COUNCIL AGENDA REPORT
TO: Mayor and City Council
FROM: Graciela Reynoso, Chief Human Resources Officer
DATE: February 18, 2025
SUBJECT: Adoption of Resolutions Approving Tentative Agreements and Successor Memorandum of Understanding s; Amending Resolution No. 2024-48 and Repealing 2024-93; Approving A Wage and Benefits Package for Public Safety Managers
Description:
The City Council will consider adopting Resolutions approving the ratification and approval of the Tentative Agreement and Successor Memorandum of Understanding with the Santa Maria Police Officers’ Association, and the Santa Maria Police Association of Middle Management, amending Resolution No. 2024 -48 and repealing Resolution No. 2024-93, approving a wage and benefits package , and approving the Comprehensive Schematic Pay Schedule for all full -time and part -time employees in accordance with CalPERS guidelines.
RECOMMENDATION:
1. Adopt a Resolution Approving and Ratifying the Tentative Agreement and Successor Memorandum of Understanding with the Santa Maria Police Officers’ Association and Approving and Ratifying the Tentative Agreement and Successor Memorandum of Understanding with the Santa Maria Police Association of Middle Management;
2. Adopt a Resolution Amending Resolution No. 2024-48 Authorizing and Approving a Wage and Benefits Package for the Public Safety Managers and Repealing Side Letter Resolution No. 2024-93 Authorizing and Approving the Revised Wage and Benefits Package for the Public Safety Managers Regarding Employer Paid Member Contributions to the California Public Employees’ Retirement System;
3. Adopt a Resolution Authorizing and Ap proving a Wage and Benefit Package for the Public Safety Managers; and
4. Adopt a Resolution approving CalPERS Comprehensive Schematic Pay Schedule for all full-time and part-time employees in accordance with CalPERS guidelines.
BACKGROUND:
Over the last few months, City staff has met with both the Santa Maria Police Officers’ Association (POA) and the Santa Maria Police Association of Middle Management (SMPAMM) to negotiate reasonable contract extensions. Discussions focused on t he State and local economi c climate, retention efforts, and strategies to attract lateral 2 employees. Following these discussions, and in line with City Council direction, staff successfully negotiated a two -and-a-half-year tentative agreement for both POA and SMPAMM, which would take effect from January 1, 2025, through June 30, 2027.
Additionally, staff identified necessary amendments to the Non -Represented Public Safety Managers (PSM) Resolution to ensure the document is current, aligns with specific dates, and includes clarification to language.
Lastly, t he updated Comprehensive Schematic Pay Schedule , in accordance with CalPERS guidelines , reflects the salary increases in the successor Memorandum s of Understanding (MOUs).
DISCUSSION:
The recommendation is to ratify and approve the Tentative Agreement (Exhibit A) and the Successor Memorandum of Understanding (MOU) (Exhibit C) with the Santa Maria Police Officers’ Association. The negotiated package proposes a two-and-a-half-year term with a total 10% base salary increase and a 1% percent equity adjustment for all members , an increase to health insurance, and other minimal adjustments.
Similarly, the recommendation to ratify and approve the Tentative Agreement (Exhibit B) and the Successor Memorandum of Understanding (MOU) ( Exhibit D ) with the Santa Maria Police Association of Middle Management. The negotiated package calls for a two- and-a-half-year term with a total 10% salary increase for all members , an increase to health insurance, and other minimal adjustments.
In addition to the Tentative Agreements with the Santa Maria Police Officers’ Association (POA) and the Santa Maria Police Association of Middle Management (SMPAMM), City staff has identified necessary amendments to the Non -Represented Public Safety Managers Resolution. The proposed amendments to Resolution No 2024 -48 include clarifications to language in section 26 to include the ten percent (10%) premium pay for Fire Administrative Battalion Chief or Training Battalion Chief . Additionally, t he amendments will repeal Side Letter Resolution 2024 -93 and incorporate pension contribution language for Tier II Fire only employees into section 18 of Resolution No 2024-48.
A Schedule for the City of Santa Maria is created and presented in accordance with CalPERS regulations intended to ensure consistency when reporting compensation for City employees. The Public Employees ’ Retirement Law (PERL) Government Code Section 20636(b)(1) requires pay amounts to be paid pursuant to publicly available pay schedules. The Schedule includes pay rate information for all full -time and part -time employees. The Schedule enhances the disclosure and transparency of public employee compensation by requiring that the pay rates be listed on a single -pay schedule as per CalPERS’ requirements.
CalPERS requires , whenever there are changes to one or more pay rates, whether through the meet-and-confer process, employment contracts, new classifications, 3 reclassifications, etc., the City is required to update the Schedule an d present it to the City Council for review and approval. Any updates will include an effective date and date of any revisions and are to be retained by the City and available for public inspection for not less than five years. The Schedule (Exhibit A to Attachment D) incorporates these changes and previously authorized positions. Upon adoption of the Resolution by the City Council, the Schedule will be posted on the City of Santa Maria’s website.
Alternative(s)
A decision by the City Council not to ap prove the ratification of the successor Memorandums of Understanding (MOUs) for Santa Maria Police Officers’ Association (POA) and the Santa Maria Police Association of Middle Management (SMPAMM) will result in a continuation of negotiations. A decision by the City Council not to approve the proposed amendments to the Non-Represented Public Safety Managers Resolution may lead to inconsistencies in employment terms causing administrative and operational challenges. In addition, a decision by the City Council not to approve the Comprehensive Schematic Pay Schedule would result in being out of compliance with the California Public Employees’ Retirement System.
Fiscal Considerations
The fiscal impact of the proposed two and a half years agreement is approximat ely $3.1 million for the Santa Maria Police Officers’ Association (POA) and $1.3 million for the Santa Maria Police Association of Middle Management (SMPAM). Of those amounts $2 million was already included in the approved Fiscal Year 2024-26 budget. The increases are anticipated to result in additional expenditures but are necessary to retain and attract qualified personnel in key public safety roles.
The implementation of amendments to the Non -Represented Public Safety Managers Resolution does not requir e additional funding beyond the current budget allocations previously approved.
Impact to the Community
The successful ratification of these agreements will help ensure that the Santa Maria Police Department remains competitive in terms of employee comp ensation. This is critical to maintaining a well -staffed, qualified workforce, which in turn will continue to support the City’s public safety goals. Furthermore, these agreements contribute to the ongoing recruitment and retention efforts that are necessa ry in the current economic climate.
ATTACHMENTS
A. Resolution Approving and Ratifying Tentative Agreements Exhibit A. Tentative Agreement POA
Exhibit B. Tentative Agreement SMPAMM
Exhibit C. Successor MOU POA 2025-27
Exhibit D. Successor MOU SMPAMM 2025-27
B. PSM Resolution Amendment and Repeal of Side PSM Resolution C. Public Safety Managers Resolution
D. Resolution FT_PT_LS_ Salary Schematic
Exhibit A. FT_PT_LS Salary Schematic