Laserfiche WebLink
REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />AUGUST 18, 2020 <br />TITLE: <br />APPROVE THIRD AMENDMENT TO THE <br />SANTA ANA POLICE OFFICERS <br />ASSOCIATION MOU 2018-21 TO COMPLY <br />WITH THE HOLIDAY PAY REPORTING OF <br />SPECIAL COMPENSATION <br />REQUIREMENTS CONTAINED WITHIN THE <br />PUBLIC EMPLOYEES' RETIREMENT LAW <br />/s/Kristine Ridge <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1s' Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CK�7►111�1�1q�iC�7 <br />FILE NUMBER <br />Authorize the City Manager to execute a third amendment to the Memorandum of Understanding <br />(MOU) with the Santa Ana Police Officers Association (SAPOA) for the period July 1, 2018 through <br />December 31, 2021, modifying and delineating specific articles of the MOU to comply with the <br />holiday pay reporting of special compensation requirements contained within the Public <br />Employees' Retirement Law (PERL) subject to non -substantive changes approved by the City <br />Manager and City Attorney. <br />DISCUSSION <br />The CaIPERS' Office of Audit Services (OAS) conducted and provided an Employer Compliance <br />Review (ECR) to the City of Santa Ana on June 25, 2020. The ECR issued a Notification of <br />Compliance and Resolution on July 2, 2020 identifying areas of special compensation where the <br />City was not in compliance with the holiday pay reporting of special compensation requirements <br />contained within the Public Employees' Retirement Law (PERL) (California Code of Regulations <br />Title 2 CCR, Sections 571(a)(5) and 571.1(b)(4) Holiday Pay and Government (Gov.) Code section <br />20636). It is the City's responsibility to comply with all terms and conditions of resolution and <br />compliance set forth in the employer's contract with CalPERS. Holiday pay is to be reported as <br />earned and not when paid. In order to avoid an administrative burden on the Payroll Division to <br />implement the corrective action by CalPERS, the City and SAPOA met and conferred over the <br />findings and agreed to modify Article 9.0; Sections 9.2, 9.3, 9.5, and 9.6, comply with CalPERS, <br />and honor the intent of the negotiated compensation (Exhibit 1). The implications of not correcting <br />the language would affect the employees' retirement benefits. <br />Effective January 1, 2021, and every year thereafter members will be given two options for use of <br />their holiday hours: <br />25B-1 <br />