HomeMy WebLinkAbout04 - Approving Side Letter Agreements with Labor Groups Representing City Employees, Key and Management and City ManagerQ �EwPpRT
CITY OF
s NEWPORT BEACH
`q44:09 City Council Staff Report
August 27, 2024
Agenda Item No. 4
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Barbara J. Salvini, Human Resources Director - 949-644-3300,
bsalvini@newportbeachca.gov
PREPARED BY: Barbara J. Salvini, Human Resources Director
TITLE: Resolution No. 2024-60: Approving Side Letter Agreements with
Labor Groups Representing City Employees, Approving an
Amendment to the Key and Management Compensation Plan and
Authorizing the City Manager to Enter into Amendment B to the
Employment Agreement with the Fire Chief
ABSTRACT:
The City Council wishes to address the continued inflationary pressures City of Newport
Beach employees are experiencing by extending prior side letters of agreement which
offered either a reduced employee retirement benefit contribution or an increased
health cafeteria allowance contribution. Further, the City Council is focusing on
recruitment and retention challenges by offering a one-time bonus to certain eligible
members.
RECOMMENDATIONS:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because
this action will not result in a physical change to the environment, directly or indirectly;
b) Adopt Resolution No. 2024-60, A Resolution of the City of Newport Beach, California
Approving Side Letter Agreements with Labor Groups Representing City Employees,
Approving an Amendment to the Key and Management Compensation Plan and
Authorizing the City Manager to Enter into Amendment B to the Employment
Agreement with the Fire Chief;
c) Authorize the City Manager to Execute Amendment B to the Employment Agreement
with the Fire Chief; and
d) Approve Budget Amendment No. 25-012 appropriating $1,920,137 to various salary
and benefit accounts.
DISCUSSION:
The City is currently in multi -year labor agreements with its employee bargaining units.
The current Memoranda of Understanding (MOUs) cover wages, benefits and other terms
and conditions of employment for these represented employees. Although
Key & Management employees are unrepresented, their terms and conditions
4-1
Resolution No. 2024-60: Approving Side Letter Agreements with Labor Groups
Representing City Employees, Approving an Amendment to the Key and Management
Compensation Plan and Authorizing the City Manager to Enter into Amendment B to the
Employment Agreement with the Fire Chief
August 27, 2024
Page 2
of employment are outlined in the Key and Management Compensation Plan (Plan) which
is in effect through calendar year 2025.
Also in place are multi -year employment agreements with the City Manager,
City Attorney, City Clerk (collectively referred to as the "Appointees") and the City's Fire
Chief which set forth the terms and conditions of their employment, some of which are
tied to Plan benefits.
Since entering into the multi -year MOUs, Plan and employment agreements, the
City Council has approved side letters of agreement, Plan amendments and employee
contract amendments to provide some economic relief to City employees, however,
inflationary pressures continue to impact current employees and affect recruitment and
retention. As a result, the City Council wishes to extend its offer of temporary relief to
City employees, including the City Manager, City Attorney and City Clerk. Where needed,
Side Letter Agreements (Side Letters) have been executed which, depending on the
bargaining unit, provide for either a temporary reduction in the employee retirement
contribution or a temporary increase to the employee cafeteria medical allowance.
Additionally, a one-time $4,000 bonus is being offered to eligible members of certain
collective bargaining associations and certain Key and Management employees.
The Fire Chief's employment agreement is being amended to include the extended
temporary reduction in the employee retirement contribution and the $4,000 bonus.
Because the Police Chief does not have an employment agreement, modifications have
been made to the Key and Management Compensation Plan so that he too, will receive
a $4,000 bonus as well as a temporary reduction in the employee pension contribution.
If the City Council adopts Resolution No. 2024-60, City staff will work to implement the
provisions as soon as practicable.
a I,*a_ym I ►yi U_To 9
As a result of approving side letter agreements and amending the Plan and the Fire Chief
employment agreement to provide for temporary relief in the form of a reduced employee
pension contribution, increased monthly cafeteria allowance, and/or $4,000 bonus, the
attached budget amendment will add approximately $1.9 million to the budget. Funding
will come from the Fiscal Year 2023-24 General Fund year-end surplus.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
4-2
Resolution No. 2024-60: Approving Side Letter Agreements with Labor Groups
Representing City Employees, Approving an Amendment to the Key and Management
Compensation Plan and Authorizing the City Manager to Enter into Amendment B to the
Employment Agreement with the Fire Chief
August 27, 2024
Page 3
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A — Resolution No. 2024-60
Attachment B — Costing Summary
Attachment C — Budget Amendment No. 25-012
4-3
ATTACHMENT A
RESOLUTION NO. 2024-60
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH, CALIFORNIA, APPROVING
SIDE LETTER AGREEMENTS WITH LABOR GROUPS
REPRESENTING CITY EMPLOYEES, APPROVING AN
AMENDMENT TO THE KEY AND MANAGEMENT
COMPENSATION PLAN AND AUTHORIZING THE CITY
MANAGER TO ENTER INTO AMENDMENT B TO THE
EMPLOYMENT AGREEMENT WITH THE FIRE CHIEF
WHEREAS, the City Council of the City of Newport Beach ("City Council")
previously adopted Resolution No. 2001-50, the "Employer -Employee Relations
Resolution," pursuant to authority contained in the Meyers-Milias-Brown Act, Government
Code 3500, et seq.;
WHEREAS, the City of Newport Beach ("City") promotes effective communication
and collaborative working relationships with its employees to foster improved relations
while balancing good management practices;
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Part Time Employees Association of Newport Beach ("PTEANB"), a recognized
organization, for the term of January 1, 2022, through December 31, 2025, and,
thereafter, temporarily reduced the employee retirement percentage contributions
pursuant to a Side Letter of Agreement dated November 29, 2022;
WHEREAS, the City previously entered into a Memorandum of Understanding with
the Association of Newport Beach Ocean Lifeguards ("ANBOL"), a recognized
organization, for the term of September 13, 2022, through June 30, 2025, and, thereafter,
temporarily reduced the employee retirement percentage contributions pursuant to a Side
Letter of Agreement dated November 29, 2022;
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Newport Beach Police Association ("NBPA"), a recognized organization, for the
term of July 1, 2021, through November 30, 2025, and, thereafter, temporarily increased
the City's monthly contribution towards the cafeteria plan ("Cafeteria Plan") pursuant to a
Side Letter of Agreement dated November 29, 2022;
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Newport Beach Police Management Association ("NBPMA"), a recognized
organization, for the term of July 1, 2022, through June 30, 2026, and, thereafter,
temporarily increased the City's monthly contribution towards the Cafeteria Plan pursuant
to a Side Letter of Agreement dated November 29, 2022;
Resolution No. 2024-
Page 2 of 6
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Newport Beach Firefighters Association ("NBFA") a recognized organization, for
the term of January 1, 2022, through December 31, 2025, and, thereafter, temporarily
increased the City's monthly contribution towards the Cafeteria Plan pursuant to a Side
Letter of Agreement dated November 29, 2022;
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Newport Beach Fire Management Association ("NBFMA"), a recognized
organization, for the term of July 1, 2022, through June 30, 2026, and, thereafter,
temporarily increased the City's monthly contribution towards the Cafeteria Plan pursuant
to a Side Letter of Agreement dated November 29, 2022;
WHEREAS, the City previously entered into a Memorandum of Understanding
with the Newport Beach Lifeguard Management Association ("NBLMA"), a recognized
organization, for the term of January 1, 2022, through December 31, 2025, and,
thereafter, temporarily increased the City's monthly contribution towards the Cafeteria
Plan pursuant to a Side Letter of Agreement dated November 29, 2022;
WHEREAS, the City Council previously adopted Resolution No. 2022-10
approving a Key and Management Compensation Plan ("Plan"), which established
compensation and benefit terms for unrepresented employees, including Executive
Management, Administrative Management, Division Management and Confidential
employees for the period January 1, 2022, through December 31, 2025, and, thereafter,
temporarily reduced the employee retirement percentage contributions pursuant to the
Second and Third Amendments to the Plan;
WHEREAS, on January 25, 2022, the City and City Manager entered into a Third
Amended and Restated Employment Agreement, for the period of January 25, 2022,
through December 30, 2026, and, on November 29, 2022, modified the employee
retirement percentage contributions to be the same as the non -safety employees covered
by the Plan, pursuant to Amendment A to the Third Amended and Restated Employment
Agreement;
WHEREAS, on March 22, 2022, the City and City Attorney entered into a Seventh
Amended and Restated Employment Agreement, for the period of March 22, 2022,
through December 30, 2028, and, on November 29, 2022, modified the employee
retirement percentage contributions to be the same as the non -safety employees covered
by the Plan, pursuant to Amendment A to the Seventh Amended and Restated
Employment Agreement;
4-5
Resolution No. 2024-
Page 3 of 6
WHEREAS, on May 24, 2022, the City and City Clerk entered into a Seventh
Amended and Restated Employment Agreement, for the period of May 24, 2022, through
May 24, 2026, and, on November 29, 2022, modified the employee retirement percentage
contributions to be the same as the non -safety employees covered by the Plan, pursuant
to Amendment A to the Seventh Amended and Restated Employment Agreement;
WHEREAS, on February 8, 2022, the City Council authorized the City Manager
to enter into the First Amended and Restated Employment Agreement with the Fire Chief,
for the period of February 8, 2022, through December 30, 2025, and, on November 29,
2022, authorized the temporary reduction of the employee retirement percentage
contributions pursuant to Amendment A to the First Amended and Restated Employment
Agreement;
WHEREAS, the country has continued to experience inflation and healthcare cost
increases since the approval of the Memoranda of Understanding, Plan, employment
agreements, and amendments thereto;
WHEREAS, the City Council desires to amend the Memoranda of Understanding
between the City and certain recognized organizations by approving Side Letters of
Agreement with PTEANB and ANBOL, which provide for an extension of a temporary
reduction in the employee retirement percentage contributions, as set forth in Exhibits A
through B;
WHEREAS, the City Council desires to amend the Memoranda of Understanding
between the City and certain recognized associations by approving Side Letters of
Agreement with NBPA, NBPMA, NBFA, NBFMA, and NBLMA, which provide for an
extension of the temporary increase in the City's monthly contribution towards the
Cafeteria Plan as well as a bonus to eligible employees, as set forth in Exhibits C through
G;
WHEREAS, the City Council desires to amend the Plan to provide a bonus to
eligible Key and Management employees as well as a temporary reduction in the
employee retirement percentage contributions for Key and Management employees, as
set forth in Exhibit H;
WHEREAS, the City Council recognizes that the council appointees' retirement
percentage contributions are the same as those for Key and Management employees;
on
Resolution No. 2024-
Page 4 of 6
WHEREAS, the City Council wishes to authorize the City Manager to enter into
an amendment to the employment agreement with the Fire Chief to provide for a
temporary reduction in the employee retirement percentage contribution as well as a
bonus, as set forth in Exhibit I;
WHEREAS, by adopting this resolution, the City Council intends to extend the
temporary reduction of employee retirement percentage contributions, as set forth in
Exhibits A, B, H and I, and which, by previous contractual amendments, includes the
council appointees;
WHEREAS, by adopting this resolution, the City Council intends to extend the
temporary increase in the City's monthly contribution towards the Cafeteria Plan, as set
forth in Exhibits C through G as well as provide a bonus to eligible employees, as set forth
in Exhibits C through I; and
WHEREAS, by adopting this resolution, the City Council also desires to replace
certain language contained in the existing Memoranda of Understanding, Plan, and Fire
Chiefs First Amended and Restated Employment Agreement by adopting the Side
Letters of Agreement, the amendment to the Plan and authorizing the City Manager to
enter into an amendment to the Fire Chiefs First Amended and Restated Employment
Agreement, and for the language set forth in Exhibits A through i to serve as the
controlling language, as set forth therein.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows:
Section 1: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
Section 2: The City Council hereby approves, and authorizes the Mayor to
execute, all the Side Letters of Agreement attached hereto as set forth in Exhibits A
through G, which are incorporated herein by this reference, as well as the employee
retirement percentage contributions, bonuses, and/or cafeteria plan contributions as set
forth therein. The employee retirement percentage contributions, bonus and/or cafeteria
plan contributions referenced in the attached Side Letters of Agreement shall prevail over
any previously adopted employee retirement percentage contributions, bonus and/or
cafeteria plan contributions that conflict therewith.
4-7
Resolution No. 2024-
Page 5 of 6
Section 3: The City Council hereby approves the Amendment to the Plan
attached hereto as set forth in Exhibit H, which is incorporated herein by reference, as
well as the employee retirement percentage contributions and bonuses set forth therein.
The employee retirement percentage contributions and bonuses referenced in Exhibit H
shall prevail over any previously adopted employee retirement percentage contributions
or bonuses that conflict therewith.
Section 4: The City Council hereby authorizes the City Manager to enter
Amendment B to the Fire Chiefs First Amended and Restated Employment Agreement
as set forth in Exhibit 1, which is attached hereto and incorporated herein by this reference
and approves the employee retirement percentage contributions and bonus set forth
therein. The employee retirement percentage contributions and bonus referenced in
Exhibit I shall prevail over any previously adopted employee retirement percentage
contributions or bonus that conflicts therewith.
Section 5: if any section, subsection, sentence, clause or phrase of this
resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not
affect the validity or constitutionality of the remaining portions of this resolution. The City
Council hereby declares that it would have passed this resolution, and each section,
subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or
more sections, subsections, sentences, clauses or phrases be declared invalid or
unconstitutional.
Section 6: The City Council finds the adoption of this resolution is not subject to
the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378)
of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3,
because it has no potential for resulting in physical change to the environment, directly or
indirectly.
ON
Resolution No. 2024-
Page B of 6
Section 7: This resolution shall take effect immediately upon its adoption by
the City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 27th day of August, 2024.
Will O'Neill
Mayor
ATTEST:
Leilani 1. Brown
City Clerk
APPROVED AS TO FORM:
CITY TTORNEY'S OFFICE
Aaron C. Harp
City Attorney
Attachments: Exhibit A: Side Letter of Agreement between the City and PTEANB
Exhibit B: Side Letter of Agreement between the City and ANBOL
Exhibit C: Side Letter of Agreement between the City and NBPA
Exhibit D: Side Letter of Agreement between the City and NBPMA
Exhibit E: Side Letter of Agreement between the City and NBFA
Exhibit F: Side Letter of Agreement between the City and NBFMA
Exhibit G: Side Letter of Agreement between the City and NBLMA
Exhibit H: Fifth Amendment to the City Key and Management
Compensation Plan
Exhibit I: Amendment B to the First Amended and Restated
Employment Agreement between the City and the Fire Chief
EXHIBIT A
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE PART TIME EMPLOYEES ASSOCIATION OF NEWPORT BEACH
This Side Letter of Agreement (`'Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach {"City"} and the Part Time
Employees Association of Newport Beach ("Association") (collectively "Parties") with
respect to the following:
WIREREAS, on March 8, 2022, the City Council adopted Resolution No. 2022-17
approving a Memorandum of Understanding ("MOU") between the Parties with a term of
January 1, 2022, through December 31, 2025;
WHEREAS, given existing inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
1. The following language in Section 3, Fringe Benefits, Subsection F,
Retirement Benefit, Subsection 2, Employee Contributions, of the MOU, which was
previously amended pursuant to the Side Letter Agreement dated November 29, 2022, is
hereby amended and shall read as follows:
"2. Employee Contributions
The Association has agreed to share in the rising cost of pension
obligations. Under the terms of this MOOT, unit members will contribute additional
amounts toward the Ca1PERS retirement benefit, to the extent permissible by law.
Should any provision be deemed invalid, the City and Association agree to meet for
the purpose of renegotiating employee retirement contributions.
Employee retirement contributions that are in addition to the normal
Ca1PERS Member Contribution (of 7% or 8%) shall be calculated on base pay, special
pays, and other pays normally reported as "PERSable" compensation and will be made
on a pre-tax basis through payroll deduction, to the extent allowable by law. It is
recognized that these payments will not be reported to Ca1PER5 as contributions
toward either the Member or Employer rate, as provided under Government Code
Section 20516(f).
Part Time Employees Association of Newport Beach
Side Letter Agreement
Page 1 of 4
4-10
Under a separate agreement and ratified via a contract amendment with
CAPERS in 2008, Tier I employees shall contribute 2.42% compensation earnable (as
cost sharing) per Government Code section 20516(a).
Tier I Employees - shall contribute a total employee contribution of
13% as follows; Tier I — Eight percent (Bola) member contribution, 2.42% of
compensation earnable as cost sharing per Government Code section 20516(a) and
2.58% of compensation earnable as cost sharing per Government Code section
20516(f),
Temporary Reduction. Effective the pay period that includes January
1, 2023, Tier I Employees shall contribute a total employee contribution of 11.5% as
follows: Tier I — Eight percent (8%) member contributions, 2.42% of compensation
earnable as cost sharing per Government Code section 20516(a) and 1.08% of
compensation earriable as cost sharing per Government Code section 20516(f). This
reduction in the employee contribution rate sunsets at the end of the last full pay period
in December 2025. Accordingly, effective the pay period that includes January I,
2026, Tier I Employees shall contribute a total employee contribution of 13% as
follows: Tier 1 — Eight percent (8%) member contribution, 2.42% of compensation
earnable as cost sharing per Government Code section 20516(a) and 2.58% of
compensation earnable as cost sharing per Government Code section 20516(f).
Tier 11 Employees - shall contribute a total employee contribution of
13% as follows: seven percent (7%) (compensation earnable) member contribution
and six percent (6%) of compensation earnable as cast sharing per Government Code
section 20516(f),
Tem orary Reduction. Effective the pay period that includes January
1, 2 02 3, Tier II Employees shall contribute a total employee contribution of 11.5% as
follows: seven percent (7%) (compensation earnable) member contribution and four
and one-half percent (4.5%) of compensation earnable as cost sharing per Government
Code section 20516(f). This reduction in the employee contribution rate sunsets at the
end of the last full pay period in December 2025. Accordingly, effective the pay
period that includes January 1, 2026, Tier 11 employees shall contribute a total
employee contribution of 13% as follows: seven percent (7°/o) (compensation
carnable) member contribution and six percent (6%) of compensation earnab]e as cost
sharing per Government Code section 20516(f).
Tier III Employees - The minimum statutory employee contribution for
employees in Tier III is subject to the provisions of PEPRA and equats 50% of the
"total normal cost". Tier III employees shall make an additional Contribution of
pensionable compensation toward retirement pursuant to Goverrurient Code section
20516(o, such that the total employee contribution equals 13% of pensionable
compensation.
Tem orary Reduction. Effective the pay period that includes January
1, 2023, the minimum statutory employee contribution for employees in Tier III is
Part Time Employees Association of Newport Beach
Side Letter Agreement
Page Z of 4
4-11
subject to the provisions of PEPRA and equals 50% of the "total normal cost". Tier
III employees shall make an additional contribution of pensionable compensation
toward retirement pursuant to Government Code section 20516(o, such that the total
employee contribution equals no less than 11.5% of pensionable compensation (i.e.,
the greater of 11.5% or 50% of the "total normal cost"). This reduction in the employee
contribution rate sunsets at the end of the last full pay period in December 2025.
Accordingly, effective the pay period that includes January 1, 2026, the minimum
statutory employee contribution for employees in Tier III is subject to the provisions
of PEPRA and equals 50% of the "total normal cost", Tier III employees shall make
an additional contribution of pensionable compensation toward retirement pursuant to
Government Code section 20516(f), such that the total employee contribution equals
no less than 13)% of pensionable compensation (i.e., the greater of 13% or 50% of the
"total normal cost"),
The City contracts with CalPERS for the 4'h Level 1959 Survivors
Insurance Benefit, $500 Lump Sum Death Benefit, Sick Leave Credit, Military
Service Credit, 2% Cost of Living Adjustment and the pre -retirement option
settlement 2 death benefit (Government Cade Section 21548).
Employees in the classifications Police Cadet and Police Reserve
Officer are excluded from membership in PERS, as provided in the contract between
the City of Newport Beach and the Hoard of Administration of the Public Employees'
Retirement System."
2. Except as expressly modified herein, all other provisions, terms, and
covenants set forth in the MOU shall remain unchanged and shall be in full force and effect.
Signatures on the next page
Part Time Employees Association of Newport Beach
Side Letter Agreement
Page 3 of 4
4-12
Executed this �( day of �� 2024
FOR THE PART TIME EMPLOYEES ASSOCIATION OF NEWPORT
BEACH:
By: &
r I
Craig, res' t
OR THE CITY OF NEWPORT BEACH:
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By: , C.
�..—
Aaron C. Harp, City Attorney
ATTEST:
Leilani Brown, City Clerk
Part Time Employees Association of Newport Beach
Side Letter Agreement
Page 4 of
4-13
EXHIBIT B
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE ASSOCIATION OF NEWPORT BEACH OCEAN LIFEGUARDS
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City") and the Association of
Newport Beach Ocean Lifeguards ("Association") (collectively "Parties") with respect to
the following:
WHEREAS, on September 13, 2022, the City Council adopted Resolution No.
2022-57 approving a Memorandum of Understanding ("MOU") between the Parties with
a term of September 13, 2022, through June 30, 2025;
WHEREAS, given existing inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mt:tually agreed between the Parties as follows:
I. The following language in Section 4, Fringe Benefits, Subsection H,
Retirement Benefit, Subsection 2, California Public Employees Retirement System
(CalPERS), of the MOU, Which was previously amended pursuant to the Side Letter
Agreement dated November 29, 2022, is hereby amended and shall read as f'oI lows:
`2. California Public Employees Retirement System (CaIPERS)
It is the employees' responsibility to notify the Human Resources
Department of outside employment. If the City is notified by CaIPERS that an
ANBOL member has become a CaIPERS member through working at another
CaIPERS agency, said employee is responsible for reimbursing the City their portion
of cost sharing as required by all members and outlined below, pursuant to
Government Code , 20516(0, CaIPERS will invoice their member for the employee
rate only. For example, a PERS member may receive an invoice from PERS for 1 l .5%
of pensionable compensation; however, the ANBOL member will still need to
reimburse the City 2.1 % of pensionable compensation for a total of 13.6%. The City
will remind employees of this obligation at the start of the season.
The following provisions apply only to bargaining unit members
enrolled in CaIPERS as Safety members, consistent with the City's contract with
CaIPERS:
ANBQL Side Letter Agreement
Page 1 of 4
4-14
Tier I: For employees hired by the City as safety members on or before
November 23, 2012, the retirement formula shall be 3% Q) 50 calculated on the basis
af'the highest consecutive 12 months.
Tier fl: For employees First hired by the City as safety members
between November 24, 2012, and December 31, 2012, or hired on or after January 1,
2013 and who are not new members as defined in Government Code Section
7522.04(f), the retirement formula is 2% a 50 calculated on the basis of the highest
36 month period selected by employee.
Tier 111: For employees First hired by the City as safety members on or after
January I, 2013, who are new members, as defined in Goverment Code Section
7522.04(f), the retirement formula shall be 2.7% @ 57 calculated on the basis of the highest
consecutive 36-month period selected by employees.
Employee Contributions
Tier I & Tier 11 Safety Employees - ANBOL Tier 1 and Tier 11 safety employees
will contribute the full statutory member contribution, equal to nine percent (9%) of
pensionable compensation, plus an additional 4.6% of pensionable compensation toward
retirement casts as permitted under Government Code section 20516(t), for a total
contribution of 13.6%.
Temporary Reduction. Effective the pay period that includes January 1, 2023, Tier
f and Tier 11 safety employees shall contribute a total employee contribution as follows:
Nine percent (9%) member contributions, and an additional contribution of 3.1 %
compensation earnable as cost sharing pursuant to Government Code section 20516(f), such
that the total employee contribution equals no less than 12.1 % of compensation earnable
or 50% of the total normal cost for PEPRA safety employees, whichever is greater, but in
no event shall total employee contribution exceed 13.6%. This reduction in the employee
contribution rate sunsets at the end of the last full pay period in December 2025.
Accordingly, effective the pay period that includes January 1, 2026, Tier l and Tier 11 safety
employees shalt contribute a total employee contribution of 13.6% as follows: 9°I) member
contribution and 4.6% of compensation earnable as cost sharing per Government Code
section 205 16(f).
Tier Ill Safety Employees - In addition to the statutorily required 50% contribution
of total normal costs ("member contribution rate"), Tier IIl safety employees shall
contribute an additional amount of pensionable compensation toward retirement costs
pursuant to Government Code section 20516(f) so that their contribution equals a total
contribution of 13.6% of pensionable compensation.
Temporary Reduction. Effective the pay period that includes January 1, 2023, the
m inimurn statutory ern ployee contribution for safety employees in Tier III is subject to the
provisions of PEPRA and equals 50% of the total normal cost. Tier Ill safety employees
shall make an additional contribution of pensionable compensation toward retirement
pursuant to Government Code section 20516(f), such that the total employee contribution
equals no less than 12.1 % of pensionable compensation or 50% of the total normal cost
ANBGL Side Letter Agreement
Page 2 of 4
4-15
lar PEPRA safety employees (i.e., the greater of 12.1 % or 50% of the "total normal cost").
This reduction in the employee contribution rate sunsets at the end of the last full pay period
in December 2025. Accordingly, effective the pay period that incILides January 1, 2026, the
minimum statutory employee contribution for safety employees in Tier 111 is subject to the
provisions of PEPRA and equals 50% of the total normal cost. Tier 1i1 safety employees
shall make an additional contribution of pensionable compensation toward retirement
pursuant to Government Code section 205 16(f), such that the total employee contribution
equals no less than 13.6% of pensionable compensation (i.e., the greater of 13.6% or 50%
of the "total normal cost").
If in future Fiscal years the member contribution rate for safety employees in Tier
Il] shall become greater or less, as determined by Ca1PERS valuations, the additional
contribution made by the employee under Government Code section 20516(f) will be
increased or decreased accordingly so that the total employee contribution equals 13.6%
of pensionable compensation. Provided however, that the employee contribution shall
never fall below the statutorily required contribution,"
2. Except as expressly modified herein, all other provisions, terms, and
covenants set forth in the MO shai I remain unchanged and shall be in full force and effect.
Signatures on the next page
ANBOL Side Letter Agreement
Page 3 of 4
4-16
Executed this day of . u� , 2024
FOR THE ASSOCIATION OF NEWPORT BEACH OCEAN
LIFEGUARDS:
B '
Dan Moo , Pr edei
FOR THE CITY OF NEWPORT BEACH:
LE
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By=
Aaron C. Harp, City Attorney
ATTEST:
Leilani Brown, City Clerk
ANBOL Side Letter Agreement
Page 4 of 4
4-17
EXHIBIT C
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH POLICE ASSOCIATION
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City") and the Newport Beach
Police Association (""PA") (collectively "Parties") with respect to the following:
WHEREAS, on December 14, 2021, the City Council adopted Resolution No.
2021-129 approving a Memorandum of Understanding ("MOU") between the Parties with
a term of July 1, 2021, through November 30, 2025,
WHEREAS, given present inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
1. Section 2, Compensation, Subsection A, Salary Adjustments, of the MOLT
is amended to add Subsection (6), Lump Sum Bonus (FY 2024-25), which shall read as
follows:
166. Lump Sum BonusJFY 2024_25). Lump sum bonuses in the amount
of One Thousand Dollars and No Cents ($1,000.00) will be paid to all
Bargaining Unit Employees that are employed by the City on each of the
following dates, as set forth below:
NBPA Side Letter Agreement
- Bargaining Unit Employees employed by the City on August 27,
2024, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on September 13, 2024;
- Bargaining Unit Employees employed by the City on October 1,
2024, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on October 11, 2024;
- Bargaining Unit Employees employed by the City on January 1,
2025, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on January 17, 2025; and
- Bargaining Unit Employees employed by the City on April 1,
2025, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on April 11, 2025.
Page 1 of 3
4-18
The parties intend and understand that the lump sum bonuses are non -
pensionable and will not be reported to Ca1PERS. The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump sum bonus is considered part of the
regular rate for the pay period in which it is paid only."
2. The following language in Section 4, Fringe Benefits, Subsection A,
Insurance, Subsection 2, Medical Insurance, Subsection (b)(i), City Contribution, of the
MOU, which was previously amended pursuant to the Side Letter Agreement dated
November 29, 2022, is hereby amended and shall read as follows:
"2. Medical Insurance
b. City Contribution
Language in the MOU: i. The City's monthly contribution towards
the Cafeteria Plan is $1,524.00 (plus the minimum CaIPERS participating
employer's contribution as outlined in Government Code § 22892.)
Amended Language:
i. The City's monthly contribution towards the
Cafeteria Plan is $1,524.00 (plus the minimum Ca1PERS participating
employer's contribution as outlined in Government Code section 22892.)
Temporary Increase. Effective the pay period that includes January 1, 2023,
the City's monthly contribution towards the Cafeteria Plan increases to
$1,624.00 (plus the minimum Ca1PERS participating employer's
contribution as outlined in Government Code section 22892). Effective the
pay period that includes July 1, 2025, the City's monthly contribution
towards the Cafeteria Plan decreases to $1,524.00 (plus the minimum
Ca1PERS participating employer's contribution as outlined in Government
Code section 22892)."
3. Except as expressly modified herein, all other provisions, terms, and
covenants set forth in the MOU shall remain unchanged and shall be in full force and effect.
Signatures on the next page
NBPA Side Letter Agreement
Page 2 of 3
4-19
Executed this I M day of A& 4 10 a; 2024
ATTEST:
Un
FOR THE NEWPORT BEACH POLICE ASSOCIATION:
By: /letJa . 4154,0
seph D ]ulio, President
FOR THE CITY OF NEWPORT BEACH:
LE
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By- 04.1 C k i
Aaron Harp, City Attorney
Leilani Brown, City Clerk
NBPA Side Letter Agreement
Page 3 of 3
4-20
EXHIBIT D
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City") and the Newport Beach
Police Management Association ("NBPMA") (collectively "Parties") with respect to the
following:
WHEREAS, on June 28, 2022, the City Council adopted Resolution No, 2022-44
approving a Memorandum of Understanding ("MOU") between the Parties with a term of
July 1, 2022, through June 30, 2026;
WHEREAS, given present inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
1. Section 2, Compensation, of the MOU is amended to add Subsection K,
Lump Sum Bonus (FY 2024-25), which shall read as follows:
"K. Lamp Sum Bonus (FY 2024-25)
Lump sum bonuses in the amount of One Thousand Dollars and No Cents
($1,000.00) will be paid to all Bargaining Unit Employees that are
employed by the City on each of the following dates, as set forth below:
NBPMA Side Letter Agreement
- Bargaining Unit Employees employed by the City on August 27,
2024, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on September 13, 2024;
- Bargaining Unit Employees employed by the City on October 1,
2024, will receive a lump sutra bonus of One Thousand Dollars
and No Cents ($1,000) on October 11, 2024;
- Bargaining Unit Employees employed by the City on January 1,
2025, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1.000) on January 17, 2025; and
Page 1 of 3
4-21
- Bargaining Unit Employees employed by the City on April 1,
2025, will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on April 11, 2025.
The parties intend and understand that the lump sum bonuses are non -
pensionable and will not be reported to Ca1PERS. The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump sum bonus is considered part of the
regular rate for the pay period in which it is paid only,"
2. The following language in Section 4, Fringe Benefits, Subsection A, Health
Insurance, Subsection 2, Medical Insurance, Subsection (b)(i), City Contribution, of the
MOU, which was previously amended pursuant to the Side Letter Agreement dated
November 29, 2022, is hereby amended and shall read as follows:
"2. Medical Insurance
b. City Contribution
Lanaugge in the MOU: i, The City's monthly contribution
towards the Cafeteria Plan is $1,524.00 (plus the minimum CalPERS
participating employer's contribution as outlined in Government Code §
22892.)
Amended Language
i. The City's monthly contribution towards the
Cafeteria Plan is $1,524.00 (plus the minimum Ca1PERS participating
employer's contribution as outlined in Government Code § 22892.)
Tempovaa Increase. Effective the pay period that includes January 1, 2023,
the City's monthly contribution towards the Cafeteria Plan increases to
$1,624.00 (plus the minimum Ca1PERS participating employer's
contribution as outlined in Government Code § 22892). Effective the pay
period that includes July 1, 2025, the City's monthly contribution towards
the Cafeteria Plan decreases to $1,524,00 (plus the minimum CaIPERS
participating employer's contribution as outlined in Government Code §
22892)."
3. Except as expressly modified herein, all other provisions, terns, and
covenants set forth in the MOU shall remain unchanged and shall be in full force and effect.
Signatures on the next page
NBPMA Side Letter Agreement
Page 2 of 3
4-22
Executed this ��,day of 14v 1 10J4-, 2024
FOR THE NEWPORT BEACH POLICE MANAGEMENT
ASSOCIATION:
By: or t-
A & . (.
Eric Little, President
FOR THE CITY OF NEWPORT BEACH:
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By: 006-(,
—
Aaron Harp, City Attorney
ATTEST:
Leilani Brown, City Clerk
NBPMA Side Letter Agreement
Page 3 of 3
4-23
WA: 11 1194
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH FIREFIGHTERS ASSOCIATION
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City" ) and the Newport Beach
Firefighters Association ("NBFA"} (collectively "Parties") with respect to the following:
WHEREAS, on December 14, 2021, the City Council adopted Resolution No.
2021-130 approving a Memorandum of Understanding ("MOU") between the Parties with
a term of'January 1, 2022, through December 31, 2025;
WHEREAS, given present inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
1. Section 2, Compensation, Subsection P, One -Time Payment, of the MOU
is amended in its entirety and shall read as follows:
,.P, Lump Sum Bonuses
NBFA Side Letter Agreement
Lump Sum Bonus (FY (2021-2022) All Bargaining Unit
Employees in paid status for the entirety of (1) the pay period
including January 1, 2022 or (2) the pay period following City
Council adoption of the MOU, whichever is later, will receive a
signing bonus of $2000. The Parties intend and understand that
this lump sum payment is non -pensionable and will not be
reported to CalPERS. The parties also agree that this payment is
intended to be specific to the pay period in which it is paid and
is to be considered part of the regular rate for this pay period
only. The par•lies acknowledge that this is the current language
in the MOO and that this bonus has been paid. Inclusion of this
language in the Agreement shall have no substantive effect and
shall not result in the payment of any additional bonus to
Bargaining Unit Employees.
2. Lump Sum Bonus (FY (2024--2025) Lump sum bonuses in the
amount of One Thousand Dollars and No Cents ($1,000.00) wiI l
Page 1 o f 4
4-24
be paid to all Bargaining Unit Employees that are employed by
the City on each of the following dates. as set forth below:
- Bargaining Unit Employees employed by the City on August
27, 2024, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on September 13, 2024;
- Bargaining Unit Employees employed by the City on
October 1. 2024, will receive a lump sum bonus of One
Thousand Dollars and No Cents ($ 1,000) on October 11,
2024;
- Bargaining Unit .Employees employed by the City on
January 1, 2025, will receive a lump sum bonus of One
Thousand Dollars and No Cents ($1,000) on January 17,
2025;and
- Bargaining Unit Employees employed by the City on April
I, 2025, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on April 11, 2025.
The parties intend and understand that the lump sum 'bonuses are non -
pensionable and will not be reported to CalPERS. The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump suns bonus is considered part of the
regular rate for the pay period in which it is paid only."
2. The following language in Section 4, Fringe Benefits, Subsection A,
Insurance, Subsection 2, Medical Insurance, of the MOU, which was previously amended
pursuant to the Side Letter Agreement dated November 29, 2022, is hereby amended and
shall read as follows:
"2. Medical Insurance
NBFA Side Letter Agreement
Language in the MOU: The City's monthly contribution towards the
Cafeteria Plan is $1,824.00 (plus the minirnum CaiPERS
participating employer's contribution.)
Amended Language: The City's monthly contribution towards the
Cafeteria Plan is $1,824.00 (plus the minimum Ca1PERS
participating employer's contribution.) Temporary Increase.
Effective the pay period that includes January 1, 2023, the City's
monthly contribution towards the Cafeteria flan increases to
$1,924.00 (plus the minimum Ca1PERS participating employer's
contribution). Effective the pay period that includes July 1, 2025,
the City's monthly contribution towards the Cafeteria Plan
decreases to $1,824.00 (plus the minimum CaIPERS participating
employer's contribution)."
Page 2 of 4
4-25
3. Except as expressly modified herein, all other provisions, terns, and
covenants set forth in the MnU shall remain unchanged and shall he in full force and effect.
Signatures on the next page
NSFA Side Letter Agreement
Page 3of4
4-26
Executed this ,5 day of r , 2024
FOR THE NEWPORT BEACH FIREFIGHTERS ASSOCIATION. -
By:
Bobby Salerno, President
FOR THE CITY OF NEWPORT BEACH:
0
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
BY •� — C tT
Aron Harp, City Attorney
ATTEST:
Leilani Brown, City Clerk
NBFA Side Letter Agreement
Page 4 of 4
4-27
EXHIBIT F
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH FIRE MANAGEMENT ASSOCIATION
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City") and the Newport Beach
Fire Management Association ("NBFM V') (collectively "Parties") with respect to the
following:
WHEREAS, on June 14, 2022, the City Council adopted Resolution No. 2022-39
approving a Memorandum of Understanding ("MOU") between the Parties with a term. of
July 1, 2022, through June 30, 2026;
WHEREAS, given present inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
1, Section 2, Compensation, of the MOU is amended to add the following
subsection, which shall read as follows:
"I. Lump Sum Bonus (FY (2024-2025)
NBFMA Side Letter Agreement
Lump sum bonuses in the amount of One Thousand Dollars and No
Cents ($1,000.00) will be paid to all Bargaining Unit Employees that
are employed by the City on each of the following dates, as set forth
below-
- Bargaining Unit Employees employed by the City on August
27, 2024, will receive a lump surn bonus of One Thousand
Dollars and No Cents ($1,000) on September 13, 2024;
- Bargaining Unit Employees employed by the City on
October 1, 2024, will receive a lump sum bonus of One
Thousand Dollars and No Cents ($1,000) on October 11,
2024;
Bargaining Unit Employees employed by the City on
January 1, 2025, will receive a lump sum bonus of One
Thousand Dollars and No Cents ($1,000) on January 17.
2025;and
Page I of 3
4-28
- Bargaining Unit Employees employed by the City on April
1, 2025, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on April 11, 2025.
The parties intend and understand that the lump sum bonuses are non -
pensionable and will not be reported to CalPERS, The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump sum bonus is considered part of the
regular rate for the pay period in which it is paid only."
2. The following language in. Section 4, Fringe Benefits, Subsection A,
Insurance, Subsection 2, City Contribution, of the MOU, which was previously amended
pursuant to the Side Letter Agreement dated November 29, 2022, is hereby amended and
shall read as follows:
"2. Medical Insurance
Language in the MOU: The City's monthly contribution towards the
Cafeteria Plan is $1,824.00 (plus the minimum CalPERS
participating employer's contribution.)
Amended Language: The City's monthly contribution towards the
Cafeteria Plan is $1,824.00 (plus the minimum CalPERS
participating employer's contribution.) Temporary Increase.
Effective the pay period that includes January 1, 2023, the City's
monthly contribution towards the Cafeteria Plan increases to
$1,924,00 (plus the minimum CalPERS participating employer's
contribution). Effective the pay period that includes July 1, 2025,
the City's monthly contribution towards the Cafeteria Plan
decreases to $1,924.00 (plus the minimum CalPERS participating
employer's contribution as outlined in Government Code section
22892)."
3. Except as expressly modified herein, all other provisions, terms, and
covenants set forth in the MOU shall remain unchanged and shall be in full force and effect.
Signatures on the next page
NBFMA Side Letter Agreement.
Paget of3
4-29
Executed this(S 11day of 4 v j vs r2024
FOR THE NEWPORT BEACH FIRE MANAGEMENT ASSOCIATION:
By: r-J ri G 6 V
Brian MCDonou , Presi nt
FOR THE CITY OF NEWPORT BEACH:
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By: C,. c-�-
Aar n Harp, City Attorney
Leilani Browi, City Clerk
NBFMA Side Leiter Agreement
Page 3 of 3
4-30
EXHIBIT G
SIDE LETTER OF AGREEMENT
BETWEEN
CITY OF NEWPORT BEACH
AND
THE NEWPORT BEACH LIFEGUARD MANAGEMENT ASSOCIATION
This Side Letter of Agreement ("Agreement") is made and entered into this 27th day of
August 2024, by and between the City of Newport Beach ("City") and the Newport Beach
Lifeguard Management Association ("NBLMA") (collectively "Parties") with respect to
the following:
WHEREAS, on May 10, 2022, the City Council adopted Resolution No. 2022-28
approving a Memorandum of Understanding ("MOU") between the Parties with a term of
January 1, 2022, through December 31, 2025;
WHEREAS, given present inflationary pressures and to aid in the recruitment and
retention of valuable employees, the Parties wish to modify the MOU; and
WHEREAS, this Agreement will not have the effect of an agreement, and will not
be binding on either party, until it is ratified by the affected bargaining unit and approved
by the City Council.
NOW, THEREFORE, it is mutually agreed between the Parties as follows:
I. Section 2, Compensation, Subsection B, One -Time Lump Sum Payment of
the MOU is amended in its entirety and shall read as follows:
"S, Lump Sum Bonuses
Lump Sum Bonus (FY 2021-2022)
All bargaining unit members in paid status for the entirety of the
first frill pay period following the adoption of the 2022-2025 MOU
by the City Council will receive a signing bonus of $2,000. The
parties intend and understand that this lump sum payment is non -
pensionable and will not be reported to Ca/PERS. The parties also
agree that this payment is intended to be specific to the pay period
in which it is paid and is to be considered part of the FLSA regular
rate for this pay period only. The parties acknowledge that this is
the current language in the MOU and that this bogus has been paid.
Inclusion of this language in the Agreement shall have no
substantive effect and shall not result in the pgvment of any
additional bonus to bargaining unit members.
NBLMA Side Letter Agreement
Page 1 of 4
4-31
Lump Sum Bonus (FY (2024-2025)
Lump sum bonuses in the amount of One Thousand Dollars and No
Cents ($1,000.00) will be paid to all bargaining unit members that
are employed by the City on each of the following dates, as set forth
below:
- Bargaining unit members employed by the City on August
27, 2024, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on September 13, 2024;
- Bargaining unit members employed by the City on October
1, 2024, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on October 25, 2024;
- Bargaining unit members employed by the City on January
1, 2025, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on January 17, 2025; and
- Bargaining unit members employed by the City on April 1,
2025, will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on April 25, 2025.
The parties intend and understand that the lump sum bonuses are non -
pensionable and will not be reported to Ca1PERS. The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump sum bonus is considered part of the
regular rate for the pay period in which it is paid only."
?. The following language in Section 4, Fringe Benefits, Subsection A,
Insurance, Subsection 2, City Contribution, of the MOU, which was previously amended
pursuant to the Side Letter Agreement dated November 29, 2022, is hereby amended and
shall read as follows:
"2. City Contribution
a. Full -Time Members:
Language in the MOU: The City's contribution towards the
Cafeteria Plan is $1,545 (plus the minim urn Ca1PERS participating
employer's contribution_)
Amended Language: The City's contribution towards the Cafeteria
Plan is $1,645 (plus the minimum CalPERS participating
employer's contribution.) Tem ora Increase. Effective the pay
period that includes January 1, 2023, the City's monthly
contribution towards the Cafeteria Plan increases to $1,745 (plus the
minimum CaiPERS participating employer's contribution).
NBLMA Side Letter Agreement
Page 2 of 4
4-32
Effective the pay period that includes July 1, 2025, the City's
monthly contribution towards the Cafeteria Plan decreases to
$1,645.00 (plus the minimum Ca1PERS participating employer's
contribution).
b. Part -Time Members:
Language in the MOU: Part-time NBLMA members receive a
monthly cafeteria benefit of $601.00 For part-time employees
enrolled in medical plans, the cafeteria amount is inclusive of the
PERS designated minimum medical insurance contribution.
Amended Language: Part-time NBLMA members receive a
monthly cafeteria benefit of $601.00 For part-time employees
enrolled in medical plans, the cafeteria amount is inclusive of the
PERS designated minimum medical insurance contribution.
Temporary Increase. Effective the pay period that includes January
1, 2023, the City's monthly contribution towards the Cafeteria Plan
increases to $637.53. For part-time employees enrolled in medical
plans, the cafeteria amount is inclusive of the Ca1PERS designated
minimum medical insurance contribution. Effective the pay period
that includes July 1, 2025, the City's monthly contribution towards
the Cafeteria Plan decreases to $601.00. For part-time employees
enrolled in medical plans, the cafeteria amount is inclusive of the
Ca1PERS designated minimum medical insurance contribution."
3. Except as expressly modified herein, all other provisions, terms, and
covenants set forth in the MCU shall remain unchanged and shall be in full force and effect.
Signatures on the next page
NBLMA Side Letter Agreement
Page 3 of 4
4-33
Executed this S+ day of V6 ►%A-� 2024
FOR THE NEWPORT BEACH LIFEGUARD MANAGEMENT
ASSOCIATION:
FOR THE CITY OF NEWPORT BEACH:
Un
Will O'Neill, Mayor
CITY OF NEWPORT BEACH
APPROVED AS TO FORM:
By: C
Aaron Harp, City Attorney
ATTEST:
Leilani Brown, City Clerk
NBLMA Side Letter Agreement
Page 4 of 4
4-34
EXHIBIT H
FIFTH AMENDMENT TO
CITY OF NEWPORT BEACH
KEY AND MANAGEMENT COMPENSATION PLAN
WHEREAS, on January 25, 2022, the City Council adopted Resolution No.
2022-10 adopting a Key and Management Compensation Plan ("Plan") for the
period of January 1, 2022, through December 31, 2025;
WHEREAS, on August 23, 2022, the City Council adopted Resolution No.
2022-52 amending the Plan and modifying the cost -of -living adjustments for Key
and Management Employees ("First Amendment to the Plan");
WHEREAS, on November 29, 2022, the City Council adopted Resolution
No. 2022-92 amending the Plan and modifying employee retirement contributions
to Ca1PERS for Key and Management Employees ("Second Amendment to the
Plan");
WHEREAS, on April 11, 2023, the City Council adopted Resolution No.
2023-19 amending the Plan and adjusting the salary schedules and modifying the
language related to employee retirement contributions to Ca1PERS for Key and
Management Safety Employees ("Third Amendment to the Plan");
WHEREAS, on November 28, 2023, the City Council adopted Resolution
No. 2023-82 amending the Plan and modifying certain positions and titles for Key
and Management Employees ("Fourth Amendment to the Plan");
WHEREAS, on December 12, 2023, the City Council adopted Resolution
No. 2023-85 approving revised salary schedules for Key and Management
Employees;
WHEREAS, given existing inflationary pressures and to aid in the
recruitment and retention of valuable employees, the City Council wishes to further
amend the Plan; and
Key and Management Compensation Plan
Page 1 of 11
4-35
WHEREAS, this amendment will not be binding until it is approved by the
City Council.
NOW, THEREFORE, the City Council of the City of Newport Beach wishes
to amend the Plan as follows:
Section 1. The Compensation section of the Plan is amended to add Section
I, Lump Sum Bonus (FY 2024-25), which shall read as follows:
"I. Lump Sum Bonus (FY 2024-25). Lump sum bonuses in the
amount of One Thousand Dollars and No Cents ($1,000.00) will be paid
to those Eligible Key and Management Employees that are employed
by the City on each of the following dates, as set forth below:
- Eligible Key and Management Employees employed by
the City on August 27, 2024, will receive a lump sum
bonus of One Thousand Dollars and No Cents ($1,000) on
September 13, 2024;
- Eligible Key and Management Employees employed by
the City on October 1, 2024, will receive a lump sum
bonus of One Thousand Dollars and No Cents ($1,000) on
October 11, 2024;
Eligible Key and Management Employees employed by
the City on January 1, 2025, will receive a lump sum bonus
of One Thousand Dollars and No Cents ($1,000) on
January 17, 2025; and
- Eligible Key and Management Employees employed by
the City on April 1, 2025, will receive a lump sum bonus
of One Thousand Dollars and No Cents ($1,000) on April
11, 2025.
By adopting this Fifth Amendment to the Key and Management Plan,
the City Council for the City of Newport Beach does not intend for the
lump sum bonuses to be pensionable and the lump sum bonuses shall
not be reported to Ca1PERS. Also, the City Council for the City of
Key and Management Compensation Plan
Page 2 of 11
4-36
Newport Beach intends for the bonus payments to be specific to the pay
period that the bonus payments are paid, and each lump sum bonus shall
be considered part of the regular rate for the pay period in which it is
paid only.
For purposes of this Section the term "Eligible Key and Management
Employees" shall mean those Key & Management Employees
occupying the following job classifications on the specific date set forth
above: (1) Police Chief, (2) Assistant Police Chief, (3) Administrative
Assistant to Police Chief, (4) Police Support Services Administrator;
(5) Assistant Fire Chief; (6) Assistant Chief Lifeguard Operations; (7)
Emergency Medical Services Division Chief, (8) Fire Marshall; and (9)
Administrative Assistant to Fire Chief."
Section 2. The following language in the Benefits section, subsection C,
Retirement Benefits, subsection 1, PERS, subsection b, Employee Contributions,
Non -Safety, of the Plan which was previously amended pursuant to the Second
Amendment to the Plan on November 29, 2022, is hereby amended and shall read
as follows:
"Non -Safety:
Key and Management employees will contribute towards their CalPERS
retirement benefit.
Employee retirement contributions that are in addition to the normal CalPERS
Member Contribution shall be calculated on base pay, special pays, and other pays
normally reported as "PERSable" compensation (known either as compensation
earnable or pensionable compensation) and will be made on a pre-tax basis through
payroll deduction, to the extent allowed by law.
Under a separate agreement and ratified via a contract amendment with
CalPERS in 2008, Tier I employees shall contribute 2.42% compensation earnable
(as cost sharing) per Government Code section 20516(a).
Tier I Employees shall contribute 13% of compensation earnable as follows:
8% as the statutory member contribution, 2.42% as cost sharing per Government
Key and Management Compensation Plan Page 3 of 11
4-37
Code section 20516(a) and 2.58% as cost sharing per Government Code section
20516(f).
Temporary Reduction. Effective the pay period that includes January 1, 2023,
Tier I Employees shall contribute 11.5% of compensation earnable as follows: 8%
as the statutory member contribution, 2.42% as cost sharing per Government Code
section 20516(a) and 1.08% of compensation earnable as cost sharing per
Government Code section 20516(f). This reduction in the employee contribution
rate sunsets at the end of the last full pay period in December 2025. Accordingly,
effective the pay period that includes January 1, 2026, Tier I Employees shall
contribute 13% of compensation earnable as follows: 8% as the statutory member
contribution, 2.42% as cost sharing per Government Code section 20516(a) and
2.58% of compensation earnable as cost sharing per Government Code section
20516(f).
Tier II Employees shall contribute 13% of compensation earnable as follows:
7% as the statutory member contribution and 6% of compensation earnable as cost
sharing per Government Code section 20516(f).
Temporary Reduction. Effective the pay period that includes January 1, 2023,
Tier II Employees shall contribute 11.5% of compensation earnable as follows: 7%
as the statutory member contribution and 4.5% of compensation earnable as cost
sharing per Government Code section 20516(f). This reduction in the employee
contribution rate sunsets at the end of the last full pay period in December 2025.
Accordingly, effective the pay period that includes January 1, 2026, Tier II
employees shall contribute 13% of compensation earnable as follows: 7% as the
statutory member contribution and 6% of compensation earnable as cost sharing per
Government Code section 20516(f).
Tier III Employees - The minimum statutory employee contribution for
employees in Tier III is subject to the provisions of PEPRA and equals 50% of the
"total normal cost". Tier III employees shall make an additional contribution of
pensionable compensation toward retirement pursuant to Government Code section
20516(f), for a total employee contribution of 13% of pensionable compensation.
Key and Management Compensation Plan Page 4 of 11
4-38
Temporary Reduction. Effective the pay period that includes January 1, 2023,
the minimum statutory employee contribution for employees in Tier III is subject to
the provisions of PEPRA and equals 50% of the "total normal cost". Tier III
employees shall make an additional contribution of pensionable compensation
toward retirement pursuant to Government Code section 20516(f), for a total
employee contribution that is no less than 11.5% of pensionable compensation (i.e.,
Tier III employees pay the greater of 11.5% or 50% of the "total normal cost"). This
reduction in the employee contribution rate sunsets at the end of the last full pay
period in December 2025. Accordingly, effective the pay period that includes
January 1, 2026, the minimum statutory employee contribution for employees in
Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal
cost". Tier III employees shall make an additional contribution of pensionable
compensation toward retirement pursuant to Government Code section 20516(f), for
a total employee contribution that is no less than 13% of pensionable compensation
(i.e., Tier III employees pay the greater of 13% or 50% of the "total normal cost").
If in future fiscal years the member contribution rate for non -safety employees
in Tier III shall become greater or less, as determined by Ca1PERS valuations, the
additional contribution made by the employee under Government Code section
20516(f) will be increased or decreased accordingly so that the total employee
contribution equals 13% of pensionable compensation. Provided however, that the
employee contribution shall never fall below the statutorily required contribution."
Section 3. The following language in the Benefits section, subsection C,
Retirement Benefits, subsection 1, PERS, subsection b, Employee Contributions,
Safety, of the Plan which was previously amended pursuant to the Second
Amendment to the Plan on November 29, 2022, and the Third Amendment to the
Plan on April 11, 2023, is hereby amended and shall read as follows:
"Safety:
A. Police Safety
Absent an Employment Agreement or Resolution to the contrary, the employee
contribution for police safety members depends on what Tier the employee is in as
defined above.
Key and Management Compensation Plan Page 5 of 11
4-39
Tier I and II members will contribute the full statutory member contribution, equal
to 9% of compensation earnable, plus an additional 5.6% of compensation earnable
toward retirement costs as permitted under Government Code §20516(f), for a total
contribution of 14.6%.
Temporary Reduction. Effective the pay period that includes January 1, 2023, Tier
I and Tier II employees shall contribute the full statutory member contribution, equal
to 9%, plus an additional 4.1 % of compensation earnable toward retirement costs as
permitted under Government Code section 20516(f), for a total contribution of
13.1 %. This reduction in the employee contribution rate sunsets at the end of the
last full pay period in December 2025. Accordingly, effective the pay period that
includes January 1, 2026, Tier I and Tier II employees shall contribute the full
statutory member contribution, equal to 9% of compensation earnable, plus an
additional 5.6% of compensation earnable toward retirement costs as permitted
under Government Code section 20516(f), for a total contribution of 14.6%.
Tier III members: In addition to the statutorily required 50% contribution of total
normal costs ("member contribution rate"), Tier III members shall contribute an
additional percentage of pensionable compensation toward retirement costs as cost
sharing pursuant to Government Code §20516(f), so that their total contribution is
14.6%
Temporary Reduction. Effective the pay period that includes January 1, 2023, the
minimum statutory employee contribution for employees in Tier III is subject to the
provisions of PEPRA and equals 50% of the "total normal cost". Tier III employees
shall make an additional contribution of pensionable compensation toward
retirement pursuant to Government Code section 20516(f) for a total employee
contribution that is no less than 13.1% of pensionable compensation (i.e., Tier III
employees pay the greater of 13.1 % or 50% of the "total normal cost"). This
reduction in the employee contribution rate sunsets at the end of the last full pay
period in December 2025. Accordingly, effective the pay period that includes
January 1, 2026, the minimum statutory employee contribution for employees in
Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal
cost". Tier III employees shall make an additional contribution of pensionable
Key and Management Compensation Plan Page 6 of 11
4-40
compensation toward retirement pursuant to Government Code section 20516(f) for
a total employee contribution that is no less than 14.6% of pensionable compensation
(i.e., Tier III employees pay the greater of 14.6% or 50% of the "total normal cost").
If in future fiscal years the member contribution rate for safety employees in Tier III
shall become greater or less, as determined by Ca1PERS valuations, the additional
contribution made by the employee under Government Code section 20516(f) will
be increased or decreased accordingly so that the total employee contribution equals
14.6% of pensionable compensation. Provided however, that the employee
contribution shall never fall below the statutorily required contribution.
Effective the pay period that includes January 1, 2023, the Ca1PERS retirement
contributions for Key & Management police safety employees shall be as noted
above and shall not be tied to the retirement contributions required by members of
the Police Management Association. Effective the pay period that includes January
1, 2026, the Ca1PERS retirement contributions for the Key and Management police
safety employees shall be tied to the retirement contributions required by members
of the Police Management Association. If there are future changes to those employee
retirement contributions, as set forth in a council -approved MOU or side letter
agreement, the same changes shall be made for Key and Management police safety
employees.
B. Fire Safety
Absent an Employment Agreement or Resolution to the contrary, the employee
contribution for fire safety members depends on what Tier the employee is in as
defined above.
Tier I and II members will contribute the full statutory member contribution, equal
to 9% of compensation earnable, plus an additional 4.5% of compensation earnable
toward retirement costs as permitted under Government Code §20516(f), for a total
contribution of 13.5%.
Temporary Reduction. Effective the pay period that includes January 1, 2023,
Tier I and Tier II employees shall contribute the full statutory member contribution,
Key and Management Compensation Plan Page 7 of 11
4-41
equal to 9%, plus an additional 3% of compensation earnable toward retirement costs
as permitted under Government Code section 20516(f), for a total contribution of
12%. This reduction in the employee contribution rate sunsets at the end of the last
full pay period in December 2025. Accordingly, effective the pay period that
includes January 1, 2026, Tier I and Tier II employees shall contribute the full
statutory member contribution, equal to 9% of compensation earnable, plus an
additional 4.5% of compensation earnable toward retirement costs as permitted
under Government Code section 20516(f), for a total contribution of 13.5%.
Tier III members: In addition to the statutorily required 50% contribution of total
normal costs ("member contribution rate"), Tier III members shall contribute an
additional percentage of pensionable compensation toward retirement costs as cost
sharing pursuant to Government Code §20516(f), so that their total contribution is
13.5%.
Temporary Reduction. Effective the pay period that includes January 1, 2023,
the minimum statutory employee contribution for employees in Tier III is subject to
the provisions of PEPRA and equals 50% of the "total normal cost". Tier III
employees shall make an additional contribution of pensionable compensation
toward retirement pursuant to Government Code section 20516(f) for a total
employee contribution that is no less than 12% of pensionable compensation (i.e.,
Tier III employees pay the greater of 12% or 50% of the "total normal cost"). This
reduction in the employee contribution rate sunsets at the end of the last full pay
period in December 2025. Accordingly, effective the pay period that includes
January 1, 2026, the minimum statutory employee contribution for employees in
Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal
cost". Tier III employees shall make an additional contribution of pensionable
compensation toward retirement pursuant to Government Code section 20516(f) for
a total employee contribution that is no less than 13.5% of pensionable compensation
(i.e., Tier III employees pay the greater of 13.5% or 50% of the "total normal cost").
If in future fiscal years the member contribution rate for safety employees in
Tier III shall become greater or less, as determined by CalPERS valuations, the
additional contribution made by the employee under Government Code section
20516(f) will be increased or decreased accordingly so that the total employee
Key and Management Compensation Plan Page 8 of 11
4-42
contribution equals 13.5% of pensionable compensation. Provided however, that the
employee contribution shall never fall below the statutorily required contribution.
Effective the pay period that includes January 1, 2023, the Ca1PERS
retirement contributions for Key & Management fire safety employees shall be as
noted above and shall not be tied to the retirement contributions required by
members of the Fire Management Association. Effective the pay period that
includes January 1, 2026, the Ca1PERS retirement contributions for the Key and
Management fire safety employees shall be tied to the retirement contributions
required by members of the Fire Management Association. If there are future
changes to those employee retirement contributions, as set forth in a council -
approved MOU or side letter agreement, the same changes shall be made for Key
and Management fire safety employees.
C. Assistant Chief, Lifeguard Operations
The employee contribution for the Assistant Chief of Lifeguard Operations will
depend on what Tier the employee is in as defined above.
Tier I and II members will contribute the full statutory member contribution, equal
to 9% of compensation earnable, plus an additional 4.6% of compensation earnable
toward retirement costs as permitted under Government Code §20516(f), for a total
contribution of 13.6%.
Temporary Reduction. Effective the pay period that includes January 1, 2023,
Tier I and Tier II employees shall contribute the full statutory member contribution,
equal to 9%, plus an additional 3.1 % of compensation earnable toward retirement
costs as permitted under Government Code section 20516(f), for a total contribution
of 12.1 %. This reduction in the employee contribution rate sunsets at the end of the
last full pay period in December 2025. Accordingly, effective the pay period that
includes January 1, 2026, Tier I and Tier II employees shall contribute the full
statutory member contribution, equal to 9% of compensation earnable, plus an
additional 4.6% of compensation earnable toward retirement costs as permitted
under Government Code section 20516(f), for a total contribution of 13.6%.
Key and Management Compensation Plan Page 9 of 11
4-43
Tier III members: In addition to the statutorily required 50% contribution of total
normal costs ("member contribution rate"), Tier III members shall contribute an
additional percentage of pensionable compensation toward retirement costs as cost
sharing pursuant to Government Code §20516(f), so that their total contribution is
13.6%.
Temporary Reduction. Effective the pay period that includes January 1, 2023,
the minimum statutory employee contribution for employees in Tier III is subject to
the provisions of PEPRA and equals 50% of the "total normal cost". Tier III
employees shall make an additional contribution of pensionable compensation
toward retirement pursuant to Government Code section 20516(f) for a total
employee contribution that is no less than 12.1% of pensionable compensation (i.e.,
Tier III employees pay the greater of 12.1 % or 50% of the "total normal cost"). This
reduction in the employee contribution rate sunsets at the end of the last full pay
period in December 2025. Accordingly, effective the pay period that includes
January 1, 2026, the minimum statutory employee contribution for employees in
Tier III is subject to the provisions of PEPRA and equals 50% of the "total normal
cost". Tier III employees shall make an additional contribution of pensionable
compensation toward retirement pursuant to Government Code section 20516(f) for
a total employee contribution that is no less than 13.6% of pensionable compensation
(i.e., Tier III employees pay the greater of 13.6% or 50% of the "total normal cost").
If in future fiscal years the member contribution rate for safety employees in
Tier III shall become greater or less, as determined by CalPERS valuations, the
additional contribution made by the employee under Government Code section
20516(f) will be increased or decreased accordingly so that the total employee
contribution equals 13.6% of pensionable compensation. Provided however, that the
employee contribution shall never fall below the statutorily required contribution.
Effective the pay period that includes January 1, 2023, the Ca1PERS
retirement contributions for the Assistant Chief of Lifeguard Operations
classification shall be as noted above and shall not be tied to the retirement
contributions required by members of the Lifeguard Management Association.
Effective the pay period that includes January 1, 2026, the Ca1PERS retirement
contributions for the Assistant Chief of Lifeguard Operations classification shall be
Key and Management Compensation Plan Page 10 of 11
4-44
tied to the retirement contributions required by members of the Lifeguard
Management Association. If there are future changes to those employee retirement
contributions, as set forth in a council -approved MOU or side letter, the same
changes shall be made for the Assistant Chief of Lifeguard Operations."
Section 4. Except as expressly modified herein, all other terms and
provisions set forth in the Plan shall remain unchanged and shall be in full force and
effect.
Key and Management Compensation Plan
Page 11 of 11
4-45
EXHIBIT I
AMENDMENT B TO CITY OF NEWPORT BEACH
FIRST AMENDED AND RESTATED EMPLOYMENT
AGREEMENT — CITY OF NEWPORT BEACH FIRE CHIEF
WHEREAS, on February S, 2022, the City of Newport Beach, a California
municipal corporation and Charter City ("Employer" or "City") and JEFF BOYLES
("Employee"), an individual (sometimes collectively referred to herein as "the
Parties") entered into a First Amended and Restated Employment Agreement
("Agreement") for the period of February S, 2022 through December 30, 2025;
WHEREAS, given existing inflationary pressures and to aid in the
recruitment and retention of valuable employees, the Council wishes to amend the
Agreement; and
WHEREAS, this amendment will not be binding until it is approved by the
City Council,
NOW, THEREFORE, it is mutually agreed between the Parties as Follows:
1, Section 51, Employee Benefits, Retirement-CalPERS of the
Agreement is amended to read as follows:
.1. Retirement-Ca1PERS
Employee shall be eligible for the "3% at 50" retirement formula (i.e., the
same retirement formula set forth in the NBFMA MOU for employees enrolled in
the Tier I ("Legacy" retirement fonnula). Employee contributes 13.5% of
compensation eamable towards Employee's retirement benefits, which is designated
as follows: 9% of Employee/Members total compensation earnable salary as the
Employee/Member Contribution; and 4,51% as cost sharing of the Employer
Contribution Rate in accordance with Government Code section 2051 6(f).
Temporary Reduction. Effective the pay period that includes January 1, 2023,
Employee shall contribute the full statutory member contribution, equal to 9%, plus
an additional 3% of compensation earnable toward retirement costs as permitted
Amendment B to Agreement - Fire Chief Page l of 4
under Government Code section 20516(f), for a total contribution of 12%. This
reduction in the employee contribution rate sunsets at the end of the last full pay
period in December 2025. Accordingly, effective the pay period that includes
January 1, 2026, Employee shall contribute the full statutory member contribution
required by members of the NBFMA, which is currently equal to 9% of
compensation earnable, plus an additional 4.5% of compensation earnable toward
retirement costs as permitted under Government Code section 20516(f), for a total
contribution of 13.5%.
Effective the pay period that includes January 1, 2023, the Ca1PERS
retirement contributions for Employee shall be as noted above and shall not be tied
to the retirement contributions required by members of the NBFMA. Effective the
pay period that includes January 1, 2026, the Ca1PERS retirement contributions for
Employee shall be tied to the retirement contributions required by members of the
NBFMA. If there are future changes to those employee retirement contributions, this
Agreement shall be deemed amended and Employee shall be subject to the same
fon-hula or percentage contribution as applied to Tier I Legacy members of the
NBFMA, as set forth in a council -approved MOLL, and for the same duration.
2. Section 5, Employee Benefits, of the Agreement is amended to add
Subsection (M), Lump Sum Bonus (FY 2024-2025), which shall read as follows:
"M. Lump Sum Bonus (FY 2024-25). Lump sum bonuses in the
amount of One Thousand Dollars and No Cents ($1,000.00) will be paid
to Employee as long as he is employed by the City on each of the
following dates, as set forth below:
- If Employee remains employed by the City on August 27,
2024, he will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on September 13, 2024;
- If Employee remains employed by the City on October 1,
2024, he will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on October 11, 2024,
Amendment B to Agreement - Fire Chief
Page 2 of 4
4-47
If Employee remains employed by the City on January 1,
2025, he will receive a lump sum bonus of One Thousand
Dollars and No Cents ($1,000) on January 17, 2 02 5; and
- If Employee remains employed by the City on April 1, 2025,
he will receive a lump sum bonus of One Thousand Dollars
and No Cents ($1,000) on April 11, 2 02 5.
The parties intend and understand that the lump sum bonuses are non -
pensionable and will not be reported to Ca1PERS, The parties also agree
that the bonus payments are intended to be specific to the pay period in
which they are paid, and each lump sum bonus is considered part of the
regular rate for the pay period in which it is paid only."
3. Except as expressly modified herein, all other terms and provisions set
forth in the Agreement shall remain unchanged and shall be in full force and effect.
(Signatures on the Next Page)
Amendment B to Agreement - Fire Chief
Page 3 of 4
EMPLOYER
CITY OF NEWPORT BEACH
A Municipal Corporation
M.
Grace K. Leung, City Manager
Date:
EMPLOYEE,
An Individual
By:
ff Boyles, Fire C f
Date: L-2 0 ? y
APP OVED AS TO FORM:
By: '0' C- k "`� Date. b 1 1 5- Z2 412-
Aa n C. Harp, City Attorney
ATTEST:
Date:
Leilani I. Brown, City Clerk
Amendment B to Agreement - Fire Chief
Page 4 of 4
Attachment B
City of Newport Beach
Costing for Side Letters
August 27, 2024
Additional City Pickup of CalPERS through December 2025
Key & Management (K&M)
Association of Newport Beach Lifeguards (ANBOL) (1.1% Reduction)
Part -Time Employee Association of Newport Beach (PTEANB)
Council Appointed Positions
Subtotal CalPERS Picku
Additional Contribution to Health Coverage through June 2025
1.5% Deduction Reduction
125,189 131,452
3,461
3,634
20,222
21,236
6,265
6,577
155,137
162,899
Additional $100/month
NB Firefighters Association (NBFA)
75,000 -
NB Fire Management Association (NBFMA)
2,400 -
NB Lifeguard Management Association (NBLMA)
8,400 -
NB Police Association (NBPA)
119,400 -
NB Police Management Association (NBPMA)
19,800 -
Subtotal Additional Cafeteria Contribution
225,000 -
# of
$4,000 bonus, paid quarterly during FY 2024-25 Budgeted
Positions
Bargaining Unit
NB Firefighters Association (NBFA) 125 500,000 -
NB Fire Management Association (NBFMA) 4 16,000 -
NB Lifeguard Management Association (NBLMA) 14 56,000 -
NB Police Association (NBPA) 199 796,000 -
NB Police Management Association (NBPMA) 33 132,000 -
Eligible K&M Positions 10 40,000 -
Subtotal Bonus 1,540,000 -
Total Additional Cost 1,920,137 162,899
4-50
Attachment C
ka�W�r
City of Newport Beach
> BUDGET AMENDMENT
2024-25 BA#: 25-012
Department: Human Resources
ONETIME: ❑� Yes ❑ No
Requestor: Barbara Salvinl
Approvals
❑ CITY MANAGER'S APPROVAL ONLY 'dd
Finance Director: Date / `Y Z
COUNCIL APPROVAL REQUIRED City Clerk: Date
EXPLANATION FOR REQUEST:
To reflect the additional city pickup of CalPERS contribution rates through June 2025 for applicable bargaining units, increase 0 from existing budget appropriations
contributions to health coverage through June 2025 for safety bargaining groups, and to apply an agreed upon bonus that will be 0 from additional estimated revenues
paid quarterly throughout FY25 for safety bargaining units and eligible K&M positions. Funds are appropriated from the fiscal year 0 from unappropriated fund balance
end FY 24 surplus ending balance.
REVENUES
Fund #I
Org
Object
Project Description
Increase or (Decrease) $
100
10099
691010
INTERFUNDTRANSFERS - TRANSFERINGENERALFUND
3,332.00
752
75299
691010
INTERFUNDTRANSFERS -TRANSFERINGENERALFUND
642.00
764
76499
691010
INTERFUNDTRANSFERS - TRANSFERINGENERALFUND
4,257.00
Su btota I 8,231.00
EXPENDITURES
Fund 4
Org
Object
Project Description
Increase or (Decrease) $
010
01010005
724001
CITY CLERK ADMIN -PENSION FE CONTRIB MISC
2,434.00
010
01015005
724001
CITY ATTORNEYADMIN- PENSIONEECONTRIBMISC
11,123.00
010
01020005
724001
CITY MANAGER ADMIN - PENSION EE CONTRIB MISC
9,570.00
010
01020201
724001
CITY MGR PUBLIC INFO OFFICE - PENSION EE CONTRIB MISC
1,451.00
010
0102041
724001
CITY MGR OUTREACH SERVICES - PENSION EE CONTRIB MISC
1,287.00
010
01025005
724001
HUMAN RESOURCES- PENSION EE CONTRIB MISC
11,495.00
010
01030005
724001
FINANCE ADMIN - PENSION EE CONTRIB MISC
4,641,00
010
01030301
724001
FINANCIAL PLANNING - PENSION EE CONTRIB MISC
3,871.00
010
01030302
724001
FINANCIAL REPORTING - PENSION EE CONTRIB MISC
2,238.00
010
01030304
724001
PURCHASING - PENSION EE CONTRIB MISC
1,078.00
010
0103031
724001
REVENUE SERVICES -PENSION EE CONTRIB MISC
2,223.00
010
01035351
724001
POLICE CHIEF - PENSION EE CONTR[B MISC
773.00
010
01035351
724002
POLICE CHIEF - PENSION EE CONTRIB SAFETY
2,218.00
010
01035352
724001
POLICE SUPPORT SERVICES - PENSION EE CONTRIB MISC
2,821.00
010
01035353
724001
PATROL- PENSION EE CONTRIB MISC
1,038.00
010
01035353
724002
PATROL - PENSION EE CONTR[B SAFETY
1,918.00
010
01035354
724001
TRAFFIC - PENSION EE CONTRIB MISC
850.00
010
01035355
724001
DETECTIVES - PENSION EE CONTRIB MISC
47.00
010
01035355
724002
DETECTIVES - PENSION EE CONTRIB SAFETY
1,976.00
010
01040005
724001
FIRE ADMINISTRATION - PENSION EE CONTRIB MISC
2,049.00
010
01040005
724002
FIRE ADMINISTRATION - PENSION EE CONTRIB SAFETY
2,119.00
010
01040401
724002
FIRE OPERATIONS - PENSION EE CONTRIB SAFETY
1,911.00
010
01040402
724001
FIRE PREVENTION - PENSION EE CONTRIB MISC
979.00
010
01040404
724001
EMERGENCY MEDICALSERVICES- PENSION EE CONTRIB MISC
1,406.00
010
01040405
724001
JUNIOR LIFEGUARDS - PENSION EE CONTRIB MISC
789.00
010
01040406
724001
LIFEGUARD OPERATIONS - PENSION EE CONTRIB MISC
2,672.00
010
01040406
724002
LIFEGUARD OPERATIONS - PENSION EE CONTRIB SAFETY
1,473.00
010
01050005
724001
CDD ADMIN - PENSION EF CONTRIB MISC
5,118.00
4-51
Attachment C
010 �0105041 'J24001 ;INSPECTIONS - PENSION EE CONTRIB MISC 801.00
010
110105042
724001
PLAN CHECKS/PERMITS. PENSION EE CONTRIB MISC
3,666.00
010
01050501
724001
PLANNING - PENSION EE CONTRIB MISC
4,296.00
010
I01050505
724001
REAL PROPERTY GEN FUND - PENSION EE CONTRIB MISC
1,411.00
010
01060005
724001
LIBRARY ADMIN - PENSION EE CONTRIB MISC
2,755,00
010
D146021
1724001
CDM BRANCH LIBRARY - PENSION EE CONTRIB MISC
143.00
010
0106022
724001
MARINERS BRANCH LIBRARY - PENSION EE CDNTRIB MISC
1,040.00
010
.. . ...
0106023
724001
_ .
CENTRAL LIBRARY- PENSION EE CONTRIB MISC
2,339.00
010
):0106024
' 724001
BALBOA BRANCH LIBRARY PENSION EE CONTRIB MISC
461.00
010
01060604
1724001
LITERACY SERVICES - PENSION EE CONTRIB MISC
187.00
010
01D70005
1724601
RECREATION ADMIN - PENSION EE CONTRIB MISC
2,875.00
016
,0107010
124001
PROGRAM SUPPORT- PENSION EE CONTRIB MISC
4,710.00
010
0107014
724001
YOUTH PROGRAMS -PENSION EE CONTRIB MISC
1,592.00
010
0107015
{724001
PRESCHOOL PROGRAMS - PENSION EE CONTRIB MISC
27.06
010
`0107016
;724001
NATURAL RESOURCES - PENSION EE CONTRIB MISC
233.00
010
0107018
:724001
PARK PATROL- PENSION EE CONTRIB MISC
398.00
D10
0107019
;7240. 01
AQUATICS -PENSION EE CONTRIB MISC
924.00
D10
;0107020
_..01
724001
NEWPORTCOASTCOMMUNITYCENTER-PENSIONEECONTRIBMISC
606.00
010
0107021
'724001
COMMUNITY YOUTH CENTER -PENSION EECONTRIB MISC
294.00
010
0107022
;724001
CIVIC CENTER RENTALS - PENSION EE CONTRIB MISC
172.00
010
0107023
i724001
MARINA PARK - PENSION EE CONTRIB MISC
1,070.00
616
;0107024
724001
FACILITY MAINT& OPERATIONS - PENSION EE CONTRIB MISC
99.00
010
0107026
724001
FACILITY RENTAL FEES - PENSION EE CONTRIB MISC
87.00
010
`0107031
1724001
OASIS - PENSION EE CONTRIB MISC
1,539.00
010
.0107032
724001
OASIS FITNESS CENTER PENSION EE CONTRIB MISC
478.00
010
:0107033
i 724001
OASIS TRANSPORTATION - PENSION EE CONTRIB MISC
87.00
010
01080005
724001
PUBLIC WORKS ADMIN PENSION EE CONTRIB MISC
7,261.00
010
;0108D11
':,72400-1
WQ/CONSERVATION/ENVIRONMENTAL- PEN SIONEECONTRIBMISC
2,837.00
010
`0108012
1724001
TRAFFIC & TRANSPORTATION - PENSION EE CONTRIB MISC
2,983.00
010
0108031
11724001
PARKS PENSION EE CONTRIB MISC
1,396.00
010
.0108041
i724001
FACILITY MAINTENANCE - PENSION EE CONTRIB MISC
642.00
010
.0108051
724001
REFUSE - PENSION EE CONTRIB MISC
909.00
010
:0108061
724001
STREETS/ASPHALT- PENSION EE CONTRIB MISC
2,096.00
010
01080801
i724001
ENGINEERING SERVICES- PENSION EE CDNTRIB MISC
8,733.00
010
0109062
724001
',STORM DRAINS/STREETSWEEPING - PENSION EE CONTRIB MISC
643.00
100
10045451
!724001
HARBOR DEPARTMENT- PENSION EE CONTRIBMISC
3,332.00
701
:7019052
;724001
WATER SYSTEM SERVICE-PENSIONEECONTRIBMISC
4,453.00
711
7119061
724001
' WASTEWATER OPERATIONS PENSION EE CONTRIB MISC
1,095.00
752
7529031
`,724001
EQUIPMENT MAINTENANCE - PENSION EE CONTRIB MISC
642.00
764
76420203
724001
CITY MGR INFORMTN TECHNOLOGY - PENSION EE CONTRIB MISC
4,257.00
010
01035355
,721001
DETECTIVES - CAFETERIA ALLOWANCE FT
7,800.00
010
01040402
721001
FIRE PREVENTION - CAFETERIA ALLOWANCE FT
3,000.00
010
01040401
!721001
FIRE OPERATIONS - CAFETERIA ALLOWANCE FT
55,800.00
010
101035354
'11721001
TRAFFIC- CAFETERIA ALLOWANCE FT
6,000.00
010
0103522
111721001
POLICE IT- CAFETERIA ALLOWANCE FT
3,600.00
010
.01035356
1!721001
FLEET MAINTENANCE - CAFETERIA ALLOWANCE FT
1,200.00
016
01035352
',721001
POLICE SUPPORT SERVICES-CAFETERIAALLOWANCEFT
25,200.00
010
01035353
11721001
; PATROL- CAFETERIA ALLOWANCE FT
6,000.00
010
01035351
111721001
POLICE CHIEF - CAFETERIA ALLOWANCE FT
_
1,800.00
010
0103511
', 721001
EMERGENCY PREPAREDNESS - CAFETERIA ALLOWANCE FT
600.00
010
01035353
721001
PATROL- CAFETERIA ALLOWANCE FT
55,800.00
010
01035355
721001
DETECTIVES - CAFETERIA ALLOWANCE FT
19,200.00
010
'01035354
1721001
,TRAFFIC -CAFETERIA ALLOWANCE FT
7,800.00
010
01035352
J21001
,POLICE SUPPORTSERVICES -CAFETERIA ALLOWANCE FT
1,800.00
010
01035351
1721001
POLICE CHIEF- CAFETERIA ALLOWANCEFT
2,400,00
010
01040005
1721001
FIRE ADMINISTRATION -CAFETERIA ALLOWANCE FT
600.00
610
01040403
721001
COMM ER RESPONSE TEAM (CERT) -CAFETERIA ALLOWANCE FT
600.00
010
01040404
,721001
_
EMERGENCY MEDICAL SERVICES -CAFETERIA ALLOWANCE FT
17,400.00
b14
01040406
72100I
LIFEGUARD OPERATIONS - CAFETERIA ALL .0.WANCE FT
6,300A0
010
01040405
721001
JUNIOR LIFEGUARDS - CAFETERIA ALLOWANCE FT
300.00
010
101040406
721001
LIFEGUARD OPERATIONS - CAFETERIA ALLOWANCE FT
1,800.00
010
0103511
714001
EMERGENCY PREPAREDNESS - LUMP SUM PAYMENT
4,000,00
010
0103522
;714001
POLICE IT- LUMP SUM PAYMENT
24,000.00
616
01035351
.714001
POLICECHIEF- LUMPSUMPAYMENT
36,000,00
4-52
Attachment C
010
01035352
714001
POLICE SUPPORTS ERV ICES -LUMPS LIM PAYMENT
184,000.00
010
01035353
714001
PATROL - LUMP SUM PAYMENT
416,000.00
010
01035354
714001
TRAFFIC - LUMP SUM PAYMENT
92,000.00
010
01035355
714001
DETECTIVES - LUMP SUM PAYMENT
184,000,00
010
01035356
714001
FLEET MAINTENANCE - LUMP SUM PAYMENT
8,000.00
O10
01040005
714001
FIRE ADMINISTRATION - LUMP SUM PAYMENT
8,000.00
010
01040401
714001
FIRE OPERATIONS - LUMP SUM PAYMENT
376,000.00
010
01040402
714001
FIRE PREVENTION - LUMP SUM PAYMENT
23,200.00
010
01040403
714001
COMM ER RESPONSE TEAM (CERT) - LUMP SUM PAYMENT
4,000.00
010
01040404
714001
EMERGENCY MEDICAL SERVICES - LUMP SUM PAYMENT
120,000.00
010
01040405
714001
JUNIOR LIFEGUARDS-LUMPSUMPAYMENT
2,000.00
010
01040406
714001
LIFEGUARD OPERATIONS- LUMP SUM PAYMENT
58,000.00
010
01050005
714001
CDD ADMIN - LUMP SUM PAYMENT
800.00
010
01099
991100
GENERAL FUND INTERFUNDTRANSFR- TRANSFER OUT TIDELAND FUND
3,332.00
O10
01099
991752
GENERAL FUND INTERFUND TRANSFR-TRANSFER OUT EQUIPMENT FUND
642.00
010
01099
991764
GENERAL FUND INTERFUND TRANSFR - TRANSFER OUT IT I51F
4,257.00
FUND BALANCE
Fund 4
Object
Description
Increase or (Decrease) $
O10
300000
GENERAL FUND- FUND BALANCE CONTROL
(1,914,589,00)
100
300000
TIDE &SUBMERGED LANDS FUND- FUND BALANCE CONTROL
701
300000
WATER ENTERPRISE FUND - FUND BALANCE CONTROL
(4,453.00)
711
300000
WASTEWATER ENTERPRISE FUND- FUND BALANCE CONTROL
(1,095.00)
752
300000
EQUIPMENT FUND - FUND BALANCE CONTROL
764
300000
IT ISE - FUND BALANCE CONTROL
Subtotal
Fund Balance Change Required
4-53