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ARTICLE IV <br />4.0 SALARIES <br />4.1 Basic Compensation Plan. There is hereby established a basic compensation plan for all <br />members of the Santa Ana Police Officers Association who are now employed or will in <br />the future be employed in any of the designated classifications of employment listed in <br />this Agreement and its attachments. <br />4.2 Salary Schedule. The basic salary schedule, attached hereto in a matrix format as Exhibit <br />A, and made a part hereof as though set forth in full herein, provides numerous salary rate <br />ranges, each comprised of five (5) steps or rates of pay. <br />The respective rate ranges are identified by a three (3) digit number. The steps within <br />each range are identified by the letters "A" through "E" inclusive, with the "A" step being <br />the lowest step in the range. The purpose of each step and the length of service required <br />for advancement to the next higher step within a particular salary rate range are set forth <br />in Section 4.7 below. <br />The assignment of classes to salary rate ranges is listed in Exhibit B, which is attached <br />and made a part hereof as though set forth herein. <br />4.3 Salary Adjustments. <br />A. The base salaries of Sworn employees covered by this Agreement shall be <br />adjusted as follows: <br />Effective July 1, 2013, the base salary of Sworn employees covered by this MOU <br />shall be increased by one percent (M). <br />B. Effective July 1, 2013, all employees will contribute one percent (1 %) of their <br />base salary plus pay additives through payroll deduction to a fund maintained by <br />the Santa Ana Police Officers Association for the purpose of providing retiree <br />health insurance premium reduction assistance. This payroll deduction for retiree <br />health insurance premium reduction assistance will continue until such time as the <br />parties may mutually agree to end said deduction. <br />Additionally, effective October 1, 2013, and each October I" thereafter, the City <br />shall contribute an amount equal to three - quarters' percent (.75 %) of the <br />bargaining unit's annual base salary, including pay additives (excluding <br />overtime), for the purpose of providing retiree health insurance premium <br />reduction assistance. <br />10 <br />