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CONTRACT 4193 - PERM Memorandum of Understanding CLOSED4193., EXHIBIT "A" COMPREHENSIVE MEMORANDUM r/l" UNDERSTANDING EL SEGUNDO POLICE MANA GERS' ASSOCIA TION October 1, 2011— September 30, 2013 4, 1 93 TABLE OF CONTENTS ARTICLE 1 GENERAL PROVISIONS .................................................................................. ............................... Section1.01 2.01 Preamble ................................................................................................. ............................... l Section1.02 2.02 Management Rights ................................................................................. ............................... l Section1.03 2.03 Savings Clause ......................................................................................... ..............................2 Section1.04 2.04 No- Strike Clause ...................................................................................... ..............................2 Section 1.05 Association Dues Deduction .................................................................... ..............................2 Section 1.06 Compaction — Statement of Intent ............................................................ ..............................2 Section 1.07 Completion of Meeting and Negotiating .................................................. ..............................2 Section 1.08 Non - Discrimination .................................................................................. ..............................3 ARTICLE2 SALARY ..............................................................................................••••••••••••• ••••......_.................... 3 Section 2.01 Cost of Living Adjustment ....................................................................... ..............................3 Section 2.02 Regular Rate of Pay Defined .................................................................... ..............................3 Section 2.03 Salary Schedule Calculation Methodology .............................................. ..............................4 Section 2.04 Step Advancement — Accelerated ............................................................. ..............................4 Section 2.05 Notice Requirement to Withhold Step Increase ....................................... ..............................4 ARTICLE 3 EDUCATIONAL INCENTIVE PAY ................................................................. ..............................4 Section 3.01 Educational Incentive Pay ........................................................................ ..............................4 ARTICLE 4 TUITION AND BOOK REIMBURSEMENT PROGRAM ............................ ..............................4 Section4.01 Policy and Eligibility ................................................................................ ..............................4 Section 4.02 Undergraduate Studies ............................................................................ ............................... 5 Section 4.03 Post - Graduate Studies .............................................................................. ..............................5 Section 4.04 Certification Requirement for Educational Compensation ....................... ..............................5 ARTICLE5 PROMOTIONS ................................................................................................... ..............................6 Section 5.01 Salary Differential upon Promotion ......................................................... ..............................6 ARTICLE6 NO- SMOKING CLAUSE .................................................................................... ..............................6 Section6.01 Establishment ........................................................................................... ..............................6 ARTICLE 7 OVERTIME COMPENSATION ....................................................................... ..............................6 Section 7.01 Pay for Shift Schedule .............................................................................. ..............................6 ARTICLE 8 PHYSICAL FITNESS INCENTIVE PROGRAM ............................................. ..............................6 Section8.01 Purpose ..................................................................................................... ..............................6 Section8.02 Department Policy .................................................................................... ..............................6 Section 8.03 Program Components ............................................................................... ..............................6 a 4193., Section 8.04 Physical Fitness Incentive Program Pay ................................................... ..............................7 Section 8.05 Payment of Physical Fitness Incentive Program Pay — Death of Employee ........................... 7 ARTICLE 9 COMPREHENSIVE MEDICAL EXAMINATION ......................................... ..............................7 Section 9.01 Annual Comprehensive Medical Examination ......................................... ..............................7 Section9.02 Heart Scan ............................................................................................... ............................... 8 ARTICLE10 EXECUTIVE LEAVE .......................................................................................... ..............................8 Section10.01 Entitlement ............................................................................................... ..............................8 ARTICLE 11 MARKSMANSHIP PAY ..................................................................................... ..............................8 Section11.01 Marksmanship Pay ................................................................................... ..............................8 Section 11.02 Payment of Marksmanship Pay — Death of Employee ............................. ..............................8 ARTICLE 12 COMPENSATORY TIME .................................................................................. ..............................8 Section 12.01 Maximum Accrual .................................................................................... ..............................8 Section 12.02 Payment of Compensatory Time — Death of Employee .......................... ............................... 9 ARTICLE 13 HOLIDAY LEAVE .............................................................................................. ..............................9 Section 13.01 Holiday Leave — Captains ....................................................................... ..............................9 Section 13.02 Personal Leave /Floating Holiday — Captains .......................................... ..............................9 Section 13.03 Holiday Pay — Lieutenants ...................................................................... ..............................9 ARTICLE14 SICK LEAVE ...................................................................................................... .............................10 Section 14.01 Sick Leave — Leave with Pay Due to Illness — Accumulation of Same ... .............................10 Section 14.02 Sick Leave Accumulated for Physical Examination .............................. ............................... 10 Section 14.03 Sick Leave — Payment of Seventy -Five Percent (75 %) of Accrual ....... ............................... 10 Section 14.04 Sick Leave Accrued — Payment on Separation Prior to December 1 ...... .............................10 Section 14.05 Payment of Sick Leave Accrual — Disability Retirement ...................... ............................... 10 Section 14.06 Payment of Sick Leave Accrual — After 20 Years of City Service ........ ............................... 10 Section 14.07 Payment of Sick Leave Accrual — On Separation from The City of El Segundo .................10 Section 14.08 Payment of Sick Leave Accural — Death of Employee ........................... .............................10 Section 14.09 Sick Leave Accumulated for Care of Immediate Family ....................... ............................... l 1 ARTICLE15 VACATION LEAVE .......................................................................................... ..............................1 I. Section 15.01 Vacation Time Use ................................................................................ ............................... 1 1 Section 15.02 Vacation Accrual Schedule .................................................................... ..............................1 1 Section 15.03 Vacation Accrual Based on Total Service Time in a PERS or Comparable Agency ........... 11 Section 15.04 Vacation Time Accrual — Payment in Lieu Of ....................................... ..............................1 1 Section 15.05 Vacation Time Accrual — For Temporary Industrial Disability ............... .............................12 Section 15.06 Payment of Vacation Time — Death of Employee ................................... .............................12 4;; 93, s ARTICLE 16 BEREAVEMENT LEAVE ................................................................................. .............................12 Section 16.01 Bereavement Leave with Pay .................................................................. .............................12 ARTICLE17 JURY DUTY ........................................................................................................ .............................12 Section17.01 Provisions ................................................................................................ .............................12 ARTICLE IS EXCEPTIONAL LEAVE ................................................................................... .............................13 Section18.01 Provision ................................................................................................. .............................13 ARTICLE 19 PERSONAL EMERGENCY LEAVE ............................................................... .............................13 Section 19.01 Personal Emergencies — Use of Eligible Leaves ................................... ............................... 13 ARTICLE 20 HEALTH BENEFITS ......................................................................................... .............................13 RETIREMENT BENEFITS ............................................................................... .............................14 Section 20.01 Medical Contract ................................................................................... ............................... 13 Section 20.02 City Medical Contribution ..................................................................... ............................... 13 Section 20.03 Optical, Dental, and Life I nsurance ......................................................... .............................13 Monetary Value of Employer -Paid Member Contributions ( EPMC) ...... .............................15 Section 20.04 Employee Assistance Program ( EAP) ..................................................... .............................14 Optional Contract Provisions .................................................................. .............................15 Section 20.05 Medical Insurance Continuation — On Duty Death ............................... ............................... 14 ARTICLE 21 UNIFORMS AND SAFETY EQUIPMENT ...................................................... .............................14 Section 21.01 Provision of Uniforms and Safety Equipment ....................................... ............................... 14 Section 21.02 Uniform Allowance ................................................................................. .............................14 ARTICLE 22 RETIREMENT BENEFITS ............................................................................... .............................14 Section 22.01 PERS Retirement Formula ...................................................................... .............................14 Section 22.02 PERS Pickup Reported as "Compensation Earnable........................................................... 15 Section 22.03 Monetary Value of Employer -Paid Member Contributions ( EPMC) ...... .............................15 Section 22.04 Optional Contract Provisions .................................................................. .............................15 Section 22.05 Retiree Health Insurance Contribution Program ................................... ............................... 15 ARTICLE 23 DIRECT DEPOSIT and FLEXIBLE SPENDING ACCOUNT ...................... .............................15 Section23.01 Direct Deposit ......................................................................................... .............................15 Section 23.02 Flexible Spending Account ................................................................... ............................... 16 ARTICLE 24 COMPUTER LOAN PROGRAM ..................................................................... .............................16 Section24.01 Initial Loan ............................................................................................ ............................... 16 ARTICLE 25 DEFERRED COMPENSATION ....................................................................... .............................16 Section 25.01 Deferred Compensation Plan ( 457) ......................................................... .............................16 Section 25.02 Deferred Compensation Plan (401 a) ..................................................... ............................... 16 Section 25.03 Deferred Compensation "Catch Up" Provision ..................................... ............................... 16 4 A ARTICLE 26 CATASTROPHIC LEAVE PROGRAM .......................................................... .............................16 Section26.01 Purpose .................................................................................................... .............................16 Section26.02 Definition .............................................................................................. ............................... 16 Section26.03 Procedures ............................................................................................... .............................16 ARTICLE 27 LAYOFF PROCEDURES .................................................................................. .............................17 Section27.01 Section Grounds for Layoff ................................................................................ ............................... 17 Section 27.02 Notice to Employees ............................................................................. ............................... 17 Section27.03 Section At -Will Employees .................................................................................. .............................17 Section 27.04 Procedures for Layoff ........................................................................... ............................... 17 Section27.05 Section Breaking Ties ........................................................................................ ............................... 17 Section 27.06 Reduction to a Vacant Position ............................................................... .............................18 Section 27.07 Displacement Rights .............................................................................. ............................... 18 Section27.08 Salary Placement ................................................................................... ............................... 18 Section27.09 Reemployment List ................................................................................. .............................19 Section27.10 Letter of Layoff ..................................................................................... ............................... 19 Section 27.11 Rights on Reemployment ........................................................................ .............................19 Section27.12 Appeal ..................................................................................................... .............................19 ARTICLE 28 GRIEVANCE PROCEDURE ............................................ ............................... Section 28.01 Definition of Terms ................................................ ............................... Section28.02 20 Time Limits ............................................................ ............................... Section 28.03 Procedure for Filing a Grievance ........................... ............................... Section 28.04 Grievance Procedure .............................................. ............................... Section 28.05 Matters Excluded From the Grievance Procedure .. ............................... Section28.06 Conferences ............................................................ ............................... .................19 ............................... 19 .. .............................19 ............................... 20 ............................... 20 ............... 20 ............... 21 ARTICLE 29 POBR LIMITED APPEALS .............................................................................. .............................21 Section29.01 Provisions ................................................................................................ .............................21 ARTICLE 30 TEMPORARY SERVICE IN HIGHER CLASSIFICATION ......................... .............................23 Section30.01 Acting Pay ............................................................................................... .............................23 ARTICLE31 POLICIES ............................................................................................................ .............................23 Section 31.01 Occupational Injury and Illness Policy .................................................... .............................23 Section 31.02 Disability Retirement Policy ................................................................... .............................23 Section 31.03 Fitness for Duty Policy ............................................................................ .............................23 Section 31.04 Substance Abuse Policy and Drug -Free Workplace Statement ............... .............................23 1v ARTICLE32 TERM OF AGREEMENT ................................................................................. .............................23 Section32.01 Term ........................................................................................................ .............................23 ARTICLE 33 LIMITED LAYOFFS ........................................................ ............................... 23 Section33.01 No Layoffs ................................................................ .............................23 ARTICLE34 CONCESSIONS ................................................................... .............................23 v 4193 Section 1.01 Preamble This Memorandum of Understanding (MpU) is entered into with reference to the following: A. The El Segundo Police Managers' Association (hereinafter referred to as the "Association ") is the exclusively recognized employee organization for all personnel employed by the City of El Segundo (hereinafter referred to as "City ") in the unit of representation including the following classifications and positions (hereinafter referred to as "affected employees "): Police Lieutenant and Police Captain. During the life of this agreement, such exclusive recognition may only be modified pursuant to the provisions of City Resolution No. 3208. B. In the interest of maintaining harmonious relations between the City and the affected employees, authorized representatives of the City Council of City and the Association have met and conferred in good faith, exchanging various proposals concerning wages, hours and the terms and co di on of Association ions Of employment of affected employees within the lawful scope of representati Pursuant to California Government Code Sections 3500 et. seq. and City Resolution Number 3208. C. The authorized representatives of the City Council of City and the Association have reached a mutual agreement as to certain wages, hours and other terms and conditions of employment of the affected employees, this memorandum of which shall be submitted to the City Council of City for its consideration and if adopted, for implementation of its terms and conditions by appropriate ordinance, resolution or other lawful action. This MOU is a comprehensive statement of agreed- upon wages, hours and other terms and conditions of employment. D. Unless otherwise provided for herein, all terms and conditions described herein shall be effective upon adoption of the MOU by the City Council. Section 1.02 Management Rights A. Except as limited by the specific and express terms of this MOU, the City hereby retains and reserves unto itself all rights, powers, authority, duty, and responsibilities confirmed on and vested in it by the laws and the Constitution of the State of California and/or United States of America. B. The management and the direction of the work force of the City is vested exclusively in the City, and nothing in this MOU is intended to circumscribe or modify the existing right of the City to direct the work of its employees; hire, promote, demote, transfer, assign, and retain employees in Positions within the City, subject to the rules and regulations of the City; suspend or discharge employees for proper cause; maintain the efficiency of governmental operations; relieve employees from duties because of lack of work; take action as may be necessary to carry out the City's mission and services in emergencies; and to determine the methods, means, and personnel by which the operations are to be carried out. 493.,' Section 1.03 Savings Clause If any provision or the application of any provision of this MOU shall be rendered or declared invalid by any final court action or decree, or by reason of any preemptive legislation, the remaining sections of this MOU shall remain in full force and effect for the duration of said MOU. Section 1.04 No- Strike Clause A. The El Segundo Police Managers' Association agrees that during the term of this MOU their members employed by the City of El Segundo will not strike or engage in any work stoppage or slowdown, engage in any concerted failure to report for duty, or fail to perform their duties in whole or in part for the purpose of inducing, influencing, or coercing a change in the conditions, or compensation, or the rights, privileges, or obligations of employment. B. The Association also agrees that their members employed by the City of El Segundo will not refuse to cross a picket line in performance of their normal and customary duties, nor will the aforementioned employee organization attempt to influence, either directly or indirectly, other employees to honor an existing picket line in the performance of their normal and customary duties as employees. C. It is understood that any affected employee violating this provision may be subject to discipline up to and including termination by the City. D. It is understood that in the event this provision is violated the City may be entitled to withdraw any rights, privileges or services provided for in this MOU or in City policy from any affected employee and /or the Association. Section 1.05 Association Dues Deduction The City agrees to: A. Provide official dues deductions for all affected employees who subscribe to Association membership; B. Provide official payroll deductions for City- approved Association insurance and welfare plans, not to exceed five programs. Section 1.06 Compaction — Statement of Intent The City strives to compensate affected employees at a reasonable level above the classification they supervise. Additionally, the City strives to compensate captains at a reasonable level above lieutenants. Typically a difference of five percent (5 %) is targeted, with the specific percentage determined by internal and external comparability data, City finances, and other labor relations factors and consideration. Section 1.07 Completion of Meeting and Negotiating A. This MOU contains all of the covenants, stipulations and provisions agreed upon by the parties regarding terms and conditions of employment. Therefore, for the life of this MOU, neither party shall be compelled to meet and confer with the other party concerning any mandatory meet and confer issue which is covered by this MOU. B. The wages, hours, benefits and other terms and conditions of employment covered by this MOU, including those wages, hours, benefits and other terms and conditions of employment in existence and spelled out by the City's Personnel Rules, Administrative Code and other Ordinances and 2 Resolutions approved by the City Council prior to this MOU, although not specifically referred to by this MOU, shall constitute the wages, hours, benefits and other terms and conditions of employment for the term of this MOU. C. Disagreements involving the interpretation and application of this section will be resolved by accessing the Association's Grievance Policy at Level IV (City Manager). Section 1.08 Non- Discrimination A. The Association and the City recognize and agree to protect the rights of all affected employees to join and /or participate in protected Association activities or to refrain from joining or participating in Association activities. B. The Association and the City agree that they shall not illegally discriminate against any employee because of race, color, sex, age, national origin, political or religious opinions or affiliations and shall act affirmatively to accomplish equal employment opportunities for all employees. The Association and the City shall reopen any provision of this MOU for the purpose of complying with any final order of a Federal or State agency or court of competent jurisdiction requiring a modification or change in any provision or provisions of this MOU in compliance with State or Federal anti - discrimination laws. ARTICLE 2 SALARY Section 2.01 Cost of Living Adjustment If general fund actual core gross revenues increase by $1.5 million or more in fiscal year 2011-12 compared to fiscal year 2010 -2011 and /or by $1.5 million in fiscal 2012- 13 as compared to 2011-12, then the employees covered under this MOU will be entitled to a COLA increase effective the pay period including October 1 of the fiscal year immediately following the qualifying fiscal year(s). In other words, if the general fund actual core gross revenues in fiscal year 2011-12 and/or 2012 -13 are $1.5 million or more greater than those in the previous fiscal year, the COLA increase will take effect October 1, 2012 and /or 2013. The amount of the COLA increase will be based upon the percentage increase in the Consumer Price Index (CPI -U) in the Los Angeles- Riverside - Orange County geographic area for the twelve month period ending the most recent August 31. Core gross revenues for this section shall mean all revenues except Net of All Transfers, other Licenses and Permits (account numbers: 3400 -3499) and Charges for Services (account numbers: 3800 - 3899). Section 2.02 Regular Rate of Pay Defined A. The "regular rate of pay" is the hourly rate which includes all remunerations paid to or on behalf of the employee (including Educational Incentive Pay and the City paid nine - percent (9 %) CalPERS Employer Paid Member Contribution) except gifts, travel expenses, other reimbursable expenses, payments not mandated by the MOU or other rules /regulations, retirement and insurance contributions by the City, overtime and holiday pay. Use of the term "regular rate of pay" is not intended by any party to create overtime eligibility unless specifically provided for in this MOU. B Affected employees shall be paid their regular rate of pay for the following: 1. Overtime. 2. Holiday Pay. f 3. Vacation Sell Back. 4. Sick Time Pay Out. 5. Earned Compensatory Time Sell Back. 6. Physical Fitness Incentive Program Pay. 7. Marksmanship Pay. Section 2.03 Salary Schedule Calculation Methodology An affected employees' regular rate of pay is calculated in dollars and cents rounded off to two (2) decimal places to the right of the decimal point, and adjusted to reflect the intent to maintain the specific and proportional percent differences between salary ranges and salary steps previously approved by the City. Section 2.04 Step Advancement — Accelerated The Police Chief may recommend to the Director of Human Resources for approval by the City Manager that an affected employee receive an accelerated advancement of part or all of the next salary step increase in the Basic Salary Range (A — E Steps) based on exemplary job performance. The accelerated salary advancement shall not change the affected employee's anniversary date. Section 2.05 Notice Requirement to Withhold Step Increase The City shall have the option during or after the term of this MOU to provide affected employees written notice of the intent to withhold a salary step increase and the reasons for same no later than the end of the pay period which begins after the affected employee's anniversary date. ARTICLE 3 EDUCATIONAL INCENTIVE PAY Section 3.01 Educational Incentive Pay A. Effective July 1, 2008, affected employees holding a Master's Degree shall be eligible for educational incentive compensation to be paid per pay period as follows: 1. Police Lieutenants: $398.97 2. Police Captains: $451.40 B. The parties are of the opinion that Educational Incentive Pay qualifies as compensation eamable pursuant to Section 20636 of the California Government Code and Section 571(a)(1) of the California Code of Regulations. However, the City makes no representation of law as the validity of that opinion and does not warrant its validity. ARTICLE 4 TUITION AND BOOK REIMBURSEMENT PROGRAM Section 4.01 Policy and Eligibility The following college -level tuition and book reimbursement program shall be applicable to all affected employees. 4 Section 4.02 Section 4.03 Section 4.04 Undergraduate Studies (Studies undertaken in pursuit of an Associate's or a Bachelor's degree) A. The City shall reimburse each affected employee pursuing undergraduate studies in an amount equal to 100% of tuition and book expenditures incurred while employed by the City and while a student at any accredited college or university having its campus in the State of California. However, the tuition reimbursement described herein, shall not exceed the per -unit tuition cost required by the University of California or California State University, whichever is higher. B. Tuition and book reimbursement shall be provided only for those classes in which a certified college or university transcript evidences the employee attaining a grade of "C" or better (or where classes are taken "pass /fail," evidence must be provided of a "pass" grade) in classes approved pre - enrollment by the Chief of Police or his/her designee. Post - Graduate Studies (Post - Graduate studies are defined as those undertaken in pursuit of a degree beyond a Bachelor's). A. The City shall reimburse each affected employee pursuing post - graduate studies in an amount equal to 100% of tuition and book expenditures incurred while employed by the City and while pursuing said studies at the University of California or California State University. B. The City shall reimburse each affected employee pursuing post - graduate studies at other accredited institutions, in an amount equivalent to 80% of the tuition and book expenditures incurred while employed by the City and while pursuing said studies. C. Tuition and book reimbursement shall be provided only for those classes in which a certified university transcript evidences the employee attaining a grade of "C" or better (or where classes are taken "pass /fail," evidence must be provided of a "pass" grade) in classes approved pre - enrollment by the Chief of Police or his/her designee. Certification Requirement for Educational Compensation Affected employees who participate in the Educational Reimbursement Program will be required to sign the following agreement: Educational Reimbursements — "I certify that I successfully completed the course(s), receiving at least a grade of "C" of better, or a grade of "pass," if the course was offered on a pass /fail basis. (Attach a copy of grade verification). "Further, I agree to refund the City or have deducted from my final paycheck, any educational reimbursement funds received under this program if I should leave the City's employ, voluntarily or through termination, with cause, within one year after completion of the course work for which I am to receive reimbursement, in accordance with the following schedule." Employee Separation Percentage Payback I month after course completion 100% refund 2 months after course completion 100% refund 3 months after course completion 90% refund 4 months after course completion 80% refund 5 months after course completion 70% refund 6 months after course completion 60% refund 7 months after course completion 50% refund 8 months after course completion 40% refund 9 months after course completion 30% refund 10 months after course completion 20% refund 1 1 months after course completion 10% refund 12 months after course completion 0% refund 5 4193' ARTICLE 5 PROMOTIONS Section 5.01 Salary Differential upon Promotion In all cases where an affected employee is promoted to a classification regulated by this MOU for which a higher rate of compensation is provided, then such employee so promoted shall enter into such higher classification at the lowest rate of compensation provided for such higher classification which exceeds by not less than five percent the base rate of compensation, excluding special assignment pay, received by said employee in such given classification at the time of such promotion, unless otherwise ordered by the City Council. All supervisors shall be paid a higher base salary than any of their regularly assigned subordinates (exclusive of longevity pay, educational incentive pay, special assignment, or any other form of compensation). In the event that a supervisor is paid a base salary equal to or lower than one of their regularly assigned subordinate's base salary, the supervisor shall be granted a higher base salary (exclusive of longevity pay, educational incentive pay, special assignment or any other form of compensation) even if the supervisor's new base salary is not the same as an existing pay step in the Salary Schedule. Notwithstanding the above, the supervisor's salary shall not exceed the salary range for which he /she is eligible by length of service and performance. ARTICLE 6 NO- SMOKING CLAUSE Section 6.01 Establishment Affected employees initially hired on or after July 1, 1988, shall, as a condition of initial and continued employment, refrain from smoking and /or using tobacco products at any time on or off duty. ARTICLE 7 OVERTIME COMPENSATION Section 7.01 Pay for Shift Schedule Police Lieutenants shall be paid time and one -half of their regular rate of pay for time worked on a shift basis in excess of their regular work shift, in any one day or more than forty hours per week, excluding hours worked involving hold -over for non -shift work, or work due to staff meetings or training. ARTICLE 8 PHYSICAL FITNESS INCENTIVE PROGRAM Section 8.01 Purpose It is the purpose of the El Segundo Police Department Physical Fitness Incentive Program to improve the level of physical fitness and health among sworn police personnel so that their field performance will be enhanced and also to improve their overall degree of wellness as an enrichment to their personal lives as well as a productivity benefit to the City. Section 8.02 Department Policy It will be the policy of the Police Department to work with employees individually and assist those that need to improve their lifestyle habits in order that fitness levels can be improved. Section 8.03 Program Components The Physical Fitness Incentive Program will consist of two basic components; they are a fitness examination and a fitness assessment. A. Fitness Examination: R An annual fitness examination is a mandatory component of the Physical Fitness Incentive Program. The examination will be comprehensive and will include the cardio- vascular system, the pulmonary function, a complete blood work -up, body composition analysis, the lower digestive tract, and a strength assessment. It will also include a complete medical history review with a physician and a subsequent review of the findings as well as an exercise /nutritional prescription. B. Fitness Assessment: 1. The fitness assessment is a voluntary component of the Physical Fitness Incentive Program and will be administered by a department fitness coordinator and fitness committee. 2. The fitness assessment will be a test to measure components of physical fitness which are: a. Cardio- vascular b. Strength c. Body composition d. Flexibility 3. The fitness assessment will be administered quarterly and will apply standards developed and used by the Cooper Aerobics Institute, Dallas, Texas, and include sliding scales based on age and sex. 4. A profile will be developed following the fitness assessment which will categorize participants into levels of fitness. Section 8.04 Physical Fitness Incentive Program Pay A. Affected employees will receive their regular rate of pay for meeting the following physical fitness standards: Fitness Level Pay per Quarter (3 Calendar Months) Excellent 16 hours of pay Good 8 hours of pay Fair 4 hours of pay B. The parties are of the opinion that Physical Fitness Incentive Program Pay qualifies as compensation earnable pursuant to Section 20636 ofthe California Government Code and Section 571(a)(1) of the California Code of Regulations. However, the City makes no representation of law as the validity of that opinion and does not warrant its validity. Section 8.05 Payment of Physical Fitness Incentive Program Pay — Death of Employee In the event of an affected employee's death, earned, but not yet distributed Physical Fitness Incentive Program Pay shall be compensated in an amount equal to one - hundred percent (100 %) of the value of such physical fitness incentive program pay based upon the affected employee's regular rate of pay at the time of death and shall be distributed to the affected employee's beneficiary. ARTICLE 9 COMPREHENSIVE MEDICAL EXAMINATION Section 9.01 Annual Comprehensive Medical Examination Affected employees are provided a fully -paid, comprehensive medical examination each year. The City currently utilizes the Westchester Medical Group /Center for Heart and Health for the 7 examinations. The results of the examination include extensive written documentation and feedback, fitness consultation, recommended further testing and /or adjustments to current lifestyle practices and ongoing monitoring. Section 9.02 Heart Scan Effective July 1, 2008, each affected employee shall be eligible to receive a heart scan to be conducted once every two (2) years at City expense. Eligibility for the heart scan shall be determined by the examining physician at the Westchester Medical Group /Center for Heart and Health during the employee's annual medical examination. The physician shall determine whether or not undertaking a heart scan is reasonable and appropriate. ARTICLE 10 EXECUTIVE LEAVE Section 10.01 Entitlement A. Affected employees shall be granted fifty -six (56) hours executive leave per calendar year. B. Twenty -eight (28) hours of executive leave hours maybe carried over and accumulated from year to year; not to exceed a cap of eighty -four (84) hours. C. Such hours are not eligible for pay out upon retirement or separation of employment. ARTICLE 11 MARKSMANSHIP PAY Section 11.01 Section 11.02 Marksmanship Pay A. Affected employees will receive their regular rate of pay for meeting the following firearms standards: Class Distinguished Expert Expert Sharpshooter Marksman Pay for Proficiency per Quarter Q Calendar Months) 8 hours of pay 6 hours of pay 4 hours of pay 0 hours of pay B. The parties are of the opinion that Marksmanship Pay qualifies as compensation earnable pursuant to Section 20636 of the California Government Code and Section 571(a)(1) of the California Code of Regulations. However, the City makes no representation of law as the validity of that opinion and does not warrant its validity. Payment of Marksmanship Pay — Death of Employee In the event of an affected employee's death, earned, but not yet distributed Marksmanship Pay shall be compensated in an amount equal to one- hundred percent (100 %) of the value of such marksmanship pay based upon the affected employee's regular rate of pay at the time of death and shall be distributed to the affected employee's beneficiary. ARTICLE 12 COMPENSATORY TIME Section 12.01 Maximum Accrual A bank shall be established for the accumulation of compensatory time off, with a maximum accrual of 41 y3- *I,ad. eighty (80) hours. Section 12.02 Payment of Compensatory Time — Death of Employee In the event of an affected employee's death, earned, but not yet used Compensatory Time shall be compensated in an amount equal to one- hundred percent (100 %) of the value of such compensatory time based upon the affected employee's regular rate of pay at the time of death and shall be distributed to the affected employee's beneficiary. ARTICLE 13 HOLIDAY LEAVE Section 13.01 Holiday Leave — Captains Police Captains shall be entitled to the following holidays: January I` The third Monday of January The third Monday in February The last Monday in May July 4'h The first Monday in September November 11`h Thanksgiving day and Friday thereafter December 20 December 25`h December 3151 provided, however, (a) that in the event any of the hereinbefore mentioned holidays falls on the last day a Captain is off on his or her regular days off period, the following day shall be observed as a holiday for the purpose of this section; provided, further, however, (b) that in the event any of the hereinbefore mentioned holidays falls on the first day of a Captain's regular days off period, the previous day shall be considered as a holiday for the purpose of this section. Section 13.02 Personal Leave /Floating Holiday — Captains In addition to the holidays enumerated in Section 12.01, each Police Captain who has completed six (6) months of service shall be entitled to select one (1) day per calendar year as a Personal Leave /Floating Holiday with the approval of the Police Chief. The City may, at its discretion, grant additional hours of leave which may be utilized in the calendar year in which it is granted. Section 13.03 Holiday Pay — Lieutenants A. Police Lieutenants shall be paid for one hundred -four (104) hours in lieu of holidays once a year on or about December 10. B. In the event of the death of an affected employee serving as a Lieutenant or upon separation from service, affected employees serving as a Lieutenant shall be paid holiday pay on a pro -rata basis. Additionally, affected employees serving as Lieutenants less than one (1) year shall be paid holiday pay on a pro -rata basis. C. Upon the request of an affected employee serving as Lieutenant and with department head approval, time off may be taken in lieu of holiday pay. E ARTICLE 14 SICK LEAVE Section 14.01 Sick Leave — Leave with Pay Due to Illness — Accumulation of Same Sick Leave with pay may be granted for an absence from duty because of personal illness, injury or legal quarantine not compensable under the provisions of the Workers' Compensation Laws of the State of California. Affected employees shall accumulate sick leave at the rate ofone (1) eight (8) hour day accumulation for each month's service not to exceed a maximum of 1056 hours. Hours worked in addition to a regular work week shall not entitle an employee to additional sick leave accumulation. Sick leave taken by an employee shall be deducted from his or her accumulated credit. Section 14.02 Sick Leave Accumulated for Physical Examination The City will allow up to two (2) days of accumulated sick leave each year to be used for purposes of physical examinations, subject to submission of a doctor's verification. Section 14.03 Sick Leave — Payment of Seventy -Five Percent (75 %) of Accrual Effective the first day of December of each year, affected employees who maintain a balance of 1056 hours of sick leave accrual shall be paid for seventy -five percent (75 %) of the sick leave accumulated and not used during the preceding twelve -month period. Payment shall be paid at the affected employee's regular rate of pay and be paid on or before December 10. Section 14.04 Sick Leave Accrued — Payment on Separation Prior to December 1 Affected employees who separate employment prior to the first day of December while maintaining a balance of more than 1056 hours of sick leave shall be paid for seventy -five percent (75 %) of their unused accrued sick leave accumulated since the preceding December 1. Payment shall be paid at the affected employee's regular rate of pay. Section 14.05 Payment of Sick Leave Accrual — Disability Retirement Upon separation from service because of a disability retirement, affected employees with five (5) years of City service will be compensated for one - hundred percent (100 %) of the affected employee's accumulated unused sick leave at the affected employee's regular rate of pay at separation. Section 14.06 Payment of Sick Leave Accrual — After 20 Years of City Service Upon separation from service, affected employees with twenty (20) years of City service will be compensated for one - hundred percent (100 %) of the employee's accumulated, unused sick leave at the affected employee's regular rate of pay at separation. Section 14.07 Payment of Sick Leave Accrual — On Separation from The City of El Segundo An affected employees who has been employed by the City for five (5) or more years who separates from the City with unused sick leave to their credit, will be compensated in an amount equal to one - half (1/2) the value of such sick leave based upon the affected employee's regular rate of pay at the time of separation. Section 14.08 Payment of Sick Leave Accrual — Death of Employee In the event an affected employee who has been employed by the City for five (5) years or more in a full -time position, dies with unused sick leave to his or her credit, an amount equal to one- hundred percent (100 %) of the value of such sick leave based upon the affected employee's regular rate of pay at the time of death and shall be distributed to the affected employee's beneficiary. 10 4193.. .. Section 14.09 Sick Leave Accumulated for Care of Immediate Family The City shall allow up to twelve (12) days of accumulated sick leave each calendar year to be use for purposes of medical emergencies, doctor visits and homecare of members of the immediate family. Usage would also be permitted under the following instances: 1. The birth of a child of an employee, and to care for a newborn. 2. The placement of a child with an employee in connection with the adoption or foster care of a child by an employee. 3. To care for a member of the immediate family who has a serious health condition. For the purpose of this section, "immediate family" shall mean the children, parents, grandparents, and siblings of the affected employee, the affected employee's spouse or significant other. All applicable sections of City Personnel Rules relative to the documentation and verification of sick leave usage remain in full force and effect. ARTICLE 15 VACATION LEAVE Section 15.01 Vacation Time Use Affected employees shall accrue vacation time on a monthly basis. Vacation leaves may be taken only after an affected employee has completed six (6) months of continuous service with the City. Section 15.02 Vacation Accrual Schedule Affected employees shall accrue vacation time according to the following schedule: A Ninety -six (96) hours per year with full salary for first five (5) years of continuous service with the City. B One hundred - twenty (120) hours per year with full salary after five (5) years and until the completion of ten (10) years of continuous service. C. One hundred forty-four (144) hours per year with full salary after eleven (1 1) years and until the completion of fourteen (14) years of continuous service. D. Two hundred and thirty (230) hours per year with full salary after fourteen (14) years of continuous service. Section 15.03 Vacation Accrual Based on Total Service Time in a PERS or Comparable Agency Affected employees who have successfully completed their initial probationary period and/or achieved E step placement in their assigned salary range shall accumulate vacation time based on their total years of service in a PERS or comparable agency. Section 15.04 Vacation Time Accrual — Payment in Lieu Of Affected employees who have completed one (1) year of service may receive payment in lieu of accrued vacation time up to a maximum of one hundred percent (100 %) the annual accrual to which they are entitled by length of service. Effective from October 1, 2011 through the end of the contract, employees shall only be permitted to sell back thirty-five (35)hours of accrued, unused vacation leave 4i too Ai per calendar year. Section 15.05 Vacation Time Accrual — For Temporary Industrial Disability Employees on temporary industrial disability may accrue vacation time for longer than two (2) years. Section 15.06 Payment of Vacation Time — Death of Employee In the event of an affected employee's death, earned, but not yet used Vacation Time shall be compensated in an amount equal to one- hundred percent (100 %) of the value of such vacation time based upon the affected employee's regular rate of pay at the time of death and shall be distributed to the affected employee's beneficiary. ARTICLE 16 BEREAVEMENT LEAVE Section 16.01 Bereavement Leave with Pay A. Affected employees shall be entitled to twenty -four (24) hours of bereavement leave upon the death of an immediate family member with pay per incident which shall increase to forty (40) hours per incident in those circumstances where one -way travel to a funeral or other memorial service is five hundred (500) or more miles measured from El Segundo City Hall. B. For the purpose of this section, immediate family shall include the children, parents, grandparents, and siblings of the affected employee, the affected employee's spouse or significant other. ARTICLE 17 JURY DUTY Section 17.01 Provisions Employees shall be entitled to a leave of absence for Jury Duty, subject to compliance with all of the following conditions: 1. The employee must provide written notice of the expected Jury Duty to his or her supervisor as soon as possible, but in no case later than fourteen (14) days before the beginning of Jury Duty (defined as the date on which the employee is directed by jury summons to either commence telephone contact with the jury administrator and /or appear in court.) 2. During the first two (2) weeks of Jury Duty, an employee shall be entitled to receive his or her regular compensation. 3. For any portion of Jury Duty that extends beyond the first two (2) weeks, such extended Jury Duty period shall be without pay unless, the employee presents written evidence that the court estimated during voire dire that the trial would be of two (2) or less weeks duration, or in the alternative the employee presents written evidence that he /she advised the court that City compensation was limited to two (2) weeks, that the employee asked to be excused because of this hardship, and the request was denied. 4. Any compensation for the first two (2) weeks of Jury Duty, except travel reimbursement pay, must be deposited with the Director of Human Resources. 5. While on Jury Duty, the employee must report to work during any portion of a day that the employee is relieved of Jury Duty for three (3) or more consecutive hours. 6. The employee must provide documentation of his or her daily attendance on Jury Duty. 12 4193•64.i.Ad ARTICLE 18 EXCEPTIONAL LEAVE Section 18.01 Provision The Exceptional Leave Program provides the City Manager discretion to award up to four (4 ) days per calendar year in recognition for extraordinary service of members of the Association, especially where sizable amounts of time are expended outside of normal business hours and beyond the normal requirements of the job. Awarded days may be used for time off or if unused, may be cashed in at the end of the calendar year. ARTICLE 19 PERSONAL EMERGENCY LEAVE Section 19.01 Personal Emergencies — Use of Eligible Leaves For affected employee's personal emergencies, that is, a serious illness of an immediate family member of the affected employee or the employee's spouse and for cases of extreme and unusual hardship or an emergency nature, affected employees, upon request, shall be entitled to utilize accumulated vacation leave, compensatory time -off, or personal leave day /floating holiday, for which prior notification is required; however, in certain instances, notification requirements may be waived. For the purpose of this section, immediate family shall include the children, parents, grandparents, and siblings of the affected employee, the affected employee's spouse or significant other. ARTICLE 20 HEALTH BENEFITS Section 20.01 Medical Contract The City contracts with the California PERS for the Public Employees' Medical and Hospital Care Program for medical insurance. Section 20.02 City Medical Contribution The cumulative monthly City funding of any PERS medical insurance plans for active employees and /or retirees, shall not exceed $1,800.00 per month. Section 20.03 Optical, Dental, and Life Insurance The City will pay 100% of the premiums for the agreed upon dental, optical and life insurance for affected employees and eligible dependents. A. Selection of the vision insurance plan carrier shall be made by the City. . B. The City reserves the right to determine the dental insurance carrier with whom the City will contract for coverage; however, the City agrees to consult with affected employees through the insurance committee and consider all suggestions and presentations on the insurance plan to be purchased. C. The City shall make available any city -wide improvements to the dental benefit, to the Association. D. The City will provide affected employees with $50,000 of life insurance at City cost. The City reserves the right to determine the insurance carrier with whom the City will contract for coverage. Additional insurance coverage for the affected employee (up to $100,000 maximum coverage) and for family members may be purchased at group rates, to the extent authorized by the carrier. 13 Section 20.04 Employee Assistance Program (EAP) The City will make available to affected employees an Employee Assistance Program which provides confidential assistance, referrals and counseling to affected employees and members of the affected employee's immediately family. The program is designed to provide professional assistance and support to help affected employees and their families resolve problems and issues that affect their personal lives or job performance. Section 20.05 Medical Insurance Continuation — On Duty Death A. If it is determined by the Workers' Compensation Appeals Board and /or the Public Employees' Retirement System that an affected employee has died as a direct and proximate result of the performance of duties in the course and scope of his/her employment, then the City shall continue to make group medical premium payments on behalf of the surviving spouse until age 65, Medicare eligibility, whichever comes first, and to the children of the deceased affected employee until age 18. Said medical premium payments on behalf of the children of a deceased affected employee shall continue if at age 18, the child commences uninterrupted college enrollment, but not to exceed the age of 23. B. The City -paid medical insurance premiums described herein shall be in an amount required to fund the level of medical insurance benefits which the deceased affected employee was receiving at the time of his/her death. For example, if at the time of death, the affected employee was enrolled in a specific HMO Plan, then future premium payments made pursuant to this article shall be in an amount required to maintain comparable plan benefits. C. City funded premiums shall be subject to the monthly limitation in ARTICLE 20.02. ARTICLE 21 UNIFORMS AND SAFETY EQUIPMENT Section 21.01 Provision of Uniforms and Safety Equipment The City shall provide required uniforms and safety equipment to affected employees. For purposes of this article, safety equipment shall include a weapon selected by the Police Chief. Section 21.02 Uniform Allowance A. Patrol lieutenants shall receive $53 per month of active duty. Non - patrol lieutenants and captains shall receive $40 per month of active duty. B. The parties are of the opinion that Uniform Allowance qualifies as compensation earnable pursuant to Section 20636 of the California Government Code and Section 571(a)(1) of the California Code of Regulations. However, the City makes no representation of law as the validity of that opinion and does not warrant its validity. ARTICLE 22 RETIREMENT BENEFITS Section 22.01 PERS Retirement Formula A. The City has implemented the 3% at 50 PERS retirement formula for all affected employees. B. Tier I1 - The City shall amend its contract with the Public Employees' Retirement System to implement the 3 % @55 retirement formula, in accordance with Government Code Section 21363.1, for unit employees hired on or after the effective date of the PERS contract amendment. HE 4193 . , . Section 22.02 PERS Pickup Reported as "Compensation Earnable" A. The City shall pay on behalf of each affected employee six (6) percent (6 %) "employee contribution" to CalPERS. B. The City shall report a set dollar amount equal to the nine six percent (9-6 %) "employee contribution" to the California Public Employees' Retirement System as compensation earnable. Section 22.03 Monetary Value of Employer -Paid Member Contributions (EPMC) A. Effective the first payroll period commencing on or after October 1, 2011 through the end of the contract, each unit employee shall pay three percent (3 %) toward PERS Employer -Paid Member Contribution. The three percent (3 %) shall be treated as an employer contribution for purposes of employee federal and state income tax withholding, as authorized by Internal Revenue Code (IRC) Section 414(h)(2) and Resolution No. 4497. B. The City shall prepare a Resolution for Council adoption resolving that the City shall pay the six percent (6 %) of the employer -paid member contributions (EPMC) paid to CalPERS and report such contribution as an item of special compensation on behalf of all members of the Association. C. The value of EPMC shall be calculated on all "compensation earnable" excluding the special compensation of the monetary value of the EPMC paid to CaIPERS by the employer under California Government Section 20636(c)(4). Section 22.04 Optional Contract Provisions A. The City shall provide "Level 4" 1959 Survivors Benefits. B. The City shall provide the Single Highest Year formula. C. The City shall provide the Military Service credit as public service option. D. The City shall provide the Pre - Retirement Option 2W Death Benefit. Section 22.05 Retiree Health Insurance Contribution Program Pursuant to the limitations and guidelines set forth in this MOU, the City will contribute to a retiree health insurance contribution program for service and disability retirees who participate in the Public Employees' Medical and Hospital Care Program. ARTICLE 23 DIRECT DEPOSIT and FLEXIBLE SPENDING ACCOUNT Section 23.01 Direct Deposit It is agreed between the City and the Association that it is in the mutual interest of the City and its employees that all affected employees utilize the currently available direct deposit system. Affected employees who do not desire to utilize direct deposit shall make their wishes known in writing to the Director of Human Resources, together with a statement of their reasons therefore. Exceptions to this direct deposit policy shall not be unreasonably denied. 15 4193• ' Section 23.02 Flexible Spending Account The City will maintain the Flexible Spending Account pursuant to the terms and conditions of the Internal Revenue Code. Each employee of the Association is eligible to participate in this voluntary program. The flexible spending account allows for payment of employee paid insurance premiums, non - reimbursed medical expenses and /or dependent care expenses with pre -tax dollars. ARTICLE 24 COMPUTER LOAN PROGRAM Section 24.01 Initial Loan Affected employees may apply for up to a $4,000 interest free loan to purchase personal computer hardware and software. Loans are repaid through payroll deductions over a three (3) year period. Outstanding loan balances must be fully paid off at the time an employee separates from the City. ARTICLE 25 DEFERRED COMPENSATION Section 25.01 Deferred Compensation Plan (457) A deferred compensation plan has been established as a benefit to affected employees. Each affected employee is eligible to participate in the plan. Section 25.02 Deferred Compensation Plan (401a) The City will pay an amount equal to the affected employee's contribution to deferred compensation up to a maximum of one percent (]%) of the affected employee's total pay, for all Association employees participating in City approved deferred compensation plans. Effective October 1, 2011, the 401(a) 1 % match for members of this unit shall be eliminated. Section 25.03 Deferred Compensation "Catch Up" Provision Affected employees with twenty (20) or more years of City service who have reached the age of forty - seven (47) or older can cash out one -third (113) of all accrued leave at their regular rate of pay, up to the deferred compensation maximum "catch up" permitted by law, during the affected employee's last three years of employment. In no event, can an employee cash -out a cumulative total greater than that permitted herein, and in no event shall the post- distribution leave balance be less than 120 hours. ARTICLE 26 CATASTROPHIC LEAVE PROGRAM Section 26.01 Purpose To establish a program whereby City employees may donate accumulated time to a catastrophic sick leave bank to be used by permanent, part-time and full -time employees who are incapacitated due to a catastrophic illness or injury. Section 26.02 Definition A catastrophic illness or injury is a chronic or long term health condition that is incurable or so serious that, if not treated, it would likely result in a long period of incapacity. Section 26.03 Procedures A. There is established a joint- employer /employee committee composed of an individual from each 16 4193•,. recognized employee organization and a representative of City Administration charged with administering the Catastrophic Leave Bank, B. Affected employees may transfer sick leave, vacation or compensatory leave to the Catastrophic Leave Bank to be donated to an employee who is experiencing catastrophic illness and has exhausted all personal sick leave. Such a transfer can be made on July 1 of each year on forms provided by the City of El Segundo. The employee to receive the donation will sign the "Request to Receive Donation" form allowing publication and distribution of information regarding his/her situation. C. Sick Leave, vacation and compensatory time leave donations will be made in increments of not less than one (1) day. These will be hour for hour donations. D. Affected employees must, at the time of donation, have a minimum of one hundred (100) hours of accumulated illness /injury leave remaining after a donation has been made. E. The donation of time is irrevocable. Should the recipient employee not use all of the donated time for the catastrophic illness or injury, any balance will remain in the Catastrophic Leave Bank to be administered by the committee and utilized for the next catastrophic leave situation. ARTICLE 27 LAYOFF PROCEDURES Section 27.01 Grounds for Layoff Whenever, in the judgment of the City Council, it becomes necessary to reduce the workforce, an employee may be laid off, reduced in classification or displaced by another employee. Such layoff, reduction or displacement shall result from action of the City Manager or his or her designee. The City Manager shall recommend to the City Council each classification to be affected by any such change. Section 27.02 Notice to Employees An employee filling a full time position shall be given fourteen (14) calendar days prior notice of layoff. Employees transferred, reduced or displaced shall be given five (5) calendar days notice. The City Council may approve a reduction in the notice requirements, if so recommended by the City Manager. Section 27.03 At -Will Employees The City Manager retains the right to layoff or alter the work assignment of the following employees at any time without notice or right of appeal: emergency employees, temporary or seasonal employees, part-time employees, original probationary employees, promotional probationary employees and employees designated at -will. The promotional probationary employee shall revert to his/her previously held classification and position without loss of seniority. Section 27.04 Procedures for Layoff A permanent employee in a classification affected by a reduction in force shall be laid off based on seniority in City service that is the employee with the least City service shall be laid off first, followed by the employee with the second least City service, etc. Seniority shall be determined by hire date. City seniority shall be used to effectuate the procedures set forth in this Article. Seniority for part-time employees shall be calculated as one -half (' /�) time from the date of hire with the City. Section 27.05 Breaking Ties In cases where two (2) or more employees have the same date of hire (i.e. equal seniority), retention 17 4193• GJ.0 J points for job performance shall be credited on the basis of the average of the overall evaluation ratings for the last three (3) years, provided the last rating had been filed more than thirty (30) days prior to the date of the layoff notice. Retention points are as follows: Exceeds Standard - 24 points Meets Standard - 12 points Below Standard - 0 points In the event of a tie in seniority, the employee with the lowest average of retention points shall be laid off first. In the event that one or more of the affected employees do not have overall evaluation ratings for the last three (3) years on file, ties shall be broken by a coin toss. Section 27.06 Reduction to a Vacant Position An employee designated for layoff as a result of abolition of a position or classification may be offered appointment to a vacant position in a lower classification, if the employee is qualified by education and/or experience for such position. If there is more than one qualified employee to be offered such appointment(s), the offer(s) shall be based on seniority, with the employee with the highest seniority offered the position first, then the next highest seniority, etc. If the employees have the same seniority, then the procedure for breaking ties set forth above shall apply. An employee accepting such appointment shall be placed on the step for the lower classification most closely corresponding, but in no case higher, than the salary step of his /her previously held position, and the employee will be assigned a new salary anniversary date on the effective date of the appointment. Section 27.07 Displacement Rights A. An employee designated for layoff as a result of abolition of a position or classification may displace ( "bump ") an employee in a lower classification in which the employee has prior service, provided the laid off employee has greater seniority than the employee in the lower classification. B. An employee designated for layoff with greater seniority may displace ( "bump ") a less senior employee in a lower classification, for which he /she is immediately qualified to perform. Section 27.08 Salary Placement An employee who is assigned to a lower classification as a result of a displacement (bump) shall be placed on the step ofthe salary range ofthe new classification, which is closest to the compensation of the employee in the previous classification, but in no case higher, and the employee will be assigned a new salary anniversary date on the effective date of the appointment. The employee shall, however, retain seniority while his/her name remains on reemployment list or lists. 18 4193•,..;.1 Section 27.09 Reemployment List The names of permanent employees who have been laid off under this section (including employees who have bumped down) shall be placed, in order of seniority from highest to lowest, on a reemployment list for their classification or any lower classification for which the employee is qualified by education and/or experience. Persons on such lists shall retain eligibility for appointment therefrom for a period of three (3) years from the date their names were placed on the list. As a vacancy within a classification or lower related classification becomes available, the name appearing at the top of the list shall be offered the opportunity to fill the vacancy. The name of an individual selected from the list to fill the vacancy who refuses the reemployment offer shall be permanently removed from the reemployment list without right of appeal. Laid -off employees do not earn seniority credit or benefits while on the reemployment list. Section 27.10 Letter of Layoff The City shall provide all employees who were laid off from the City a service letter setting forth that the employee was laid off and is eligible for reemployment. Those employees who were displaced to lower positions will be granted, upon the employee's request, a letter from the City stating the employee was reduced in status as a result of a layoff and is eligible for reemployment to the higher level position. Section 27.11 Rights on Reemployment If a person is reemployed by the City within three (3) years, the employee's seniority, sick leave and vacation accrual rates shall be reinstated. Any accumulated sick leave and/or vacation earnings shall also be reinstated to the extent that the employee did not receive compensation for such earnings at the time of layoff. Upon reemployment, employees will be placed on the same salary step held at the time of layoff. Section 27.12 Appeal An employee who 1) has not been provided a letter of layoff, per Section 24.10 , shall be treated as if he /she had been terminated for disciplinary purposes and shall be permitted to appeal the decision per the Disciplinary Appeal Procedure; or 2) has not been provided proper bumping or displacement rights, may file an appeal to the Director of Human Resources. ARTICLE 28 GRIEVANCE PROCEDURE Section 28.01 Definition of Terms A. Grievance —A grievance is an allegation of a violation, misinterpretation or misapplication of a specific written department or agency rule or regulation or a specific provision of a MOU. A grievance is distinct from an appeal in that it is a violation, misinterpretation or misapplication of a specific written department or agency rule and /or policy or a specific provision of a MOU. B. Grievant — A grievant is an employee or group of employees allegedly adversely affected by an act of omission of the agency. C. Day — A day is a business day (Monday — Friday). D. Immediate Supervisor — The first level supervisor of the grievant. Section 28.02 Time Limits A. Compliance and Flexibility —With the written consent of both parties, the time limitation for any step may be extended or shortened. 19 B. Calculation of Time Limits — Time limits for the appeal provided in each level shall begin the day following receipt or a written decision of appeal by the employee or employees. C. Failure to Meet Timeliness — Failure at any level of this procedure to communicate the decision on a grievance by the City within the specified time limits shall permit lodging an appeal at the next level of the procedure within the time allotted had the decision been given. If the grievance is not processed by the grievant or grievants in accordance with the time limits, the decision last made by the City shall be deemed final. Section 28.03 Procedure for Filing a Grievance A. In filing a formal written grievance, the employee shall set forth the following information. 1. The specific section of the departmental or agency rules or regulations allegedly violated, misinterpreted or misapplied. 2. The specific act or omission which gave rise to the alleged violation, misinterpretation or misapplication. 3. The date or dates on which the violation, misinterpretation or misapplication occurred. 4. What documents, witnesses or other evidence supports the grievants' position. 5. The remedy requested. Section 28.04 Grievance Procedure Grievances will be processed following the procedures set forth below. A. Level I — Within ten (10) days of the date the employee reasonable knew or should have known of the incident giving rise to the grievance, the employee should make an effort to resolve the grievance with the employee's immediate supervisor. The supervisor shall hold discussions and attempt to resolve the grievance within five (5) days from the time the employee meets with the supervisor to discuss the employees' grievance. B. Level II — In the event such efforts do not produce a mutually satisfactory resolution, the grievant shall have ten (10) days to file a formal written grievance with the employee's immediate supervisor after the fifteen (15) day time period provided in Level I. The immediate supervisor shall, within five (5) days, provide a written response to the grievant. C. Level III — If the formal written grievance is not resolved by the immediate supervisor, the grievant may present the grievance in writing to the department head within five (5) days of the written response from the immediate supervisor. The department head shall respond in writing within ten (10) days. D. Level IV — If the grievance is not resolved by the department head, the grievant may present the grievance in writing to the City Manager within five (5) days of the Department Head's written response. The City Manager or his /her designee will conduct an informal hearing and render a decision. Each party shall have the right to present witnesses and evidence at the hearing. The conclusions and findings of this hearing shall be final. Section 28.05 Matters Excluded From the Grievance Procedure A. The grievance procedure cannot be used for the purpose of resolving complaints, requests or NAX 4193•..] changes in wages, work hours or working conditions. B. The grievance procedure cannot be used to challenge employee evaluations or performance reviews. C. The grievance procedure cannot be used to challenge the merits of a reclassification, lay -off, transfer, denial of reinstatement, or denial of a step or merit increase. D. The grievance procedure cannot be used in cases of reduction in pay, demotion, suspensions or a termination which are subject to the formal appeal process outlined in Ordinance 586. Section 28.06 Conferences Grievant(s) and City representatives, shall, upon mutual agreement, have the right to a conference at any level of the grievance procedure. ARTICLE 29 POBR LIMITED APPEALS Section 29.01 Provisions The following administrative appeal process is established pursuant to Government Code § 3304.5. It shall supplement, though not replace, the disciplinary appeal process established pursuant to the City of El Segundo Ordinance utilizing the Los Angeles County Civil Service Commission hearing process (Municipal Code § 1- 6 -16.) This procedure shall not apply to disciplinary actions for which officers already are entitled to receive an appeal pursuant to the City Ordinance utilizing the Los Angeles County Civil Service Commission hearing process (set forth in Municipal Code § 1- 6 -16). It shall only apply to punitive actions, as that term is defined by Government Code § 3303, for which officers do not already receive an appeal hearing before the Los Angeles County Civil Service Commission. A. Right to Administrative Appeal Any public safety officer (as defined by Government Code § 3301) who is subjected to punitive action (as defined by Government Code § 3303) consisting of written reprimand, a transfer for purposes of punishment, a reduction in salary caused by a reassignment resulting in a loss of incentive, specialty, assignment, bonus, or similar pay, or suspension for five (5) or less days, is entitled to an administrative appeal only pursuant to this procedure. An officer shall not be entitled to appeal an action prior to its imposition. 2. An officer who appeals a punitive action under this procedure shall bear his /her own costs associated with the appeal hearing, including but not limited to any and all attorney fees. The cost of a hearing officer shall be equally borne by the Association and the City. B. Appeal of Written Reprimands 1. Within five (5) calendar days of receipt by an officer of notification of punitive action consisting of a written reprimand, the officer shall notify the Chief of Police in writing of the officer's intent to appeal the written reprimand. The notice of appeal shall specify the action being appealed and the substantive and procedural grounds for the appeal. C. Hearing Officer (Appeal of Written Reprimands Only) 21 3 1. The City Manager shall hear appeals of written reprimands, and may adopt, modify or reject the written reprimand. The City Manager's decision shall be final and binding. 2. The City Manager level administrative appeal shall not be a trial -type evidentiary hearing. The limited purpose of the hearing shall be to provide the officer with an opportunity to establish a record of the circumstances surrounding the action and to seek modification or rejection of the written reprimand. There shall be no subpoenas issued (for people or documents.) D. Appeal of Other Punitive Action 1. Appeal of punitive action consisting of suspensions of five (5) or less days, a transfer for purposes of punishment, or a reduction in salary caused by a reassignment shall be subject to appeal by means of the officer filing an appeal with the Chief of Police within five (5) calendar days of receipt by the officer of notice of punitive action being implemented on a date certain. The officer shall notify the Chief of Police in writing of the officer's intent to appeal said action. 2. The notice of appeal shall specify the action being appealed and the substantive and procedural grounds for the appeal. 3. The appeal shall be presided over by a hearing officer selected from a list of nine (9) provided by the State Mediation and Conciliation Service. The hearing officer shall be selected by alternate striking of names by the respective parties. E. Conduct of Hearing (5 Days or Less Suspensions, Transfers for Purposes of Punishment, Reduction in Salary Caused by a Reassignment.) 1. The formal rules of evidence do not apply, although the hearing officer shall have discretion to exclude evidence that is incompetent, irrelevant or cumulative, or the presentation of which will otherwise consume undue time. 2. The parties may present opening statements. 3. The parties may present evidence through documents and direct testimony. 4. The parties shall not be entitled to confront and cross - examine witnesses. 5. Following the presentation of evidence, if any, the parties may present closing arguments. 6. The hearing shall be audio recorded. 7. The officer may be represented by a representative of his or her choice at all stages of the proceedings. All costs associated with such representation and the presentation of the officer's case shall be borne by the Association. 8. The Department shall also be entitled to representation at all stages of the proceedings. The Department shall bear its cost of representation and of presentation of its case. 9. The hearing officer fees shall be equally borne by the City and the Association. 10. The decision of the hearing officer shall be final subject to the right of each party to the proceeding to contest the hearing officer's determination by means of a C.C.P. § 1094.5 petition for writ of mandate. 22 ARTICLE 30 TEMPORARY SERVICE IN HIGHER CLASSIFICATION Section 30.01 Acting Pay Where an affected employee is qualified for and is required for an appreciable period of time to serve temporarily in and have the responsibility for work in a higher class or position, when approved by the City Manager, such affected employee, while so assigned, shall receive the entrance salary rate of that class or whatever step thereof that is not less than five percent above his or her present rate, whichever is higher. For the purpose of this section, "appreciable period of time" is defined as ten (10) consecutive working days, or eight (8) working days if on four /ten (4/10) plan, or longer. The acting pay shall retroactively commence to the first day of the acting assignment. ARTICLE 31 POLICIES Section 31.01 Occupational Injury and Illness Policy The parties have agreed upon an Occupational Injury and Illness Policy, dated July 22, 2003. Section 31.02 Disability Retirement Policy The parties have agreed upon a Disability Retirement Policy dated May 2010. Section 31.03 Fitness for Duty Policy The parties have agreed upon a Fitness for Duty Policy, dated July 3, 2003. Section 31.04 Substance Abuse Policy and Drug -Free Workplace Statement The parties have agreed upon a Substance Abuse Policy and Drug -Free Workplace Statement dated, July 1, 2008. ARTICLE 32 TERM OF AGREEMENT Section 32.01 Term The term of this MOU shall be October 1, 2011 through September 30, 2013 with a PMA option to extend one additional year to September 30, 2014. The PMA shall inform the City of its decision whether or not to extend the agreement no later than March 30, 2013. ARTICLE 33 LIMITED LAYOFFS Section 33.01 No Layoffs 1. The City agrees to guarantee that no layoffs of unit members will occur during the term of this MOU unless at any time during the term of the contract the general fund actual core gross revenues, as defined in Article 2, for any six -month period fall seven and one -half percent (7.5 %) below the prior fiscal year actual core gross revenues for the same six -month period. 2. Before instituting any layoffs, the City will agree to meet and confer in good faith with the Association to explore alternative cost - saving approaches. ARTICLE 34 CONCESSIONS Section 34.01 City employees were asked to reduce pay and benefits in the amount of $2.9 million to resolve a 23 41 93 • ,',4 forecasted General Fund deficit for FY 2011/2012. This reduction would result in a structurally balanced budget for the fiscal year. At the conclusion of FY 2011/2012 if the budget results reveal City estimates were inaccurate by $2.9 million and pay and benefit reductions for City employees were not necessary, the City will negotiate with the PMA a resolution for the possible restoration of the agreed to contributions. Further, if any portion of concessions is restored by the City, the PMA would only be eligible for that amount or a Cost of Living Adjustment (COLA) as outlined Article 2, Section 2.01 for FY 2011/2012, whichever is greater. Signed by the City: Doug Willmore, City Manager Deborah Cullen, Finance /Human Resources Director Martha Dijkstra, Q Human Resources anag J ?41-1 �& Date 24 !;d by the socia io Lt. Ray Garcia, PMA President 9 -2,-7-11 Date