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HomeMy WebLinkAboutE-21 Staff Report - Restated MOUs for APOA CONSENT ITEM E-21 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: SERGIO GONZALEZ, CITY MANAGER FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES DATE: JULY 20, 2020 SUBJECT: APPROVAL OF AMENDED AND RESTATED MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF AZUSA AND THE AZUSA POLICE OFFICERS ASSOCIATION SUMMARY: The City’s Negotiation Team consisting of Talika Johnson, Director of Administrative Services, and Kelsey Kenz, Human Resources Manager, have been in Negotiations with Azusa Police Officers Association (APOA). The APOA membership consists of Police Corporals and Police Officers. Mutual agreement between the City of Azusa and APOA has been reached; therefore, Negotiations with the APOA has been concluded. This action will amend and restate the existing Memorandum of Understanding (MOU) of the APOA with a contract term through July 31, 2024. RECOMMENDATION: Staff recommends that the City Council take the following action: 1)Approval of amended and restated Memorandum of Understanding between the City of Azusa and the Azusa Police Officers Association. DISCUSSION: The MOU between the City of Azusa and APOA expires on July 31, 2020. Negotiations with APOA commenced on May 2020. Sessions consisted of several discussions of the City’s current financial position, future projections, and caution due to growing concern related to the Coronavirus (COVID-19) Pandemic and potential impacts to the City’s revenues during the pandemic. Other discussions consisted of the APOA’s growing concern of recruitment and retention issues as they relate to hiring and maintaining a strong workforce. The City’s current reserve position is strong, and although some level of expectation of reduced revenues exists over the next couple of years while recovering from the pandemic, the City has taken many positive steps to create operational efficiencies and reduce costs, and to increase its revenue base APPROVED CITY COUNCIL 7/20/2020 APOA MOU August 1, 2020 – July 31, 2024 July 20, 2020 Page 2 by renegotiating contracts and passing special revenue measures. Therefore, Staff recommends the Council consider the amended and restated MOU as proposed. Amongst several mutually agreed upon concessions, the provisions of the proposed MOU include the following compensation and benefit adjustments: 1. Contract Term: August 1, 2020 through July 31, 2024. 2. Cost of Living Adjustment: Fiscal Year 2020-2021: $500.00 single lump sum payment (for Police Officers only) Fiscal Year 2021-2022: 4% Fiscal Year 2022-2023: 4% Fiscal Year 2023-2024: 5% 3. Salary Compaction Adjustment: Effective August 1, 2020, the rank of Corporal will receive a two and a half percent (2.5%) salary compaction adjustment and Effective August 1, 2022, the rank of Corporal will receive a two and a half (2.5%) additional salary compaction adjustment for a total of five percent (5%). 4. Deferred Compensation Plans: Add City contribution: Police Officer deferred compensation will be added at $50.00 per month effective upon ratification of agreement 5. Longevity Plan Effective August 1, 2020, City is agreeable to the monthly amounts and years of service listed in below table. Years of Service Azusa Service Only All Sworn Service (after working for Azusa for a minimum of 5 years) 7 $100 $100 10 $200 $200 15 $300 $300 20 $400 $400 Members currently receiving a benefit higher than $400 per month will continue to receive the higher amount. 6. Special Assignments Effective upon ratification of this MOU, the following Special Assignments will receive an increase from two and a half percent (2.5%) to five percent (5%): • K-9 Officer • Bicycle Patrol Officer APOA MOU August 1, 2020 – July 31, 2024 July 20, 2020 Page 3 • SWAT (only for time worked on Monthly Training and Call Outs) 7. Flexible Benefit Plan: Increase to max cap for FBP: APOA Employees hired on/after 01/31/16: Effective upon ratification of MOU, FBP will increase to $1,500/mo. Currently any unused portion of the FBP is forfeited. All APOA Members: Effective January 1, 2021, employees whose premiums exceed their FBP contribution amount can elect redirect City paid deferred comp during open enrollment period and place what would otherwise be contributed to deferred comp to FBP contribution. The attached MOU is in draft format pending other non-substantive language clean-up throughout MOU, including but not limited to: updating language to be consistent with other MOU agreements and state/federal laws, terms used for gender identity. FISCAL IMPACT: The cost of the aforementioned APOA benefit adjustments impacting 20 employees is estimated at $976,895 for the four-year term of this contract, of which 100% is allocated to the General Fund (less reimbursements for special cost-sharing agreements and grants). Of the total estimated contract cost of $975,895, a portion of that total is cost, $15,000, is for a one-time only payment. The first year cost has already been included in the Fiscal Year 2020/21 Adopted Budget, and subsequent year’s costs will be programmed in the annual budgets as applicable. Prepared by: Reviewed and Approved: Talika M. Johnson Sergio Gonzalez Director of Administrative Services City Manager Attachment: 1) Draft of Amended and Restated Memorandum of Understanding between the City of Azusa and the Azusa Police Officers Association 0 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF AZUSA AND THE AZUSA POLICE OFFICERS ASSOCIATION DRAFT Attachment 1 TABLE OF CONTENTS (to be updated in Final Version) 1. TERM OF MEMORANDUM OF UNDERSTANDING 2 2. CONTINUATION OF BENEFITS, TERMS, AND CONDITIONS OF EMPLOYMENT 2 3. MANAGEMENT RIGHTS 2 4. WORK WEEK AND TIMEKEEPING INTERVAL 3 5. SALARY 4 6. ADDITIONAL COMPENSATION/PREMIUM PAY 7 6.1 Acting Employee 7 6.2 Bilingual Pay 7 6.3 Callout 7 6.4 Educational Incentive Pay 8 6.5 Holiday Pay 10 6.6 Longevity Pay 10 6.7 Off Duty Court Appearance Time 10 6.8 Standby 11 6.9 Overtime/Compensatory Time 11 6.10 Special Assignments 12 6.11 Shift Differential 13 6.12 Training Pay (Police Officer) 13 6.13 Uniform Allowance 13 7. LEAVE/DAYS OFF 13 7.1. Bereavement Leave 13 7.2. Holidays 14 7.3 Industrial Leave 14 7.4. Personal Leave 15 7.5. Sick Leave 15 7.6. Vacation Leave 23 7.7. Administrative Leave 25 8. CLOTHING DAMAGE REIMBURSEMENT 25 9. COMPUTER AND HOME EXERCISE EQUIPMENT LOAN PROGRAM 25 10. DISABILITY INSURANCE (SHORT/LONG TERM) 26 11. EMPLOYEE ASSISTANCE PLAN 26 12. FLEXIBLE BENEFIT PLAN 27 13. LIFE INSURANCE 28 14. OUTSIDE EMPLOYMENT 28 15. PHYSICAL EXAMINATIONS 29 16. RETIREMENT 29 17. SAFETY EQUIPMENT 33 18. TUITION REIMBURSEMENT 33 20. REOPEN OF NEGOTIATIONS DURING TERM OF AGREEMENT 35 APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 2 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF AZUSA AND THE AZUSA POLICE OFFICERS ASSOCIATION AUGUST 1, 2020 through July 31, 2024 This Memorandum of Understanding is entered into with reference to the following facts: (1) The Azusa Police Officers' Association (APOA) (hereinafter referred to as "Association") is the recognized employee organization representing those personnel (hereinafter referred to as "employees") employed by the various departments of the City of Azusa (hereinafter referred to as "City"), and occupying the classifications (see current salary schedule.) (2) In the interest of maintaining harmonious relations between the City and those employees represented by the Association, authorized representatives of the City and the Association have met and conferred in good faith, exchanging various proposals concerning wages, hours and other terms and conditions of employment to affected employees. (3) The authorized representatives of the City and the Association have reached an understanding and agreement as to certain changes in wages, hours and other terms and conditions of employment of the affected employees which shall be submitted to the City Council of the City for approval and implementation of these changes by appropriate ordinance, resolution, or other lawful action. Therefore, the City and the Association agree that, subject to approval and implementation by the City Council of the City, the wages, hours and other terms and conditions of employment for all affected employees shall be as follows: 1. TERM OF MEMORANDUM OF UNDERSTANDING The term of this Memorandum of Understanding (MOU) shall commence August 1, 2020, and shall continue in full force and effect until July 31, 2024. 2. CONTINUATION OF BENEFITS, TERMS, AND CONDITIONS OF EMPLOYMENT Any benefits, terms, and conditions of employment, except as modified by state law, federal law, or Municipal ordinance, contained in prior Memoranda of Understanding between the Association and the City not specifically altered by this agreement are hereby incorporated in this agreement and made a part of it by reference. 3. MANAGEMENT RIGHTS 3.1 The City reserves, retains and is vested with, solely and exclusively, all rights of Management which have not been expressly abridged by specific provisions(s) of this Memorandum of Understanding or by law to manage the City, as such rights existed prior to the execution of this Memorandum of Understanding. The sole and exclusive rights of Management, as they are not abridged by this agreement or by law, shall include, but not be limited to, the following rights: APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 3 3.1.1 Determine the mission of its constituent departments, commissions and boards; 3.1.2 Set standards of service; 3.1.3 Determine the procedures and standards of selection for employment and promotion; 3.1.4 Direct its employees; 3.1.5 Take disciplinary action; 3.1.6 Relieve its employees from duty because of lack of work or for other legitimate reasons; 3.1.7 Maintain the efficiency of governmental operations; 3.1.8 Determine the methods, means and personnel by which government operations are to be conducted; 3.1.9 Determine the allocation and content of job classifications; 3.1.10 Take all necessary actions to carry out its mission in emergencies; and 3.1.11 Exercise complete control and direction over its organization and technology of performing its work. 3.2 Except in emergencies, or where the City is required to make changes in its operations because of the requirements of law, whenever the exercise of Management’s rights shall impact on employees of the bargaining unit, the City agrees to meet and confer with representatives of the Association regarding the impact of the exercise of such rights, unless the matter of the exercise of such rights is provided for in this Memorandum of Understanding, or in Personnel Rules and Salary Resolutions and Administrative Code(s) which are incorporated in this Agreement. By agreeing to meet and confer with the Association as to the impact and the exercise of any of the foregoing City Rights, Management’s discretion in the exercise of these rights shall not be diminished. 4. WORK WEEK AND TIMEKEEPING INTERVAL 4.1 Work Week For employees covered by this agreement who are scheduled to work a 4/10 schedule, the regular workweek shall be forty (40) hours for a seven (7) day period beginning at 12:01 a.m. each Sunday and shall consist of four (4) days a week and ten (10) hours per day. Daily hours of work or shifts for employees within the APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 4 department shall be assigned by the department head, as required to meet the needs of the department. 4.2 Workday For employees who are scheduled to work a 4/10 schedule, the workday will consist of ten (10) hours with lunch and breaks to be scheduled in light of departmental policy. For employees who are scheduled to work a 3/12.5 schedule, the workday will consist of 12.5 hours and a 10-hour make-up day each 28-day work period. The City reserves the right to determine the beginning and ending times of the workday. 4.3 Timekeeping Interval In compliance with FLSA, the minimum timekeeping interval shall be fifteen (15) minutes. Periods of time of seven (7) minutes or less shall be rounded down, and periods of time of eight (8) minutes or more shall be rounded up. 4.4 Patrol 3/12.5 Shift Schedule During the term of this MOU, the City agrees to maintain a 3/12.5 shift schedule for unit members assigned to patrol, as agreed between APOA and Management. If costs for overtime or workers compensation increases in excess of 10% in any given fiscal year, based on a three year moving average, Management has the right to abandon the 3/12.5 Shift Schedule. The parties acknowledge that to maintain the 3/12.5 schedule it is necessary to maintain a work period in accordance with section 7(k) of the FLSA. The parties agree the work period will remain a 28-day work period. The city will pay overtime compensation to Police Officers as follows:  Working more than their regularly scheduled hours on a given day; or  Working more than 160 hours over a 28 day FSLA work period. 5. SALARY 5.1 Wages 5.1.1 Effective August 1, 2020, the City shall provide a one-time lump sum payment of five hundred dollars ($500.00) to all POA members currently covered under the POA MOU as of August 1, 2020 to be paid the first pay date in August 2020. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 5 5.1.2 Effective August 1, 2021, all POA employees will receive a four percent (4%) Cost of Living (COLA) increase to base pay. 5.1.3 Effective August 1, 2022, all POA employees will receive a four percent (4%) COLA increase to base pay. 5.1.4 Effective August 1, 2023, all POA employees will receive a five percent (5%) COLA increase to base pay. 5.1.5 Effective August 1, 2020, the rank of Police Officer Corporal will receive a two and a half percent (2.5%) salary compaction adjustment. This increase will be in addition to the COLA increases outlined above. 5.1.6 Effective August 1, 2022, the rank of Police Officer Corporal will receive a two and a half percent (2.5%) salary compaction adjustment. This increase will be in addition to the COLA increases outlined above. 5.1.7 Effective August 1, 2010 a sixth step is to be added to the Salary Schedule. This sixth step shall be awarded to Senior Officers and Senior Corporals who meet the following criteria: 1. Minimum of twelve (12) years of full time POST Law enforcement experience, to include (5) five years of full time sworn Law Enforcement experience with the City of Azusa. 2. Police Officers to possess an Intermediate POST Certificate and Police Corporals to possess an Advanced POST Certificate. 3. Achieve performance standards of only successful and/or exceptional on the most recent annual evaluation. 4. Successful completion of at least two of the following assignments, not disqualifying individuals who left an assignment due to promotion or transfer to another qualifying assignment:  Field Training Officer  Any Special Assignment (current or former), including Detective Bureau, Special Enforcement Task (SET, including HIDTA, T.R.A.P., or other multi-agency task force program), Gang Unit Specialist (GSU), School Resource Officer, Motor/Traffic Division, Air Support Tactical Flight officer (TFO), Special Weapons and Tactics Team Unit member (SWAT), Training Supervisor, Public Information Officer (PIO), Terrorism Liaison Officer (TLO). APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 6  Any Training Position (Firearms, Weapons/Self Defense, First Aid/CPR)  Received at least one Commendation for meritorious performance within the most recent review period, either from citizens, other Law Enforcement Agencies, or internally generated by the Department.  Any recipient of a “Meritorious Service Award”, of any type issued by the City of Azusa PD or local Public safety Agency.  Responsible for the seizure of narcotics/illegally gained monies totaling $50,000 or more (including combinations of the two).  Responsible for significant recovery of personal property totaling $10,000 or more.  Recipient of “10851 Award” for GTA recoveries (past or present).  Recipient of “MADD Award” for arrests of drunken drivers (past or present)  Utilizing the principals of Community Policing and Problem Solving to design and implement a project that successfully addressed an on-going issue of health, safety, or community wellness in the City of Azusa (such as: truancy, loitering, vandalism, narcotics activity, traffic issues, public drunkenness, ABC violations, juvenile problems, etc.). An example of a determinable or measurable impact must be shown. 5.1.8 The City and the Association agree to re-open to evaluate the relevance of newly created special assignments for incentive pay and/or sixth step Senior Officer/Senior Corporal eligibility. 5.1.9 Police Officers and Police Corporals may appeal a denial of the sixth step increase (Senior Officer/Senior Corporal) to the agreed ad-hoc panel consisting of five (5) unit members:  Two (2) of the Azusa Police Officers Association  One (1) Representative of the Police Chief  One (1) Representative of the Administrative Services Director  One (1) Representative of the City Manager See Exhibit A, incorporated by this reference, for Classification, Ranges, and Steps. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 7 5.2 Deferred Compensation 5.2.1. The City shall provide access to a deferred compensation program authorized by the City Council for voluntary participation by APOA members. In addition, the City shall contribute the amount of one hundred dollars ($100.00) per month on behalf of each participating Police Officer Corporal. 5.2.2 Effective August 1, 2020 the city shall provide fifty dollars ($50.00) per month in deferred compensation on behalf of each participating Police Officer. 5.3 Automatic Payroll Deposit The City will continue to offer Automatic Payroll Deposit in cooperation with any bank that utilizes the Automated Clearing House service. 6. ADDITIONAL COMPENSATION/PREMIUM PAY 6.1 Acting Employee An employee otherwise eligible for acting pay shall not be eligible during scheduled periods of Vacation or when on Sick Leave. 6.2 Bilingual Pay In addition to monthly basic pay, the city shall pay an incentive to personnel demonstrating a proficiency in a major foreign language if they are assigned and required to speak and translate the language in performance of their duties. Such additional payment is conditional upon demonstration of language proficiency by a qualified third-party examiner mutually agreed upon by both the City and the Association. The incentive paid shall be $250 per month. 6.3 Callout If an employee is required to be called back to work after completing his or her normal shift or after having left City premises or the employee's work location, the employee shall be compensated at the appropriate rate for each hour worked on Callout with a minimum of two (2) hours Callout compensation, regardless of whether the employee actually works less than two (2) hours. This provision shall be applicable to an employee even though the employee's regular workweek is not complete but shall not apply to an employee who is continuing on duty for his/her normal work shift. For the APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 8 purposes of this section only, the time starts when the Callout call is received by the employee. 6.3.1 Appropriate Rate of Pay for Callout The rate of pay for Callout shall be one and one-half (1½) times the normal rate of pay. Callout may be entered as Premium Overtime or as Compensatory Time Earned. 6.4 Educational Incentive Pay 6.4.1 Effective January 1, 2016, the City will pay two and one-half percent (2.5%) of the "sworn" employee's base rate if he/she possesses an Associate in Arts or Science degree or Intermediate Certificate issued by the California Commission on Peace Officer Standards and Training (P.O.S.T.) with forty-five (45) semester or equivalent quarter units from an accredited college or university, but not to exceed one hundred and fifty dollars ($150.00) per month for Police Officer and Police Corporal. 6.4.2 Effective January 1, 2016, the City will pay five percent (5%) of the "sworn" employee's base salary rate if he/she possesses a Bachelor of Arts or Science degree or Advanced certificate issued by the California Commission on Peace Officer Standards and Training (P.O.S.T.) with sixty (60) semester or equivalent quarter units from an accredited college or university, but not to exceed two hundred and fifty dollars ($250.00) per month for Police Officer and Police Corporal. Neither 6.4.1.nor 6.4.2 above shall apply to any "sworn" employee whose job description has an equivalency requirement for either an Associate in Arts or Science degree or a Bachelor of Arts or Science degree. 6.4.3 Employees hired as a sworn officer after January 31, 2011, with an Associate in Arts or Science degree, or 45 semester or equivalent quarter units from an accredited college or university, shall receive one hundred and fifty dollars ($150.00) per month, upon receiving their Intermediate Certificate from POST, effective January 1, 2016. 6.4.4 Employees hired as a sworn officer after January 31, 2011, with a Bachelor of Arts or Science degree, or 60 semester or equivalent quarter units from an accredited college or university, shall receive two hundred and fifty dollars ($250.00) per month, upon receiving their Advanced Certificate from POST, effective January 1, 2016. 6.4.5 Notwithstanding the foregoing, employees shall receive a fifty dollar ($50.00) increase to the amount being received as of December 31, 2015, even if such increase is higher than the amounts above and shall continue to receive the higher dollar amount. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 9 6.5 Holiday Pay (See also 7.2 Holidays) Shift Personnel - Employees shall receive an additional 100 hours pay per year whether the holiday is worked or falls on a regularly scheduled day off (paid the pay period following the holiday). Non-Shift Personnel - Employees who work holidays shall receive regular pay plus time and a half for hours worked or equivalent compensatory time. 6.6 Longevity Pay 6.6.1 Effective August 1, 2020, City is agreeable to the monthly amounts and years of service listed in below table. Years of Service Azusa Service Only All Sworn Service (after working for Azusa for a minimum of 5 years) 7 $100 $100 10 $200 $200 15 $300 $300 20 $400 $400 (ex. A lateral with 5 years of experience prior to coming to work for the City, after working for the City for 5 years, would then obtain the 10 year longevity pay for all sworn law enforcement service or a lateral with 3 years of experience prior to coming into the City, after working for the City for 5 years, would then obtain the 7 year longevity pay for all sworn law enforcement service). Pay for all sworn service years would require Officer to submit a list of service years from each agency worked for and verified by Human Resources. Pay would be retroactive upon completion of verification. Longevity for sworn status will in no way supersede seniority as defined in the Azusa Civil Service Rules. Members currently receiving a benefit higher than $400 per month will continue to receive the higher amount. 6.6.2 The monthly longevity pay for employees hired prior to August 1, 2000, shall be in accordance with the following schedule: APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 10 POLICE OFFICER 7 yrs $117.61 10 yrs $235.22 15 yrs $352.84 20 yrs $470.45 POLICE CORPORAL 7 yrs $123.49 10 yrs $246.99 15 yrs $370.48 20 yrs $493.97 6.6.4 Notwithstanding the foregoing, employees currently receiving a higher dollar amount of longevity pay than the amount provided for under above shall continue to receive the higher dollar amount until eligible for an increase based on the schedule set forth in Section above. 6.7 Off Duty Court Appearance Time 6.7.1 Off-Duty Court Appearance Time is applicable only for court appearances scheduled to begin during off-duty hours. Except as provided above, court time during regularly scheduled working hours shall be compensated at straight time on an hour-for-hour basis. The City agrees to pay for Off-Duty Court Appearance Time on an hour-for hour basis with a minimum of four (4) hours of pay at the appropriate rate (currently time and one-half). For example, if an employee’s shift begins at 6 p.m. and the employee’s Off Duty Court Appearance begins at 4 p.m.; the employee will be entitled to a minimum of four hours of Off-Duty Court Appearance Time pay. Off-Duty Court Appearance Time shall begin to accrue as early as 8:30 a.m. or the court-requested show-up hour, whichever is later. In cases where the appearance is canceled by the court (either directly or through the Department), the employee must be personally notified of such cancellation by the Department no later than 6:00 p.m. of the previous court day, or a guaranteed minimum of four (4) hours of Off-Duty Court Appearance Time shall apply. "Personal" notification shall be defined as any one of the following (to be agreed upon in advance between the employee and the department court officer):  In person,  To a responsible message taker, or  Via an answering machine or voice mail APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 11 6.7.2 If the court or the Department requires an employee who makes an off-duty court appearance to also stand by on the same day (for that appearance and/or another one), the employee shall be entitled to receive pay for one of the following, whichever is greater: 6.7.2.1 The actual time in court (or the four-hour Off-Duty Court Appearance Time minimum, whichever is greater), plus the actual time standing by; or 6.7.2.2 The actual time standing by (or the four-hour Standby Time minimum, whichever is greater) plus the actual time in court. 6.8 Standby ("On Call") Pay The City agrees to pay for court Standby Time (or other "On Call" time) on an hour-for- hour basis with a minimum of four (4) hours of regular pay. Court Standby Time shall begin to accrue as early as 8:30 a.m. or the court-requested show up hour, whichever is later, and shall continue no later than 5:30 p.m. In cases where the appearance is canceled (either directly by the court or through the Department), the employee must be personally notified of such cancellation by the Department no later than 6:00 p.m. of the previous court day, or a guaranteed minimum of four (4) hours of Standby Time shall apply. "Personal" notification shall be defined as any one of the following (to be agreed upon in advance between the employee and the department Court Officer):  In person,  To a responsible message taker, or  Via an answering machine or voice mail 6.9 Overtime/Compensatory Time Employees scheduled to work the 3/12.5 schedule shall be entitled to Overtime Pay or compensatory time off at the rate of one and one-half (1½) times the employee's hourly rate for: 1. Working more than their regularly scheduled hours on a given day or 2. Working more than 160 hours over a 28 day FSLA work period. Employees scheduled to work the 4/10 schedule shall be entitled to Overtime Pay or compensatory time off at the rate of one and one half (1½) times the employee’s hourly rate for all hours worked in excess of ten (10) hours in one work day or forty (40) hours within the employee’s regular work week. For the purposes of this agreement, holiday pay, Sick Leave, and other compensated time off shall count for the hours. Compensatory time may be accumulated at the appropriate rate for each hour of overtime worked to the maximum accrual rate set by Federal law. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 12 Overtime pay or compensatory time off for overtime shall be accumulated in no less than fifteen (15) minutes per day increments. When an employee works less than fifteen minutes per day of overtime, the employee shall not receive compensatory time for such overtime. In order to be entitled to any compensation for overtime hours worked; such overtime work must have been authorized by the department head. Accumulated compensatory time not taken off in the pay period in which it was earned may be carried over up to a maximum of four hundred and eighty (480) hours (320 hours worked at time-and-one-half would equal 480 hours). The use of compensatory time will be granted in the same manner as vacation leave. 6.10 Special Assignments Effective August 1, 2020, in addition to monthly basic pay, the following assignments, when made by the Chief of Police or his designee, shall receive five percent (5%):  K-9 Officer  Bicycle Patrol Officer In addition to monthly basic pay, the following assignment, when made by the Chief of Police or his designee, shall receive five percent (5%):  Motor Officer Effective August 1, 2020, in addition to monthly basic pay, the following assignment when made by the Chief of Police or his designee, shall receive five percent 5% for time worked on Monthly Training and Call Outs:  SWAT In addition to monthly basic pay, the following assignments, when made by the Chief of Police or his designee, shall receive a minimum of ten (10) hours per month of Standby time, at the Premium rate (currently time-and-one-half):  Detective  SET Detective  Gang Detective  Motor Officer/Traffic Investigator APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 13 6.11 Shift Differential Employees assigned to the following shifts will be compensated for all hours worked as follows: For employees scheduled to work a 3/12.5 schedule: Night Shift Additional $1.27 per hour Cover Shift Additional $.64 per hour For employees scheduled to work a 4/10 schedule: Swing Shift Additional $.64 per hour Morning Shift Additional $1.27 per hour Shift differential pay will not apply to individuals who are working either of the above shifts on an overtime basis, on a shift exchange or when called out due to an emergency. 6.12 Training Pay (Police Officer) For employees in the classification of Police Officer only, the City shall pay five percent (5%) in addition to the base salary while assigned the duties of a Field Training Officer (FTO). 6.13 Uniform Allowance Effective November 2018, the uniform allowance for “sworn” employees will increase to $950 per year and will be paid the first pay period in November by the City. Effective November 2019, the uniform allowance will increase to $1,000 per year and will be paid the first pay period in November by the City. The uniform allowance shall not be subject to income tax withholding. 7. LEAVE/DAYS OFF 7.1 Bereavement Leave An employee may be permitted to take up to forty (40) hours Bereavement Leave in the event of the death of a unit member of his/her immediate family. "Immediate family" unit member is herewith defined as a mother, father, step-mother, step-father, brother, sister, step-sibling, spouse, child, step-child, mother-in-law, father-in-law, grandparents, grandparents in-law, grandchildren or relative living within the employee's household. Persons in loco parentis may also be considered under certain circumstances. Such leave shall not be charged against the employee's Sick Leave or Vacation. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 14 In addition to Bereavement Leave, an employee may request up to twenty (20) hours of Sick Leave in the event of the death of an immediate family unit member. Such leave shall be charged against the employee's Sick Leave balance and shall be considered in calculating his or her ability to convert the balance. 7.2 Holidays (see also 6.5 Holiday Pay) 7.2.1 Designated Holidays The employee shall receive time off with pay for the following holidays but only if the employee is paid for the workday that precedes or follows the holiday. If a holiday falls on an employee's scheduled day off, the employee shall receive the holiday on the next scheduled business day. The dates upon which these holidays shall be observed are listed below: 7.3 Worker’s Compensation A regular employee who is temporarily or permanently incapacitated as a result of injury or illness determined to be compensable under the Workers' Compensation Act shall be granted benefits in accordance with this act. Holiday Month 2019- 2020 2020- 2021 2021- 2022 2022- 2023 2023- 2024 Independence Day July 4 6 5 4 4 Labor Day Sept 2 7 6 5 4 Columbus Day Oct 14 12 11 10 9 Veterans Day Nov 11 11 11 10 13 Thanksgiving Day Nov 28 26 25 24 23 Christmas Day Dec 25 24 27 26 25 New Year’s Day Jan 1 Dec. 31 3 2 1 Martin Luther King Day Jan 20 18 17 16 15 President’s Day Feb 17 15 21 20 19 Memorial Day May 25 31 30 29 27 APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 15 7.4 Personal Leave Thirty (30) hours Personal Leave may be taken by employee. Personal Leave is to be distinguished from Personal Business Leave in that it does not have particular requirements for its use and is not deducted from the employee's Sick Leave balance. An Employee Leave Request must be approved by the appropriate department head prior to the use of Personal Leave and such leave may not be carried over into the next fiscal year or cashed in if it is not used. Personal Leave shall be granted with due regard for the employee's wishes and the operational needs of the department. This Personal Leave is also to be considered similar to Vacation Leave in that an open shift can be filled with overtime coverage. 7.5 Sick Leave Sick Leave shall not be construed as a right, which an employee may use at his or her discretion, but shall be allowed only in case of necessity or actual sickness or disability. The Administrative Services Department will analyze and report to the employees the amount of Sick Leave earned, less the amount used, and the net accrued during the calendar year. 7.5.1 Probationary Period - Use of Sick Leave Sick Leave may be taken during the probationary period but only in such amount as the employee would have earned if on permanent status. If the employee does not become permanent, all paid Sick Leave must be reimbursed to the City at the time of termination of employment or it shall be deducted from the employee's final paycheck. 7.5.2 Reasons for Use of Sick Leave Sick Leave shall be granted for the following reasons: 7.5.2.1 Personal illness or physical incapacity. 7.5.2.2 Up to 120 hours per year for the illness of a unit member of the employee's immediate family (father, mother, sister or brother), or unit members of the employee's household (husband, wife, and children) that require the employee's personal care and attention. Additional time, up to 12 weeks, could be approved by the department head when treatment for an illness, injury or condition which may be expected to be of long duration, has no reasonably predictable date of termination and requires continuous or intermittent care by the employee. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 16 7.5.2.3 Enforced quarantine of the employee in accordance with Health Department regulations. 7.5.2.4 Medical, dental, and optical appointments. 7.5.2.5 Personal Business not to exceed a maximum of 37.5 hours during any one (1) year. Personal Business means those items of personal business that can only be taken care of during regular working hours of the employee. Personal Business Leave shall be approved or disapproved by the department head in accordance with this section. Departments are to use the earning code PB for this purpose. Personal Business shall be debited against the employee's Sick Leave balance but Sick Leave taken as Personal Business Leave shall not be taken into consideration for the purposes of the Sick Leave. Cash-In program or with regard to employee performance evaluations. Employee shall give as much advance notice as reasonably possible when requesting Personal Business Leave. 7.5.2.6 In the foregoing circumstances, Sick Leave must be exhausted before compensatory time off or Vacation Leave may be converted to Sick Leave. 7.5.3 Restrictions on Sick Leave 7.5.3.1 Disability arising from any sickness or injury purposely self-inflicted. 7.5.3.2 Sickness or disability sustained while on leave of absence, other than regular Vacation Leave. 7.5.3.3 Disability or illness arising from compensated employment other than with the City. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 17 7.5.4 Accrual and Use For employees hired prior to January 1, 2006, Sick Leave with pay shall accrue at the rate of ten hours per month for each calendar month of paid employment, with unlimited accumulation. Sick Leave shall not be taken in units of less than one-half hour. For employees hired on or after January 1, 2006, Sick Leave with pay shall accrue at the rate of ten hours per month for each calendar month of paid employment. No more than 960 hours of sick leave may be accrued. Balances accrued over 960 hours will be paid out annually at a rate of 25% as a wellness bonus. For employees hired on or after February 1, 2016, Sick Leave with pay shall accrue at the rate of ten hours per month for each calendar months of paid employment. No more than 960 hours of sick leave may be accrued. Upon accrual of 960 hours, the employee ceases to accrue until such time as his or her sick leave usage drops the accrual balance below 960 hours. Employees hired on or after February 1, 2016 may not convert or cash out sick leave accrual; although he or she may convert for service credit upon retirement pursuant to Section 7.5.11 of this agreement. 7.5.5 Sick Leave Donation Policy Employees shall be eligible for sick leave donation from co-workers in accordance with the City’s policy. 7.5.6 Sick Leave During Vacation If an employee becomes ill or injured while on vacation, he or she may, by completing an Employee Leave Request Form, use accrued Sick Leave time in lieu of vacation time for the period of disability. 7.5.7 One-Fourth Conversion If the employee has used more than thirty (30) hours, but not more than sixty (60) hours of Sick Leave, excluding time spent on personal business or bereavement, he or she would have the following options: 7.5.7.1 Carry over the accrual and add it to his or her Sick Leave balance. 7.5.7.2 Convert, only to the extent that his/her balance is more than zero at the beginning of the new year, one-fourth of the accrual to Vacation or convert one-fourth to cash (but no combination of these two); unused, unconverted leave would then be added to the employee's Sick Leave balance. 7.5.8 One-Third Conversion APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 18 If the employee has used no more than thirty (30) hours of Sick Leave, excluding time spent on personal business or bereavement, he or she would have the following options: 7.5.8.1 Carry over the accrual and add it to his or her Sick Leave balance. 7.5.8.2 Convert, only to the extent that his/her balance is more than zero at the beginning of the new year, one-third of the accrual to Vacation or convert one-third of it to cash (but no combination of these two); unused or unconverted leave would then be added to the employee's Sick Leave balance. 7.5.9 Conversion Deadline A decision to convert Sick Leave according to the policies stated shall be made by March 31. 7.5.10 Conversion to Cash Upon Separation Upon separation due to death (if he or she had attained permanent status) the employee's estate may receive fifty percent (50%) of his or her accrued Sick Leave balance in cash. Upon disability retirement with at least five (5) years of service with the City of Azusa, the employee may convert fifty percent (50%) of his or her accrued Sick Leave balance to cash. Upon voluntary separation with less than ten (10) cumulative years of sworn safety service with the City of Azusa Police Department, the employee may convert fifty percent (50%) of his or her accrued Sick Leave balance to cash for hours in excess of three-hundred twenty (320) hours to a maximum payment of two hundred forty (240) hours. Upon voluntary retirement with at least ten (10) years of City service, the employee may convert fifty percent (50%) of his or her accrued Sick Leave balance to cash. Upon voluntary separation with at least ten (10) cumulative years of sworn safety service with the City of Azusa Police Department, the employee may convert fifty percent (50%) of his or her accrued Sick Leave balance to cash. Upon voluntary separation with at least twenty-five (25) cumulative years of sworn safety service with the City of Azusa Police Department, the employee may convert one hundred percent (100%) of his or her accrued Sick Leave balance to cash. 7.5.11 Mandatory Conversion Prior to Retirement APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 19 7.5.11.1 Mandatory Conversion Prior to Retirement Members of the APOA, with a minimum of 25 years of service with the City of Azusa and 1,040 hours of accrued sick leave, shall “Draw Down” (reduce by conversion to either first, 401(a) “Special Pay Plan” or second, deferred compensation) accrued sick leave beginning in the calendar year in which they are five (5) years from their “normal” retirement age, as defined in section 7.5.11.4, and continuing until separation from the City. 7.5.11.2 Employees shall “draw down” the maximum amount (of hours) possible on a tax deferred basis (based on then applicable law) each year until the balance (of accrued hours) reaches 1,040 hours. APOA members who have reached “normal” retirement age, as defined in Section 7.5.11.4, with 25 years of service with the City of Azusa may continue to “Draw Down” the maximum amount (of hours) possible on a tax deferred basis (based on then applicable law) below the 1,040 hour balance of sick leave if the Member requests to do so via a memo to the City’s payroll division by December 31 of the preceding January draw down. Each January thereafter, the City's payroll division will automatically draw down sick leave hours to a balance of 1,040 and contribute to either first, the 401(a) “Special Pay Plan” or second, deferred compensation for all APOA members that meet the above eligibility requirements up to the amount established by applicable laws. 7.5.11.3 The conversion shall be as follows: 7.5.11.3.1 In November of each preceding draw down year the City’s Payroll Division shall determine for each APOA employee the number of hours of sick leave accrued in excess of 1,040 hours and the applicable legal maximum dollar amount that may be contributed into the employees’ 401(a) “Special Pay Plan” and deferred compensation plan. The resulting amounts shall be provided to each employee and hours will be draw down in accordance with Section 7.5.11.2. 7.5.11.3.2 All funds placed into a qualified tax deferred account shall be managed by the employee and not the responsibility of the City of Azusa. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 20 7.5.11.3.3 This sick leave draw down does not terminate or forfeit the APOA member’s benefit of such leave accrual up to the time of retirement. The provision is not a cap of sick leave accrual. Also, members will retain the option to use accrued sick leave to purchase PERS Service Credit rather than participate in the “draw down” program, subject to the following: a) At the time the City’s Payroll Division notifies an APOA member of their eligibility to participate in the “Draw Down” program, the employee must notify via a Memo the Human Resources Division and Payroll Division by December 31 of the preceding draw down year of their selection to either participate in (1) the “draw down” program or (2) a “PERS Service Credit” program. Once selected the member cannot change programs. If the employee fails to make a selection, the Payroll Division will draw down hours in accordance with Section 7.5.11.2. 7.5.11.4 Members of the APOA will participate in the Employer Sponsored 401(a) “Special Pay Plan” and are subject to the terms of the Special Pay Plan when they have reached 25 years of service with the City of Azusa and in the calendar year in which they are five (5) years from their “normal” retirement age based on their respective CalPERS Public Safety Pension Formula as follows: 1. Age 45 for those APOA Members who are employed under the 3% @ 50 Public Safety Pension. 2. Age 50 for those APOA Members who are employed under the 3% @ 55 Public Safety Pension. 3. Age 52 for those APOA Members who are employed under the 2.7% @ 57 Public Safety Pension. For example, a member who reaches 25 years of service with the City in November 2019 and turns age 45 in March 2020 will be eligible for their first draw down in January 2020 when the payroll division processes mandatory drawdowns of sick leave hours to the balance of 1,040. Once the Member participates in the Special Pay Plan as a “Participant in the Plan” pursuant to the above listed APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 21 requirements, the member must “draw down” their leave banks in the following order: 1. Sick Leave 2. Comp Time Leave (if sick leave draw down is below the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year) 3. Vacation Leave (upon separation from service with the City) When eligible APOA Members become Participants in the Plan, participants must convert accumulated unused vacation leave bank hours into the Special Pay Plan upon separation from service. Upon separation from service, Participants in the Plan will be subject to a mandatory employer contribution of 100% of employees’ remaining unused accumulated sick, vacation, or comp time leave hours into the Special Pay Plan up to the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year. If the dollar values of the combined cashable leave bank balances exceeds the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year in which they retire, the remaining leave bank hours will be paid to the employee in cash. Special Pay 401(a) contributions are not subject to FICA or Medicare taxes, and the plan has been established so that no Constructive receipt will apply to the 401 (a) plan or participants in the plan. The City of Azusa will cover the administrative cost of the Plan for each participant while employed with the City and upon separation from service, the entire administrative cost will be borne by the retiree. 7.5.12 Mandatory Conversion Upon Retirement At time of retirement, members of the APOA, with a minimum of 20 years of service, but less than 25 years of service, with the City of Azusa, shall “Draw Down” (reduce by conversion to either first, 401(a) “Special Pay Plan” or second, deferred compensation) fifty percent (50%) of his or her accrued sick leave. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 22 Members who participate in the Draw Down program, will not be eligible to receive cash out of his or her remaining sick leave balance. Once the Member participates in the Special Pay Plan as a “Participant in the Plan” pursuant to the above listed requirements, the member must “draw down” their leave banks in the following order: 1. 50% of Sick Leave (remaining sick leave will be converted in accordance with Section 7.5.13) 2. Comp Time Leave (if sick leave draw down is below the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year) 3. Vacation Leave (upon separation from service with the City) When eligible APOA Members become Participants in the Plan, participants must convert accumulated unused vacation leave bank hours into the Special Pay Plan upon separation from service. Upon separation from service, Participants in the Plan will be subject to a mandatory employer contribution of 100% of employees’ remaining unused accumulated sick, vacation, or comp time leave hours into the Special Pay Plan up to the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year. If the dollar values of the combined cashable leave bank balances exceeds the IRS 401(a) “Special Pay Plan” annual maximum contribution for the calendar year in which they retire, the remaining leave bank hours will be paid to the employee in cash. Special Pay 401(a) contributions are not subject to FICA or Medicare taxes, and the plan has been established so that no Constructive receipt will apply to the 401 (a) plan or participants in the plan. 7.5.13 Conversion to Service Credit Upon Retirement Pursuant to the terms of the City's contract, as amended, with the Public Employees' Retirement System, upon voluntary retirement the employee may convert 100% of his or her accrued Sick Leave balance, less any amount converted to cash or placed in the “Draw Down” program upon retirement (up to the legally under the terms of any policy or contract, to retirement service credit. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 23 7.6 Vacation Leave 7.6.1 Required Usage and Carryover Vacation Leave will be credited on a "pay-per-period" basis. Employees shall be required to use one half (½) of their annual Vacation accrual yearly and shall be able to carry over one half (½) of one year's Vacation accrual from one year to the next, cumulatively, up to a maximum of fifty two (52) times the then-current pay period rate of vacation accrual. Existing balances over the limit shall be paid off during the term of this Memorandum of Understanding based on a payoff schedule determined by the employee. Such excess vacation accrual may also be taken as time off if approved by management. Effective 8-1-2000, employee with more than the maximum amount will not continue to accrue additional Vacation Leave, but will receive cash each pay period in lieu of Vacation Leave until balance falls below maximum time allowed. Employee may direct payoff to deferred compensation within the legal limits 7.6.2 Accrual Vacation Leave shall accrue as follows: APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 24 City Service Years of Employment Hours Per Year Through the 4th year of employment 90 hours per year Through the 5th year of employment 120 hours per year Through the 6th year of employment 128 hours per year Through the 7th year of employment 136 hours per year Through the 8th year of employment 144 hours per year Through the 9th year of employment 152 hours per year Through the 10th year of employment 160 hours per year Through the 11th year of employment 168 hours per year Through the 12th year of employment 176 hours per year Through the 13th year of employment 184 hours per year Through the 14th year of employment 192 hours per year Through the 15th year of employment 200 hours per year Through the 16th year of employment 218 hours per year In addition to the above, sworn shift personnel shall accrue forty (40) additional hours per year in lieu of holidays. For employees hired on or after February 1, 2016, no more than 300 hours of Vacation Leave shall be accrued. At such time as an employee’s accrual reaches 300 hours, he or she shall cease entitlement to accrue until such time as usage lowers his or her accrual balance below 300 hours. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 25 7.6.3 Cash Out Employees have the option to cash out vacation hours so long as the employee will have a remaining accrual balance of at least forty (40) hours following the cash out. Following cash out of vacation leave, the employee’s vacation accrual balance shall be reduced by the amount cashed out. 7.7 Administrative Leave Effective February 1, 2016, and on July 1st of each fiscal year, employees in the position of University Resource Officer, School Resource Officer, Training Manager and AB109 Officer shall be credited with forty (40) hours of Administrative Leave, to be used upon approval by a supervisor. Administrative leave may only be taken in paid time-off and cannot be cashed out at any time. All administrative leave granted in a calendar year must be used by the end of the same calendar year, or it is forfeited. The City shall establish procedures providing a pro-rata amount for employees who are hired during any fiscal year. 8. CLOTHING DAMAGE REIMBURSEMENT Effective February 1, 2016, if, in the course of business, an office employee's personal clothing or effects are accidentally damaged or destroyed, the employee may submit a claim for reimbursement up to one hundred and fifty dollars ($150) to the City's Safety Committee. The committee shall have the authority to investigate the claim and recommend to the City Manager, or his designee, to pay the full amount of the claim, deny the claim, or apportion the claim based on normal wear and tear of the item and/or the extent of the employee's negligence in following proper safety procedures. It is expressly understood that stockings and socks are exempt from this procedure. It is further expressly understood that prescription eyeglasses or contact lenses and hearing aid devices are exempt from the one hundred and fifty dollar ($150) limit. 9. COMPUTER AND HOME EXERCISE EQUIPMENT LOAN PROGRAM 9.1 The Computer and Home Exercise Equipment Loan Plan described below shall be made available to full time regular employees. Eligibility is limited to employees who have completed their initial probation period with the City. 9.2 The equipment configuration shall be appropriate to the employee's position and career with the City. 9.3 It is the employee's responsibility to negotiate the price for the equipment and to bring a copy of the order/quote to the City for approval prior to purchase. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 26 9.4 The employee shall apply for a loan with the City on a City provided loan application. If the employee qualifies, the City will fund the loan on an interest free basis. Loan payments must be by payroll deduction. Each loan payment period shall not exceed two years and the aggregate value of all loan(s) shall not exceed $5,000 per employee. In order for an employee to receive a loan under the Plan for equipment upgrades for purchase of equipment components, the employee must certify that he/she already owns the remaining components required to constitute a computer system. 9.5 Any remaining loan balance must be paid in full at time of separation of employment. Payment will be made directly and/or by deduction from the last paycheck. In the event an outstanding balance remains, the employee is responsible for making payment arrangements. The failure to make full payment will obligate the employee to pay the City attorney’s fees in any restitution process. 10. DISABILITY INSURANCE (SHORT/LONG TERM) 10.1 The City shall maintain in effect for the term of this agreement a disability plan covering employees set forth herein. Said plan shall provide an employee with a maximum of two-thirds (2/3) of his/her base salary. An employee may utilize his/her accrued Sick Leave, Vacation Leave and/or compensatory time to supplement the disability insurance payment so as to receive 100% of his/her base salary. The plan includes the following: 10.1.1. Provides 66.67% of the employee's monthly salary; 10.1.2. Commences after a 30 calendar day waiting period and provides a benefit to age 65; 10.2 For the first 30 days of non-job related illness or injury, the employee will use accrued Sick Leave, compensatory time or Vacation Leave; The employee will be allowed to use accrued Sick Leave in conjunction with the disability plan to provide for a full paycheck; At no time will an employee receive more than 100% of his or her base pay; 10.2.1 The premium will be added to the employee's gross pay and deducted from the net pay so as to make the benefits exempt from further taxation. 11. EMPLOYEE ASSISTANCE PLAN Association employees will be eligible for the City's Employee Assistance Plan. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 27 12. FLEXIBLE BENEFIT PLAN 12.1 Benefit Definition and FBP Contribution Effective August 1, 1993, the City's existing Cafeteria Benefit Plan (CBP) was converted to an IRS Section 125 Flexible Benefit Plan (FBP) administered by either the City or its designee. Previously, the City maintained the Flexible Plan contribution in an amount equal to the CalPERS, Los Angeles County, Kaiser Family Plan Rate plus the Delta Dental PPO Family Plan Rate. Effective July 1, 2019, the monthly FBP contribution amount will be capped at $1,600 for employees hired on or before January 31, 2016. Upon ratification of this MOU, employees hired after January 31, 2016, the monthly FBP contribution shall be capped at $1,500 per month, with no cash out provision for excess of any remaining portion of the FBP. Effective January 1, 2021, employees whose premiums exceed their FBP contribution amount can elect to opt out of City paid deferred comp during open enrollment period and place what would otherwise be contributed to deferred comp to FBP contribution. 12.2 Eligibility In order for an employee to be eligible for the FBP contribution in any given month, he/she must be on payroll on the first work day (excluding recognized paid City holidays) of that month. A new employee will be eligible for the full FBP contribution applicable to his/her bargaining unit if he/she begins work on the first work day (excluding recognized paid City holidays) of the month. An employee whose date of hire is on the second work day (excluding recognized paid City holidays) of the month or thereafter, will not be eligible for the FBP for that month. If an employee does not meet the qualifying work time in any given month, arrangements must be made with the Administrative Services Department to reimburse the City for any benefits that have already been paid out on the employee's behalf for that month. The Administrative Services Department will notify the employee if he/she has not met the qualifying work time for eligibility for the FBP. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 28 12.3 Opt Out or Opt for Less Coverage Through December 31, 2019, for those employees hired on or before January 31, 2016, the City will continue to provide a cash-out option up to a cap of $1,513 for any employee who provides proof of other coverage for themselves and their dependents or otherwise does not use the entire FBP amount. This amount may be used to purchase other benefits or paid out in cash, at the employee’s option. Effective January 1, 2020, for those employees hired on or before January 31, 2016, the City will continue to provide a cash-out option up to a cap of $1,000 for any employee who provides proof of other coverage for themselves and their dependents or otherwise does not use the entire FBP amount. This amount may be used to purchase other benefits or paid out in cash, at the employee’s option. For those employees hired after January 31, 2016, the City will provide a medical opt- out program for employees who provide proof of other coverage for themselves and their dependents. Employees waiving coverage for themselves and their dependents will receive three hundred dollars ($300.00) per month in lieu of such coverage. The medical waiver shall be paid as a taxable cash benefit. 12.4 Termination The City will not be responsible for payment of any qualified benefits on behalf of the employee following the month of termination. If an employee represented by the Association wishes to continue his/her qualified benefits, advance payment for such qualified benefits will be deducted from the employee's final pay. 13. LIFE INSURANCE The City shall provide group life insurance to all Association unit members in an amount of coverage one times the unit member's annual earnings. 14. OUTSIDE EMPLOYMENT Outside employment will be permitted, provided that the outside employment is consistent with moral & ethical guidelines established by the Chief of Police and the Association and that the employee, prior to accepting outside employment, signs an agreement, which: 14.1 Acknowledges that said employment is outside the course and scope of the employee’s employment with the City of Azusa and that said employment is not for the benefit of the City of Azusa; and 14.2 Releases, indemnifies, and holds the City of Azusa, its agents and employees harmless for any Liability, whatsoever, arising out of said employment, including but not limited to, injury or damage to the employee, and APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 29 14.3 Acknowledges that the City will have no responsibility or obligation, whatsoever, to provide a legal defense as a result of any outside employment engaged in by employee. 15. PHYSICAL EXAMINATIONS The City will continue to provide annual physical examinations, for all sworn officers, on a voluntary basis. 16. RETIREMENT 16.1 “Classic” unit members are included in Tier I & II for purposes of retirement pension benefits in accordance with the Public Employees’ Pension Reform Act of 2013. Tier I and II generally include employees that were hired before January 1, 2013 in the California Public Employees Retirement System (CALPERS) or a reciprocal retirement system with no break in service longer than six months. CalPERS will determine who is a classic member in compliance with the law. 16.1.1 Tier I: Unit members hired prior to July 1, 2011, shall be eligible for the 3% @ 50 retirement formula for Local Safety members. The City pays 9% on behalf of the employee share and the unit member pays 9% toward the CalPERS “employer” share, on a “cost sharing” basis, at the same percentage and at the same starting date as the City’s contributions “toward the employee share.” The employee contribution is “compensation earnable” as defined in Government Code section 20636. The City shall continue the highest level of the 1959 survivor benefit. 16.1.2 Tier II: Unit members hired after January 1, 2011 and before January 1, 2013, shall be eligible for the 3% @ 55 retirement formula for Local Safety members. The City pays 9% on behalf of the “employee contribution” share of CalPERS and the unit member pays 9% toward the CalPERS “employer contribution” share on a “cost sharing basis, at the same percentage and at the same starting date as the City’s contributions “toward the employee contribution share.” The employee contribution share is “compensation earnable” as defined in Government Code Section 20636. The City shall continue the highest level of the 1959 survivor benefit. 16.1.3 Tier III: Unit members hired on or after January 1, 2013 are “new members” for purposes of retirement pension benefits pursuant to the Public Employees’ Pension Reform Act of 2013. Generally, this includes employees that were hired into a regular position on or after APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 30 January 1, 2013 or former members who have more than a six- month break in service. CalPERS will determine who is a new member in compliance with the law. 16.1.3.1 As defined by PEPRA and/or California Government Code Section 7522.04(f), unit members shall be required to pay a CalPERS employee contribution in an amount equal to 50% of the normal cost rate, up to a maximum of 12%, for the Defined Benefit Plan provided or by PEPRA, in which the new unit member is enrolled, rounded to the nearest quarter of 1% or the current contribution rate of similarly situated employees, whichever is greater, pursuant to Government Code section 7522.30. 16.1.3.2 New (PEPRA) unit members shall be enrolled in the 2.7% at 57 retirement formula for Local Safety Members. New members entering membership for the first time in the classification of Police Officer Trainee shall be eligible for 2% at 62 retirement formula for Local Miscellaneous Members and the optional benefits provided by CalPERS under the City’s contract for Local Miscellaneous Members, as provided for in Government Code Section 7522.25(e). PEPRA unit members final compensation is a measurement period of 36 consecutive months as set forth in Government Code Section 7522.32(a), and their retirement benefits shall be calculated based on “pensionable compensation” (Section 7522.10) rather than compensation earnable (Section 20636). 16.1.3.3 The employee contribution for new (PEPRA) unit members shall be one-half the normal cost as determined by CalPERS. As of the ratification of this agreement, the required employee contribution for new members is 12.75%. This amount will be adjusted periodically by CalPERS. 16.2 Optional Benefits 16.2.1 The City's contract with CalPERS includes the additional benefit of Service Credit for Unused Sick Leave. 16.2.2 The City's contract with CalPERS includes participation in the two-year Golden Handshake program as authorized by the State Legislature. The availability of this benefit shall be within the discretion of the City Council. 16.2.3 The City’s contract with the CalPERS includes the Employer-Paid Unit Member Contribution in base pay during the final compensation period. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 31 16.2.4 CalPERS Service Credit for Military Service The CalPERS Military Service Credit Purchase Assistance Plan described below shall be made available to full time regular employees who have completed their initial probation period with the City. The City’s contract with CalPERS includes the provisions of Section 21024, Military Service Credit as Public Service. Eligible employees with qualifying military service can contact CalPERS and arrange to be billed for the service credit (CalPERS' estimate is $5,000 per year of service). The City shall reimburse the employee for 25% of the amount of the bill. If desired, the employee may apply for a loan from the City for the remaining 75%. The employee shall apply for the loan on a City-provided loan application. If the employee qualifies, the City will fund the loan on an interest-free basis. Loan payments must be by payroll deduction. Each loan payment period shall not exceed six years. The City may require collateral. Any remaining loan balance must be paid in full at the time of separation of employment. Payment will be made directly and/or by deduction from the last paycheck. In the event an outstanding balance remains, the employee is responsible for making payment arrangements. The failure to make full payment will obligate the employee to pay the City attorney’s fees in any restitution process. 16.3 CalPERS Retirement Planning Seminar Employees who are in their "final compensation period" for CalPERS purposes shall be allowed to attend one nearby CalPERS retirement planning/information seminar at City expense and on City time. Such attendance shall be considered to be a training expense chargeable to the employee's "home" division. 16.4 Retirement Health Insurance 16.4.1 RHI Tier I: For unit members hired prior to the ratification of this MOU, beginning with the first month after retirement, for Association employees who, at the time of retirement from the City of Azusa, have attained the age of fifty (50) and have at least twenty (20) cumulative years of sworn safety service with the City of Azusa Police Department, the City will pay until the employee passes away, an amount equal to the single- coverage premium in the employee's comprehensive health insurance plan. The amount of the City's contribution shall vary, up or down, depending upon the employee's choice of health insurance carrier and its periodic changes in its rates. The minimum contribution that the City pays directly to APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 32 CalPERS shall be considered to be part of the portion paid by the City. If a retired employee maintains health insurance other than a CalPERS plan, the maximum amount the City will pay for the insurance premium will not exceed the single premium for the PERS Care plan. 16.4.2 Spousal Option – In lieu of receiving the single coverage identified in section 16.3 a retiree who qualifies for single coverage may opt to select a less expensive plan, and use the differential toward health coverage for the spouse. If the retiree selects this option the total contribution by the City that may be used for the retiree and spouse can be no greater than the single-coverage premium for the L.A./Orange County Sectors (as provided by PERS) PERS Care plan. The City contribution is to be used for health insurance premiums only. There is no cash out option. This option may be selected or deselected at any time during retirement. 16.4.3 Upon death of a retiree the City shall pay for the cost to continue medical coverage (no greater than the single- coverage premium for the L.A./Orange County PERS Care Plan) for the spouse for a period of five years, or until the spouse reaches Medicare age (whichever occurs first). This benefit shall cease if the spouse remarries prior to the expiration of the five year period or attaining Medicare age (whichever occurs first). This benefit is only available to a spouse married to a retiree at the time of retirement. 16.4.4 RHI Tier II: Unit members hired after the ratification of this agreement will be enrolled in the PORAC Retiree Medical Trust plan. The City will make monthly contributions to the PORAC retiree medical trust in lieu of lifetime medical with the City’s monthly contribution as follows: Years of Continuous Service City Contribution 1-5 Years of Continuous Service* $150/month 5+ Years of Continuous Service* $250/month . Contribution to the Trust of these funds will follow the agreement guidelines between APOA and PORAC. *Until the employee retires or separates from employment 17. LEAVE BANK FOR APOA BOARD UNIT MEMBERS: Effective the month immediately following the ratification of this contract, the City agrees to initiate and maintain a leave bank of 280 hours per fiscal year that may be used by APOA APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 33 Board Members for APOA business. Requests for leave, which utilizes this bank, must be approved in advance by police management under the same conditions as vacation and compensatory time. After ratification of the contract, each APOA unit member will automatically donate sufficient vacation hours the first pay period in January of each fiscal year in order to build a bank of 280 hours. Administrative Services staff will convert the hours to a dollar value based upon the base pay rate of the donors. The total dollars thus calculated will be placed in a separate account to be drawn upon by the Board unit members. Use of such time will be paid to Board unit members at their current base pay rate. In no case shall the Board as a whole exceed 280 hours of use in a fiscal year. When funds are exhausted prior to the end of a fiscal year, the program will be discontinued until the subsequent fiscal year. Any cash balance from donations in a fiscal year remaining after the use of 280 hours in that fiscal year shall be carried over to be used in the subsequent fiscal year. 18. SAFETY EQUIPMENT The City will provide safety equipment for new employees and will replace worn safety equipment for current sworn employees as required by the department head. 19. TUITION REIMBURSEMENT 19.1 Objective The tuition reimbursement program is designed to encourage employees to continue their self-development by enrolling in approved classroom courses, which will: 19.1.1. Educate them in new concepts and methods in their occupational field and prepare them to meet the changing demands of their job. 19.1.2. Help prepare them for advancement to positions of greater responsibility in the City of Azusa. 19.2 Eligibility 19.2.1. Employees who have successfully completed probation and appointed as regular employees are eligible to receive tuition reimbursement. Courses must commence after appointment and be in excess of the educational standards for the position. An example of this would be job-related college or university courses when the specification for the classification calls for high school graduation. 19.2.2. Courses must be (except where noted in paragraphs 19.3.3 and 19.3.4.) traditional classroom courses taken at colleges or universities and approved by the Western Association of Schools and Colleges or approved mail APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 34 correspondence or internet courses. Distance learning classes offered by such colleges and universities shall be covered by this provision Credits given for non-classroom assignments such as life experience, military training, and professional training are not reimbursable. 19.2.3. Coursework must be related to the employee's current occupation or to a City classification to which the employee may reasonably expect promotion within the next five years. 19.3 Courses may be eligible if they: 19.3.1 Are above the educational requirements of the position as noted in the position specification and are not taken to acquire skills, knowledge and abilities which the employee was deemed to have when appointed the position. 19.3.2 Do not duplicate training which the employee has already had or which is to be provided in-house. 19.3.3 Do not duplicate previously taken courses unless special approval has been granted by the department head and the Administrative Services Department. 19.3.4 Are required for the completion of the pre-approved job-related major. An example would be general education or elective requirements for the major as stated in the school catalog. Remedial courses or those taken as required for a non-approved major shall not be eligible. 19.3.5 Include completed engineering review courses taken at accredited institutions for which an academic grade or units of academic credit are not given. These courses must prepare candidates for a certificate, license or registration issued by the California Board of Registration for Professional Engineers. The employee must receive the certificate or license from this Board to be eligible for reimbursement, which will be granted for a maximum of 2 courses per certificate, license or registration. 19.3.6 Lead to a City-approved certificate, license or registration. Reimbursement may be made for any examination fees required to successfully obtain the certificate, license or registration. Reimbursement for eligible expenses will be made after obtaining the license, certificate or registration. 19.3.7 Are not taken on City time and must be certified that they are taken on the employee's off-duty time. 19.3.8 Is part of a bona-fide curriculum of the study of a foreign language for which the City pays an incentive. 19.3.9 Have been approved by the Department Head and the City Manager or his/her designee before commencement of the class. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 35 19.4 Reimbursement 19.4.1 The City shall reimburse employees for tuition, registration fees, and texts required for the eligible courses. Expenses for parking, travel, and meals, processing fees, transcript fees, materials and any other costs are not reimbursable. 19.4.2 The annual tuition reimbursement amount will be capped at an amount equal to the Cal State Fullerton rate for full-time students as of September 1 in a given year; this cap shall stay constant through August 31 of the preceding year. For tuition reimbursement purposes the eligible school year shall be defined from September 1 through August 31, regardless of when actual reimbursement payment is processed. 19.4.3 Effective August 1, 2011 the tuition reimbursement amount will be capped at five thousand dollars ($5,000) per employee, per fiscal year. 19.4.4 In order to be reviewed, each application must state exactly which units or credits the employee is applying for and whether the courses submitted are core courses or recommended electives for the approved major. 19.4.5 Reimbursement shall be made upon completion of the course with a minimum final grade of "C" or its equivalent, i.e., a pass in a pass/fail course will be considered equivalent to a "C." No reimbursement shall be made for audited or incomplete courses. 19.4.6 Employees must submit from the attendant institution an original certification of fees paid and grade achieved in order to have their application considered for reimbursement. These documents must accompany the reimbursement application form in order to be processed. 19.4.7 Application for reimbursement must be submitted within three months of the completion of the approved course in order to be considered for reimbursement. 19.4.8 Upon separation from employment, employees shall be required to reimburse the City for any funds received under this program for courses completed during the last 24 months of employment. This payback provision does not apply to employees laid off by the City or who separate as a result of a City/departmental reorganization. 20. REOPEN OF NEGOTIATIONS DURING TERM OF AGREEMENT The parties shall re-open negotiations if, (1) the City management medical coverage is subject to the so-called Cadillac Tax pursuant to the Affordable Care Act (ACA), and/or APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 36 (2) the City establishes an excess vacation annuity fund (401-A). This re-opener does not obligate the unit to anything more than a discussion on the issues and eventually the parties may negotiate terms and reach an agreement before any changes on these issues can be implemented. Absent an agreement by both parties, the status quo shall remain. APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 37 AZUSA POLICE OFFICERS ASSOCIATION _______________________________________________________________ Charles Wilkins President Date _______________________________________________________________ Trevor Benson, Vice President Date ______________ Justin Beaver, Secretary/Treasurer Date CITY OF AZUSA _______________________________________________________________ Sergio Gonzalez, City Manager Date _______________________________________________________________ Talika M. Johnson, Director of Administrative Services Date _______________ Kelsey Kenz, Human Resources Manager Date ATTEST: ______________________________ Jeffrey Lawrence Cornejo, Jr., City Clerk APPROVED AS TO FORM AND CONTENT: ______________________________ Marco Martinez, Best Best & Krieger APOA MEMORANDUM OF UNDERSTANDING, EFFECTIVE 8-1-2020 THROUGH 7-31-2024 xxxviii INDEX (to be updated with Final Version) Accrual (15) Accrual and Use (13) Acting Employee (6) Amount of Monthly Benefit (17) Automatic Payroll Deposit (6) Bereavement Leave (10) Bicycle Patrol Officer (9) Bilingual Pay (6) Callout (6) Clothing Damage Reimbursement (16) Compensatory Time (9) Computer and Home Exercise Equipment Loan Program (16) Conversion Deadline (14) Conversion to Service Credit upon Retirement (14) Detective (9) Disability Insurance (17) Educational Incentive Pay (6) Employee Assistance Plan (17) Flexible Benefit Plan (17) Gang Detective (9) Holiday Pay (See Also 7.2. Holidays) (7) Holidays (See Also Holiday Pay 6.5) (11) K-9 Officer (9) Leave/days off (10) Life Insurance (18) Longevity Pay (7) Motor Officer (9) Objective (22) Off Duty Court Appearance Time (8) xxxix One-fourth Conversion (13) One-third Conversion (14) Overtime/Compensatory Time (9) Personal Leave (11) Physical Examinations (19) Probation – Use of Sick Leave (12) Reasons for Use of Sick Leave (12) Reimbursement (23) Required Usage and Carryover (15) Restrictions on Sick Leave (13) Salary (4) SET Detective (9) Shift Differential (10) Sick Leave (12) Sick Leave - Donation Policy (13) Sick Leave - During Vacation (13) Special Assignments (9) Standby ("On Call") Pay (8) Term of Memorandum of Understanding (2) Termination (18) Training Pay (10) Tuition Reimbursement (22) Tuition Reimbursement Eligibility (22) Tuition Reimbursement Eligible Courses (22) Uniform Allowance (10) Vacation Leave (15) Work Week (3) Work Week and Timekeeping Interval (3) Workday (3) Worker’s Compensation (11) APOA Salary Schedule Exhibit A Effective 8/1/2020 Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 POLICE OFFICER 6101 6,466.33$ 6,791.87$ 7,134.55$ 7,495.18$ 7,874.78$ 8,268.52$ POLICE OFFICER CORPORAL 6106 6,959.40$ 7,307.37$ 7,672.74$ 8,056.38$ 8,459.20$ 8,882.16$ POLICE OFFICER TRAINEE (NON-REPRESENTED) 6184 5,279.65$ 5,543.63$ 5,820.81$ 6,111.85$ 6,417.45$ Effective 8/1/2021 Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 POLICE OFFICER 6101 6,724.98$ $ 7,061.23 $ 7,414.29 $ 7,785.01 $ 8,174.26 $ 8,582.97 POLICE OFFICER CORPORAL 6106 7,237.78$ $ 7,599.67 $ 7,979.65 $ 8,378.63 $ 8,797.56 $ 9,237.44 POLICE OFFICER TRAINEE (NON-REPRESENTED)6184 5,490.84$ $ 5,765.38 $ 6,053.65 $ 6,356.33 $ 6,674.15 Effective 8/1/2022 Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 POLICE OFFICER 6101 6,993.98 7,343.68 7,710.87 8,096.41 8,501.23 8,926.29 POLICE OFFICER CORPORAL 6106 7,708.23 8,093.64 8,498.33 8,923.24 9,369.41 9,837.88 POLICE OFFICER TRAINEE (NON-REPRESENTED)6184 5,710.47 5,995.99 6,295.79 6,610.58 6,941.11 Effective 8/1/2023 Classification Range Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 POLICE OFFICER 6101 7,343.68 7,710.87 8,096.41 8,501.23 8,926.29 9,372.61 POLICE OFFICER CORPORAL 6106 8,093.64 8,498.33 8,923.24 9,369.41 9,837.88 10,329.77 POLICE OFFICER TRAINEE (NON-REPRESENTED)6184 5,995.99 6,295.79 6,610.58 6,941.11 7,288.17