may be used for any of the purposes stated above. However, the City permits that a total of eighty hours of sick leave may be used per calendar year for family sick leave purposes.

C. Sick leave accrual and maximum:

1. On July 1, 2012, any existing sick leave balance was placed in a separate leave bank (bank #1) and the amount of that bank shall not be increased nor added to. The hours in the bank shall be subject to the reimbursement provisions described in this Article. The

23 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 employee shall be allowed to utilize this sick leave bank balance to fund future illnesses/sick leave. However, the employee shall not be required to utilize this sick leave account unless or until the employee elects to do so. Employees with sick leave hours in bank #1 who service retire from the City, may receive 50% of the hours in bank #1 paid at his/her base hourly rate of pay at the time of retirement. For example if an employee had one-thousand (1,000) hours of sick leave in this account and retired for service, the employee would be provided fifty percent (50%) cash out upon service retirement. Accordingly, the employee has the option of utilizing the following newly created eight-hundred (800) hour sick leave account before utilizing this frozen account.

Employees hired on or after July 1, 2012 do not have a sick leave bank (bank #1) as described in this paragraph.

2. Commencing on July 1, 2012, sick leave earned by bargaining unit members shall be deposited into a second sick leave account which shall be capped at a maximum of 800 hours. Upon accruing eight-hundred (800) hours in this sick leave account there shall be no further accrual of sick leave unless or until use results in a balance of less than eight- hundred (800) hours. Employees, who retire from the city with more than ten (10) total years of city service, beginning from the date of employment, shall be eligible to cash out sick leave in the “second” sick leave account at the rate of twelve (12) hours for each one full year (12 months) of city service.

3. Upon death of an employee prior to retirement, the City will pay to the employee’s designated beneficiary the employee’s accumulated sick leave accrual in an amount consistent with the above retirement-related pay-out schedules as separately set forth in C(1) and C(2) above at the employee’s base hourly rate of pay.

D. In order to receive compensation while absent on sick leave, the employee shall, under normal circumstances, notify his/her immediate supervisor, or the on-duty watch commander prior to the time set for the beginning of his/her daily duties. Employees are encouraged to contact their immediate supervisor or the on-duty watch commander at least one (1) hour prior to the beginning of his/her daily duties. A supervisor may require an employee to submit a health care provider’s statement of illness or other satisfactory verification of illness regardless of the length of an employee's period of absence. Following any period of absence, a supervisor may require of the employee that they submit a health care provider’s certificate indicating that they are capable of returning to duty.

E. The City Manager or Police Chief may, at any time there is a reasonable basis to believe an employee may be presently unfit for duty and in order to receive further information with respect to the ability of the employee to perform his job duties, request such employee to submit to a medical examination, either physical or mental, at the expense of the City.

F. Refusal of any employee to submit to such a medical examination shall constitute insubordination and grounds for disciplinary action.

G. Government Code Section 21163 provides in pertinent part that the retirement of a PERS member who has been granted or is entitled to leave, shall not become effective until the expiration of sick leave with compensation, unless the member applies for, or consents to,

24 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 his or her retirement as of an earlier date, or unless, with respect to sick leave, the provisions of a local ordinance or resolution or the rules or regulations of the employer provide to the contrary. In this regard, it is acknowledged that with regard to non-industrial disability retirements, it is the rules and regulation of the City that no employee shall be entitled to use or receive cash distribution of sick leave on or after the effective date of said retirements and that any such retirement shall be effective regardless of the employee having sick leave remaining in the employee's account. Additionally, it is acknowledged that with regard to individuals suffering from an industrial disability and/or being granted an industrial disability retirement, that the following sick leave rules and regulations shall apply:

1. In any instance where the local safety member has exhausted eligibility for benefits pursuant to Labor Code Section 4850, but is not eligible for disability retirement at said time yet remains incapacitated from performance of the essential duties of the employee's position, then the employee shall have the option of electing to receive their sick leave balance existing at the time of exhaustion of the Labor Code Section 4850 benefits in accordance with the sick leave cash-out schedule contained in this Article (if eligible based on hire date), with said amounts to be distributed during each payroll period until said 50 percent amount has been exhausted. In no case shall any such distribution during one pay period exceed the gross salary to which the employee would otherwise be entitled during said pay period.

2. However, if said employee is eligible for an industrial disability retirement prior to exhaustion of benefits under Labor Code Section 4850 or simultaneous with the same, and still has sick leave remaining on account, then the retirement shall still become effective and the safety employee shall be provided a one-time cash distribution of the employee's sick leave balance as it existed on the effective date of the industrial disability retirement in accordance with the sick leave cash-out schedule contained in Section H of this Article 12 (as eligible based on hire date).

Further, said employee shall then be paid the cash value of accumulated vacation, holiday, and compensatory time off in one lump sum.

H. Upon accumulation of 500 sick leave hours, an employee may elect to cash-out up to ninety- six (96) hours accumulated sick leave, as long as the employee’s account contains at least 500 hours after the cash out. Any such cash-out shall be at 75% value (e.g., 96 hours cash- out = 72 hours pay). Requests for cash-out will be processed the first payroll date following December 1st of each year and shall be submitted in a manner prescribed by the City.

I. Catastrophic Leave Bank. All regular employees covered by this MOU may be enrolled in the Catastrophic Leave Bank as described in Administrative Policy 30-10. Membership in the Catastrophic Leave Bank will be voluntary and require an annual sick leave contribution of 8 hours pursuant to the provisions of Administrative Policy No. 30-10.

ARTICLE 13 - BEREAVEMENT LEAVE

Each regular employee will be granted bereavement leave whenever death occurs to a member of the employee’s immediate family. Bereavement leave may not exceed three shifts, however, if travel outside the State of California, or within the State of California but extending beyond a distance of

25 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 300 miles from Monterey Park is necessary, bereavement leave may be extended to a total of five shifts. Bereavement leave must be used within two weeks of date of death and may be taken on non- consecutive days. Shifts of Bereavement Leave are to be charged to an account separate from the employee’s sick leave account. The Police Chief may extend the timeframe to use bereavement leave in unusual circumstances (e.g., funeral services delayed beyond two weeks following date of death).

Immediate family, for the purpose of bereavement leave, shall include: spouse, registered domestic partner, father, father-in-law, step-father, mother, mother-in-law, step-mother, child, stepchild, son- in-law, daughter-in-law, grandparents, grandparents-in-law, grandchildren, brother, brother-in-law, step-brother, sister, sister-in-law, or step-sister of the employee.

ARTICLE 14 - MILITARY LEAVE

Military Leave of Absence shall be granted in accordance with provisions of the City of Monterey Park’s Personnel System Rules and Regulations, Administrative Policy 30-14 and as defined under State and Federal law.

ARTICLE 15 - JURY DUTY LEAVE

An employee who is required to serve as a trial juror, or is required to appear in court as a witness except as the litigant in the case, shall be allowed to be absent with pay, from assigned duties within the City, during the period of such service or while necessarily being present in court.

Under such circumstances, the employee shall receive regular salary while on such leave, provided that the employee remits to the City any payments or fees received as a witness, or as a juror, with the exception of travel pay, which may be retained by the employee.

The employee shall immediately advise the Department of receiving a court subpoena or governmental hearing order to serve as a witness. The employee shall be allowed leave with pay during the period of such service.

The employee shall advise the Department upon receiving a court order to appear for the initial examination as a prospective juror, or subsequently to serve as a juror. Should an employee volunteer for jury service (i.e. for the Grand Jury) and be selected to serve, leave with pay shall be subject to approval of the City Manager.

ARTICLE 16 - LEAVE OF ABSENCE WITHOUT PAY

Except as modified herein, Leave of Absence shall be governed by Personnel Rule XI. Attendance and Leaves, Sec. 4 Leave of Absence, of the Personnel System Rules and Regulations of the City of Monterey Park.

A. Leave of Absence Without Pay - The City Manager may grant a regular employee a leave of absence without pay for a period not to exceed ninety (90) calendar days. However, no such leave shall be granted unless the employee's Department Director recommends and the City Manager has approved said leave prior to its commencement date. Upon a showing of good

26 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 and reasonable cause, the City Manager has authority to retroactively define an unauthorized non-paid leave of absence as being approved and sanctioned.

No such leave shall be effective except upon written request of the employee following exhaustion by the employee of all accrued paid leaves of absence (except sick leave - see below), including but not limited to vacation, holiday and compensatory time off. If the non- paid leave of absence is solely attributable to a medical condition which would allow the employee to utilize accumulated sick leave, then said sick leave shall be exhausted prior to the granting of any leave without pay status. However, those employees taking a non-paid leave of absence pursuant to the FMLA/CFRA are not required to use accrued compensatory time earned in lieu of overtime. Additionally, any such employee on a non-paid leave of absence pursuant to FMLA/CFRA, shall be required to use sick leave concurrently with said leave only if the leave is for the employee's own serious condition.

The City Council may authorize a regular employee to utilize leave of absence without pay for a period not to exceed the accumulated total of one hundred and eighty (180) calendar days during the entire term of the employee's service on behalf of the City. For example, if during an employee's length of service with the City, said employee has been granted an accumulated total of one hundred and eighty (180) calendar days of leave without pay, then said employee shall not be eligible for any additional leave without pay status for any duration of time.

The granting of a leave of absence without pay consistent with this policy shall be documented in writing by the City Manager and a copy of said documentation shall be filed with the Director of Human Resources and Risk Management.

In any instance where an employee is utilizing an approved leave of absence without pay for a period of time greater than fifty percent (50%) of a pay period, said employee shall accrue no leave benefits or seniority for the duration of time while in said status.

All requests for approval of leave without pay shall be initiated by the subject employee making said request on a City provided personnel action request form and said form shall become a permanent part of the employee's personnel file.

B. Maintenance of Insurance Benefits while on Leave of Absence Without Pay - It shall be the policy of the City that when an employee maintains employment status but is in a non-paid leave of absence, then the City shall make no premium or other contributions necessary to maintain in force and effect, any or all insurance coverage for which an employee would be otherwise eligible except as required by law. If such an employee desires to maintain during an authorized non-paid leave of absence, any or all insurance benefits otherwise available to an employee, then said employee shall be required to deposit any and all insurance premium payments with the City Director of Management Services on the date that the City is otherwise required to remit insurance premium payments to the carrier. Each employee shall be advised in writing of this City policy at the commencement of the authorized leave of absence without pay. There shall be no additional notices of said obligation provided to the employee.

27 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 17 - FMLA/CFRA COMPLIANCE

It is the stated intent and policy of the City that should any provision within a Memorandum of Understanding, these rules and regulations, or any other policies or procedures adopted by the City or any of its subdivisions be in violation of the California Family Rights Act and/or the Federal Family and Medical Leave Act, then such provision is null and void.

ARTICLE 18 - INDUSTRIAL INJURY AND ILLNESS LEAVE

A. Except as modified herein, Industrial Injury and Illness Leave shall be governed by Personnel Rule XI, Section 4a, Industrial Injury and Illness Leave of the Personnel System Rules and Regulations of the City of Monterey Park and state law.

B. An employee who is absent due to an Industrial Injury for an extended period of time will be considered to be on a Monday through Friday 0800 hours - 1700 hours schedule. The employee shall not be required to be at any specific location during this time period, however, must be available by cell phone.

ARTICLE 19 - MODIFIED DUTY

A. Subject to the exceptions described below, modified duty shall be made available only to those individuals suffering from an industrial injury. Non-industrial disabilities related to pregnancy, shall result in the subject employee being eligible for modified duty subject only to the criteria of Section B and Section C, subsections 1-6 as described below.

B. It is the policy of the City to return work related injured or ill employees to work as quickly as is medically feasible. Every effort will be made to make "modified work" available to industrially injured employees who are not medically ready to return to full duties, but are able to perform light or modified duties without the likelihood of aggravating the injury. "Modified work" is defined as the performance of limited job tasks which do not encompass all of the essential duties for that particular job class or assignment to job tasks not typically performed by the employee but that provide productive work opportunities. "Modified duty" shall only be made available until the employee's condition becomes "permanent and stationary" or reaches maximum medical improvement under the prevailing workers' compensation statute and in no case shall extend beyond the statutory benefit period afforded under Labor Code Section 4850 for safety personnel. "Modified duty" shall not be considered a reasonable accommodation since the essential duties for the job are not taken into consideration.

C. Modified duty may be allowed only if all of the following conditions are met:

1. The Chief of Police determines that he/she has productive work available, which is within the work restrictions imposed by the qualified medical specialist. Any such decision by the Chief of Police shall not be subject to administrative or court challenge.

28 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

2. The Risk Manager concurs that such work will not impose an unacceptable level of risk to the City or the employee; and

3. The City Manager concurs that the modified work assignment of the named employee is in the best interests of the City.

4. The determination of availability of a modified work assignment shall be made on a case-by-case basis and at the sole discretion of the City.

5. No modified duty assignment shall be made prior to conditions 1-3 being met;

6. There shall be no appeal of any decision which results in no assignment of modified duty being made.

D. Non-Industrial Modified Duty

1. In addition to the above, non-industrial modified duty may be assigned when the following additional criteria are met (pregnancy disability not subject to the restrictions described below):

a. Employee meets all the criteria as stated in Section C of this article.

b. Employee receives a medical release from the designated City doctor that modified duties may be performed.

c. The prognosis is for the injury/illness to exceed 2 weeks (14 days).

d. The employee is released to work at least half of a full shift (either 5/8 or 4/10 schedule).

e. The employee’s schedule is to be determined at the sole discretion of the Chief of Police. The Chief’s determination shall not be subject to any administrative or court challenge.

f. Modified duty is intended to be temporary and therefore modified duty for non-industrial injury/illness shall not exceed 30 calendar days. With a physician’s note that indicates medical improvement but continued work restrictions, the Police Chief may agree to extend the modified duty for an additional thirty (30) day period.

g. An individual on non-industrial modified duty may be assigned to any Division of the Police Department or any Department of the City.

h. No more than one individual may be assigned non-industrial modified duty at any one time unless it is determined at the sole discretion of the Chief of Police that sufficient work exists to accommodate more than one individual.

29 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 The Chief’s determination shall not be subject to any administrative or court challenge.

i. No individual may be assigned, or continue to be assigned, non-industrial modified duty if there is any Officer assigned modified duty for an industrial injury unless it is determined at the sole discretion of the Chief of Police that sufficient work exists to accommodate more than one individual. The Chief’s determination shall not be subject to any administrative or court challenge.

j. At all times, industrially injured individuals shall have precedence for modified duty assignments over non-industrial injured individuals.

ARTICLE 20 - UNIFORM ALLOWANCE

A. The uniform allowance shall be seven hundred twenty-five dollars ($725) per year and the City shall continue its credit/retail account program with a retail outlet to be determined by the City, in lieu of cash payment of the uniform allowance.

In addition, the following shall apply:

1. Employees may choose to receive cash payment for the uniform allowance each fiscal year. Requests to receive the cash payment shall be submitted no later than the first paycheck of June for the following fiscal year cash option.

2. Employees who do not elect to receive a cash payment and who do not use the full $725 allowance with the retail outlet will receive any remaining balance as cash payment for uniform maintenance or other uniform related costs.

The parties agree that this shall be reported as reportable special compensation to CalPERS for “classic members”, to the extent legally permissible, pursuant to Title 2 CCR, Section 571(a)(5). All uniform allowance cash payments will be reported on the employee’s W-2 form under “Other Compensation” to meet Internal Revenue Service requirements.

B. The number of retail outlets utilized for the credit/retail account program will not exceed four locations. The selection of the outlets is to be determined by the City, after consultation with the Association.

Unit members have the option of purchasing their equipment from vendors other than the city approved vendor/retail outlet, as long as the equipment meets departmental specifications. Subject to the amount listed above, a member will be eligible for reimbursement upon bringing in the receipt, showing the detail of the purchased equipment to their supervisor, for approval prior to usage. All equipment and uniforms must meet departmental standards and specifications to be eligible for reimbursement.

The City purchases and issues bullet resistant vests to each unit member and follows the replacement schedule identified by the manufacturer. Employees who believe that their vest

30 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 is damaged, defective, or deemed unsuitable due to wear and tear should notify the department so that the vest can be evaluated for replacement eligibility.

ARTICLE 21 - HEALTH INSURANCE

A. Medical Insurance (Active Employees)

Employees will receive insurance coverage through CalPERS under the California Public Employees’ Medical and Hospital Care Act (PEMHCA). The City’s contribution toward medical insurance under PEMHCA will be the minimum employer contribution (MEC) required by PEMHCA (in 2019 the MEC is $136/month).

B. Retiree Medical Insurance

1. Employees Hired On or After January 1, 2016

Employees, who are hired into City service on or after January 1, 2016 and retire from the City, will be eligible for medical insurance provided by PEMHCA and the City will contribute the minimum employer contribution (MEC) as required under PEMHCA. For 2019, this amount is $136 per month. PEMHCA determines the amount annually and therefore, this is subject to change.

2. Retiree and Employees Hired Prior to January 1, 2016

Current retirees and employees who were hired on or before December 31, 2015 will be eligible for medical insurance provided by PEMHCA and when enrolled in PEMHCA, receive a City contribution equal to the MEC under PEMHCA. The City shall also make a monthly contribution to a retiree Health Reimbursement Account (HRA) for the difference between the MEC and the contribution amount set forth below (subject to the actual premium of the PEMHCA plan):

a. If the employee retired from City employment with less than 20 years of City service, and remains enrolled in PEMHCA in retirement he/she will receive up to $485/month (includes the MEC) toward the purchase of medical insurance under PEMHCA for retiree and all eligible dependents.

b. If the employee retired from City employment with 20 or more years of City service, and remains enrolled in PEMHCA in retirement he/she will receive up to $650/month toward the purchase of medical insurance under PEMHCA for retiree and all eligible dependents.

c. Medicare

Retirees must comply with the Medicare enrollment requirements set forth by PEMHCA and the City’s health plan program.

31 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 If a retiree does not qualify for Medicare and has submitted the requisite proof to CalPERS, the retiree may remain on a CalPERS basic plan until the retiree later qualifies for Medicare Part A at no cost.

C. Dental Insurance

The City will contribute up to ninety-five ($95) dollars per month toward the premium for eligible employees and all eligible dependents. The employee will pay any and all premiums due in excess of the City’s contribution under the City’s Cafeteria Plan (Section 125).

D. Vision Insurance Plan

The City shall provide a vision insurance plan. The City will contribute up to twenty ($20) dollars per month for the employee and eligible dependents. The employee will pay any and all premiums due in excess of the City contribution under the City’s Cafeteria Plan. The plan design shall be: Examination every 12 months; Frames and Lenses every 24 months.

Deductible shall be $10.00/exam; $20.00/frame and lenses.

E. Section 125 Cafeteria Plan

1. The City agrees to maintain a premium conversion plan for all active unit members to provide for the pre-tax deduction of the employee’s share of premiums toward medical coverage, and when applicable, the employee’s share of premiums toward the dental plan as well as any premium payment for CalPERS Long Term Care which the employee may elect to participate in an pay through payroll deduction.

2. The City’s contribution under the Section 125 Cafeteria plan for active employees shall be up to one thousand two hundred and fifty dollars ($1,250) per month for employees electing to enroll in a medical plan in PEMHCA. The City’s contribution will include the PEMHCA MEC ($136 per month for 2019) toward the medical plan and the balance may be used for other eligible expenses. Eligible expenses include:
(1) medical insurance premiums, (2) dental insurance premium, (3) disability insurance premium, (4) vision insurance premium, and cash (as set forth below).

Employees will be responsible for paying the amount of the total insurance premium that exceeds the City’s contribution via the Cafeteria Plan (IRC Section 125 Plan).

3. For employees who elect to waive medical insurance from the City (opt out), the City will pay $300/month in cash to the employee. In order to receive the opt-out incentive, the employee must , annually, certify to the Affordable Care Act requirements for an “Eligible Opt Out Arrangement” on a form provided by the City.

4. Specific details of this cafeteria plan will be contained in a plan document available for review by employees at the City’s Human Resources Department.

F. AFFORDABLE CARE ACT REOPENER

32 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 The City may reopen negotiations at any time during the term of the MOU to meet and confer over impacts of the Affordable Care Act.

ARTICLE 22 – RETIREE HEALTHCARE TRUST

A. Effective July 1, 2020, the City has agreed to contribute one-hundred dollars ($100) per month to full-time Unit employees toward a Retiree Healthcare Trust (RHT). The contributions will be made for each complete calendar month that the employee is employed by the City.

B. Representatives of the City and the Association shall work together for the implementation of the RHT on July 1, 2020.

ARTICLE 23 - MEDICAL & DEPENDENT CARE FLEXIBLE SPENDING

ARRANGEMENT

The City will offer a voluntary medical and dependent care flexible spending accounts to employees.

The City will pay the administrat ive fee for the plans and the employee will be responsible for individual account fees.

ARTICLE 24 - LIFE INSURANCE PLANS

A. Life Insurance –The City shall provide each employee covered under this Agreement a term life insurance policy in the amount of $100,000.

B. Supplemental Life Insurance may be purchased by each employee in $10,000 increments with a maximum face value of $300,000, or three times (3X) the individual’s gross salary, whichever is less. Any premium cost for supplemental insurance shall be borne by the employee.

ARTICLE 25 - EDUCATIONAL INCENTIVE PAY

City agrees to maintain an Educational Incentive Pay Plan which provides additional compensation as follows:

A. A. $ 175.00 additional compensation per month for an employee who possess an intermediate or higher POST Certificate and who does not otherwise qualify for the educational incentive pay as provided for in this article , and $ 250.00 additional compensation per month for an Advanced POST Certificate for an employee who does not otherwise qualify for the educational incentive pay as provided for in this article. In no case shall the total additional monthly compensation under this section A of Article 25 exceed $ 250.00 per month.

Beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU, this section shall change to the following:

33 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

$ 300.00 additional compensation per month for an employee who possesses an iIntermediate POST Certificate, and or additional compensation per month of 7% of base salary for an employee who possesses an Advanced POST Certificate. In no case shall the total additional monthly compensation under this section A of Article 25 exceed $ 7% of base salary per month.

B. $135.00 additional compensation per month for an employee with an Associate of Arts degree or 60 units of college credit from an academic institution accredited by the Western Association of Schools and Colleges or an accrediting organization recognized by the Council of Post Secondary Education in any major.

C. $275.00 additional compensation per month for an employee with a Bachelor's degree from an accredited academic institution as described above in a major reasonably related to the employee's work or consistent with a career objective with the City.

Beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU, this section shall change to the following:

Additional compensation per month of 5% of base salary for an employee with a Bachelor's degree from an accredited academic institution as described above in a major reasonably related to the employee's work or consistent with a career objective with the City. Employees with both a Bachelor’s degree and an Associates shall receive compensation only for possession of the highest degree (i.e. Bachelor’s degree)

D. $ 325.00 additional compensation per month for an employee with a Master's degree from an accredited academic institution as described above in a major reasonably related to the employee's work or consistent with a career objective with the City.

DE. The above amountsThe maximum Education pay that the employee is eligible for possession of a POST certificate and a degree is is cumulative and may be combined with the maximum POST certificate pay the employee is eligible for, resulting in a maximum of 12% of base pay per month for an employee that qualifies for both. shall not be cumulative. If an employee possesses any combination of both 60 units of college credit/Associates/Bachelor’s/Master’s Degree and an Intermediate/Advanced POST Certificate, they will be compensated an additional $150 per month. In no case shall the total additional monthly compensation under Article 25 exceed $475 per month.

The parties agree that this is special compensation or pensionable compensations, and shall be reported as such to CalPERS, to the extent legally permissible, pursuant to Title 2 CCR, Section 571(a)(2) and 571.1(a)(2) as – Educational Incentive Pay.

ARTICLE 26 - EDUCATIONAL ENROLLMENT COST REIMBURSEMENT

Educational costs shall be limited to two thousand dollars ($2,000) annually per unit member for eligible reimbursement expenses as defined within this Article. The City agrees to reimburse employees for the cost of enrolling in college-level courses in an academic institution accredited by

34 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 the Western Association of Schools and Colleges or an accrediting organization recognized by the Council of Post Secondary Education directly related to their employment, or compatible with a career goal with the City. Enrollment cost reimbursement is subject to approval by both the Chief of Police and the Director of Human Resources and Risk Management. In rendering a reimbursement determination, the Chief of Police and the Director of Human Resources and Risk Management shall consider whether or not the course(s) for which the reimbursement is sought is related to the employee's then existing principal duties and the availability of funds for reimbursement purposes.

No employee shall be entitled to reimbursement unless pre-course enrollment written authorization for reimbursement is received from the Chief of Police and the Director of Human Resources and Risk Management. The reimbursement eligibility determinations described herein are not subject to any administrative or judicial appeal procedure and the decision of the Chief of Police and the Director of Human Resources and Risk Management shall be final.

Enrollment cost reimbursement will be paid according to the following schedule:

1. If tuition or fees are equal to or less than current California State University at Los Angeles fees, the City will pay 100% of the tuition fees.

2. If tuition or fees exceed California State University at Los Angeles fees, the City will pay an amount equal to 100% of the California State University at Los Angeles fees.

An employee will be reimbursed up to seventy-five dollars ($75.00) for books each semester or equivalent if he/she is enrolled in six (6) or less units; an employee will be reimbursed up to two hundred dollars ($200.00) for books each semester or equivalent, providing he/she is enrolled in seven (7) or more units. Reimbursement shall only be for books required for the course. All requests for reimbursement shall be accompanied by valid receipts.

ARTICLE 27 - BILINGUAL PAY

The City shall pay one hundred fifty dollars ($150) per month to each employee, who is capable of speaking and interpreting a foreign language as deemed useful by the City.

The parties agree that this is special compensation and shall be reported as such to CalPERS, to the extent legally permissible, pursuant to Title 2 CCR, Section 571(a)(4) – Bilingual Premium.

ARTICLE 28 - SALARIES AND WAGES

Effective the beginning of the pay period following the Council’s approval of this MOU, members of this unit will each receive a one-time cash payment of one-thousand dollars ($1,000).

Effective upon the Council’s approval of this MOU, the salary range for Police Officer and Police Corporal will be increased by 1% retroactive to the pay period starting December 29, 2018.

Effective the beginning of the pay period following the 2018-19 CalPERS contract amendment approval and members pick up an additional 3% retirement contribution as cost sharing, the salary range for Police Officer and Police Corporal will be increased by 3%.

35 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 Effective the beginning of the pay period following January 1, 2020, the salary range for Police Officer and Police Corporal will be increased by 2%.

Effective the beginning of the pay period following April 1, 2020, the salary range for Police Corporal will be increased by 1.2%.

Effective the beginning of the pay period following January 1, 2021, the salary range for Police Officer and Police Corporal will be increased by 2.5%.

Effective the beginning of the pay period following January 1, 2022, the salary range for Police Officer and Police Corporal will be increased by 3%.

Beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU, the City shall implement an across the board one percent (1%) base salary increase salary ranges for all employees in the Police Officer and Police Corporal shall be increased by 1%.classifications.

Essential Worker Premium Pay under ARPA : The City will make a one-time non-PERSable payment of $6,000 per employee who was employed in a classification in this bargaining unit prior to March 31, 2021 and is still employed in a classification in this bargaining unit at the time of distribution of the lump sum payment. The payment shall be distributed with the payroll for the pay period beginning after City Council ratification of this MOU.

Salary ranges for Police Officer and Police Corporal are listed in Addendum A.

Longevity: The City will provide a monthly longevity payment of one-hundred dollars ($100) per month upon completion of twenty (20) years of continuous service with the City . The longevity payment will increase to three-hundred fifty dollars ($350) per month upon completion of twenty- five (25) years of continuous service with the City.

Beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU, longevity pay shall be increased to the following non- cumulative amounts:

$200 per month after completion of 15 years of continuous safety service with the City; $300 per month after completion of 20 years of continuous safety service at the City; and $450 per month after completion of 25 years of continuous safety service at the City.

The parties agree that that this is special compensation or pensionable compensation and shall be reported as such to CalPERS, to the extent legally permissible, pursuant to Title 2 CCR, Section 571(a)(1) or 571.1(a)(1).

36 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 29 - SENIORITY

Time which has been spent in a position designated by the Department as an "acting position" does not qualify as seniority for time served within the acting position rank as credit for completion of a probationary period for the acting rank, or as credit for time in rank for merit pay step increases.

Seniority of officers shall be determined by rank (Officer or Corporal) and further, by the length of service in the rank. If the date of appointment to that rank is the same for two officers, the one occupying the higher position on the eligibility list shall be considered the senior officer.

When an employee is transferred to a special assignment, seniority will be based by rank and, further, by the length of service in that rank. If the date of appointment to that rank is the same for two employees, the one occupying the higher position on the eligibility list shall be considered to have seniority.

Patrol assignments [e.g. beat assignments, vehicle assignments, meal breaks (Code 7s)] shall be determined by seniority unless there is a Department necessity relating to field training (e.g. trainee needs training in a particular beat) or the need for specific experience. Under normal circumstances, seniority shall not be disregarded based on specific experience, rather, it is intended to allow the Department to utilize special assignments in a particular beat due to identifiable crime trends.

ARTICLE 30 - RETIREMENT

A. Retirement Benefits - Retirement Benefits as provided in contract, dated November 1, 1952, with the Public Employees' Retirement System and as follows:

1. Effective June 24, 1989, "Single Highest Year" option;

2. Effective March 20, 1976, "Post Retirement Survivor" option;

3. Effective May 8, 1999, "1959 Survivor's Benefit" - Level 4;

4. Effective August 18, 2001, “3% @ 55” formula Retirement Plan.

5. Effective November 1, 2003, Military Service Credit as Public Service

B. Classic Employees:

Employee Paid Retirement Contribution: Classic employees currently pay the nine percent (9%) member contribution. Effective the payroll period following the 2018-19 CalPERS contract amendment approval, Employees shall also pay an additional three percent (3%) retirement contribution as cost sharing pursuant to Government Code section 20516(a). In accordance with IRS Code section 414(h)(2), the cost sharing will then be treated as a pre- tax deduction.

PEPRA Employees:

Employee Paid Retirement Contribution: “PEPRA” employees pay 50% of normal costs, which is currently 11.5%. Effective the payroll period following the 2018-19 CalPERS contract amendment approval, such employees shall pay the higher of twelve percent (12%)

37 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 or the rate which CalPERS informs the City (each year) that new members are required to pay for their employee retirement contribution. If the rate established by CalPERS (each year) is below twelve percent (12%), the remaining contribution up to twelve percent (12%) is made per Government Code section 20516(a). In accordance with IRS Code section 414(h)(2), the cost sharing will then be treated as a pre-tax deduction.

Cost-Sharing

The parties agree to cost-sharing of the employer retirement rate as noted above. The City will pursue a contract amendment with CalPERS for the cost-sharing portion of employee contributions toward retirement. The parties agree to complete the contract amendment process during the first year of this MOU. Cost sharing will begin as noted above.

If, at some future date, unit members no longer agree to cost sharing, the City will simultaneously reduce the salary range for all Unit members by 3% and reduce any impacted employees’ base pay accordingly.

C. Employees who are classic members have the retirement formula that existed with the City on December 31, 2012, 3%@55 with single highest year for final compensation. (Tier 1)

D. Employees who are ‘New Members’ as defined by the California Public Employees’ Pension Reform Act of 2013 (PEPRA) (e.g., an employee hired on or after 1/1/2013 who has never been a CalPERS member or member of a reciprocal system, or who has had a break in CalPERS service of at least 6 months or more) will constitute a second tier and be subject to all the applicable PEPRA provisions, which include but are not limited to the following retirement benefits:

Tier 2: “New Members’ will have the retirement formula 2.7%@57, and the three year average, final compensation.

ARTICLE 31 - MEDICAL EXAMINATION

A medical examination of any employee may be required by the City when job related and consistent with business necessity to ensure the employee is free from any physical, emotional, or mental condition that might adversely affect the exercise of the powers of a peace officer as permitted by Government Code 1031(f). The exam and will be administered by a medical doctor selected by the City. The City agrees to pay the full cost of the medical examination.

38 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 32 – 401(a) PLAN & 457(b) DEFERRED COMPENSATION PLAN

A. 401(A) PLAN

The City will amend the 401(a) plan to permit employer contribution on behalf of unit members. The plan amendment will be effective July 1, 2021. [Effective July 1, 2021, the employer contribution will be 1% of regular pay on a monthly basis, but under no circumstances shall exceed the contribution limitations of Internal Revenue Code section 401(a) and related regulations and guidance.]

B. DEFERRED COMPENSATION PLAN (457(B))

The City of Monterey Park 457(b) Deferred Compensation Plan allows employees to defer compensation within the limits of Internal Revenue Code 457(b) for the applicable plan year.

The City of Monterey Park 457(b) Deferred Compensation Plan also allows employees nearing retirement the opportunity to make special catch up deferrals up to the lesser of: (a) two times the applicable dollar amount of the plan ceiling for the current year; or (b) the unused amount of the plan ceilings from prior years PLUS the ceiling for the current plan year. These contributions are known as “Special Catch Up” contributions.

Employees must meet the eligibility criteria in the City’s 457(b) Plan, Internal Revenue Code 457(b) provisions, and related regulations and applicable guidance, in order to be eligible to make a Special Catch Up contribution.

The intent of this section is to facilitate association members in the final three (3) years prior to their stated retirement year in converting the hourly rate of accrued compensable leave to monies into their contribution to the City’s deferred compensation plan.

After an employee defers compensable accrued leave, balances of 120 hours must remain or be maintained in both their sick and vacation accrual banks. If an employee defers compensable leave from a bank that has a formula of payout at retirement (i.e. 50% sick leave at retirement) the deferral does not recalculate the remaining balance. All sick leave hours, per MOU provisions, will be on a fifty percent basis (i.e. a conversion of 100 hours will result in the salary equivalent to 50 hours being deposited into the employees deferred compensation account). In the final three (3) years prior to an employee’s stated retirement year, they may convert the hourly rate of accrued compensable leave to monies to be included in their contribution to the City’s deferred compensation plan per the schedule outlined below:

39 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

3-year Catch-up Plan – Subject to IRS 457(b) contribution guidelines and annual limits. 1st year: no more than 20% of compensable accrual time of Sick Leave, Vacation Leave and Holiday Leave as allowed by Federal Law.

2nd Year: If a second year is chosen, no more than 35% of compensable leave may be deferred.

3rd Year: If a third year is chosen, no more than 50% of compensable leave may be deferred.

The City is not a party to and accepts no responsibility for the employees’ obligations under federal law to comply with the IRS and legal requirements of such deferrals allowing 457 participants a one-time catch-up provision to make deferrals to “catch-up” underutilized deferrals from prior years during any or all of the three calendar years ending before the tax year they reach the plans normal retirement age.

ARTICLE 33 - EMPLOYEE SAFETY COMMITTEE

A committee of three POA members is to be established. One of the three members will be the Association President, or the Association Vice President. This Committee will meet with appropriate Departments and City officials in matters related to on-duty safety.

Blood borne and Airborne pathogen exposure control training shall be provided to appropriate unit employees and required immunizations will be provided to employees as required at City cost.

ARTICLE 34 – DURATION OF SPECIAL ASSIGNMENTS AND SPECIAL

ASSIGNMENT PAY

A. Special assignments shall consist of Motors, Detectives, Neighborhood Engagement Team (NET)Community Relations Officer , Problem Oriented Policing Officer, Field Training Officer, Personnel Officer, Administrative Training Officer, Canine Handler , Mental Evaluation Team (MET) Officer, and Range Master (only one individual).

B. The term of any one (1) particular special assignment shall be for a period of forty-eight (48) consecutive months from the date of placement in the particular special assignment, with the employee having the option to elect an additional twelve (12) month period of service in the special assignment, resulting in sixty (60) consecutive months of placement within a special assignment. The employee shall notify the Office of the Chief of Police in writing not later than the end of the forty-fifth (45th) consecutive month of special assignment service, as to whether or not the employee elects an additional twelve (12) month period of service. (Canine Handler shall be considered a special assignment, however, the set term of such assignment shall be determined at the commencement of the assignment to constitute the service life duration of the assigned canine, multiplied by two (2), but in no event less than nine years. For example, if the service life of a canine is sixty (60) months, the term of assignment for a canine handler shall be one hundred twenty (120) consecutive months. The

40 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 above-described option to elect an additional twelve (12) months of special assignment shall not be applicable to the Canine Handler.

1. At the conclusion of the initial forty-eight (48) month, or the extended sixty (60) month term, the Chief of Police may, at his/her sole discretion, extend the term of an employee’s special assignment up to an additional six (6) months if the Chief of Police determines it is in the best interests of the Department to do so because of the employee’s involvement in a particular project, investigation or other matter is required. After the additional term of six (6) months has been concluded, the Chief of Police will request interest memos from all qualified employees. If no qualified employee submits an interest memo for the position, the Chief of Police may at his discretion grant an additional extension of six (6) months. This process may be continued every six (6) months until a qualified employee submits an interest memo for the position. Any extension of a special assignment following the completion of sixty (60) months, will count as part of the one year waiting period eligibility requirement for a new special assignment. Should the Police Chief seek an alternative method to handle the extension of assignments, he/she will meet and confer with POA prior to implementation of the new process.

C. Affected employees who have been placed in a special assignment prior to February 13, 2006 shall not be subject to the forty-eight/sixty (48/60) special assignment limitation set forth herein.

D. Any affected employee performing in a specialty assignment may submit a written request to the Chief of Police, proposing that the employee be assigned out of the special assignment.

The decision of the Chief of Police as to whether or not such request shall be granted and if so, when the reassignment shall be effective, lies in the sole discretion of the Chief of Police, whose determination shall not be subject to administrative or civil challenge or appeal.

However, any such request shall be honored and the employee transferred within sixty (60) calendar days of the request being submitted. An additional thirty (30) day extension is permitted if required for departmental needs.

E. At the conclusion of the above-described term of specialty assignment, or upon being granted exit from said assignment during its term, the affected employee shall be eligible to apply for a different specialty assignment, but shall be ineligible to be appointed to the same specialty assignment which term has just been completed, or from which the employee has exited during the term, for a period of twelve (12) months from the last date of service in the specialty assignment.

F. Reassignment in a specialty position of the same or different type than that in which the affected employee has previously performed services, shall be subject to all applicable policies, practices and procedures utilized by the Chief of Police for selection of participants in specialty assignments.

G. All affected employees participating in a special assignment, shall be subject to the removal/appeal policies and procedures set forth below in subsection H.

41 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 H. 1. Appeal procedures for employees removed from specialty assignments after twelve months or more of receiving the assignment:

A California Court of Appeal case has recently held that in many circumstances, reassignment from a special assignment as described above and loss of bonus compensation, can be implemented only upon the Department stating cause for the reassignment, and with the Officer then having a right to contest the reassignment through all available administrative appeal procedures. In this case, said procedures may include access to a trial-type evidentiary hearing before a hearing officer pursuant to Article 7 of the MOU. (The City does not acknowledge that said court ruling is controlling, yet it does form the basis for the compromise described in this Article.). However, the following limitation shall apply to administrative appeals conducted pursuant to Article 7 of the MOU and which regard reassignment from a special assignment as that term is used in this Article:

Each party to the Article 7 administrative appeals before a hearing officer shall be limited to a maximum of eight (8) hours of presentation time during conduct of an administrative appeal pursuant to MOU Article 7 (C)(4) Level IV Administrative Hearing. For purposes of time-limit computation only, the Association and any one (1) employee, as well as any other entity that may properly be appearing on behalf of or with an interest similar to the POA or employee, shall be jointly deemed to be the same one party for computing the time limitation on presentations. Accordingly, the time limitation shall not be multiplied by the number of individuals or entities appearing, on behalf of, or with an interest similar to, the individual employee who has been reassigned.

"Presentation Time" against which shall be charged the eight (8) hour presentation time limitation, shall include oral opening statement and oral closing argument, direct/redirect examination of witnesses, rebuttal and sur-rebuttal witness testimony, demonstrations and site inspections (excluding travel time to and from the site).

Cross examination shall not be counted as part of the "Presentation Time."

The hearing officer shall record and maintain account of all such hours by means of a timekeeping device suitable to the task. Absent stipulation by the parties to extend the eight (8) hour limitation, the hearing officer shall have no authority to extend said limitation.

2. Appeal procedures for employees removed from specialty assignments in less than twelve (<12) months of receiving the assignment:

The following administrative appeal process is established pursuant to Government Code § 3304.5. It shall supplement, though not replace, the disciplinary appeal processes established in other provisions of the Memorandum of Understanding (“MOU”) between the City of Monterey Park and the Monterey Park Police Officers’ Association.

42 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 This procedure shall not apply to disciplinary actions for which officers already are entitled to receive an appeal hearing pursuant to either Article 7 or 34 of the Memorandum of Understanding. It shall only apply to punitive actions, as that term is defined by Government Code § 3303, for which officers do not already receive an appeal hearing under either Article 7 or 34 of the Memorandum of Understanding.

MOU ARTICLE 7 GRIEVANCE PROCEDURE applies to disciplinary action “as defined by City Personnel Rules and Regulations.” Personnel Rule XV(1) defines disciplinary actions as being limited to suspensions without pay, reduction in class position or dismissal. Thus, this particular procedure shall only apply to the removal of employees from their specialized assignment within the first twelve (12) months of receiving such an assignment.

A. Right to Administrative Appeal

1. Any public safety officer (as defined by Government Code § 3301) who is subjected to punitive action (as defined by Government Code § 3303) other than dismissal, demotion (reduction in class position) or suspension is entitled to an administrative appeal pursuant to this procedure. An officer shall be entitled to appeal an action upon receiving written notification of such action.

2. Officers subjected to dismissal, demotion, or suspension shall continue to be entitled to an appeal in accordance with existing procedures set forth in other provisions of the Memorandum of Understanding.

3. Each Party shall bear their own costs incurred under this procedure.

B. Notice of Appeal

1. Within ten (10) calendar days of receipt by an officer of written notification of punitive action, the officer shall notify the Chief of Police in writing of the officer’s intent to appeal the punitive action.

2. The notice of appeal shall specify the action being appealed and the substantive grounds for the appeal.

3. Failure to timely serve written notification of an appeal shall result in waiver of any right to appeal.

C. Hearing Officer

The City Manager or designee shall act as the hearing officer. The determination of the City Manager or designee shall be administratively final and binding.

D. Burden of Proof

43 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172

The City shall have the burden of proving by a preponderance of the evidence the facts which form the basis for the punitive action and the burden of proving that the punitive action was reasonable under the circumstances.

E. Conduct of Hearing

1. For the purposes of this specific hearing regarding the proposed removal of an officer within the first 12 months of a specialized assignment the provisions of Government Code § 11513 shall apply to the hearing. The City understands that an employee cannot be compelled to testify even if the employee does not testify in the presentation of his/her case.

2. Following the presentation of evidence, if any, the parties may present verbal closing arguments and/or in the sole discretion of the hearing officer, written closing arguments, as well.

F. Record of Hearing

1. The hearing shall be audio recorded. The cost to receive a transcript of the hearing shall be borne by the party requesting the transcript.

G. Representation

The officer may be represented by a representative of his or her choice at all stages of the proceedings. The appointing authority shall also be entitled to representation at all stages of the proceedings.

H. Decision

1. The City Manager or designee shall serve the parties with written notice of his/her decision within thirty (30) calendar days of submission of the case by the parties.

2. The decision shall be served by first class mail upon the appointing authority and the officer as well as his/her attorney or representative.

The decision shall advise the officer that the time within which judicial review of the decision may be sought is governed by Code of Civil Procedure § 1094.6.

3. If applicable, the decision to return the employee to his/her specialized assignment shall include back pay.

I. The City agrees to pay two hundred dollars ($200.00) per month special assignment pay for employees regularly assigned to special assignments listed section A of this Article. the positions of Motor Officers, Detectives, Neighborhood Engagement Team (NET), Canine

44 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 Officer/Handler, Community Relations Officers, Problem Oriented Policing (POP) Officer, Field Training Officer, Personnel Officer, Administrative Training Officer, Mental Evaluation Team (MET) Officer,and Range Master (only one individual). This pay will increase to three hundred dollars ($300.00) per month beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU.

In no case shall any individual be eligible to receive multiple special assignment pay provisions.

The parties agree that for the special assignments listed section A of this Article , assignments of Motor Officer, Detective, Canine Officer/Handler, Field Training Officer, Neighborhood Engagement Team (NET),Personnel Officer (Police Administrative Officer), Administrative Training Officer, and Range Master and Police Liaison (assigned to Community Relations, POP or MET) this is special compensation and shall be reported as such to CalPERS, to the extent legally permissible, pursuant to Title 2 CCR, Section 571(a)(4).

J. Canine Pay - Employees who are assigned to Canine Officer duties are entitled to compensation for the hours spent with their canine feeding, grooming, caring, and training with the dog as well as cleaning their canine vehicle. The parties acknowledge that the Fair Labor Standards Act which governs the entitlement to compensation for canine duties entitles parties to agree to a reasonable number of hours per month for the performance of canine duties. The Fair Labor Standards Act also allows the parties to agree on appropriate compensation for the performance of canine duties. It is the intent of the parties through the provisions of this article, to fully comply with the requirements of the Fair Labor Standards Act. In addition, both parties believe that the following agreement does comply with the requirements of the Fair Labor Standards Act.

45 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 In negotiating this MOU, the City requested that the Association conduct an actual inquiry of the hours which employees assigned to Canine duties perform each month to ensure compliance with the FLSA and in particular the case of Leever v. City of Carson City (9th Cir. 2004). The Association advised the City that the inquiry revealed that the hours to which the parties have agreed – (three hours per week) accurately describes the time such employees are performing such duties each week. A sworn unit member assigned to canine duty will receive additional compensation of $200.00 per month in addition to his or her base salary. This amount recognizes that the time spent in the care (including feeding, caring and grooming), maintenance and training of his or her assigned dog as well as the cleaning of his or her assigned vehicle shall be considered hours worked payable at the rate of $15.39 per hour ($15.50 as of January 1, 2023, in which case the amount will increase to $201.50). It is understood that unit members normally spend three (3) hours per week performing such work. A unit member who is required to perform extraordinary off-duty canine care, such as a veterinary emergency or other rare occurrence which is not a part of the member’s customary care, maintenance or training of the dog or cleaning of the canine vehicle shall submit a written request to the Chief of Police or assigned designee for additional compensation for the hours spent performing such work. Any additional compensation shall be at the employee’s regular rate of pay.

K. Only those employees, who apply for, test and are designated as FTO’s shall be assigned to train employees in patrol. The City agrees to pay two hundred dollars ($200.00) per month to individuals selected as a Field Training Officer (FTO). The decision to select a member as a “full-time” FTO after the testing process will be at the sole discretion of the Chief of Police. However, the minimum number of “full-time” FTOs shall be five (5). Beginning with the first day of the pay period in which the POA ratifies the tentative agreement setting forth the changes in this MOU employees designated as FTOs shall receive an additional $100.00 per month when the FTO is assigned to train another sworn officer.

a. For those individuals not receiving FTO premium pay under the provision of this Article 34 (K), if within the twenty-eight (28) day work period, because of the unavailability of a compensated FTO, an individual is qualified as an alternate FTO and acts as an FTO for a total of twenty-four to forty-eight hours, then said individual shall be paid Fifty Dollars ($50.00). If the individual works as an alternate FTO for more than forty-eight hours in the twenty-eight (28) day work period, then the individual shall receive One Hundred Dollar ($100.00). With the exception of Traffic Bureau training, which will be eligible for alternate FTO compensation, nothing herein shall be interpreted to provide for any FTO compensation for training that occurs as part of a trainee being rotated through the Communications Bureau, Community Relations Bureau, Jail, Detective Bureau, or K9 program as part of the normal training cycle.

b. A “full-time” Field Training Officer (FTO) assignment shall be four (4) years. Any current “full-time” FTO who has been in the assignment for more than four (4) years upon the City Council’s ratification of this MOU may submit a memo within thirty (30) days requesting to retest for an additional

46 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 four (4) year assignment. Any “full-time” FTO that currently has been in the assignment less than four (4) years will be subject to this section four (4) years from the date he/she began as a “full-time” FTO. There is no limit on the number of times an employee can be selected as an FTO; thus an FTO can reapply for the FTO position at the end of every four (4) year term. Any FTO wishing to be removed from the program may submit a memo to the Chief of Police as described in Article 34(D).

L. Employees holding the rank of Police Officer who are assigned duties supervising other sworn personnel shall be compensated $50 a day extra for no more than $200 in a twenty- eight day (28) scheduling period.

ARTICLE 35 – PROBATIONARY PERIOD

All original and promotional appointments to the competitive service shall be tentative and subject to the following probationary periods: eighteen months for appointment to the position of Sworn Police Officer, twelve months for promotional and lateral appointments to the positions of Police Corporal.

ARTICLE 36 - PERFORMANCE EVALUATIONS

If an employee is on an extended leave for more than sixty (60) consecutive days in a performance evaluation period, the City may change the annual performance evaluation date for an employee.

Beginning on the sixty-first date of leave, an employee’s performance evaluation date may be adjusted by one day for each day the employee remains on leave. For employees eligible for a step increase, the effective date of the step increase is adjusted to coincide with the modified performance evaluation date. This change only affects the date of the performance evaluation.

Performance evaluations shall be completed by a supervisor who directly supervised the employee during the specific rating period. The evaluation shall be completed on the basis of observation and/or knowledge of the employee’s work performance. Comments or information included in the evaluation that are based on observations and/or information gathered from other supervisory personnel shall be attributed to the employee who provided the comments.

No step raises, or other performance-based compensation, shall be delayed by more than sixty (60) calendar days due to the City failing to evaluate the affected employee’s performance in a timely manner. However, if an employee who is due a performance evaluation that includes a possible merit increase, does not receive their performance evaluation within sixty (60) calendar days after the date of their annual evaluation date, the merit increase shall process retroactive to the date of the employee’s anniversary date for merit increase consideration. The employee is to notify their supervisor and Human Resources at the time the sixty (60) calendar days have been exceeded. A personnel action form will be completed and the merit increase shall be made retroactive to the employee’s anniversary date.

47 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 ARTICLE 37 - WRITTEN NOTICES TO POA

Reasonable written notice will be given to the POA of any rule, ordinance, resolution or regulation directly relating to matters within the scope of representation proposed to be adopted by the City Council. In cases where the City determines that as a result of an emergency, an ordinance, rule, resolution or regulation must be adopted immediately without prior notice or meetings with POA, the City shall provide such notice and opportunity to meet at the earliest practical time following the adoption of such ordinance, rule, resolution or regulation.

The POA shall be deemed to have met and conferred and agreed to any matter if within thirty days after mailing of the notice by the City regarding said matter, the employee organization fails to deliver to the City Manager a written request for a meeting.

ARTICLE 38 - GENERAL PROVISIONS

A. This MOU shall not in any way interfere with the obligation of the parties hereto to comply with the State and Federal laws, or with any rule, regulation, or order issued by such government authority pertaining to matters covered herein. If any provision, or provisions, of this MOU shall be affected by State or Federal laws, or of any rule, regulation, or order issued by such governmental authority, or if any provision, or provisions, should be held invalid by a court of record, the remainder of the MOU shall not be otherwise affected thereby.

B. The parties hereto agree to continue their long-standing policies in that there shall be no discrimination against any employee because of membership or non-membership in the POA or based on any protected class.

C. The parties hereto agree that this MOU cannot be modified, changed, and/or canceled in any way except by mutual consent of said parties in writing, as set forth in this Article 38.

D. Nothing contained in the MOU shall act as a waiver of any rights an individual may have under the workers' compensation law.

E. Side Letter & MOU Amendments

1. The Parties acknowledge that the provisions of the MOU require a close degree of cooperation and that new information and future events may demonstrate that changes are appropriate with respect to the details of performance of the Parties under this MOU. The Parties desire, therefore, to retain a certain degree of flexibility with respect to the details of performance for those items covered in general terms under this MOU. If and when, from time to time, the Parties find that refinements or adjustments are desirable, such refinements or adjustments will be accomplished through Side Letter or implementation memoranda approved by the Parties which, after execution, will be attached to this MOU as addenda and become a part hereof.

2. Side Letter or implementation memoranda may be executed on behalf of City by the City Manager and the City Attorney. In the event a particular subject requires notice

48 9852012.3 MO110-172 9852012.3 MO110-172 9852012.3 MO110-172 or hearing, such notice or hearing will be appropriately given. Any significant modification to the terms of performance under this MOU will be processed as an amendment of this MOU in accordance with this MOU and must be approved by City Council.

ARTICLE 39 - SUBSTANCE ABUSE POLICY

The parties have met and conferred in good faith and reached agreement upon modifications to the City Administrative Policy No. 30-10, as regards GUIDELINES FOR CONSUMPTION OF ALCOHOL AND ILLEGAL OR CONTROLLED SUBSTANCES.

ARTICLE 40 - TERM OF MEMORANDUM OF UNDERSTANDING

This Memorandum of Understanding shall be in effect for an initial term commencing July 1, 2018 2022 and ending June 30, 20232022 - and shall continue in effect from year to year thereafter unless or until terminated. Unless specifically described to the contrary herein, all changes in matters within the scope or representation shall be provided prospectively from the date of MOU implementation.

The “date of MOU implementation” shall be the date of City Council adoption of the MOU.

This MOU may be terminated as of the end of the initial term or any subsequent contract period by either party giving written notice to the other not less than ninety (90) calendar days prior to the termination date. If no notice is given in accordance with the terms of this Article, the MOU shall automatically renew for an additional year without any change whatsoever.

ARTICLE 41 - CITY COUNCIL APPROVAL

It is however, the mutual understanding of all parties hereto that this Memorandum of Understanding is of no force or effect whatsoever unless or until ratified and approved by minute action duly adopted by the City Council of the City of Monterey Park.

IN WITNESS HEREOF, the parties hereto have caused this Memorandum of Understanding to be executed this 7th day of September, 2022.

MONTEREY PARK POLICE OFFICERS' CITY OF MONTEREY PARK

ASSOCIATION

By By
Troy Grant, President Ron Bow
Monterey Park City Manager
Police Officers’ Association

By By
Lee Norris, Vice President Thomas CodyChristine Tomikawa, Director