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CC RESOLUTION 5416RESOLUTION NO. 5416 A RESOLUTION ADOPTING A SIDE LETTER AGREEMENT BETWEEN MEMBERS OF THE POLICE SUPPORT SERVICES EMPLOYEES' ASSOCIATION ("PSSEA") AND THE CITY OF EL SEGUNDO TO SHARE THE COSTS OF THE EMPLOYER CONTRIBUTION PURSUANT TO GOVERNMENT CODE SECTION 20516 The City Council of the City of El Segundo does hereby resolve as follows: SECTION 1: The City of El Segundo Police Support Services Employees' Association ("PSSEA") and the City of El Segundo, are currently parties to a Memorandum of Understanding ("MOU") with a term of October 1, 2018, through September 29, 2022. SECTION 2. The MOU provides that "effective the beginning of the pay -period following Council adoption, employees classified as "classic" PERS members shall contribute an additional One Percent (1 %) [total of 8%] of the employee normal cost as provided under California Government Code section 20516.5." (2018-2022 PSSEA MOU, Art. 2.06, Sec. 1.). SECTION 3: The City did not start the withholding upon Council adoption in March 2019 the agreed upon amount from "classic" members during the term of the MOU. SECTION 4: Representatives from the City and PSSEA met and conferred in good faith to reach a Side Letter Agreement to start the withholding while they negotiate a successor MOU. SECTION 5; The parties reached agreement on the Side Letter Agreement in or around May 2023. SECTION 6: In May 2023, members of PSSEA voted to ratify the Side Letter Agreement to start the withholding while the City completes the formal CalPERS contract amendment process. SECTION 7: The following language shall replace the language provided at Article 2.06 Section 1 of the 2018-2022 MOU between the City and PSSEA, and shall be incorporated into the successor MOU between the City and PSSEA: Effective the first pay period following the City's submission to CalPERS of the forms necessary in order for CalPERS to review and approve a proposed amendment to the City's contract with CalPERS, and pursuant to Government Code section 20516, subdivision (f), employees who are considered to be "classic members" (i.e., all employees that do not qualify as "new" members under the Public RESOLUTION NO. 5416 PAGE 1 of 3 Employees' Pension Reform Act of 2013 ("PEPRA")) shall contribute an additional one percent (1 %) of their compensation earnable toward the employer's required contribution to the California Public Employees' Retirement System ("CalPERS") for retirement benefits. The one percent (1 %) contribution by "classic members" shall be made via payroll deductions and shall be administered by the City. As a result of the additional contribution, the total withholding for employees who qualify as "classic members" shall increase from the current seven percent (7%) statutory member contribution to eight percent (8%), which shall include the one percent (1 %) cost -sharing amount. The City shall continue such withholding pursuant to Government Code section 20516, subdivision (f), until such time as the City amends its contract with CalPERS, at which time the employee contribution rate shall be governed by the terms of that contract. SECTION 8: The City Clerk is directed to certify the adoption of this Resolution; record this Resolution in the book of the City's original resolutions and make a minute of this adoption of the Resolution in the City Council's records and the minutes of this meeting. SECTION 9: This Resolution will become effective immediately and will remain effective unless repealed or superseded. PASSED AND ADOPTED RESOLUTION NO. 5416 this 16th day of May, 2023. Dr br ATTEST: Tracy Wea er, City Clerk APPROVED AS TO FORM: Mark D. He sley, City Attorney Exhibit A: PSSEA Side Letter RESOLUTION NO. 5416 PAGE 2 of 3 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS CITY OF EL SEGUNDO ) I, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing Resolution No. 5416 was duly passed, approved, and adopted by said City Council at a regular meeting held on the 16t" day of May, 2023, approved and signed by the Mayor, and attested to by the City Clerk, by the following vote: AYES: Mayor Boyles, Mayor Pro Tem Pimentel, Council Member Pirsztuk, Council Member Giroux and Council Member Baldino NOES: None ABSENT: None ABSTAIN: None WITNESS MY HAND THE OFFICIAL SEAL OF SAID CITY this day of May, 2023, T y Weaver, City Clerk of he City of El Segundo, California RESOLUTION NO. 5416 PAGE 3 of 3 Agreement No. 5687A EXHIBIT A SIDE LETTER AGREEMENT BETWEEN THE CITY OF EL SEGUNDO AND THE EL SEGUNDO POLICE SUPPORT SERVICES EMPLOYEES ASSOCIATION This Side Letter of Agreement ("Agreement") between the City of El Segundo ("City") and the El Segundo Police Support Services Employees Association ("PSSEK) (hereinafter referred to as the "Parties") is entered into with respect to the following: WHEREAS, the Parties are currently parties to a Memorandum of Understanding ("MOU") with a term of October 1, 2018 through September 29, 2022; and WHEREAS, the MOU provides that "Effective the beginning of the pay period following Council adoption, employees classified as "classic" PERS shall contribute an additional One Percent (1 %) [total of 8%] of the employee normal cost as provided under California Government Code section 20516.5" (2018-2022 PSSEA MOU, Art. 2, Sec. 2.06, Subd. 1.); WHEREAS, the City did not start the withholding following the City Council's adoption of the MOU or withhold the agreed upon amount from "classic" members during the term of the MOU; and WHEREAS, the Parties are interested in starting the withholding while they negotiate a successor MOU. WHEREAS, the following sets forth the Parties' Agreement: Within two (2) weeks of the City Council adopting the resolution approving this side letter, the City will send an executed copy of this side letter to the California Public Employees' Retirement System ("CaIPERS") requesting an amendment to the City's contract with CaIPERS in order for the contract to reflect that the additional one percent (1 %) that the City is providing to CaIPERS is a contribution by members, not the City; As soon as is practicable following the City's receipt of "Resolution of Intention Packet" from CaIPERS, the City will conduct an election of the "classic" members in the bargaining unit. As soon as is practicable following the completion of the election, the City will submit to the City Council a resolution authorizing the contract amendment. As soon as is practicable following the City Council's vote on the resolution, the City will submit to CaIPERS the forms necessary for CaIPERS to review and approve the proposed contract amendment; In the first full pay period following the City's submission to CaIPERS of the forms necessary for CaIPERS to review and approve the proposed contract amendment, the City will deduct from each "classic" member's compensation earnable an additional one Agreement No. 5687A PSSEA Side Letter Cost Sharing Page 2 of 3 percent (1%). Until such time as CaIPERS approves the contract amendment, this additional one percent (1 %) will constitute an employer contribution; When CaIPERS approves the contract amendment, the City will notify PSSEA and will change how the City reports the contributions to CaIPERS such that PSSEA members receive credit for the additional one percent (1 %) as a member contribution; and The following language shall replace the language provided at Article 2, Section 2.06 Subdivision 1. of the 2018-2022 MOU between the City and PSSEA, and shall be incorporated into the successor MOU between the City and PSSEA: Effective the first pay period following the City's submission to CaIPERS of the forms necessary in order for CaIPERS to review and approve a proposed amendment to the City's contract with CaIPERS, and pursuant to Government Code section 20516, subdivision (f), employees who are considered to be "classic members" (Le., all employees that do not qualify as "new" members under the Public Employees' Pension Reform Act of 2013 ("PEPRA" )) shall contribute an additional one percent (1 %) of their compensation earnable toward the employer's required contribution to the California Public Employees' Retirement System ("CaIPERS") for retirement benefits. The one percent (1 %) contribution by "classic members" shall be made via payroll deductions and shall be administered by the City. As a result of the additional contribution, the total withholding for employees who qualify as "classic members" shall increase from the current seven percent (7%) statutory member contribution to eight percent (8%), which shall include the one percent (1 %) cost -sharing amount. The City shall continue such withholding pursuant to Government Code section 20516, subdivision (f), until such time as the City amends its contract with CaIPERS, at which time the employee contribution rate shall be governed by the terms of that contract. Agreement No. 5687A PSSEA Side Letter Cost Sharing Page 3 of 3 FOR THE CITY OF EL SEGUNDO Oma 4,zry Darrell George,, City Manager 5/4/23 Date -L4 r0-0,-X3 Rebecca Redyk, Date Director of Human Resources carder olberdirg, Date Labor Negotiator FOR THE EL SEGUNDO POLICE SUPPORT SPRVICES EMPLOYEES ASSOCIATION u ado, President Vicky Barker Labor Negotiator Date May 3, 2028 Date