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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />JANUARY 16, 2018 <br />TITLE: <br />ADOPTION OF AMENDEMENT #1 <br />WITH THE SANTA ANA POLICE <br />OFFICERS ASSOCIATION (SAPOA) <br />MEMORANDUM OF <br />UNDERSTANDING (MOU) <br />(STRATEGIC PLAN NO. 4,61 <br />CI_V MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />/1276091WR <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1b1 Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Adoption of an amendment #1 modifying the Memorandum of Understanding (MOU) with the <br />Santa Ana Police Officers Association (SAPOA) regarding wages and other terms and conditions <br />of employment. <br />DISCUSSION <br />The City and the SAPOA recently agreed to the terms outlined in the attached amended <br />agreement (Exhibit 1) modifying the MOU. The terms of the amendment are to modify the way in <br />which the salary adjustment listed in Article IV, section 4.3 B. and Retiree Health Savings Article <br />XII, 12.2 was intended to be included in base pay as reportable compensation to CalPERS. <br />CalPERS has determined that the way the current language reads that the 1 % increase in base <br />pay effective July 1, 2017 would not qualify as PERS compensation. The intent of both the City <br />and SAPOA was that this salary increase is to be factored into base salary and reported to PERS <br />and qualified compensation. In order to comply with the ruling we are recommending the clean-up <br />of language as follows: <br />a.) Salary: Effective July 1, 2017, the base salary of employees covered by this MOU such as <br />they are on that date, shall be increased by one percent (I%). <br />b.) Retiree Health Savings: <br />Effective July 1, 2017, all employees covered by this MOU will contribute two percent <br />(2%) of their base salary plus pay additives through payroll deduction to a fund <br />maintained by the Santa Ana Police Officers Association for the purpose of providing <br />retiree health insurance premium reduction assistance. This payroll deduction for retiree <br />25G-1 <br />