HomeMy WebLinkAboutE-7 Staff Report - Restated MOU for SEIU CONSENT ITEM
E-7
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: SEPTEMBER 16, 2024
SUBJECT: APPROVAL OF AMENDED AND RESTATED MEMORANDUM OF
UNDERSTANDING BETWEEN THE CITY OF AZUSA AND THE SERVICE
EMPLOYEES INTERNATIONAL UNION, LOCAL 721
BACKGROUND:
The City has been in Negotiations with the Service Employees International Union, Local 721 (SEIU).
The SEIU membership consists of Facilities, Parks, and Streets Maintenance Workers and Supervisors.
Mutual agreement between the City of Azusa and SEIU has been reached; therefore, Negotiations with
the SEIU has been concluded. This action will amend and restate the existing Memorandum of
Understanding (MOU) of the SEIU with a contract term through June 30, 2028.
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 Service Employee International Union, Local 721.
ANALYSIS:
The MOU between the City of Azusa and SEIU expired on June 30, 2024. Negotiations with SEIU
commenced in March 2024. Sessions consisted of several discussions, including: City’s current financial
position; future financial projections; comparison of duties performed by Azusa’s SEIU members in to
similar positions of comparative agencies and other Azusa positions; the impacts of medical cost
increases; and several other operational considerations.
SEIU personnel is responsible for maintaining the City’s sewer system, maintaining and improving
public infrastructure, repairing potholes and streets, and the cleanliness of the City’s parks and
community facilities. Over the past four years, the City accomplished the goals of its fiscal sustainability
plan, achieving a balanced budget and strengthened cash reserves position. Concurrent with the
Approved
City Council
September 16, 2024
SEIU MOU July 1, 2024 – June 30, 2028
September 16, 2024
Page 2
implementation of the fiscal sustainability plan, national and local inflationary environments have
impacted costs significantly, offsetting some of the benefits of the enhanced revenues. While the City’s
revenue base remains stable, revenue growth in some areas are not keeping pace with rising costs. The
proposed amended and restated SEIU MOU considers the City’s financial forecasts and local, state and
national economic factors, while taking steps to ensure the City is able to attract and retain a qualified
workforce to serve the Azusa Community and continuing to be financially prudent. 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: July 1, 2024 through June 30, 2028.
2. Cost of Living Adjustment: Fiscal Year 2024-2025: 4%
Fiscal Year 2025-2026: 3%
Fiscal Year 2026-2027: 4%
Fiscal Year 2027-2028: 3%
3. Salary Range Adjustment: Effective July 1, 2024 the following classifications to
receive one-time salary range adjustments due to internal
and external position alignments:
4. Callback Provisions: Add language to ensure staff from both Streets and
Parks/Facilities divisions have their own callback lists and
increase callback response time from 30 minutes to 60
minutes.
5. Standby Provisions: Add language to ensure staff from both Streets and
Parks/Facilities divisions have their own standby lists.
6. Night Shift Differential: Change start time from 9:00 p.m. to 8:00 p.m.
7. Deferred Compensation: Increase City’s contribution from $100 to $125 per month.
8. Equipment Allowance: Increase the current yearly allowance of $350 to $600.
SEIU MOU July 1, 2024 – June 30, 2028
September 16, 2024
Page 3
9. Longevity Premium: Increase monthly Longevity Pay as follows:
Add 7-year tier at $100
10-year tier from $100 to $200
15-year tier from $200 to $300
20-year tier from $300 to $400
10. Language Pay: Increase verbal from $100 to $125 per month
Increase written from $100 to $125 per month
to be comparable to other bargaining units
11. Overtime Meal Period: Increased from $17 to $18 with automatic increases to the
GSA lunch rate.
12. Certification Pay: Addition of Qualified Application License:
$150 per month per employee for up to a maximum of two
(2) maximum employees occupying a Park Maintenance
Worker III and/or Park Maintenance Crew Supervisor job
classification.
Addition of Cal/OSHA Competent Person for Trenching
and Excavation certification:
$150 per month per employee for those occupying a Street
Maintenance Crew Supervisor job classification.
13. Uniform Allowance: City agrees to re-open negotiations to work with union on
developing a new Uniform Allowance Policy where union
members receive $1,000 annual allowance to purchase and
launder their own uniforms in lieu of continuing to use
inadequate uniform company services.
14. Flexible Benefit Plan (FBP): Increase FBP contributions for medical coverage:
• Effective July 1, 2024, increase City’s FBP
contribution from $1,500 to $1,700
• Effective July 1, 2026, increase City’s FBP
contribution from $1,700 to $1,800
• Modify medical opt-out cash in lieu of FBP
contribution for members hired January 1, 2018 or
after from $300 to $500 per month
• Cap FBP amount that can be used to purchase
supplemental insurances to $500 per month
• Authorize the City Manager to re-open discussion
of the City’s FBP contribution for year 4 of the
MOU contract period due to continued rising cost of
medical benefits
SEIU MOU July 1, 2024 – June 30, 2028
September 16, 2024
Page 4
15. Holidays Addition of Federally recognized Juneteenth (June 19th)
Holiday.
Staff recommends the Council consider and approve the proposed MOU. The attached MOU is in draft
format as staff may need to make some non-substantive edits, such as numbering, order of provisions,
minor wording edits, etc. until the document is fully executed by all parties.
SEIU representation has authorized staff to place this item on the agenda for consideration and approval
of the City Council. However, the union membership will cast their votes on the amended and restated
MOU provisions in the afternoon of the date of this meeting. If there fails to be a majority vote to accept
the terms, this item will be pulled from the consent calendar.
FISCAL IMPACT:
The cost of the aforementioned SEIU benefit adjustments impacting 25 employees is estimated at
$447,920 in total for the four-year term of this contract, of which approximately 43% (or $192,605) is
allocated to the General Fund. The first-year cost of approximately $152,415 has mostly been included
in the Fiscal Year 2024/25 Adopted Budget, however, due to anticipated salary savings from vacancies
no additional budget is requested. 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) Amended and Restated Memorandum of Understanding between the City of Azusa and the
Service Employee International Association, Local 721
— i —
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF AZUSA
AND THE
SERVICE EMPLOYEES INTERNATIONAL UNION
LOCAL 721
JULY 1, 2024 THROUGH JUNE 30, 2028
DRAFT
Attachment 1
July 1, 2024 through June 30, 2028
— 1 —
TABLE OF CONTENTS
1. TERM OF MEMORANDUM OF UNDERSTANDING ............................................ 3
2. IMPLEMENTATION ..................................................................................................... 4
3. SAVINGS CLAUSE ........................................................................................................ 4
4. TOTAL COMPENSATION ........................................................................................... 4
5. EMPLOYEE RIGHTS ..................................................................................................... 4
5.1 Protection of Rights ............................................................................................. 4
5.2 Anti‐Discrimination ............................................................................................. 4
6. UNION RIGHTS ............................................................................................................. 5
6.1 Payroll Deductions .............................................................................................. 5
6.2 Reporting Requirements ..................................................................................... 6
6.3 Visits by Union Representatives ........................................................................ 7
6.4 Use of City Facilities and Equipment ................................................................ 7
6.5 Communication Access ....................................................................................... 7
6.6 Union Steward Program ..................................................................................... 8
6.7 Union Release Time ............................................................................................. 8
6.8 Contract Negotiations ......................................................................................... 9
6.9 New Employee Orientations .............................................................................. 9
7. CITY RIGHTS ................................................................................................................ 10
7.1 Management Rights ........................................................................................... 10
7.2 Conformance with Rules................................................................................... 12
7.3 Meet and Confer ................................................................................................. 12
8. SEPARABILITY ............................................................................................................. 12
9. MAINTENANCE OF EXISTING BENEFITS ............................................................ 12
10. WORKWEEK AND TIMEKEEPING INTERVAL ................................................... 13
10.1 Workweek ........................................................................................................... 13
10.2 Workday .............................................................................................................. 13
10.3 Timekeeping Interval ........................................................................................ 13
11. SALARY ......................................................................................................................... 14
11.1 Salary Increases .................................................................................................. 14
11.2 Salary Adjustment ............................................................................................. 14
11.3 Automatic Payroll Deposit ............................................................................... 14
12. ADDITIONAL COMPENSATION AND PREMIUM PAY .................................... 14
12.1 Working Out of Classification .......................................................................... 14
12.2 Bilingual Pay ....................................................................................................... 16
12.3 Callback ............................................................................................................... 16
12.4 Deferred Compensation Plan ........................................................................... 18
12.5 Equipment Allowance ....................................................................................... 18
12.6 Longevity Premium ........................................................................................... 18
Memorandum of Understanding — SEIU Local 721
— 2 —
12.7 Overtime and Compensatory Time ................................................................. 19
12.8 Night Shift Differential ...................................................................................... 21
12.9 Paint Crew ........................................................................................................... 21
12.10 Standby ................................................................................................................ 21
12.11 Uniform Allowance ........................................................................................... 22
12.12 Weekend Assignment ....................................................................................... 22
13. FAIRNESS AGREEMENT ........................................................................................... 23
14. DAMAGE TO PERSONAL EFFECTS ....................................................................... 23
15. EMPLOYEE ASSISTANCE PLAN ............................................................................. 23
16. FLEXIBLE BENEFIT PLAN ......................................................................................... 24
16.1 Definition ............................................................................................................. 24
16.2 Eligibility ............................................................................................................. 24
16.3 Amount of Monthly Benefit ............................................................................ 24
16.4 Opt Out or Opt for Less Coverage ................................................................. 25
16.5 Termination ......................................................................................................... 25
17. LEAVE TYPES ............................................................................................................... 25
17.1 Bereavement Leave ............................................................................................ 25
17.2 Holidays .............................................................................................................. 26
17.3 Industrial Leave .................................................................................................. 27
17.4 Sick Leave ............................................................................................................ 29
17.5 Vacation ............................................................................................................... 34
17.6 Reproductive Loss Leave………………………………….…………………… 35
18. CERTIFICATION AND LICENSE ............................................................................. 36
18.1 City Obligation of Costs .................................................................................... 36
18.2 Certification Incentive Pay ............................................................................... 36
19. LIFE INSURANCE ....................................................................................................... 37
20. LONG TERM DISABILITY INSURANCE ................................................................ 37
21. RETIREMENT ............................................................................................................... 38
21.1 California Public Employees’ Retirement System ......................................... 38
21.2 Public Agency Retirement System (PARS) .................................................... 40
21.3 Retiree Health Benefits ...................................................................................... 41
22. TUITION REIMBURSEMENT .................................................................................... 43
23. FLEXIBLE STAFFING POSITIONS ........................................................................... 43
24. LABOR‐MANAGEMENT COMMITTEE ................................................................. 43
25. LAY OFF ........................................................................................................................ 44
26. REOPEN OF NEGOTIATIONS DURING TERM OF AGREEMENT ................... 44
EXECUTION OF THE NEW AGREEMENT .......................................................................... 47
July 1, 2024 through June 30, 2028
— 3 —
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF AZUSA
AND THE
SERVICE EMPLOYEES INTERNATIONAL UNION – LOCAL 721
July 1, 2024 THROUGH JUNE 30, 2028
This Memorandum of Understanding (hereinafter referred to as “MOU”) is entered into
with reference to the following facts:
(1) The Service Employees International Union – Local 721 (hereinafter referred to as
“Union”) 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 as listed in Exhibit “A,” attached hereto;
(2) In the interest of maintaining harmonious relations between the City and those
employees represented by the Union, authorized representatives of the City and the
Union have met and conferred in good faith, exchanging various proposals
concerning wages, hours and other terms and conditions of employment to affected
employees; and
(3) The authorized representatives of the City and the Union 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.
(4) It is understood that this MOU shall constitute a bar to any petition or request for
recognition of any classification(s) of employees covered by this MOU.
Therefore, the City and the Union 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 altered as follows:
1. TERM OF MEMORANDUM OF UNDERSTANDING
The term of this MOU shall commence July 1, 2024 and shall continue in full force and
effect until June 30, 2028.
All provisions of this MOU, except to the extent as allowed by the re‐openers expressed
in this MOU shall remain in full force and effect until a new successor MOU has been
agreed upon between the parties.
Memorandum of Understanding — SEIU Local 721
— 4 —
2. IMPLEMENTATION
This MOU is subject to approval of the City Council of the City of Azusa, and following
such approval shall be implemented by appropriate resolution(s) or ordinance(s) of the
City Council.
3. SAVINGS CLAUSE
Should any State or Federal law mandate the loss of revenue to the City as a result of the
implementation of any clause of this MOU, or should any clause or provision of this MOU
be found to be inoperative, void, or invalid by law or a court of competent jurisdiction
then those changes alone shall not be given effect. In the event of such invalidation, the
City and the Union agree to meet within thirty (30) days from said invalidation and confer
in good faith to determine an alternative and economically equitable as applicable, clause
or provision.
4. TOTAL COMPENSATION
As a matter of philosophy, the Union and the City recognize that compensation consists
of terms and conditions of employment, other than those represented solely by salary.
Further, the City and the Union recognize that the changes in wages, hours and other
terms and conditions of employment as set forth in this MOU constitute additions to the
total compensation received by affected employees.
5. EMPLOYEE RIGHTS
5.1 Protection of Rights
The parties mutually recognize and agree to protect the rights of all employees hereby
to join and/or participate in protected union activities, or to refrain from joining or
participating in protected activities in accordance with Government Code §3500,
et seq.
5.2 Anti‐Discrimination
The City and the Union agree they shall not discriminate against any employee
because of race (including, but not limited to, hair texture and protective hairstyles
such as braids, locks, and twists), color, religious creed (including religious dress and
religious grooming practices), national origin, ancestry, citizenship status, age (40
years and older) sex (including pregnancy, perceived pregnancy, childbirth,
breastfeeding, or related medical conditions), gender, gender identity or expression
(including transgender identity and expression), because an individual has
transitioned (to live as the gender with which they identify), is transitioning (or is
July 1, 2024 through June 30, 2028
— 5 —
perceived to be transitioning), sexual orientation, sex stereotyping, marital status,
domestic partner status, military service or veteran status, pregnancy, physical
and/or mental disability (including HIV and AIDS), legally protected medical
condition or information (including genetic information,) protected medical leaves
(requesting or approved), status as a victim or status as a victim of domestic violence,
sexual assault, or stalking, enrollment in a public assistance program, political
affiliations, or any other basis protected by federal, state or local laws. The City and
the Union shall reopen any provisions of this Agreement for the purpose of complying
with any final order of the federal or state agency or court of competent jurisdiction
requiring a modification or change in any provision or provisions of this Agreement
in compliance with state or federal anti‐discrimination laws.
6. UNION RIGHTS
6.1 Payroll Deductions
Each pay period, the Union shall provide the employer with an “authorized
deduction report” which includes bargaining unit members who have authorized the
deduction of Union dues, COPE and other deductions and the deduction amounts.
To extent the funds are available and such deductions are allowed by law, the City
shall deduct on a regular basis from the pay of all employees in the classifications and
positions recognized to be represented by the Union, funds for membership dues
and/or political contributions.
6.1.1 Indemnification
The Union agrees to hold the City harmless and indemnify the City against
claims, causes of action or lawsuits arising out of the deductions or transmittal
of such funds to the Union, except for the intentional failure of the City to
transmit to the Union monies deducted from the employees pursuant to this
Article.
6.1.2 Remittance of Funds
The City shall electronically remit such funds to the Union within ten (10)
business days following their deduction. To the extent on file with Human
Resources and/or Payroll Staff, the remittance shall be accompanied by an
electronic list of all current employees in the unit, which indicates the effective
date(s) of the remittance, each employee’s name, employee identification
number, hire date, job classification, employment status (ex.: active, on leave
of absence, etc.), work status (ex: full‐time, part‐time, hourly, seasonal, etc.),
Memorandum of Understanding — SEIU Local 721
— 6 —
home address, home telephone number (if applicable), personal e‐mail (if
applicable), work address, work phone, work e‐mail, hourly rate of pay, total
hours worked in the pay period, and the amount(s) being remitted on behalf
of each employee.
As applicable, the Union shall notify the City of any change(s) in the amount(s)
of such deductions within thirty (30) days of the employee’s written request to
the Union.
6.1.2.1 Membership Dues
The City shall deduct union membership dues, in an amount as
determined by the Union, from every paycheck of each employee who
voluntarily authorizes such deductions in writing, on a form to be
provided for this purpose.
6.1.2.2 Committee on Political Education (COPE)
The City shall deduct amount(s), if any, as determined by the
employee, from every paycheck of each employee who voluntarily
authorized such deduction(s) in writing, on a form to be provided for
this purpose.
6.2 Reporting Requirements
The City shall notify SEIU, in writing, of all employees represented under this MOU,
who are hired, promoted, demoted, transferred, reclassified, retired, separated from
service, receive a salary/step merit increase, or any other change in employment status
with the City.
The City shall provide the following information for each employee within ten (10)
business days of hire or change in employment status and in the first week of January,
April, July and October of each year:
Full name
Employee identification number
Job classification
Date of hire
Effective date of change
Home address
Home mailing address (if different)
July 1, 2024 through June 30, 2028
— 7 —
Home phone number
Personal cell phone number (if known)
Personal e‐mail address on file (if any)
Work location (name of facility and department)
Work address
Work phone numbers (landline and cell, as applicable)
Salary anniversary date, as applicable
Salary range
Current salary step
Current rate of pay
The City agrees to provide such information to the Union in a usable electronic format
(preferably Excel).
6.3 Visits by Union Representatives
Representatives from the Union will be granted reasonable access to City facilities and
employees in the bargaining unit for the purpose of investigating grievances and to
conduct official union business. The visits shall not interfere with the normal
operations of the City.
6.4 Use of City Facilities and Equipment
The City agrees to permit the reasonable and limited use of City facilities and
equipment by Union representatives for conducting official union business. The use
of City facilities must be scheduled in advance by contacting the Director of
Administrative Services, appropriate Department Head, or designee. The date, time,
location, and intervals of such meetings shall be mutually agreed upon by the parties.
6.5 Communication Access
6.6.1 Bulletin Boards
The City will provide bulletin boards to post notices regarding union business
only. These bulletin boards will be maintained by the Union in an orderly
manner. All material posted must be dated and contain the initials of a union
representative.
Memorandum of Understanding — SEIU Local 721
— 8 —
6.6.2 Electronic Messages
Union representatives will be allowed reasonable use of the City’s e‐mail
system to communicate with unit employees regarding union business.
6.6 Union Steward Program
The Union may elect or appoint up to two (2) stewards in the City. Stewards are
recognized as representatives of SEIU in the City with the power to bind SEIU in all
matters pertaining to this MOU. The Union agrees to notify the City in writing of the
names of its stewards and the effective dates of their election or appointment.
There shall be no union activity on City time or premises, except as provided for in
this MOU or by applicable law(s). A steward is permitted paid release time during
regularly scheduled working hours, without any loss of compensation or benefits, to
represent SEIU in grievances, administrative interviews, Skelly conferences,
arbitration, hearings or conferences required by the Public Employee Relations Board
(PERB), court, or depositions necessary and consistent with the representational
rights granted by the Meyers‐Milias‐Brown Act (MMBA), as would legally require such
pay. Upon request, Stewards shall also be permitted a reasonable amount of
preparation time pursuant to this provision. A steward will not absent themself from
work without first obtaining the permission of their supervisor. To obtain permission,
the steward shall identify: a) the specific reason for requesting permission, b) the
employee(s) to be represented, and c) the general issue involved. The employee shall
wait to receive permission before leaving work. The Union agrees City services should
not be negatively affected by any steward activity permitted by this provision. Subject
to the foregoing, the City agrees to not unreasonably withhold permission.
Stewards shall not be entitled to make any claim for compensation for time spent on
steward business during the steward’s non‐regular working hours.
6.7 Union Release Time
Chapter Board Members and Stewards will each be allowed a paid leave of absence,
for up to one (1) shift per month, for Union Release Time to attend meetings and/or
training. Such Union Release Time may accrue for up to a maximum of eighty (80)
hours each calendar year. There shall be no more than two (2) unit employees on a
paid leave of absence for Union Release Time at any given time. SEIU agrees City
services should not be negatively affected by the use of Union Release Time and the
use of such time is subject to prior written approval by the employee’s supervisor.
Subject to the foregoing, the City agrees to not unreasonably withhold permission.
July 1, 2024 through June 30, 2028
— 9 —
In addition, an employee elected, or appointed, as an Executive Board Member shall
be allowed a paid leave of absence for one (1) shift per month for the purpose of
traveling to, and attending, the monthly Executive Board meetings.
An employee on Union Release Time will remain on the City’s payroll and continue
to be eligible for all compensation, benefits, and accruals in the same manner as if they
were actively working. The City will continue to pay for the employee’s compensation
and for benefits provided to the employee during hours reported as Union Release
Time.
6.8 Contract Negotiations
The City shall release no more than four (4) primary unit employees (with at least one
employee from each division represented), and up to two (2) alternate unit employees
who will be released only in the event the primaries are unavailable, to participate in
collective bargaining with the City. The employee(s) shall be permitted to attend
bargaining sessions and any required caucus time during regularly scheduled work
hours. Such unit employee(s) attending a scheduled bargaining session or caucus time
shall continue to be eligible for all compensation, benefits, and accruals in the same
manner as if they were actively working on that date. There shall be no overtime
compensation for meetings which are held outside of regularly scheduled work
hours.
6.9 New Employee Orientations
The City shall provide the Union with at least ten (10) business days’ advance written
notice of each new employee orientation (NEO), regardless of the number of
participants and/or manner in which the NEO occurs (i.e. in person, online, or
otherwise). Shorter notice may be provided in a specific instance where there is an
urgent need that is critical to city operations that was not reasonably foreseeable. If
the NEO is to occur over more than one (1) full business day, then the notice shall be
provided at least ten (10) business days in advance of the first day of the NEO.
Union representatives shall be permitted to make a presentation, of up to one (1) hour,
during a portion of the NEO. The Union’s presentation may include written, audio,
and/or visual materials; however, the Union shall be solely responsible for providing
any such materials as well as any necessary technical equipment that is not already
available as part of the City’s NEO. No management representative shall be present
during the Union’s presentation. The City shall provide paid release time for the new
hires and stewards to participate in the NEO.
Memorandum of Understanding — SEIU Local 721
— 10 —
Attendance at an NEO shall be mandatory for each new hire. For the purpose of this
section, new hires shall be defined to include any employee new to SEIU Local 721,
including but not limited to employees entering the unit through accretion or
promotion/demotion.
The Union shall provide the following for the City to include in their new hire packet
to be distributed at the NEO:
Applications for union membership and COPE
Copy of the current MOU
Contact information of the designated union representative(s)
Violations of this side letter are subject to the grievance procedure, as outlined in
Article 15 of the City’s Rules of the Civil Service System.
7. CITY RIGHTS
7.1 Management Rights
The City reserves, retains and is vested with, solely and exclusively, all rights of
Management which have not been expressly abridged by specific provision(s) of this
MOU or by law to manage the City, as such rights existed prior to the execution of
this MOU. The sole and exclusive rights of Management, as they are not abridged by
this MOU or by law, shall include, but not be limited to, the following:
7.1.1 To manage the City generally and to determine the issues of policy.
7.1.2 To determine the existence or nonexistence of facts which are the basis
of the Management decision.
7.1.3 To determine the necessity and organization of any service or activity
conducted by the City and expand or diminish services.
7.1.4 To determine the nature, manner, means and technology, and extent
of services to be provided to the public.
7.1.5 To determine methods of financing.
7.1.6 To determine types of equipment or technology to be used.
7.1.7 To determine and/or change the facilities, methods, technology,
means, and size of the work force by which the City operations are to
be conducted.
July 1, 2024 through June 30, 2028
— 11 —
7.1.8 To determine and change the number of locations, relocations, and
types of operations, processes and materials to be used in carrying out
all City functions including, but not limited to, the right to contract for
or subcontract any work or operations of the City; provided, however:
7.1.8.1 City will bargain about effects of any decision to contract out work
historically performed by unit members.
7.1.8.2 Except in the case of a bona fide emergency, City will provide
a minimum ninety (90) calendar day advance notice on any
proposed contracting out of work historically performed by
unit members and will commence meeting and conferring
over the effects within ten (10) business days, excluding
holidays, of said notice.
7.1.8.3 If a proposed contractor pays less than the economic value of
City employee’s wages and economic benefits, the City will
notify the Union and, at a time when such discussions would
be meaningful, informally discuss alternatives to contracting
out with the Union. The parties agree to conduct discussions
in good faith, but acknowledge that this is not bargaining
(meet and confer).
7.1.9 To assign work to and schedule employees in accordance with
requirements as determined by the City and to establish and change
work schedules and assignments.
7.1.10 To relieve employees from duties for lack of funds or lack of work or
similar non‐disciplinary reasons.
7.1.11 To establish and modify productivity and performance programs and
standards.
7.1.12 To discharge, suspend, demote or otherwise discipline employees for
proper cause.
7.1.13 To determine job classification and to reclassify employees.
7.1.14 To hire, transfer, promote or demote employees for non‐disciplinary
reasons in accordance with this MOU and applicable Resolutions and
Codes of the City.
Memorandum of Understanding — SEIU Local 721
— 12 —
7.1.15 To determine policies, procedures and standards for selection,
training and promotion of employees.
7.1.16 To establish employee performance standards including, but not
limited to, quality and quantity standards and to require compliance
therewith.
7.1.17 To maintain order and efficiency in its facilities and operation.
7.1.18 To establish and promulgate and/or modify rules and regulations to
maintain order and safety in the City which are not in contravention
with this Agreement.
7.1.19 To take any and all necessary action to carry out the mission of the
City in emergencies.
7.2 Conformance with Rules
The City shall have the right to exercise the rights provided in Sections 7.1.9 through
7.1.16 of the Management rights clause, in accordance with the Personnel Rules and
Regulations as they exist as of May 16, 1988, and shall exercise these rights in
conformance with the Personnel Rules and Regulations.
7.3 Meet and Confer
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 Union regarding the impact of the exercise of such rights,
unless that matter of the exercise of such rights is provided for in this MOU, 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 Union 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.
8. SEPARABILITY
Should any provisions of this MOU be found to be inoperative, void, or invalid by a court
of competent jurisdiction, all other provisions of this MOU shall remain in full force and
effect for the duration of this MOU.
July 1, 2024 through June 30, 2028
— 13 —
9. MAINTENANCE OF EXISTING BENEFITS
Except as provided herein, all wages, hours and economic terms and conditions of
employment presently enjoyed by employees shall remain in full force and effect during
the entire term of this MOU, unless mutually agreed to the contrary by both parties
hereto.
10. WORKWEEK AND TIMEKEEPING INTERVAL
10.1 Workweek
The regular workweek for all employees covered by this MOU 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) consecutive days a week and ten (10) hours per day.
Within certain departments there exists a compelling need for certain employees to
work a five (5) day forty (40) hour week. Upon a clear showing of need and with the
affected employees’ consent, the department head may schedule employees
accordingly.
Daily hours of work or shifts for employees within departments shall be assigned by
the department head, as required to meet the needs of the department.
10.1.1 Notwithstanding Section 10.1, the City may maintain a five (5), eight
(8) hour days per week schedule for employees currently assigned to
such a schedule. Further, the City may assign a five (5), eight (8) hour
per week schedule to employees preferring to work such a schedule.
10.2 Workday
Except as provided in Section 10.1.1, the workday will consist of ten and one half
(10½) hours, with break periods, to be scheduled in light of the departmental policy,
as follows:
One (1) forty (40) minute meal break
Two (2) fifteen (15) minute rest breaks
Two (2) fifteen (15) minute “wash‐up” times may be taken, as needed, prior to
starting the meal period and at end of shift
The City reserves the right to determine the beginning and ending times of the
workday.
Memorandum of Understanding — SEIU Local 721
— 14 —
10.3 Timekeeping Interval
In compliance with the Fair Labor Standards Act (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.
11. SALARY
11.1 Salary Increases
Effective July 1, 2024, the base salary range of each classification in the bargaining unit
shall be increased by four percent (4.0%).
Effective July 1, 2025 the base salary range of each classification in the bargaining unit
shall be increased by three percent (3.0%).
Effective July 1, 2026 the base salary range of each classification in the bargaining unit
shall be increased by four percent (4.0%).
Effective July 1, 2027 the base salary range of each classification in the bargaining unit
shall be increased by three percent (3.0%).
11.2 Salary Adjustments
Effective July 1, 2024 the following classifications will receive one‐time salary
adjustments, separate from Cost of Living Increases:
11.3 Automatic Payroll Deposit
The City will continue to offer Automatic Payroll Deposit in cooperation with any
bank that utilizes the Automated Clearing House service.
CLASSIFICATION
SALARY
ADJUSTMENT
Facilities Maintenance Supervisor 5.00%
Facilities Maintenance Worker III 5.00%
Park Maintenance Crew Supervisor 5.00%
Park Maintenance Supervisor 5.00%
Park Maintenance Worker III 5.00%
Public Works Inspector 5.00%
Street Maintenance Crew Superviso 5.00%
Street Maintenance Supervisor 5.00%
Street Maintenance Worker III 5.00%
July 1, 2024 through June 30, 2028
— 15 —
12. ADDITIONAL COMPENSATION AND PREMIUM PAY
12.1 Working Out of Classification
12.1.1 Acting Pay
An employee who is requested by a supervisor or management to temporarily
act in the place of another employee, by assuming the responsibilities and/or
performing the duties of a position in a higher class, shall receive additional
compensation of five percent (5%) of their base pay for the hours in which they
are in an acting capacity, including hours compensated at premium rates.
The minimum number of hours that must be worked for Acting Pay to be
applicable (from the first hour) shall be ten and a quarter (10.25) hours.
The maximum number of hours for which Acting Pay shall be applicable shall
be thirty‐nine and three‐quarters (39.75) hours.
If an employee is called upon to act in the higher capacity for forty (40) hours
or more, the provisions of Section 12.1.2 shall apply.
12.1.2 Pay Range
An employee who works more than thirty‐nine and three‐quarters (39.75)
consecutive working hours out of classification shall receive an upgrade equal
to the lowest step of the pay range for the higher class which provides at least
a five percent (5%) increase (or a five percent (5%) if the top step for the pay
range does not provide at least a five percent (5%) increase), commencing the
first hour of working out of classification and for each consecutive hour
thereafter. Working in a higher classification must be approved by the
department head in advance.
12.1.3 Restriction
An employee otherwise eligible for acting pay shall not be eligible during
scheduled periods of Vacation or when on Sick Leave. In accordance with
Government Code §20480, for the wages to be reported to PERS, the position
must be vacant and the City must be conducting an active recruitment.
Generally, assignments are limited to 960 hours in a fiscal year.
An employee, or combination of employees, shall not continue acting in a
higher classification, while retaining their existing classification, for more than
960 hours in any fiscal year.
Memorandum of Understanding — SEIU Local 721
— 16 —
12.1.4 Absence
An employee otherwise eligible for acting pay shall not be eligible during
scheduled periods of Vacation Leave or when on Sick Leave.
12.2 Bilingual Pay
The City shall pay one hundred and twenty‐five dollars ($125.00) per month to each
employee who demonstrates verbal proficiency in a foreign language, if they are
required to routinely utilize the foreign language during the performance of their
duties.
An additional payment of one hundred and twenty‐five dollars ($125.00) per month
shall be paid to those employees who are proficient in writing the foreign language,
if they are assigned and required to translate the foreign language in writing during
the performance of their duties.
Such payment for verbal and/or written Bilingual Pay is conditional upon
demonstration of proficiency by a qualified examiner. Employees may apply for
bilingual pay at any time; however, examinations shall be scheduled at the discretion
of the Human Resources Division at least once per month, and if a passing score is
obtained, the Bilingual Pay will be effective the first day of the pay period immediately
following the examination date.
12.3 Callback
Callback shall be utilized for all divisions; the Streets division and Parks/Facilities
divisions (collectively) shall have their own and separate lists of employees for
callback.
If an employee is required to be called back to work after completing their 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 that callback
with a minimum of three (3) hours callback compensation at the appropriate rate,
regardless of whether the employee actually works less than three (3) hours. While
working on the initial callback assignment, should an employee receive an additional
assignment, he/she shall receive a minimum of one (1) additional hour per additional
assignment. For example, if an employee is out on their first callback assignment, and
they receive another assignment prior to completing the initial callback assignment,
he/she is eligible for a minimum of four hours of callback compensation (3 hours for
the original callback assignment plus 1 hour for the additional callback assignment).
Should they receive another assignment while working on the additional assignment,
they would receive another minimum of one (1) additional hour.
July 1, 2024 through June 30, 2028
— 17 —
This provision shall be applicable to an employee even though the employee’s regular
work week is not complete, but shall not apply to an employee who is continuing on
duty for their normal work shift.
For the purposes of this section only, the time starts when the request for callback is
received by the employee and ends when the purpose of the callback is finished.
12.3.1 Appropriate Rate of Pay for Callback
Callbacks may be entered as overtime or as compensatory time off within
applicable limits.
For the purpose of this section only, a twenty‐four (24) hour period is defined
as 4:00 P.M. to 4:00 P.M. the next calendar day.
The following shall be paid at one and one‐half (1½) times the regular rate of
pay, unless eligible for double time (2×):
First call back, if received before 11:59 P.M. or after 6:00 A.M.
All hours worked on their regularly scheduled shift consecutive with
the call back, if the employee performed work between 4:00 A.M. and
6:00 A.M. and is required to continue to work into their regularly
scheduled shift, until they have an eight (8) hour rest period.
The following shall be paid at the double time (2×) rate:
First call back, if received between 12:00 A.M. (midnight) and 5:59 A.M.
Second and all additional call backs during the same twenty‐four (24)
hour period.
All hours worked on their regularly scheduled shift consecutive with
the call back, if the employee was summoned to perform work before
4:00 A.M. and is required to continue to work into their regularly
scheduled shift, until they have an eight (8) hour rest period.
All hours worked between 12:00 A.M. (midnight) and 5:59 A.M.
(including hours worked on a first call back that was received before
11:59 P.M. or after 6:00 A.M.).
All hours worked in excess of twelve (12) consecutive hours shall be
compensated at two (2) times the normal rate until the employee has
an eight (8) hour rest period.
Memorandum of Understanding — SEIU Local 721
— 18 —
Response time for Callback shall be sixty (60) minutes.
12.4 Deferred Compensation Plan
12.4.1 Employer Paid Contributions
The City shall provide access to a deferred compensation program authorized
by the City Council for voluntary participation by employees. The City shall
contribute one‐hundred twenty‐five dollars ($125) per month in deferred
compensation to each employee.
Each year during the open enrollment period employees whose premiums
exceed their FBP contribution (see section 16) amount have the option to
redirect up to 100% of the City paid deferred compensation contribution and
have that amount added to their FBP contribution.
12.4.2 Employee Contributions
Employees may opt to make additional contributions, up to the legal limits, on
their own behalf into their deferred compensation plan.
12.5 Equipment Allowance
The City shall provide each employee a personal equipment allowance of six hundred
dollars ($600.00) per fiscal year.
Employees who are employed for less than the fiscal year shall have their equipment
allowance prorated.
Personal equipment may include, but is not limited to, the purchase of safety
shoes/boots, work‐related clothing, equipment, garments, hats/caps, safety glasses,
undershirts, belts, socks, shoe laces, sun glasses, boot insoles, gloves, mission/cooling
towels, sun block, and bug spray.
Employees may purchase their shoes/boots through the City’s vendor (currently Red
Wing and Boot Barn) or from a provider of their choice.
Any costs for the purchase of personal equipment in excess of the City’s maximum
reimbursement amount shall be paid by the employee.
12.6 Longevity Premium
The monthly longevity pay for employees shall be in accordance with the following
schedule:
July 1, 2024 through June 30, 2028
— 19 —
7 years = $100
10 years = $200
15 years = $300
20 years = $400
Years of service will include all time employed full‐time by the City.
12.7 Overtime and Compensatory Time
12.7.1 Eligibility
Employees shall be entitled to overtime pay, or compensatory time off, for all
hours worked in excess of ten (10) hours in one (1) work day or forty (40) hours
within the employee’s regular work week. Except as provided elsewhere in this
MOU, overtime shall be calculated at one and one‐half times (1.5×) the
employee’s FLSA rate of pay.
For the purpose of this MOU, Holiday Pay, Sick Leave, and other compensated
time off shall count for the hours.
12.7.2 Accumulation
12.7.2.1 Compensatory time may be accumulated at the appropriate
rate for each hour of overtime worked to the maximum
accrual rate set by Federal law.
12.7.2.2 Overtime pay, or compensatory time off for overtime pay,
shall be accumulated in no less than fifteen (15) minutes per
day increments, subject to Section 10.3. When an employee
works less than fifteen (15) minutes or less per day of
overtime, the employee shall not receive compensatory time
for such overtime.
12.7.2.3 Accumulated compensatory time, not taken off in the pay
period in which it was earned, may be carried over to a
maximum of two hundred and forty (240) hours.
12.7.3 Authorization
Any compensation for overtime hours worked, such overtime work must be
authorized by the department head or the City Manager.
Memorandum of Understanding — SEIU Local 721
— 20 —
12.7.4 Holiday Double Time
All hours worked during designated holidays (except for floating holidays), as
defined in Section 17.2, shall be compensated at a premium overtime rate of
two times (2×) the employee’s regular rate of pay.
12.7.5 Overtime Meal Stipend
Employees shall not be required to submit receipts to receive a meal stipend.
Upon ratification of this MOU, the rate of meal stipends provided will be
equivalent to the U.S. General Services Administration (“GSA”) lunch rate for
Zip Code 91702 (“GSA lunch rate”) as periodically updated (currently eighteen
dollars $18.00 as of ratification of this MOU).
12.7.5.1 Beyond Regular Shift
When an employee is required to work continuous, unplanned
overtime beyond their regular shift, they shall be provided with a
meal, and time to eat the meal, no more than two (2) hours after the
commencement of such work and no less frequently than every four
(4) hours actually worked thereafter, or they shall receive a meal
stipend equivalent to the GSA lunch rate for each such period.
12.7.5.2 Outside of Regular Shift
When an employee is required to perform scheduled or unscheduled
work outside of their regular work hours, as a result of an emergency
situation, they shall be provided with a meal, and the time to eat the
meal, no less frequently than every four (4) hours, or they shall receive
a meal stipend equivalent to the GSA lunch rate for each such four (4)
hour period.
12.7.5.3 Before 5:00 A.M.
In the event an employee is summoned to work before 5:00 A.M. and
is required to continue to work into their regular shift on the same task
that they were summoned for, they shall be provided with a meal, and
time to eat the meal, no less frequently than every four (4) hours, or
they shall receive a meal stipend equivalent to the GSA lunch rate for
each such four (4) hour period.
July 1, 2024 through June 30, 2028
— 21 —
12.7.5.4 One Hour Prior to Regular Shift
Effective July 1, 2019, in the event an employee is required to report to
work one (1) hour prior to their regular shift, they shall be provided
with a meal, and time to eat the meal, or they shall receive a meal
stipend equivalent to the GSA lunch rate.
12.7.5.5 Meal Periods during Emergencies
During an emergency situation, the time to eat the meal would not be
mandatory; however, an additional thirty (30) minutes for each missed
meal period shall be added to the end of the shift and paid at the
appropriate overtime rate.
12.7.6 Compensatory Time Cash‐In Policy
An employee may convert into pay any accumulated compensatory time.
12.8 Night Shift Differential
An employee whose regular shift commences between the hours of 8:00 P.M. and
2:00 A.M. shall receive an additional one dollar ($1.00) per hour for hours worked on
that shift.
12.9 Paint Crew
Any employee, assigned to the paint crew in the Street Maintenance Division of Public
Works, who is scheduled to work after 12:00 A.M. (midnight) will receive an additional
twenty‐five cents ($0.25) per hour for each hour worked after that time. This
additional pay constitutes premium pay and is not to be considered as a part of the
employee’s base salary.
12.10 Standby
12.10.1 Definition
An employee shall receive Standby Pay when they are required to be available
for work for twenty‐four (24) hours a day on seven (7) consecutive days.
Standby shall be utilized for all divisions; the Streets division and
Parks/Facilities divisions (collectively) shall have their own and separate lists
of employees for standby.
Memorandum of Understanding — SEIU Local 721
— 22 —
12.10.2 Standby Pay
The City agrees to pay time and one‐half (1½) for standby time with a
minimum of two (2) hours per day, which will result in three (3) hours of
regular pay.
In the event an employee notifies the department they will be out sick for their
assigned standby, the employee shall not be entitled to standby pay for the
time period they are unable to perform their standby duties.
The hours shall be entered on time sheets as Premium Standby or Premium
Comp Time.
If standby is worked on an observed holiday, the employee shall receive four
(4) hours of regular pay.
12.10.3 Qualifications
The Department Head shall determine which employees are qualified for
standby assignment. If an employee cannot serve on standby due to
insufficient practical knowledge, the Department Head shall make an alternate
assignment.
Standby assignment shall apply to those employees who can show, to the
Department Head’s satisfaction, that they can respond to a call out in the City
within one‐half (½) hour or less. Qualified employees shall serve on a rotating
basis.
12.10.4 Vehicle Assignment
The City agrees to provide a City vehicle to each employee on Standby. This
assigned vehicle shall not be used for personal business.
12.11 Uniform Allowance
Shall provide an adequate number of uniforms to each employee at no cost to the
employee. The City shall continue to pay one hundred percent (100%) of the costs to
clean, maintain, repair, and/or replace such uniforms. See section 26 for re‐open clause
provisions.
12.12 Weekend Assignment
Within certain departments there may exist a need for certain employees to work a
scheduled four (4) consecutive day forty (40) hour workweek which includes
July 1, 2024 through June 30, 2028
— 23 —
Saturday and/or Sunday. Any employees so assigned shall receive an additional one‐
dollar ($1.00) per hour for those hours worked on Saturday or Sunday or both if
included within their forty (40) hour work week. This additional pay constitutes
premium pay, and is not to be considered as part of the employee’s base salary.
13. FAIRNESS AGREEMENT
If the City gives any other bargaining unit(s) a higher amount or higher value of a benefit
(from that which was not already in effect or negotiated as of June 30, 2024) than that
which was given to employees in this MOU, employees in this unit shall be given the
same higher amounts or higher value of benefits, for the following provisions and terms,
as those given to the other bargaining unit(s):
Flexible benefit plan (FBP) contributions – for the entire term of this contract, if the
City grants any other bargaining unit(s) a higher FBP contribution over than
already in effect or negotiated as of June 30, 2024, the City will grant employee(s)
in this unit the same higher amount to be effective on the same date(s) given to
other bargaining unit(s).
This provision shall expire on July 1, 2028, unless mutually agreed to otherwise by the
parties.
14. DAMAGE TO PERSONAL EFFECTS
If, in the course of business, personal clothing or effects of employees are accidentally
damaged or destroyed, the employee may submit a claim for reimbursement up to two
hundred dollars ($200.00) to the department head or designee. The department head, or
designee, shall have the authority to investigate the claim and recommend to the City
Manager or 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 eye glasses or contact lenses and hearing aid devices are exempt from
the two hundred ($200.00) limit.
15. EMPLOYEE ASSISTANCE PLAN
The City will continue to maintain the Employee Assistance Plan.
Memorandum of Understanding — SEIU Local 721
— 24 —
16. FLEXIBLE BENEFIT PLAN
16.1 Definition
The City maintains an IRS Section 125 Flexible Benefit Plan (FBP) administered by
either the City or its designee and contributes monies to employees as cash and/or to
purchase qualified benefits. This plan is voluntary and can be used by the employee
to pay, to the extent available, for qualified benefits as determined by the IRS. The
employee understands that, in the event the total premiums and/or expenses for
qualified benefits selected by him/her exceed the amount of the FBP contribution, the
excess shall be deducted from pre‐tax wages.
16.2 Eligibility
In order for an employee to be eligible for the FBP contribution in any given month,
they must be on payroll on the first work day (excluding recognized paid City
holidays) of that month.
An employee will be eligible for the full FBP applicable to their bargaining unit if they
begin 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 Finance Department to reimburse the City for
any benefits that have already been paid out on the employeeʹs behalf for that month.
The Administrative Services Department will notify the employee if they have not
met the qualifying work time for eligibility for the FBP.
16.3 Amount of Monthly Benefit
Effective July 1, 2024, the monthly FBP contribution allotment is one thousand seven
hundred dollars ($1,700) per month for each employee.
Effective July 1, 2026, the monthly FBP contribution allotment is one thousand eight
hundred dollars ($1,800) per month for each employee.
Each year during the open enrollment period, employees whose premiums exceed
their FBP contribution amount have the option to redirect up to 100% of the City paid
deferred compensation contribution and have that amount added to their FBP
contribution (see Section 13.4 for the deferred compensation contribution amount).
July 1, 2024 through June 30, 2028
— 25 —
16.4 Opt out or Opt for Less Coverage
The City will provide cash‐out options for any employee who provides proof of other
medical coverage for themselves and their dependents and opts out of the City’s
medical coverage (medical waiver).
Employees hired before January 1, 2018:
For those employees hired into a full‐time status before January 1, 2018 and provides
proof of other medical coverage for themselves and their dependents or otherwise
does not use the entire FBP amount, the City will provide up to a maximum of one
thousand dollars ($1,000.00) per month (cash‐out). Whether an employee opts out of
medical coverage or not, the maximum amount of FBP the City will contribute to an
employee to purchase vision, dental, and/or other supplement benefits is five
hundred dollars ($500) per month. If an employee wants to purchase supplemental
benefits in excess of five hundred ($500) per month, they may do so by reducing the
amount of FBP cash‐out received or by paying out of pocket.
Employees hired on or after January 1, 2018:
Employees hired into a full‐time status on or after January 1, 2018 may opt out of the
City’s medical coverage and receive five hundred dollars ($500) in lieu of participation
(cash‐out). If an employee opts out of medical coverage, they may also use up to an
additional five hundred dollars ($500) of FBP contribution to purchase vision, dental,
and/or other supplement benefits at the employee’s option. If an employee wants to
purchase supplemental benefits in excess of five hundred ($500), they may do so by
reducing the amount of FBP cash‐out received or by paying out of pocket.
16.5 Termination
The City will not be responsible for payment of any qualified benefits on behalf of the
employee following the month of termination. The City’s monthly FBP contribution
will be pro‐rated based on the number of hours the employee works in the termination
month. If an employee wishes to continue their qualified benefits, advance payment
for such qualified benefits will be deducted from the employeeʹs final pay.
See section 26 for re‐open clause provisions.
17. LEAVE TYPES
17.1 Bereavement Leave
An employee shall be provided up to forty (40) hours of paid Bereavement Leave in
the event of the death or imminent death of a member of their immediate family. The
Memorandum of Understanding — SEIU Local 721
— 26 —
City may require the submission of medical certification establishing an incident of
imminent death or proof of death. “Immediate family” member is herewith defined
as a parent, step‐parents, sibling, step‐siblings, spouse, domestic partner, child,
mother‐in‐law, father‐in‐law, grandparents, grandparents‐in‐law or relative living
within the employee’s household. Any person in loco parentis, defined to include any
person with whom the employee stood in the place of the parent or child, will also be
considered “immediately family” for the purpose of this benefit. Bereavement Leave
for close personal relationships, other than the listed relationships, may be approved
by Department Head and Director of Human Resources. Such leave shall not be
charged against the employee’s sick or vacation leave balances.
In addition to Bereavement Leave, an employee may request up to two (2) days of
Sick Leave in the event of the death of an immediate family member. Such leave shall
be charged against the employee’s accrued Sick Leave balance and shall be considered
in calculating their ability to convert the balance.
17.2 Holidays
17.2.1 Designated Holidays
The employee shall receive time off with pay for the following holidays, but
only if the employee is in a paid status for the workday that precedes and
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 each fiscal year are
listed below:
July 1, 2024 through June 30, 2028
— 27 —
17.2.2 Floating Holidays
The City and the Union agree to two (2) floating holidays of ten (10) hours each.
All floating holidays shall be requested in advance from the appropriate
department head or division chief. Enough employees shall remain at work
during floating holidays so that the City’s business may be conducted. Floating
holidays shall accrue on July 1st of each year and must be taken by the following
June 30th, or the hours will be forfeited.
17.3 Industrial Leave
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 industrial leave under the following terms and conditions:
17.3.1 An employee granted industrial leave shall continue to be
compensated at the employee’s regular rate of pay in lieu of temporary
disability payments.
17.3.2 Should it be determined that an employee’s illness or injury did not
arise in the course of the employee’s employment with the City or that
Holiday
Month 2024-
2025
2025-
2026
2026-
2027
2027-
2028
Independence Day
July 4th July 4 7 6 5
Labor Day
1st Monday in September Sept 2 1 7 6
Columbus Day
2nd Monday in October Oct 14 13 12 11
Veteran’s Day
November 11th Nov 11 11 11 11
Thanksgiving Day
4th Thursday in November Nov 28 27 26 25
Christmas Day
December 25th Dec 25 25 28 27
New Year’s Day
January 1st Jan 1 1 4 3
Martin Luther King Day
3rd Monday in January Jan 20 19 18 17
President’s Day
3rd Monday in February Feb 17 16 15 21
Memorial Day
Last Monday in May May 26 25 31 29
Juneteenth
June 19th June 19 22 21 19
Memorandum of Understanding — SEIU Local 721
— 28 —
the employee is not temporarily or permanently incapacitated or
disabled as a result of the injury or illness, then the employee’s accrued
or, if insufficient, future Sick Leave shall be charged to reimburse the
City for any payments made to the employee pursuant to Section
17.3.1 above.
17.3.3 An industrial leave of up to ninety (90) calendar days shall be
authorized for each injury or illness determined to be compensable
under the Workers’ Compensation Act. Paid leave may be continued
subject to review by the City Council at the end of such ninety (90)
calendar day period to a maximum of six (6) months. Supporting
medical documentation must accompany such requests for leave and
be submitted thirty (30) days prior to expiration date.
17.3.4 After ninety (90) calendar days employees who are disabled because
of a work‐related illness or injury receive Industrial Leave pay in lieu
of Total Temporary Disability payments and may supplement these
payments with sick leave, vacation leave or compensatory time off
they have earned. If deemed temporarily totally disabled or
permanently disabled and unable to return to work, employees may
apply for Long Term Disability.
17.3.5 Prior to the end of the six (6) months of paid leave pursuant to this
section, the employee may apply for benefits under the City’s long‐
term disability plan, If the employee is qualified to receive benefits
under the disability plan, Vacation Leave and Sick Leave shall accrue,
and the City shall continue to pay benefits under the City’s Flexible
Benefit Plan and CalPERS so far as required by law for such employee
for an additional six (6) month period. An employee receiving long‐
term disability may be eligible to return to work on or before six (6)
months from the time employee began receiving long‐term disability
benefits. The employee shall notify the department head as soon as
practicable as to whether they will be returning to work prior to the
expiration of the six (6) month period in which the employee has been
on long term disability.
17.3.6 Except as provided in Sections 17.3.1 and 17.3.4 above, no employee
shall have accrued Sick Leave deducted while on industrial leave.
Vacation Leave and Sick Leave shall accrue for an employee on
industrial leave.
July 1, 2024 through June 30, 2028
— 29 —
17.3.7 Industrial leave shall expire when one of the following conditions
occurs:
17.3.7.1 Employee is able to return to work to their regular position.
17.3.7.2 The day before the employee is retired or separated for
disability. The employee’s “retirement date” shall be the first
of the month after all of the following occur and are
determined by the California Public Employees’ Retirement
System:
17.3.7.2.1 The employee’s condition is determined to be
permanent or of an extended duration.
17.3.7.2.2 The degree of disability precludes continued
employment by the employee in their present
position.
17.3.7.3 After twenty‐six (26) weeks of industrial disability
payments.
17.3.8 Physicians may be assigned in compliance with the Health and Safety
Code and the Workers’ Compensation Laws of the State of California
(Ref.: §4600 ‐ Labor Code.)
17.4 Sick Leave
Sick Leave shall not be construed as a right which an employee may use at their
discretion, but shall be allowed only in case of necessity or actual sickness or
disability. Sick Leave must be exhausted before compensatory time off or Vacation
Leave may be used for sick leave reasons. The parties acknowledge that the City is
governed by the Healthy Workplaces, Healthy Families Act of 2014 and that provisions
governing sick leave and its usage should be interpreted consistently where possible.
17.4.1 Reasons for Use of Sick Leave
Sick Leave shall be granted for the following reasons:
17.4.1.1 The illness, diagnosis, care, or treatment of an existing health
condition of, or preventative care for, the employee.
17.4.1.2 The illness, diagnosis, care, or treatment of an existing health
condition of, or preventative care for, a qualified family
Memorandum of Understanding — SEIU Local 721
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member, as defined by the Healthy Workplaces, Healthy
Families Act of 2014 which may include but is not limited to
a: parent, sibling, spouse, domestic partner, child, mother‐in‐
law, father‐in‐law, grandparent, grandparent‐in‐law, or
other relative living within the employee’s household. Any
person in loco parentis, defined to include any person with
whom the employee stood in the place of the parent or child,
will also be considered a “qualified family member” for this
purpose. Use of sick leave for close personal relationships
may be approved by the Department Head or Director of
Administrative Services.
17.4.1.3 Enforced quarantine of the employee in accordance with
Health Department regulations.
17.4.1.4 Medical, dental, orthodontic, and optical appointments for
the employee and/or qualified family members.
17.4.1.5 The parties agree that employees may utilize a maximum of
thirty (30) hours of Sick Leave during any one (1) fiscal year
wherein the City will not question usage. Employees must
provide advance notice for such designation, sometimes
referred to as “Personal Business” Sick Leave whenever
possible. Personal Business Sick 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. This leave shall be debited against the employee’s
Sick Leave balance, but Sick Leave taken as “Personal
Business” Sick Leave shall not be taken into consideration for
the purposes of the sick leave cash‐in program or in any way
negatively affect employee performance evaluations.
17.4.1.6 Any other reason that Sick Leave may be used under state
and federal law, including but not limited to the Healthy
Workplaces, Healthy Families Act of 2023.
17.4.2 Evaluation of Sick Leave Usage
A yearly evaluation period for the use of Sick Leave is established beginning
on the first payday on or after January. At the end of the time period, the
Finance Department will analyze and report to the various employees the
July 1, 2024 through June 30, 2028
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amount of Sick Leave earned, less the amount used, and the net accrued during
the calendar year.
17.4.2.1 Medical Certification Program
In the event an employee has used greater than one hundred and
twenty (120) sick leave hours in a calendar year [excluding hours
reported under FMLA, CFRA, PDL, and up to sixty (60) hours used
for a qualified family member] or exhibits a discernable pattern of
abuse (such as calling out before or after each weekend or holiday),
the employee may be placed on a Medical Certification Program.
An employee placed on a Medical Certification Program shall be
required to submit a certificate from a healthcare provider to be
eligible to utilize sick leave, for all reasons except those set forth in
Section 17.4.1.5.
An employee placed on a Medical Certification Program shall have
their sick leave usage reviewed no less than every six (6) months while
on the program. If the employee has used less than thirty (30) hours
during the preceding six (6) month period, they shall be removed from
the program. If the employee’s pattern and/or usage have not
improved, they shall remain on the program until the next evaluation
period.
17.4.3 Procedures
17.4.3.1 Rate of Accrual
Each employee shall accrue sick leave at the rate of ten (10) hours per
month for each calendar month of paid employment.
17.4.3.2 Maximum Accumulation
17.4.3.2.1 For employees hired on or before June 30, 2016:
There is no maximum accumulation on sick leave
hours. Each employee shall maintain the right to
unlimited accumulation of all accrued sick leave
hours.
Memorandum of Understanding — SEIU Local 721
— 32 —
17.4.3.2.2 For employees hired on or after July 1, 2016:
Sick leave may be accumulated up to a maximum
of nine hundred and sixty (960) hours. Sick leave
accrual which exceeds the maximum
accumulation allowed shall not be paid out to the
employee nor shall the employee continue to
accrue additional sick leave until such time as the
accumulated hours fall below nine hundred and
sixty (960) hours.
17.4.3.3 Usage for Time Reporting
Sick leave shall not be taken in increments of less than thirty (30)
minutes.
17.4.3.4 Verification
A certificate from a healthcare provider may be requested for sick
leave absences of three (3) days or more.
17.4.4 Probationary Employee Sick Leave Usage
If an employee does not pass initial probation and become permanent, paid
Sick Leave in excess of thirty (30) hours in the first ninety (90) days of
employment must be reimbursed to the City or deducted from the employee’s
final paycheck.
17.4.5 Sick Leave During Vacation
If an employee becomes ill or injured while on vacation, they may, by
completing a Leave Request Form, use accrued Sick Leave time in lieu of
vacation time for the period of disability.
17.4.6 One‐Fourth Conversion
Only employees hired on or before June 30, 2016 are eligible to participate in a
conversion of sick leave to cash.
If the employee has used more than three (3), but not more than six (6), days of
Sick Leave, not including time spent on personal business, bereavement,
July 1, 2024 through June 30, 2028
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reproductive loss, FMLA, CFRA, PDL, or for a qualified family member, they
will have the following options:
17.4.6.1 Carry over the accrual and add it to their Sick Leave balance.
17.4.6.2 Convert, only to the extent that their balance is more than
zero (0) at the beginning of the new calendar year, one‐fourth
(¼) of the accrual to vacation or convert one‐fourth (¼) to
cash (but no combination of these two); unused, unconverted
leave would then be added to the employee’s Sick Leave
balance.
17.4.7 One‐Third Conversion
Only employees hired on or before June 30, 2016 are eligible to participate in a
conversion of sick leave to cash.
If the employee has used no more than three (3) days of Sick Leave, not
including time spent on personal business, bereavement, FMLA, CFRA, PDL,
or for a qualified family member, they will have the following options:
17.4.7.1 Carry over the accrual and add it to their Sick Leave balance.
17.4.7.2 Convert, only to the extent that their balance is more than
zero (0) at the beginning of the new calendar year, one‐third
(⅓) of the accrual to vacation or convert one‐third (⅓) 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.
17.4.8 Conversion to Cash upon Retirement or Separation
Only employees hired on or before June 30, 2016 are eligible to participate in a
conversion of sick leave to cash.
17.4.8.1 The employee may convert fifty percent (50%) of their
accrued Sick Leave balance to cash upon: death (if they had
attained permanent status); disability retirement (if they
have been employed by the City a minimum of five (5)
years); or voluntary retirement (if they have been employed
by the City a minimum of ten (10) years).
Memorandum of Understanding — SEIU Local 721
— 34 —
17.4.8.2 Upon separation for other reasons the employee may convert
fifty percent (50%) of their 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.
17.4.9 Conversion to Service Credit Upon Retirement
Pursuant to the terms of the City’s contract, as amended, with the California
Public Employees’ Retirement System, upon voluntary retirement the
employee may convert one hundred percent (100%) of their accrued Sick Leave
balance, less any amount converted to cash under the provisions of Section
17.4.8 to retirement service credit.
17.4.10 Conversion Deadline
A decision to convert Sick Leave according to the policies stated shall be made
by March 31st of each calendar year.
17.5 Vacation
17.5.1 Required Usage and Maximum Accumulation
17.5.1.1 An employee shall be required to use one‐half (½) of their
annual vacation accrual yearly and shall be able to
accumulate unused vacation each year, up to the allowed
maximum.
17.5.1.2 For employees hired on or before June 30, 2016, the employee
may accumulate up to a maximum of fifty‐two (52×) times
the current pay period rate of vacation accrual.
17.5.1.3 For employees hired on or after July 1, 2016, the employee
may accumulate up to a maximum of three hundred (300)
hours.
17.5.1.4 Vacation accrual which exceeds the maximum allowed shall
be paid to the employee in the following pay period in which
it is accrued.
17.5.1.5 In special cases where it has not been possible, due to work
load and other factors, for the employee to use their vacation
before reaching the maximum, it shall be within the
department head’s authority to authorize cash payment in
lieu of time off. The employee may direct the payoff amount
July 1, 2024 through June 30, 2028
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to their deferred compensation plan within applicable legal
limits.
17.5.2 Cash‐In Policy
An employee may convert into pay accrued vacation in excess of fifty percent
(50%) of their annual accrual.
17.5.3 Accrual
Vacation Leave shall accrue as follows:
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 210 hours per year
17.6 Reproductive Loss Leave
An employee who have worked for at least 30 days with the City may be permitted
to take up to five (5) days of leave in the event of reproductive loss. A “reproductive
loss event” is herewith defined as any of the following: Miscarriage, Stillbirth, Failed
adoption, Failed surrogacy, and Unsuccessful assisted reproduction. In addition, the
reproductive loss event can be the employee’s own or that of another person if the
employee would have been the parent of the child born or adopted. This leave can be
taken consecutively or intermittently as long as it is completed within three (3) months
of the reproductive loss event. Such leave shall not be charged against the employeeʹs
Sick Leave or Vacation.
Moreover, if an employee experiences more than one (1) reproductive loss event in a
year, they are entitled to no more than twenty (20) days in that one‐year period. Such
leave, if in excess of five (5) days in a one‐year period, shall be charged against the
Memorandum of Understanding — SEIU Local 721
— 36 —
employeeʹs accrued Sick Leave balance and shall be considered in calculating their
ability to convert the balance.
Reproductive Loss Leave requests for other reasons than the listed definitions may be
approved by Department Head and Director of Administrative Services.
18. CERTIFICATION AND LICENSE
18.1 City Obligation of Costs
18.1.1 The City agrees to pay the cost of obtaining and maintaining
certification and licenses that are within the minimum requirements
for the licensee’s job, by the State of California, and/or Cal‐Osha.
18.1.2 The City agrees to pay the costs for certification and renewal, as
required to maintain the certification, for which the employee is
receiving Certification Incentive Pay.
18.2 Certification Incentive Pay
18.2.1 The City shall pay certification incentive(s) as follows:
Confined Space Entry:
The certification incentive pay shall be paid at a flat rate of two
hundred dollars ($200.00) per month. This certification is available to
all members who maintains a valid certification.
Qualified Application License:
The certification incentive pay shall be paid at a flat rate of one
hundred fifty dollars ($150.00) per month. This certification is
available only to those employees in a Park Maintenance Worker III or
Park Maintenance Crew Supervisor position. The certification
incentive pay will be limited to a maximum of two employees as
selected by the Department Head and a valid certification must be
maintained in order to remain eligible.
Cal/OSHA Trenching and Excavations Competent Person:
The certification incentive pay shall be paid at a flat rate of one
hundred fifty dollars ($150.00) per month. This certification is
available only to those employees in a Street Maintenance Crew
Supervisor position. A valid certification must be maintained in order
to remain eligible.
July 1, 2024 through June 30, 2028
— 37 —
18.2.2 The employee shall receive the incentive pay beginning the first full
pay period after submission of the documentation showing
completion to their supervisor or designee. It is the employee’s
responsibility to ensure the certification is kept current and submit the
required documents in a timely manner to continue to receive the
salary increase. Employees whose certifications expire will not be paid
the incentive until a copy of the renewed certificate is submitted.
19. LIFE INSURANCE
The City shall provide term life insurance for each employee which is equal to one‐and‐
a‐half (1.5X) times of their annual salary, rounded up to the nearest one thousand dollars
($1,000), but not to exceed a maximum of two hundred thousand dollars ($200,000). The
calculation of annual salary excludes overtime, standby, callback and other forms of
supplemental compensation.
20. LONG TERM DISABILITY INSURANCE
The City shall maintain in effect for the term of this agreement a long‐term disability
(LTD) plan covering employees set forth herein. Said plan shall provide an employee
with a maximum of two‐thirds (2/3) of their base salary. An employee may utilize their
accrued Sick Leave, vacation, and/or compensatory time to supplement the LTD payment
so as to receive one hundred percent (100%) of their base salary. The LTD plan includes
the following:
20.1 Provides 66.67% of the employee’s monthly salary;
20.2 Commences after a thirty (30) calendar day waiting period and provides a
benefit to age 65;
20.3 For the first thirty (30) days of non‐job‐related illness or injury, the employee
will use accrued Sick Leave, compensatory time or Vacation Leave;
20.4 The employee will be allowed to use accrued Sick Leave in conjunction with
the LTD plan to provide for a full pay check;
20.5 At no time will an employee receive more than one hundred percent (100%) of
their base pay;
20.6 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.
Memorandum of Understanding — SEIU Local 721
— 38 —
21. RETIREMENT
21.1 California Public Employees’ Retirement System
The City provides employees with retirement benefits through the California Public
Employees’ Retirement System (CalPERS).
Definitions and terms in this Section are intended to comply and be in conformity
with the California Public Employees’ Pension Reform Act of 2013 (PEPRA) and/or
California Government Code §7522.04.
21.1.1 Definition of a “Classic” Member
Any employee hired by the City on or prior to December 31, 2012; or any
employee previously employed by a CalPERS participating public agency,
hired by that agency prior to January 1, 2013, and who becomes employed by
the City with less than a six (6) month break in service, or any employee who
is eligible for reciprocity with another California public retirement system.
21.1.2 Definition of a “New” Member
Any employee hired by the City or any other CalPERS participating public
agency, on or after January 1, 2013; or any employee previously employed by
a CalPERS participating public agency who becomes employed by the City
after a break in service of greater than six (6) months; or any employee who is
ineligible for reciprocity with another California public retirement system.
Retirement formulas and calculations are based upon a combination of the employee’s
age, years of service, and annual pensionable compensation. Plans for both “classic”
and “new” members use a three (3) year highest average, with calculations as set forth
and administered by CalPERS.
21.1.3 Retirement Formula for “Classic” Members
The City contracts with CalPERS for a “2% @ 55 full formula” plan. There is no
cap on annual salary that can be used to calculate final compensation.
21.1.4 Retirement Formula for “New” Members
PEPRA mandates a “2% @ 62” plan. There is a pensionable compensation cap
on annual salary used to calculate final compensation.
The rate of contributions by both the City and each individual employee is based upon
applicable law and MOU provisions.
July 1, 2024 through June 30, 2028
— 39 —
21.1.5 Contributions for “Classic” Members
21.1.5.1 For employees hired on or before June 30, 2016:
Each employee shall continue to pay seven percent (7%) of
the “employer” contribution. Unless required by law, or
mutual agreement by the parties, each employee shall not
pay more than seven percent (7%) in total contributions.
The City shall continue to pay one hundred percent (100%)
of the “employee” member contribution, known as an
Employer Paid Member Contribution (EPMC), and the
remaining portion of the “employer” contribution and costs.
21.1.5.2 For employees hired on or after July 1, 2016:
Each employee shall participate in equal sharing of normal
cost with the City. Each employee will pay up to fifty percent
(50%) of the total normal cost of their pension benefit, as
determined by CalPERS each year, but not to exceed an eight
percent (8%) contribution rate for miscellaneous plan
members.
21.1.6 Contributions for “New” Members
Due to PEPRA, all employees must participate in equal sharing of normal cost
with the City. Both the City and the employee will pay fifty percent (50%) of
the normal costs, as determined by CalPERS each year.
21.1.7 Optional Benefits
21.1.7.1 The optional benefit of Two‐Year Additional Service Credit
shall be discretionary with Council in accordance with
Government Code §20903.
21.1.7.2 The City’s contract with the CalPERS includes the optional
benefit of Employer‐paid Member Contribution in Base Pay
During the Final Compensation Period.
21.1.7.3 The City’s contract with CalPERS includes the optional
benefit of Service Credit for Unused Sick Leave.
21.1.7.4 CalPERS Service Credit for Military Service:
Memorandum of Understanding — SEIU Local 721
— 40 —
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
§21024, Military Service Credit as Public Service. Accordingly,
eligible employees with qualifying military service can
contact CalPERS and arrange to be billed for the service
credit. The City shall reimburse the employee for twenty five
percent (25%) of the amount of the bill. Eligibility for the
twenty five percent (25%) reimbursement is limited to
employees who were on the payroll on July 1, 1995.
If desired, the employee may apply for a loan from the City
for the remaining seventy five percent (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 (6)
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’s
attorney’s fees in any restitution process.
21.1.7.5 The City shall maintain the increased level of the 1959
Survivor Benefit.
21.1.7.6 The City’s contract with CalPERS provides the minimum
Annual Cost‐of‐Living Allowance (Government Code §21335)
of two percent (2%).
21.2 Public Agency Retirement System (PARS)
Effective July 1, 2006 the retirement formula will be adjusted to reflect an additional
one‐half percent (0.5%) to the current formula of two percent (2.0%) per year of service
at 55 years of age. This enhancement will provide for a retirement formula of two and
a half percent (2.5%) per year of service for anyone retiring at 55 years of age or older.
July 1, 2024 through June 30, 2028
— 41 —
All prior years of service will count toward the computation. Employees will
contribute four percent (4.0%) toward the cost of this program with the City
contributing an additional one percent (1.0%). This additional benefit will be provided
through the Public Agency Retirement System (PARS).
21.2.1 State law has eliminated this benefit provided by PARS for new
employees hired on or after January 1, 2013, and limited this benefit
for existing City of Azusa employees hired prior to January 1, 2013,
who become SEIU represented employees.
21.3 Retiree Health Benefits
21.3.1 City Paid Medical Plans
For employees hired on or prior to June 30, 2019:
Beginning with the first month after retirement, for employees who had at least
twenty (20) years of service with the City of Azusa, and who enroll or continue
in the City’s health insurance program, the City will reimburse monthly to the
employee the amount of one‐half (50%) of the premiums for such health
insurance, regardless of how many family members are enrolled.
In the event the employee is single or widowed, and has no dependents, the
City’s contribution shall be equal to one hundred percent (100%) of such
premium.
In the event the employee passes away and is survived by an eligible spouse,
the benefit shall continue. But, if the employee passes away and has no
surviving spouse the benefit shall not carryover to the surviving dependents.
This plan shall remain in effect until the retiree, or eligible spouse passes away,
whichever occurs later, at which time the benefit shall terminate. Once an
individual has qualified for this provision, they shall retain this eligibility.
The minimum employer contribution (MEC) that the City pays directly to
CalPERS shall be considered to be part of the portion paid by the City.
21.3.2 Health Reimbursement Arrangement Accounts
For employees hired on or after July 1, 2019:
Effective July 1, 2019, upon hire the City shall establish a Health
Reimbursement Arrangement (HRA) account on behalf of each individual
Memorandum of Understanding — SEIU Local 721
— 42 —
employee for the reimbursement of medical premiums and IRS approved
medical expenses during retirement. The HRA shall be selected by the City.
21.3.2.1 Initial Contribution
The City shall deposit an initial contribution of two thousand dollars
($2,000.00) into the employee’s HRA within the first month of hire.
21.3.2.2 Annual Contributions
The City shall make additional contributions to each employee’s HRA
in the second pay period in July of each year, based on the following
schedule of continuous years of service:
Years of Service Amount of Annual Deposit
One (1) * ‐ five (5) One thousand dollars ($1,000)
Six (6) ‐ ten (10) Two thousand dollars ($2,000)
Eleven (11) or more Three thousand dollars ($3,000)
*The first year’s contribution shall be prorated in accordance with the
anniversary date of the employee’s date of hire.
The City shall continue to make the annual deposits, according to this
schedule, on behalf of each employee until the employee’s death,
separation from service, or retirement, whichever occurs first.
21.3.2.3 Vesting Requirements
Each employee is required to complete five (5) consecutive years of
service to be one hundred percent (100%) vested in their HRA.
An employee who is not vested at the time of separation from service
or retirement shall forfeit their unvested funds.
Once vested, an employee shall maintain their rights to all funds in
their HRA, except in the event of the death of an employee prior to
separation from service or retirement, any funds in the HRA shall be
forfeited.
July 1, 2024 through June 30, 2028
— 43 —
21.3.2.4 Enrollment in City Health Plan
In the event an employee retires from City service and enrolls or
continues in the City’s health insurance program through CalPERS,
the City shall pay any required MEC directly to CalPERS.
No funds shall be deducted from an employee’s HRA to pay the City’s
MEC to CalPERS.
22. TUITION REIMBURSEMENT
The City’s Tuition Reimbursement Administrative Policy is incorporated herein and
applied to unit members for tuition reimbursement. Any changes to the Administrative
Policy are subject to meet and confer.
23. FLEXIBLE STAFFING POSITIONS
The following classifications shall be incorporated into a “Flexible Staffing” pattern.
Facilities Maintenance Worker I, II, III
Parks Maintenance Worker I, II, III
Street Maintenance Worker I, II, III
The first level classifications are apprentice classifications. Employees in these
classifications shall be promoted (on probationary status) to the second level
classifications, respectively, upon successful completion of one (1) year of service at the
fifth (5th) salary step.
If the series includes a third level, the second level classifications shall be promoted (on
probationary status) to the third level classifications, respectively, upon successful
completion of one (1) year of service at the fifth (5th) salary step and when, in the opinion
of the Department Head, the employee has retained the practical knowledge of the
performance of all facets of the duties required of the third level classification.
In the event that the employee is not promoted as described above, they shall be
presented in writing the reason(s) for the denial of the promotion, and a list of the area(s)
of which the employee has insufficient knowledge to achieve the promotion. Nothing in
this article shall preclude management from promoting qualified employees to a higher
step/classification in their flex series.
24. LABOR‐MANAGEMENT COMMITTEE
The parties shall establish an ad hoc Labor‐Management Committee (LMC) consisting of
management representatives, employee representatives, and union representatives to
Memorandum of Understanding — SEIU Local 721
— 44 —
discuss labor related issues as they arise. The parties understand and agree the objective
of the LMC is to have a forum for the informal discussion of labor‐related issues.
25. LAY OFF
The City agrees that in the event employees represented by the Union are laid off from
their employment, a minimum of forty‐five (45) calendar days’ notice will be given to
each individual affected employee. Such notice shall be in writing and signed by an
appropriate management employee.
Layoffs will be made on the basis of seniority (as defined by Section 13.2.6. of the City’s
Civil Service Rules). Names of persons laid off shall be carried on a reemployment list for
twelve (12) months. If the City restores the laid off position(s) within the twelve (12)
months period, it shall first offer the position(s) to persons on the reemployment list
before using any other selection method. The name of the individual re‐appointed to a
permanent position of the same class shall, upon reappointment, be removed from the
list. An individual who declines reemployment shall be dropped from the list.
26. REOPEN OF NEGOTIATIONS DURING TERM OF AGREEMENT
The parties shall re‐open negotiations for the following:
(1) Uniform Allowance – the City agrees to work with the union on an administrative
uniform policy for unit members to be completed no later than June 30, 2025. With
completion of the policy, the City agrees to provide each employee up to one
thousand dollars ($1,000) a year to pay for their city uniforms.
(2) Flexible Benefit Plan Contribution – the union asserts average CalPERS medical
insurance premiums have increased over 37% over the past five years while the
City’s contributions have not kept pace with the increases. The City Council
authorizes the City Manager to enter into a side letter of agreement with APOA
during the term of this MOU to increase the FBP contribution in the final contract
year, beginning July 1, 2027, up to an amount not to exceed two‐thousand dollars
($2,000) per month if it determined the City’s budget can afford the increase.
These re‐openers do not obligate either party 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.
July 1, 2024 through June 30, 2028
— 45 —
MEMORANDUM OF UNDERSTANDING
SEIU LOCAL 721
JULY 1, 2024 THROUGH JUNE 30, 2028
Kevin Monk, SEIU 721 Chief Negotiator
DATE
David Ochoa, Shop Steward
DATE
Jayson Tello, Shop Steward
DATE
Michael Shan Thompson, Employee Representative
DATE
Juan Carlos, Employee Representative
DATE
Sergio Gonzalez, City Manager
DATE
Talika M. Johnson, Director of Administrative Services
DATE
Nico DeAnda‐Scia, Deputy City Manager
DATE
Marco Martinez, City Attorney
DATE
Memorandum of Understanding — SEIU Local 721
— 46 —
EXECUTION OF THE NEW AGREEMENT
This MOU has been ratified on September xx, 2024 by a simple majority vote of unit
employees who are in classifications represented by SEIU Local 721 as set forth in this
agreement.
This MOU was then approved by a majority vote of the City Council of the City of Azusa
on September 16, 2024 under Agenda Item# E‐X.
Following its execution by the parties hereto, the City shall implement its terms and
conditions by appropriate lawful action.
In witness whereof, the parties hereto have cause for this agreement to be executed this
xxst day of September 2024.
SEIU Local 721 City of Azusa, California
Kevin Monk
Chief Negotiator
Talika Johnson
Director of Administrative Services
July 1, 2024 through June 30, 2028
— 47 —
INDEX
“Personal Business” Leave, 33
“Wash-Up” Time, 13
Acting Pay, 14
Additional Compensation/Premium Pay,
14
Automatic Payroll Deposit, 14
Bereavement Leave, 25
Bilingual Pay, 16
Break Periods, 13
Callback, 16
CalPERS, 40
Certification and License, 36
Certification Incentive, 36
City Rights, 10
Conformance with Rules, 12
Management Rights, 10
Meet and Confer, 12
Communication Access, 7
Compensatory Time, 19
Contract Negotiations, 9
Contracting Out, 11
Damage to Personal Effects, 23
Deferred Compensation Plan, 18
Double Time, 17
Employee Assistance Plan, 23
Employee Rights, 4
Anti-discrimination, 4
Protection of Rights, 4
Equipment Allowance, 18
Execution of New Agreement, 47
Flexible Benefit Plan, 24
Eligibility, 24
FBP Contributions, 24
Medical Waiver Option, 25
Flexible Staffing Positions, 43
Floating Holidays, 27
Holiday Double Time, 20
Holidays, 26
Implementation, 4
Industrial Leave, 27
Labor-Management Committee, 44
Lay off, 44
Leave Types, 25
Life Insurance, 37
Long Term Disability Insurance, 37
Longevity Premium, 18
Maintenance of Existing Benefits, 12
Management Rights, 10
Meal Breaks, 13
Medical Certification Program, 31
Medical Waiver Option, 25
Membership Dues, 6
Night Shift Differential, 21
Overtime, 19
Overtime Meal Policy, 20
Paint Crew, 21
Premium Pay, 14
Rest Breaks, 13
Retirement, 38
CalPERS, 38
Contributions, 39
Optional Benefits, 39
PARS, 41
Retirement Formulas, 38
Salary, 14
Salary Increases, 14
Salary Schedules, 50
Savings Clause, 4
Separability, 12
Sick Leave, 29
“Personal Business” Leave, 33
Accrual, 35
Conversion Deadline, 34
Conversion to Cash upon Retirement
or Separation, 33
Conversion to Service Credit upon
Retirement, 34
Evaluation of Sick Leave Usage, 30
Maximum Accumulation, 31
Medical Certification Program, 31
One-fourth Conversion, 32
One-third Conversion, 33
Probationary Employee Sick Leave
Usage, 32
Reasons for Use of Sick Leave, 29
Sick Leave During Vacation, 32
Usage for Time Reporting, 32
Verification, 32
Standby, 21
Term of Memorandum of
Memorandum of Understanding — SEIU Local 721
— 48 —
Understanding, 3
Timekeeping Interval, 13
Total Compensation, 4
Tuition Reimbursement, 43
Objective, 44
Reimbursement, 43
Uniform Allowance, 22
Union Release Time, 8
Union Rights, 5
Committee on Political Education, 6
Communication Access, 7
Contract Negotiations, 9
Indemnification, 5
Membership Dues, 6
Payroll Deductions, 5
Reporting Requirements, 6
Union Release Time, 8
Union Steward Program,8
Use of City Facilities and Equipment, 7
Visits by Union Representatives, 7
Union Steward Program, 8
Vacation, 34
Accrual, 35
Cash-in Policy, 21,35
Maximum Accumulation, 34
Required Usage, 34
Weekend Assignment, 22
Workday, 13
Workweek, 13
Workweek and Timekeeping Interval, 13
July 1, 2024 through June 30, 2028
— 49 —
EXHIBIT A
SEIU Salary Schedules
CLASSIFICATION RANGE
Rate
Type STEP 1STEP 2STEP 3STEP 4STEP 5
FACILITIES MAINTENANCE SUPERVISOR 8204 M 7,096.40$ 7,451.22$ 7,823.78$ 8,214.97$ 8,625.72$
FACILITIES MAINTENANCE WORKER I 8153 M 4,304.43$ 4,519.66$ 4,745.64$ 4,982.92$ 5,232.07$
FACILITIES MAINTENANCE WORKER II 8163 M 4,734.88$ 4,971.62$ 5,220.20$ 5,481.21$ 5,755.27$
FACILITIES MAINTENANCE WORKER III 8174 M 5,458.77$ 5,731.71$ 6,018.29$ 6,319.21$ 6,635.17$
PARK MAINTENANCE CREW SUPERVISOR 8205 M 6,094.74$ 6,399.48$ 6,719.45$ 7,055.43$ 7,408.20$
PARK MAINTENANCE SUPERVISOR 8206 M 6,889.71$ 7,234.19$ 7,595.90$ 7,975.70$ 8,374.48$
PARK MAINTENANCE WORKER I 8207 M 4,179.06$ 4,388.02$ 4,607.42$ 4,837.79$ 5,079.68$
PARK MAINTENANCE WORKER II 8208 M 4,596.97$ 4,826.82$ 5,068.16$ 5,321.57$ 5,587.64$
PARK MAINTENANCE WORKER III 8209 M 5,299.78$ 5,564.76$ 5,843.00$ 6,135.15$ 6,441.91$
PUBLIC WORKS INSPECTOR 8203 M 6,591.46$ 6,921.04$ 7,267.09$ 7,630.44$ 8,011.96$
STREET MAINTENANCE CREW SUPERVISOR 8184 M 6,277.58$ 6,591.46$ 6,921.04$ 7,267.09$ 7,630.44$
STREET MAINTENANCE SUPERVISOR 8204 M 7,096.40$ 7,451.22$ 7,823.78$ 8,214.97$ 8,625.72$
STREET MAINTENANCE WORKER I 8153 M 4,304.43$ 4,519.66$ 4,745.64$ 4,982.92$ 5,232.07$
STREET MAINTENANCE WORKER II 8163 M 4,734.88$ 4,971.62$ 5,220.20$ 5,481.21$ 5,755.27$
STREET MAINTENANCE WORKER III 8174 M 5,458.77$ 5,731.71$ 6,018.29$ 6,319.21$ 6,635.17$
Effective 7/1/2024
CLASSIFICATION RANGE
Rate
Type STEP 1STEP 2STEP 3STEP 4STEP 5
FACILITIES MAINTENANCE SUPERVISOR 8204 M 7,309.29$ 7,674.76$ 8,058.49$ 8,461.42$ 8,884.49$
FACILITIES MAINTENANCE WORKER I 8153 M 4,433.57$ 4,655.25$ 4,888.01$ 5,132.41$ 5,389.03$
FACILITIES MAINTENANCE WORKER II 8163 M 4,876.92$ 5,120.77$ 5,376.81$ 5,645.65$ 5,927.93$
FACILITIES MAINTENANCE WORKER III 8174 M 5,622.53$ 5,903.66$ 6,198.84$ 6,508.78$ 6,834.22$
PARK MAINTENANCE CREW SUPERVISOR 8205 M 6,277.58$ 6,591.46$ 6,921.04$ 7,267.09$ 7,630.44$
PARK MAINTENANCE SUPERVISOR 8206 M 7,096.40$ 7,451.22$ 7,823.78$ 8,214.97$ 8,625.72$
PARK MAINTENANCE WORKER I 8207 M 4,304.43$ 4,519.66$ 4,745.64$ 4,982.92$ 5,232.07$
PARK MAINTENANCE WORKER II 8208 M 4,734.88$ 4,971.62$ 5,220.20$ 5,481.21$ 5,755.27$
PARK MAINTENANCE WORKER III 8209 M 5,458.77$ 5,731.71$ 6,018.29$ 6,319.21$ 6,635.17$
PUBLIC WORKS INSPECTOR 8203 M 6,789.21$ 7,128.67$ 7,485.10$ 7,859.36$ 8,252.32$
STREET MAINTENANCE CREW SUPERVISOR 8184 M 6,465.91$ 6,789.21$ 7,128.67$ 7,485.10$ 7,859.36$
STREET MAINTENANCE SUPERVISOR 8204 M 7,309.29$ 7,674.76$ 8,058.49$ 8,461.42$ 8,884.49$
STREET MAINTENANCE WORKER I 8153 M 4,433.57$ 4,655.25$ 4,888.01$ 5,132.41$ 5,389.03$
STREET MAINTENANCE WORKER II 8163 M 4,876.92$ 5,120.77$ 5,376.81$ 5,645.65$ 5,927.93$
STREET MAINTENANCE WORKER III 8174 M 5,622.53$ 5,903.66$ 6,198.84$ 6,508.78$ 6,834.22$
Effective 7/1/2025
Memorandum of Understanding — SEIU Local 721
— 50 —
CLASSIFICATION RANGE
Rate
Type STEP 1STEP 2STEP 3STEP 4STEP 5
FACILITIES MAINTENANCE SUPERVISOR 8204 M 7,601.66$ 7,981.75$ 8,380.83$ 8,799.87$ 9,239.87$
FACILITIES MAINTENANCE WORKER I 8153 M 4,610.91$ 4,841.46$ 5,083.53$ 5,337.71$ 5,604.59$
FACILITIES MAINTENANCE WORKER II 8163 M 5,072.00$ 5,325.60$ 5,591.88$ 5,871.48$ 6,165.05$
FACILITIES MAINTENANCE WORKER III 8174 M 5,847.43$ 6,139.80$ 6,446.79$ 6,769.13$ 7,107.59$
PARK MAINTENANCE CREW SUPERVISOR 8205 M 6,528.69$ 6,855.12$ 7,197.88$ 7,557.77$ 7,935.66$
PARK MAINTENANCE SUPERVISOR 8206 M 7,380.25$ 7,749.27$ 8,136.73$ 8,543.57$ 8,970.75$
PARK MAINTENANCE WORKER I 8207 M 4,476.61$ 4,700.44$ 4,935.47$ 5,182.24$ 5,441.35$
PARK MAINTENANCE WORKER II 8208 M 4,924.27$ 5,170.49$ 5,429.01$ 5,700.46$ 5,985.49$
PARK MAINTENANCE WORKER III 8209 M 5,677.12$ 5,960.98$ 6,259.02$ 6,571.98$ 6,900.57$
PUBLIC WORKS INSPECTOR 8203 M 7,060.78$ 7,413.81$ 7,784.50$ 8,173.73$ 8,582.42$
STREET MAINTENANCE CREW SUPERVISOR 8184 M 6,724.55$ 7,060.78$ 7,413.81$ 7,784.50$ 8,173.73$
STREET MAINTENANCE SUPERVISOR 8204 M 7,601.66$ 7,981.75$ 8,380.83$ 8,799.87$ 9,239.87$
STREET MAINTENANCE WORKER I 8153 M 4,610.91$ 4,841.46$ 5,083.53$ 5,337.71$ 5,604.59$
STREET MAINTENANCE WORKER II 8163 M 5,072.00$ 5,325.60$ 5,591.88$ 5,871.48$ 6,165.05$
STREET MAINTENANCE WORKER III 8174 M 5,847.43$ 6,139.80$ 6,446.79$ 6,769.13$ 7,107.59$
Effective 7/1/2026
CLASSIFICATION RANGE
Rate
Type STEP 1STEP 2STEP 3STEP 4STEP 5
FACILITIES MAINTENANCE SUPERVISOR 8204 M 7,829.71$ 8,221.20$ 8,632.26$ 9,063.87$ 9,517.06$
FACILITIES MAINTENANCE WORKER I 8153 M 4,749.24$ 4,986.70$ 5,236.03$ 5,497.84$ 5,772.73$
FACILITIES MAINTENANCE WORKER II 8163 M 5,224.16$ 5,485.37$ 5,759.64$ 6,047.62$ 6,350.00$
FACILITIES MAINTENANCE WORKER III 8174 M 6,022.86$ 6,324.00$ 6,640.20$ 6,972.21$ 7,320.82$
PARK MAINTENANCE CREW SUPERVISOR 8205 M 6,724.55$ 7,060.78$ 7,413.81$ 7,784.50$ 8,173.73$
PARK MAINTENANCE SUPERVISOR 8206 M 7,601.66$ 7,981.75$ 8,380.83$ 8,799.87$ 9,239.87$
PARK MAINTENANCE WORKER I 8207 M 4,610.91$ 4,841.46$ 5,083.53$ 5,337.71$ 5,604.59$
PARK MAINTENANCE WORKER II 8208 M 5,072.00$ 5,325.60$ 5,591.88$ 5,871.48$ 6,165.05$
PARK MAINTENANCE WORKER III 8209 M 5,847.43$ 6,139.80$ 6,446.79$ 6,769.13$ 7,107.59$
PUBLIC WORKS INSPECTOR 8203 M 7,272.60$ 7,636.23$ 8,018.04$ 8,418.94$ 8,839.89$
STREET MAINTENANCE CREW SUPERVISOR 8184 M 6,926.28$ 7,272.60$ 7,636.23$ 8,018.04$ 8,418.94$
STREET MAINTENANCE SUPERVISOR 8204 M 7,829.71$ 8,221.20$ 8,632.26$ 9,063.87$ 9,517.06$
STREET MAINTENANCE WORKER I 8153 M 4,749.24$ 4,986.70$ 5,236.03$ 5,497.84$ 5,772.73$
STREET MAINTENANCE WORKER II 8163 M 5,224.16$ 5,485.37$ 5,759.64$ 6,047.62$ 6,350.00$
STREET MAINTENANCE WORKER III 8174 M 6,022.86$ 6,324.00$ 6,640.20$ 6,972.21$ 7,320.82$
Effective 7/1/2027