CITY OF POMONA
COUNCIL REPORT
December 11, 2023
To: Honorable Mayor and Members of the City Council
From: James Makshanoff, City Manager
Submitted By: René Anderson, Human Resources/Risk Management Director SUBJECT: Adoption of Resolutions Approving MemorandUM of Understanding Between the City of Pomona and the Pomona Police Officers’ Association, Inc. AND AMENDING THE FISCAL YEAR 2023-24 OPERATING BUDGET TO IMPLEMENT FINANCIAL IMPACTS AS A RESULT OF LABOR NEGOTIATIONS RECOMMENDATION:
It is recommended that the City Council adopt the following resolutions:
RESOLUTION NO. 2023-242 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA APPROVING A FOUR (4) YEAR MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF POMONA AND THE POMONA POLICE OFFICERS’ ASSOCIATION, INC. FROM SEPTEMBER 1, 2023 THROUGH AUGUST 31, 2027 RESOLUTION NO. 2023-243 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, AMENDING THE FISCAL YEAR 2023-24 OPERATING BUDGET BY APPROPRIATING $1,397,017 FROM GENERAL FUND RESERVES TO IMPLEMENT FINANCIAL IMPACTS AS A RESULT OF LABOR NEGOTIATIONS EXECUTIVE SUMMARY: The Pomona Police Officers’ Association, Inc. (PPOA) represents sworn Police Officers up through the rank of Sergeant. Approval of the proposed resolutions (Attachments 1 and 2) will result in a four-year successor Memorandum of Understanding (MOU) with PPOA from September 1, 2023 through August 31, 2027. The change to terms include salary increases of four and one-half percent (4.5%) retroactive to October 8, 2023, four percent (4%) effective October 1, 2024, four percent (4%) effective October 1, 2025 and five percent (5%) effective October 1 2026; increases to Section 125 Benefit Plan contributions to help offset the increasing cost of medical insurance; an increase to the Education Incentive Pay for qualified employees; increase annual allowance of Tuition Reimbursement to $3,500 in conjunction with three year retention commitment; and other terms as described herein.
FISCAL IMPACT:
The estimated on-going incremental annualized cost for the new terms of the agreement with PPOA employees combined is $1.4M for the first year of the agreement and $3.7M for the second, third and fourth years of the agreement. Of these amounts, $1.4M is from the General Fund for the first year of the agreement. A budget amendment (Attachment No. 2) is included with this action to appropriate $1,397,017 from the General Fund for this agreement will be budgeted for in the appropriate fiscal year.
DISCUSSION:
The Pomona Police Officers’ Association, Inc. (PPOA) represents sworn Police Officers up through the rank of Sergeant. The current MOU with PPOA expired August 31, 2023. The terms and conditions of the MOU continue in effect until a successor MOU is approved. The City met and conferred with PPOA regarding terms and conditions of employment. These negotiations resulted in a tentative agreement with PPOA, which are being presented to the City Council for approval in Attachment 1. The key terms of the MOU are described below.
Term - The term will be for four (4) years from September 1, 2023 to August 31, 2027.
Salary – 4.5% increase effective October 8, 2023 (7% total salary increase, 2.5% went into effect October 1, 2023), 4% increase effective October 1, 2024, 4% increase effective October 1, 2025, and 5% increase effective October 1, 2026.
Section 125 Cafeteria Plan Contributions - Section 125 Benefit Plan contribution may be used to pay for medical, dental, or vision insurance premiums. The Cafeteria Plan contribution for Single coverage will increase by $100 per month in December 2023 and by $20 in December 2024-26. The Cafeteria Plan contributions for Two-Party coverage will increase by $250 per month in December 2023 and by $100 in December 2024-26. The Cafeteria Plan contributions for Family coverage will increase by $350 per month in December 2023 and by $200 in December 2024-26. Said increases will help offset the increasing costs of medical premiums, while still lowering the employees’ contribution toward two-party or family coverage for most medical plans. Effective December 2024, any cash remaining after being applied to medical, dental and or vision premiums will no longer be available as taxable cash to employees.
Deferred Compensation – CalPERS PEPRA members shall receive a City contribution to deferred compensation of $125 per month, effective January 2024.
Bilingual Pay – Increase the monthly pay by $25 for qualified employees.
Education Incentive Pay – Effective December 18, 2024, increase to 5% incentive pay for employees possessing an Intermediate POST Certificate or an Associate’s Degree; increase to 8% incentive pay for employees possessing an Advanced POST Certificate or a Bachelor’s Degree.
Annual Vacation Buy Back - Effective October 2024, employees who qualify may make an irrevocable election to sell back vacation leave accruals anticipated to be earned in the subsequent calendar year. This provision will be established to maintain compliance with Internal Revenue Service requirements.
Tuition Reimbursement – The City shall increase the tuition reimbursement amount to up to $3,500 per fiscal year for college courses in a job related degree program offered at any accredited academic institution in conjunction with a three year retention commitment.
Retirement Health Savings Plan – The parties shall meet to jointly explore various options for Retirement Health Savings Plans, for possible implementation in calendar year 2024 or other mutually agreeable date. The intent is for the Plan to be funded by employees.
Police Corporal Salary Step – Increase top step of Police Corporal to twelve percent (12%) above top step of Police Officer, contingent upon reduction in the number of Police Investigator classification by five positions to increase the number of Corporals by five positions; update Job Descriptions to include rotation assignment at Police Chief’s discretion.
In addition, other modifications are being made to add an appeal process for officers who become decertified by POST, to ensure Records are retained according to statutory obligation, to remove any obsolete language from prior MOUs, and to add the requirement of officers to maintain a valid Driver’s License. In addition, the parties agree to meet and confer on the cities to be surveyed for PPOA comparable data. The complete MOU for PPOA is included as Attachment 1, Exhibit A and shows all of the changes, with new language underlined and old language shown with a strikethrough.
Prepared by: René Anderson, Human Resources/Risk Management Director ATTACHMENT(S):
Attachment No. 1 – Resolution No. 2023-242
Exhibit A – Pomona Police Officers’ Association Memorandum of Understanding Attachment No. 2 – Resolution No. 2023-243
Exhibit A – FY 2023-24 Budget Appropriations By Fund
Agreement with Pomona Police Officers’ Association