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CC RES 2025-036 RESOLUTION NO. 2025-36 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES, CALIFORNIA, ACCEPTING, APPROVING, AND ADOPTING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF RANCHO PALOS VERDES AND THE RANCHO PALOS VERDES EMPLOYEES ASSOCIATION FOR THE PERIOD OF JULY 1, 2025 THROUGH JUNE 30, 2028 WHEREAS, the City Council of the City of Rancho Palos Verdes ("CITY") adopted Resolution 2022-42 on June 21, 2022, accepting, approving and adopting the Tentative Agreement; and adopted Resolution 2023-32 on June 20, 2023, accepting, approving and adopting the Memorandum of Understanding between the CITY and the Rancho Palos Verdes Employees Association ("RPVEA") for the period of July 1, 2022 through June 30, 2025 ("RPVEA MOU 2022-25"); and WHEREAS, the City Council of the CITY subsequently approved a First, Second and Third Amendment to the RPVEA MOU 2022-25; and WHEREAS, the CITY's AND RPVEA's labor representatives met and conferred beginning in January 2025 through April 2025 regarding a successor MOU, which resulted 111 in a Tentative Agreement for an RPVEA MOU covering the period July 1, 2025 through June 30, 2028 and which was accepted, approved and adopted by the City Council on May 20, 2025 by means of Resolution No. 2025-30 (Exhibit A); and WHEREAS, Resolution No. 2025-30 directed the labor representatives of the CITY and RPVEA to jointly prepare a written memorandum of understanding in accordance with the Tentative Agreement for an RPVEA MOU covering the period July 1, 2025 through June 30, 2028 and present same to the City Council at a future date for consideration and approval; and WHEREAS, the labor representatives of the CITY and RPVEA met and conferred and jointly prepared the RPVEA MOU 2025-28 (Exhibit B) in accordance with the Tentative Agreement for an RPVEA MOU covering the period July 1, 2025 through June 30, 2028 and also addressed contract cleanup language and new laws adopted since the Tentative Agreement was approved; and WHEREAS, the City Council now desires to accept, approve and adopt the RPVEA MOU 2025-28. NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: Section 1: The recitals set forth above are true and correct and incorporated herein by this reference. Section 2: The RVPEA MOU 2025-28 attached hereto as Exhibit B is accepted, approved, and adopted and shall replace any and all prior RPVEA MOUs and amendments thereto. Section 3: The City Clerk shall certify to the adoption of this Resolution and deem it effective as of July 1, 2025, which shall supersede and replace Resolution No. 2023- 32. PASSED, APPROVED and ADOPTED this 3rd day of June, 2025. inadp David L. Bradley, Mayor ATTEST: er: a -kaoka, City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Teresa Takaoka, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2025-36 was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on June 3, 2025. Ieresa T ' ka, City Clerk Resolution No 2025-36 Page 2 of 2 01203.0003 2003650.3 5/7/2025 1 TENTATIVE AGREEMENT FOR A SUCCESSOR MEMORANDUM OF UNDERSTANDING Per Gov’t Code Section 3505.1 Between The City of Rancho Palos Verdes and the Rancho Palos Verdes Employees Association The current Memorandum of Understanding between the City of Rancho Palos Verdes (“City”) and the Rancho Palos Verdes Employees Association (“RVPEA”), including the First Amendment and the Second Amendment, expires at midnight on June 30, 2025 (“RPVEA MOU 2022-2025”). In February 2025, the City’s labor representatives and the RPVEA representatives commenced labor negotiations, including exchange of information, exchanges of proposals, meet and confer sessions, towards reaching agreement on a successor memorandum of understanding. At their April 28, 2025 meeting, the parties reached a complete tentative agreement on a successor MOU, the deal points of which are set forth below and affirmed by execution of this Tentative Agreement by the parties’ labor r epresentatives subject to RPVEA member ratification and then City Council approval and adoption. 1. Successor MOU: All terms and conditions of the prior RPVEA MOU 2022-2025 shall be maintained for the duration of the successor RPVEA MOU 2025-2028 unless expressly modified or changed herein. 2. Term/Duration: Update Article I to reflect a new three (3) year term from July 1, 2025 to June 30, 2028. 3. Compensation Adjustment: Update Article IV, Section E to reflect effective the first full pay period in July of each year, the City shall provide additional an annual cost of living adjustment in the amount not less than zero percent (0%) nor higher than a maximum of three percent (3%), as measured by the consumer price index for all urban consumers CPI-U”) for the Los Angeles-Long Beach-Anaheim area covering the prior twelve-month period March to March each year. 4. Retirement Health Saving Account: Update Article VII, Section B, effective the first full pay period in July 2025, to increase the City contribution towards the retirement health savings account to one hundred dollars ($100) per pay period. This amount shall annually increase on the first full pay period each July by the Consumer Price Index (CPI-U) in the Los Angeles–Long Beach–Anaheim area for the twelve (12) month period ending March to March of each calendar year. 5. Medical Insurance Opt-Out: Update Article VII, Section A, Paragraph 2, to increase the opt-out amount to up to seventy-five percent (75%) of the premium cost of the employee- only least expensive medical plan for employees who show proof of insurance elsewhere and who do not enroll in the City’s medical plan. Docusign Envelope ID: 6F06F962-1489-42F0-A9D8-333E47582278 Resolution No. 2025-36 Exhibit A Page 1 of 9 01203.0003 2003650.3 5/7/2025 2 6. Wellness Leave: Update Article X, Section D to eliminate the 4.5 hours of paid wellness leave for ten (10) consecutive weeks of perfect attendance without using any sick leave time. Additionally, the City will provide up to three hundred ($300) per year as reimbursement for gym membership or other health-related activity, equipment, or apparatus. 7. Deferred Compensation: Update Article VII, Section J, effective the first full pay period in July 2025, (i) to increase the City’s matching for CalPERS designated Tier 1 employees up to sixty-five dollars ($65) per month per employee towards the City’s deferred compensation program (457 plan), and (ii) to increase the City’s matching for CalPERS designated Tier 2 and Tier 3 represented employees up to one -hundred twenty dollars 120) per month per employee towards the City’s deferred compensation program (457 plan). 8. Tuition Reimbursement: Update Article VII, Section K to increase tuition reimbursement to up to two-thousand dollars ($2,000) per academic year for courses related to the employee’s advancement within city government; provided that if the employee leaves the employment of the City within two (2) years of receipt of the reimbursement then the employee must pay back the pro-rated amount of the reimbursement, which will be deducted from the employee’s final paycheck. 9. Sick Leave: Add a new paragraph to Article X, Section B (as paragraph 10) that provides, upon retirement from employment with the City, an employee may convert any unused, accumulated sick leave into CalPERS service credits, in accordance with the City’s contract with CalPERS and CalPERS regulations. 10. Uniforms: Update Article VII, Section M, to provide existing Open Space and Trails OST), Park Rangers, and Maintenance employees with City uniforms at no expense as follows: seven (7) sets of uniforms and one (1) jacket per calendar year. 11. Boot Reimbursement: Update Article VII, Section N, to provide existing Open Space and Trails (OST), Park Rangers, Maintenance, Code Enforcement, and Building Inspector employees with up to three hundred dollars ($300) in reimbursement for one (1) set of work boots per year. 12. Three Additional Paid Holidays Leave: Update Article X, Sections I and J, to provide employees three (3) additional paid holiday leaves at his/her straight hourly rate for the following federal holidays: Martin Luther King, Jr. Day, Presidents Day, and Veterans Day. 13. Holiday Pay: Update Article X, Section I, to provide that (i) non-exempt employees shall receive holiday pay for working any hours during the winter break (between Christmas and New Years Day), and (ii) the City Manager shall grant extra compensation or in-lieu time off for exempt employees who work during a holiday or the winter break (between Christmas and New Years Day). Docusign Envelope ID: 6F06F962-1489-42F0-A9D8-333E47582278 Resolution No. 2025-36 Exhibit A Page 2 of 9 01203.0003 2003650.3 5/7/2025 3 14. On-Call Duty and Pay: Update Article IV, Section K, to: (i) define an on-call shift as a continuous seven- (7-) day period; and (ii) increase the pay for an employee who is assigned to an on-call shift to four-hundred dollars ($400) per week. 15. Call-Back Pay: Update Article IV, Section L, to: (i) increase the pay for an employee who reports to work for call-back duty to a minimum of four (4) hours; (ii) clarify the language regarding pay for travel time when reporting to locations at the City; and (iii) clarify minimum rest times for employees who are called back to work during call -back duty versus emergency situations when the emergency operations center (EOC) is activated. 16. Performance Evaluations: Update Article VI regarding annual anniversary dates to provide that “an employee who is absent from work for 90 or more days due to an unprotected (non-statutory) leave shall have their annual anniversary and evaluation date adjusted in accordance with the number of days of the unprotected (non-statutory) leave of absence.” City of Rancho Palos Verdes Rancho Palos Verdes Employee Association Ara M. Mihranian – City Manager Matt Waters – President Pam K. Lee – Chief Negotiator Cheri Bailiff – Vice President Catherine Jun – Deputy City Manager Robert Nemeth – Secretary Vina Ramos – Director of Finance Andrew Berg – Treasurer Vanessa Godinez – Human Resources & Manager Docusign Envelope ID: 6F06F962-1489-42F0-A9D8-333E47582278 Resolution No. 2025-36 Exhibit A Page 3 of 9 Certificate Of Completion Envelope Id: 6F06F962-1489-42F0-A9D8-333E47582278 Status: Completed Subject: Complete with Docusign: RPVEA MOU 2025-2028 Tentative Agreement.docx Source Envelope: Document Pages: 3 Signatures: 9 Envelope Originator: Certificate Pages: 6 Initials: 0 Vanessa Godinez AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 vgodinez@rpvca.gov IP Address: 72.34.97.146 Record Tracking Status: Original 5/8/2025 3:48:00 PM Holder: Vanessa Godinez vgodinez@rpvca.gov Location: DocuSign Signer Events Signature Timestamp Matt Waters mattw@rpvca.gov Senior Administrative Analyst (R&P) City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/8/2025 3:53:26 PM Viewed: 5/12/2025 8:46:26 AM Signed: 5/12/2025 8:48:18 AM Electronic Record and Signature Disclosure: Not Offered via Docusign Cheri Bailiff cherib@rpvca.gov Permit Technician I (PW) City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/12/2025 8:48:19 AM Viewed: 5/12/2025 8:51:44 AM Signed: 5/12/2025 8:54:59 AM Electronic Record and Signature Disclosure: Not Offered via Docusign Robert Nemeth rnemeth@rpvca.gov Associate Planner City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/12/2025 8:55:00 AM Viewed: 5/12/2025 8:55:22 AM Signed: 5/12/2025 8:55:31 AM Electronic Record and Signature Disclosure: Not Offered via Docusign Andrew Berg aberg@rpvca.gov Recreation Supervisor II City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/12/2025 8:55:32 AM Viewed: 5/12/2025 8:57:03 AM Signed: 5/12/2025 8:57:33 AM Electronic Record and Signature Disclosure: Not Offered via Docusign Resolution No. 2025-36 Exhibit A Page 4 of 9 Signer Events Signature Timestamp Ara Mihranian aram@rpvca.gov City Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Uploaded Signature Image Using IP Address: 72.34.97.146 Sent: 5/12/2025 8:57:35 AM Resent: 5/13/2025 9:04:03 AM Resent: 5/14/2025 3:27:45 PM Viewed: 5/14/2025 3:50:02 PM Signed: 5/14/2025 4:06:13 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Pam Lee plee@awattorneys.com Security Level: Email, Account Authentication None) Signature Adoption: Uploaded Signature Image Using IP Address: 13.88.155.124 Sent: 5/14/2025 4:06:15 PM Viewed: 5/14/2025 4:13:02 PM Signed: 5/14/2025 4:13:55 PM Electronic Record and Signature Disclosure: Accepted: 5/14/2025 4:13:02 PM ID: 4c291ac8-bd82-4fae-858b-80685918895d Catherine Jun cjun@rpvca.gov Deputy City Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/14/2025 4:13:56 PM Viewed: 5/14/2025 5:00:51 PM Signed: 5/14/2025 5:00:57 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Vina Ramos vramos@rpvca.gov Director of Finance City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 172.117.19.238 Sent: 5/14/2025 5:00:59 PM Viewed: 5/14/2025 5:01:37 PM Signed: 5/14/2025 5:01:50 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Vanessa Godinez vgodinez@rpvca.gov Human Resources and Risk Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/14/2025 5:01:52 PM Viewed: 5/15/2025 1:27:53 PM Signed: 5/15/2025 1:28:06 PM Electronic Record and Signature Disclosure: Not Offered via Docusign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Resolution No. 2025-36 Exhibit A Page 5 of 9 Carbon Copy Events Status Timestamp Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 5/8/2025 3:53:26 PM Certified Delivered Security Checked 5/15/2025 1:27:53 PM Signing Complete Security Checked 5/15/2025 1:28:06 PM Completed Security Checked 5/15/2025 1:28:06 PM Payment Events Status Timestamps Electronic Record and Signature Disclosure Resolution No. 2025-36 Exhibit A Page 6 of 9 ELECTRONIC RECORD AND SIGNATURE DISCLOSURE From time to time, City of Rancho Palos Verdes (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronicall y through the DocuSign system. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to this Electronic Record and Signature Disclosure (ERSD), please confirm your agreement by selecting the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system. Getting paper copies At any time, you may request from us a paper copy of any record provided or made available electronically to you by us. You will have the ability to download and print documents we send to you through the DocuSign system during and immediately after the signing session and, if you elect to create a DocuSign account, you may access the documents for a limited period of time usually 30 days) after such documents are first sent to you. After such time, if you wish for us to send you paper copies of any such documents from our office to you, you will be charged a 0.00 per-page fee. You may request delivery of such paper copies from us by following the procedure described below. Withdrawing your consent If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below. Consequences of changing your mind If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. Further, you will no longer be able to use the DocuSign system to receive required notices and consents electronically from us or to sign electronically documents from us. All notices and disclosures will be sent to you electronically Electronic Record and Signature Disclosure created on: 6/15/2021 5:55:39 PM Parties agreed to: Pam Lee Resolution No. 2025-36 Exhibit A Page 7 of 9 Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through the DocuSign system all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us. How to contact City of Rancho Palos Verdes: You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows: To contact us by email send messages to: terit@rpvca.gov To advise City of Rancho Palos Verdes of your new email address To let us know of a change in your email address where we should send notices and disclosures electronically to you, you must send an email message to us at terit@rpvca.gov and in the body of such request you must state: your previous email address, your new email address. We do not require any other information from you to change your email address. If you created a DocuSign account, you may update it with your new email address through your account preferences. To request paper copies from City of Rancho Palos Verdes To request delivery from us of paper copies of the notices and disclosures previously provided by us to you electronically, you must send us an email to terit@rpvca.gov and in the body of such request you must state your email address, full name, mailing address, and telephone number. We will bill you for any fees at that time, if any. To withdraw your consent with City of Rancho Palos Verdes To inform us that you no longer wish to receive future notices and disclosures in electronic format you may: Resolution No. 2025-36 Exhibit A Page 8 of 9 i. decline to sign a document from within your signing session, and on the subsequent page, select the check-box indicating you wish to withdraw your consent, or you may; ii. send us an email to terit@rpvca.gov and in the body of such request you must state your email, full name, mailing address, and telephone number. We do not need any other information from you to withdraw consent.. The consequences of your withdrawing consent for online documents will be that transactions may take a longer time to process.. Required hardware and software The minimum system requirements for using the DocuSign system may change over time. The current system requirements are found here: https://support.docusign.com/guides/signer-guide- signing-system-requirements. Acknowledging your access and consent to receive and sign documents electronically To confirm to us that you can access this information electronically, which will be similar to other electronic notices and disclosures that we will provide to you, please confirm that you have read this ERSD, and (i) that you are able to print on paper or electronically save this ERSD for your future reference and access; or (ii) that you are able to email this ERSD to an email address where you will be able to print on paper or save it for your future reference and access. Further, if you consent to receiving notices and disclosures exclusively in electronic format as described herein, then select the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system. By selecting the check-box next to ‘I agree to use electronic records and signatures’, you confirm that: You can access and read this Electronic Record and Signature Disclosure; and You can print on paper this Electronic Record and Signature Disclosure, or save or send this Electronic Record and Disclosure to a location where you can print it, for future reference and access; and Until or unless you notify City of Rancho Palos Verdes as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by City of Rancho Palos Verdes during the course of your relationship with City of Rancho Palos Verdes. Resolution No. 2025-36 Exhibit A Page 9 of 9 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 1 of 49 01203.0004 2007915.1 Table of Contents I. Term .............................................................................................................................................. 5 II. Definition of Terms....................................................................................................................... 5 III. Management Rights .................................................................................................................. 7 IV. Compensation ........................................................................................................................... 7 A. Initial Employment ................................................................................................................... 8 B. Movement Within the Salary Range ......................................................................................... 8 C. Top of the Range ....................................................................................................................... 8 D. Compensation Adjustment ........................................................................................................ 8 E. Exempt Employees ................................................................................................................... 8 F. Non-Exempt Employees ........................................................................................................... 8 G. Overtime Pay ............................................................................................................................ 9 H. Compensatory Time .................................................................................................................. 9 I. Acting Pay ................................................................................................................................. 9 J. On-Call Duty and Pay (formerly referred to as standby pay) ................................................. 10 K. Call-Back Pay ......................................................................................................................... 11 1. Response Time .................................................................................................................... 11 2. Compensation ..................................................................................................................... 11 3. Travel Time for Call-Back Assignments ............................................................................ 11 4. Reporting............................................................................................................................. 12 V. Probationary Period and Procedures ........................................................................................... 12 A. Objective of the Probationary Period ...................................................................................... 12 B. Duration of the Probation Period ............................................................................................ 12 C. Termination of Initial Hire Probationary Employee ............................................................... 12 D. Procedures: Regular Appointment Following Probationary Period ....................................... 12 E. Rejection Following Transfer or Promotion ........................................................................... 13 VI. Performance Evaluations ........................................................................................................ 13 A. Merit Advance within a Range ............................................................................................... 14 B. Promotional Advancement...................................................................................................... 14 VII. Benefits ................................................................................................................................... 15 A. Medical Insurance and Opt-Out .............................................................................................. 15 1. Medical Insurance ............................................................................................................... 15 2. Opt-Out ............................................................................................................................... 15 B. Retirement Health Savings Account ....................................................................................... 15 C. Employee Assistance Program ............................................................................................... 16 D. Section 125 Flexible Benefits Plan ......................................................................................... 16 E. Life Insurance ......................................................................................................................... 16 F. Accidental Death and Dismemberment .................................................................................. 16 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 2 of 49 01203.0004 2007915.1 G. Short Term Disability Insurance ............................................................................................. 16 H. Long Term Disability Insurance ............................................................................................. 16 I. California Public Employees’ Retirement System (CalPERS) ............................................... 17 J. Deferred Compensation .......................................................................................................... 17 K. Tuition Reimbursement .......................................................................................................... 18 L. Workers’ Compensation and Unemployment Insurance ........................................................ 18 1. Coverage ............................................................................................................................. 18 2. On-the-Job Injuries ............................................................................................................. 18 M. Uniforms ............................................................................................................................. 18 N. Boot Reimbursement .............................................................................................................. 19 VIII. Incentive Program ................................................................................................................... 19 IX. Employee Expenses ................................................................................................................ 19 A. Mileage and Parking Expenses ............................................................................................... 19 X. Leaves ......................................................................................................................................... 19 A. Vacation Leave ....................................................................................................................... 20 B. Sick Leave ............................................................................................................................... 21 C. Administrative Leave .............................................................................................................. 22 D. Wellness Reimbursement Program ......................................................................................... 22 E. Bereavement Leave ................................................................................................................. 23 F. Jury Duty ................................................................................................................................. 23 G. Leave of Absence without Pay ............................................................................................... 24 H. Military Leave ......................................................................................................................... 25 I. Paid Holiday Leave ................................................................................................................. 25 J. Holiday Leave Banks .............................................................................................................. 26 K. Family and Medical Leave ...................................................................................................... 27 L. Catastrophic Leave.................................................................................................................. 27 M. Other Leaves ....................................................................................................................... 27 X I. Layoff ...................................................................................................................................... 27 A. Order of the Layoff of Employees .......................................................................................... 28 B. Employees or Probationary Employees .................................................................................. 28 C. Reduction to Lower Job Classification ................................................................................... 28 D. Re-Employment List ............................................................................................................... 28 XII. Work Schedules, Hours, Attendance and Breaks ................................................................... 28 A. Work Schedules and Hours ..................................................................................................... 28 B. Attendance .............................................................................................................................. 29 C. Breaks ..................................................................................................................................... 29 1. Lunch .................................................................................................................................. 29 2. Breaks ................................................................................................................................. 29 XIII. Grievance Procedures ............................................................................................................. 30 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 3 of 49 01203.0004 2007915.1 A. Purpose of Grievance Procedure ............................................................................................. 30 B. Informal Discussion of Grievance .......................................................................................... 30 C. Formal Grievance Procedure .................................................................................................. 31 D. General Procedures ................................................................................................................. 31 XIV. Discipline Procedures ......................................................................................................... 31 A. Cause for Discipline ................................................................................................................ 31 B. Types of Disciplinary Action .................................................................................................. 33 C. Disciplinary Procedures .......................................................................................................... 34 D. Appeal of Disciplinary Action ................................................................................................ 34 E. Time of Hearing ...................................................................................................................... 35 F. Hearing Procedure .................................................................................................................. 35 G. Finality of City Manager’s Decision....................................................................................... 36 H. Judicial Review ....................................................................................................................... 36 XV. Miscellaneous Procedures ....................................................................................................... 36 A. Transfers ................................................................................................................................. 36 B. Reclassification ....................................................................................................................... 36 C. Reinstatement .......................................................................................................................... 36 D. Dress Code .............................................................................................................................. 36 XVI. Administrative Instructions and Departmental Policies and Procedures: ........................... 37 A. Administrative Instructions ..................................................................................................... 37 B. Departmental Policies and Procedures .................................................................................... 37 XVII. Written Notice ..................................................................................................................... 37 XVIII. Outside Employment .......................................................................................................... 37 XIX. Dues Deduction ................................................................................................................... 38 XX. Severability ............................................................................................................................. 38 XXI. Job Description ................................................................................................................... 38 XXII. Internet Use and Electronic Mail ........................................................................................ 38 XXIII. Association Access to New Hires and Employee Information ........................................... 38 XXIV. Reopeners ............................................................................................................................ 39 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 4 of 49 01203.0004 2007915.1 5 MEMORANDUM OF UNDERSTANDING between the City of Rancho Palos Verdes and the Rancho Palos Verdes Employees Association Pursuant to the requirements of the Meyers-Milias-Brown Act (“MMBA”), commencing at California Government Code § 3500 et seq. the City of Rancho Palos Verdes (“CITY”) has recognized the Rancho Palos Verdes Employees Association (“RPVEA”) as the majority or exclusive representative, as those terms are interchangeably used under the MMBA, for those CITY employees in the bargaining unit defined as non-management, full-time employees in the classifications listed on Exhibit “A” to this Memorandum of Understanding (“MOU”). I. Term This MOU will be effective from the date of City Council approval and shall cover the period commencing from July 1, 2025 through and including June 30, 2028, unless otherwise expressly provided in this MOU. II. Definition of Terms Whenever used in this MOU, the following terms shall have the meanings set forth below: 1. CITY: The City of Rancho Palos Verdes. 2. CITY MANAGER: The duly appointed City Manager of the City of Rancho Palos Verdes or his/her designee. 3. CLASSIFICATION: A position or positions assigned to the same job title. 4. COMPETITIVE SERVICE: The competitive service established by Section 2.46.040 of the Rancho Palos Verdes Municipal Code. 5. CONTINUOUS EMPLOYMENT/SENIORITY: Total full-time spent in the employ of the CITY, including all days of attendance at work, and approved leaves of absence whether paid or non-paid (however, non-paid leaves of absence in excess of thirty (30) days do not result in the accrual of seniority after thirty (30) days, but shall not include unauthorized absences, time spent between employment with the CITY, suspensions or layoffs of more than thirty (30) days.) 6. DAY: Unless otherwise indicated, day means calendar day. 7. FISCAL YEAR: Fiscal year is the period July 1 through June 30. 8. DEMOTION: A change in employment status from one classification to another having a lower rate of pay and/or change in duties which are allocated to a class having a lower maximum rate of pay. A demotion may be temporary or permanent. 9. DISMISSAL: The discharge of the employee from CITY service for disciplinary reasons. Discharge and dismissal are used interchangeably in this MOU. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 5 of 49 01203.0004 2007915.1 6 10. EMPLOYEE: A competitive service employee as defined in Municipal Code Section 2.46.040 and compensated through the CITY payroll who is regularly scheduled to work forty (40) or more hours per week. Employee does not include elective officials, members of appointed boards, commissions, and committees, appointed CITY officers, independent contractors, part-time employees, temporary employees, emergency employees, management and confidential employees, or volunteers. 11. PROBATIONARY EMPLOYEE: An employee who is employed with the CITY during their initial-hire, transfer or promotional probationary period, or extension thereof. 12. PROBATIONARY PERIOD: A period of time not less than twelve (12) months of service for newly hired employees. A period of time not less than six (6) months of service for promotions or transfers to a new classification, as defined in Municipal Code Section 2.46.070, which is an integral part of the examination, recruiting, testing and selection process of employment. During the probationary period, an employee is required to demonstrate their fitness for the position to which they are tentatively appointed, including promotional or transfer appointments to new classifications, by actual performance of the duties of the position. 13. EVALUATION DATE or ANNUAL PERFORMANCE EVALUATION DATE: The date in which an employee is scheduled to receive their annual performance evaluation. 14. EXEMPT EMPLOYEE: An employee whose duties and salary exempt them from the overtime pay provisions of the federal Fair Labor Standards Act (FLSA). 15. NONEXEMPT EMPLOYEE: An employee who is subject to the overtime pay provisions of the federal Fair Labor Standards Act. 16. PERSONNEL OFFICER: The City Manager or designee shall serve as the Personnel Officer as outlined in Municipal Code Section 2.46.030. 17. REDUCTION IN PAY: A change in the salary of an employee to a lower rate within the same salary range. 18. RULES: The Competitive Service Employee Personnel Rules. 19. SUSPENSION: The temporary unpaid leave of absence for disciplinary purposes for a period not to exceed thirty (30) days per occurrence. 20. VERBAL REPRIMAND: A verbal warning that may be given to the employee in the event that a deficiency in performance or conduct is not of sufficient magnitude to warrant a more formal written disciplinary action. 21. WRITTEN REPRIMAND: A written statement relating to an action or omission which meets the grounds for disciplinary action, indicating that there is cause for dissatisfaction with the employee’s services and that further disciplinary measures may be taken if the cause is not corrected. 22. WORKDAY: Any day, Monday through Friday, except holidays, when City Hall administrative offices are open for business or any day in which an employee is scheduled to perform work as part of their regular duties. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 6 of 49 01203.0004 2007915.1 7 23. WORK WEEK: A regular schedule of forty (40) hours in a seven-day period, the scheduling of which may vary from time to time based on the workforce needs of the CITY as determined by the City Manager. For overtime calculation purposes, the “work week” is defined as the seven (7) day, 168 hour, regularly recurring period for each employee. For employees who work the 9/80 work schedule, their work week shall begin exactly four hours after their start time on the day of the week which is their alternating regular day off (typically Friday). For employees who work a work schedule other than a 9/80, their work week shall begin at 12:00 a.m. on Sunday through 11:59 p.m. on the following Saturday. III. Management Rights The CITY, through the City Council, possesses the sole right to operate the CITY and all management prerogatives remain vested with the CITY through the City Council and City Manager. In this context, except as specifically limited by express provision of this MOU, all management prerogatives, powers, authority and functions, whether heretofore exercised, and regardless of the frequency or infrequency of their exercise, shall remain vested exclusively with the CITY. It is expressly recognized that these rights, include, but are not limited to: • The right to hire, direct, assign or transfer an employee or probationary employee; • The right to lay off employees or probationary employees; • The right to determine and change staffing levels and work performance standards; • The right to determine the content of the workday, including without limitation, workload factors; • The right to determine the quality and quantity of services to be offered to the public, and the means and methods of offering those services; • The right to contract or subcontract CITY functions, including any work performed by employees or probationary employees; • The right to discipline employees, including the right to reprimand, suspend, reduce in pay, demote and/or terminate employees; • The right to relieve employees or probationary employees of duty, demote, dismiss or terminate employees or probationary employees for non- disciplinary purposes; • The right to consolidate CITY functions; • The right to determine CITY functions; • The right to implement, modify and delete rules, regulations, resolutions and ordinances; • The right to establish, change, combine wages or eliminate jobs, job functions and job classifications; • The right to establish or change wages and compensation; • The right to introduce new or improved procedures, methods, processes or to make technological changes; and • The right to establish and change shifts, schedules of work, and starting and quitting times. IV. Compensation Employee compensation is set forth in a salary schedule of ranges established by Resolution of the City Council. Each range spread for represented employees is approximately thirty percent (30%) from the bottom of the range to the top of the range. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 7 of 49 01203.0004 2007915.1 8 A. Initial Employment The rate of compensation for initial employment in any classification shall be determined by the City Manager at their sole discretion based upon the experience, education, skills and ability of the employee. B. Movement Within the Salary Range Employees will be eligible for a salary merit adjustment, provided they have demonstrated “meets expectations” or greater. The salary merit adjustment is determined by an employee’s annual performance evaluation rating. C. Top of the Range In no case shall an employee’s regular salary exceed the maximum of the range established by Resolution of the City Council. D. Compensation Adjustment Effective the first full pay period in July of each year, the City shall provide additional annual cost of living adjustments (COLA) for all Association represented employees still on payroll at those times in the amount not less than zero percent (0%) nor higher than a maximum of three percent (3%) as measured by the Consumer Price Index for All Urban Consumers (“CPI-U”) reported by the U.S. Bureau of Labor Statistics for the Los Angeles-Long Beach-Anaheim, CA metropolitan area covering the prior twelve-month period from March to March each year. E. Exempt Employees The following positions have been designated exempt for all purposes under the FLSA, including overtime compensation: • Accounting Manager • Associate Engineer • Emergency Management Coordinator/Senior Administrative Analyst • Maintenance Superintendent • Open Space and Trails Manager • Project Manager • Recreation Program Supervisor • Recreation Services Manager • Senior Accountant • Senior Administrative Analyst • Senior Engineer • Senior Planner F. Non-Exempt Employees Non-exempt employees and non-exempt probationary employees shall receive overtime compensation or compensatory time off in accordance with the federal Fair Labor Standards Act. Accordingly, non-exempt employees and non-exempt probationary employees shall be paid one and one-half (1½) times their regular rate of pay or receive compensatory time off at one and one half (1½) hours for all hours worked in excess of forty (40) hours in the work week. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 8 of 49 01203.0004 2007915.1 9 G. Overtime Pay 1. Overtime shall be defined as any combination of actual hours worked and paid leave, which exceeds forty (40) hours in any work week. 2. Work in excess of forty (40) hours in the workweek requires written approval of the non- exempt employee’s Department Head or the City Manager. Whenever possible, the employee shall obtain the Department Head’s or the City Manager’s written approval in advance. If a supervisor orders an employee to work overtime, the employee must work it and be paid for it. 3. An employee, with their supervisor approval, may flex their time (i.e., work on different hours of the day or move hours from one day to the next for flexibility). Flexing is permitted for the convenience of the employee and/or CITY operations and shall not result in additional overtime costs. 4. Employees working in the Park Ranger or Senior Park Ranger classifications, overtime will be all hours worked in excess of ten (10) hours a day and forty (40) hours per week. H. Compensatory Time Non-exempt employees and non-exempt probationary employees may elect to be credited with compensatory time off in lieu of paid overtime at the time such overtime is recorded. Such compensatory time shall be at the rate of one and one half (1 ½) hours for each hour of overtime worked. Compensatory time may not be accumulated to exceed forty (40) hours. The taking of all compensatory time off shall first be approved by the Department Head or the City Manager and shall be granted unless the time off will unduly disrupt the City’s operations and in accordance with the federal Fair Labor Standards Act. Employees who have accrued compensatory time on the books as of the date that they are designated to be exempt shall be paid out at the non-exempt rate. Upon separation from employment, employees shall be paid for accumulated compensatory time. I. Acting Pay Upon approval of the Department Head or the City Manager, an employee who performs the duties of a position within a classification with a higher salary range for a period of one (1) calendar month or more and not to exceed the limits as defined by CalPERS, shall receive compensation as specified below: 1. The employee shall be compensated at a level within the higher classification as will accord such employee an increase of at least five percent (5%) over his/her current rate of compensation, provided that the salary does not exceed the maximum amount of compensation within the new salary range. 2. Such compensation shall be retroactive to the first day of the assignment through the duration of the assignment. 3. As soon as the employee reaches the CalPERS limits, the higher classification duties will Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 9 of 49 01203.0004 2007915.1 10 be immediately removed, and the employee shall return to their regular assignment. Should the City fail to remove the higher classification duties once the CalPERS limits have been reached, the employee shall continue to receive acting pay until the higher classification duties are removed. J. On-Call Duty and Pay (formerly referred to as standby pay) On-Call duty must be authorized by the City Manager, or designee, to provide operational coverage during normal non-working hours when there is a likelihood that a situation may develop that could jeopardize the City, the public, or City employees if corrective action were not taken prior to the start of regular working hours. 1. Only bargaining unit members in classifications that are non-exempt from federal Fair Labor Standards Act (“FLSA”) overtime pay rules shall be eligible for on-call duty and pay. 2. On-call duty shall, whenever possible, be assigned on a voluntary basis. When voluntary participation is insufficient to meet the needs of the Department, then on-call shifts will be assigned on a rotational basis whenever possible within the affected work units. 3. While assigned to an on-call shift, employees must respond within fifteen (15) minutes to all calls during a specified continuous seven-day period, 24 hours a day. If it is determined during the call that the employee’s physical presence is required, employee must respond on scene within one hour of the call. Employees accepting on-call assignments, who are not able to meet the above criteria due to distance, must make prior arrangements with management before accepting on-call assignments. 4. Each on-call shift is defined as a continuous seven calendar day period. No employee shall be assigned consecutive on-call shifts; each shift must be separated by a minimum of seven calendar days in between. In the event of an emergency when the Emergency Operations Center is activated, the City Manager reserves the right to assign consecutive on-call shifts in order to mitigate the emergency. 5. Employees who work 16 consecutive hours will receive a minimum of 10 hours of uninterrupted rest. 6. Employees are not required to wear City or work uniforms and may engage in their own personal activities while they are on on-call duty. However, during their on-call shift, employees must refrain from the use of intoxicants, be fit for duty, and reachable by phone. Employees not obligated to remain on on-call have no obligation to meet these requirements. 7. Employees assigned to on-call shifts shall receive $400 for each on-call shift an employee is assigned and available to respond to. If an employee cannot be reached or does not respond to an emergency call, the employee shall forfeit $57.14 of on-call pay for each day they fail to respond to an on-call emergency call. 8. When a City paid holiday falls during the scheduled workweek in which an employee is on an on-call shift, said employee shall receive holiday on-call pay, which is an additional two (2) hours of regular pay for being on the on-call shift for that holiday. On- call holiday pay shall not be considered hours worked for over-time calculations. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 10 of 49 01203.0004 2007915.1 11 9. On December 24, 25, and January 1, an employee working an on-call shift shall be eligible for holiday on-call pay, but the rest of the days of the Winter Break shall be exempt from holiday on-call pay. 10. Employees that are assigned to on-call shifts must document their on-call week and actual time worked on the On-Call/Call-Out Form. Employees must submit the form to their supervisor for review and approval at the same time that they submit their timesheet. K. Call-Back Pay All FLSA non-exempt bargaining unit members contacted by the City outside their normal working hours and asked to perform work on behalf of the City outside of normal working hours shall be eligible for call-back pay. Call-back duty occurs when off-duty personnel are required to return to duty because of unanticipated work requirements, either because they are ordered to return/report to work or are already on an on-call assignment. Except as otherwise indicated in the provisions below, an employee must report for work in order to be eligible for call-back pay. 1. Response Time Employees who receive a call-back must report to work within one (1) hour of the call if their physical presence is required. 2. Compensation a. Employees shall receive a minimum of four (4) hours at time and one- half (1½) or actual time worked at time and one-half (1½), whichever is greater, for reporting to work on a call-back. i. Multiple calls received within any four (4) hour period already being paid shall not result in any additional compensation. ii. If the four (4) hour minimum period overlaps with the regular work schedule, the employee will receive regular pay at the beginning of the regular work schedule. b. Employees shall receive a minimum of fifteen (15) minutes at time and one-half (1½) or actual time worked at time and one-half (1½), whichever is greater, for resolving issues remotely (via telephone, computer, etc.). This provision will only apply for work done that is specifically related to the call-back request, and not for general work duties that can be done during normal working hours. 3. Travel Time for Call-Back Assignments a. When reporting to a regular City reporting location (such as the City Yard or an assigned City facility before going to the reported incident) and to the reported incident on a regularly scheduled work day, employees shall receive a maximum of thirty (30) minutes, or actual round-trip travel time, whichever is less, paid at the regular rate of pay. b. When reporting to a regular City reporting location (such as the City Yard or an Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 11 of 49 01203.0004 2007915.1 12 assigned city facility before going to the reported incident) on a non-regularly scheduled work day, employees shall receive a maximum of thirty (30) minutes, or actual round-trip travel time, whichever is less, paid at time and one half (1½) of their regular rate of pay. c. When reporting directly to a location that is not a regular City reporting location (location of an incident that is not at a City facility) on a regularly scheduled work day, employees shall receive actual round-trip travel time at their regular rate of pay. d. When reporting directly to a location that is not a regular City reporting location (location of an incident that is not at a City facility) on a non-regularly scheduled work day, employees shall receive actual round-trip travel time at time and one half (1½) of their regular rate of pay. 4. Reporting Employees that receive a call-back must document the date of the call- back, travel time, and actual time worked on the On-Call/Call-Out Form. Employees must submit the form to their supervisor for review and approval at the same time that they submit their timesheet. V. Probationary Period and Procedures A. Objective of the Probationary Period The probationary period shall be regarded as part of the selection and evaluation process. The CITY shall closely observe the probationary employee’s work performance during the probationary period. B. Duration of the Probation Period All initial-hire appointments shall be tentative and subject to a probationary period of not less than twelve (12) months of actual service. All transfers involving a new classification and promotional appointments shall be tentative and subject to a probationary period of six (6) months of actual service. The City Manager may extend a new-hire probationary period up to twelve (12) additional months of actual service and a promotional probationary period up to an additional six (6) months of actual service. Wherever possible, the City Manager shall give the probationary employee written notice of the extension of the probationary period ten (10) days before its expiration. The written notice shall state the reason for the extension. Failure to give the probationary employee notice of the extension prior to the expiration of the initial probationary period shall automatically extend the period. The length of the automatic extension without a written notice shall not exceed a period of over thirty (30) days. C. Termination of Initial Hire Probationary Employee During or at the conclusion of the initial-hire probationary period, or any extension thereof, the City Manager, after consultation with the probationary employee’s department head, where practical, may terminate an initial hire probationary employee without cause, and without a hearing or right of appeal. D. Procedures: Regular Appointment Following Probationary Period The City Manager shall be notified in writing two (2) weeks prior to the expiration of any probationary Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 12 of 49 01203.0004 2007915.1 13 period. After consultation with the probationary employee’s department head and immediate supervisor, the City Manager shall determine whether: 1. The initial-hire probationary employee shall become a regular employee; 2. The initial-hire probationary employee shall be terminated or discharged; 3. The transfer probationary employee’s transfer shall be confirmed; 4. The transfer probationary employee’s transfer shall be rejected; 5. The promotional probationary employee’s promotion shall be confirmed; 6. The promotional probationary employee’s promotion shall be rejected; or 7. The employee’s initial or promotional probationary period shall be extended. E. Rejection Following Transfer or Promotion Any probationary employee rejected during or at the conclusion of a probationary period following a transfer to a new classification or promotional appointment shall be reinstated to the classification from which the employee was transferred or promoted unless (a) charges are filed and the employee is dismissed from employment in the manner provided in this MOU, (b) there is no vacancy in such position, or (c) the employee is terminated from employment due to a layoff or other basis. If there is no vacancy, the employee may request to be placed on a reemployment list. VI. Performance Evaluations Probationary Employees. A probationary employee shall receive a probationary performance evaluation at the conclusion of the probationary period, or any extension thereof. Upon completion of the probationary period, they shall be considered a “regular” employee and shall receive an annual performance evaluation based upon the annual anniversary date of their appointment to their current classification. The annual performance evaluation date shall be adjusted as required by any break in service, transfer or promotion. Salary Merit Adjustments. Represented employees shall be eligible for new salary merit adjustments, within an individual salary range, based upon each employee’s annual performance evaluation rating as follows: • Meets Expectations (Satisfactory): 1.0% • Exceeds Expectations (Good): 3.5%-4.5% • Exceptional (Excellent): 5.0%-6.0% Salary Merit Bonuses. Represented employees at the top of their salary range cannot exceed their base salary range but will continue to be eligible for an annual lump sum merit bonus based upon the annual performance evaluation rating as follows: • Meets Expectations (Satisfactory): 1.0% • Exceeds Expectations (Good): 3.5%-4.5% • Exceptional (Excellent): 5.0%-6.0% The City Manager shall retain the sole discretion to approve salary merit bonuses for employees at the top of their salary range on an annual basis. The percentage salary bonus within a range will be the same for all employees who receive the same performance evaluation rating. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 13 of 49 01203.0004 2007915.1 14 Annual Performance Evaluations. Employees’ annual performance evaluations will be due within two weeks after their anniversary date; and based on their annual performance evaluation, eligible employees will receive a merit pay adjustment and/or bonus as set forth in this MOU. However, an employee who is absent from work for 90 or more days due to an unprotected (non-statutory) leave shall have their annual anniversary and performance evaluation date adjusted in accordance with the number of days of the unprotected (non-statutory) leave of absence. Regardless of the date that an employee actually receives their annual performance evaluation, the advancement of an employee within a classification’s salary range, or merit bonus payment, shall have an effective date of the first day of the pay period in which the employee’s anniversary date in the classification falls, subject to the City Manager’s approval. Employees will be permitted to grieve performance evaluations that are less than an “Exceeds Expectations (Good)” rating. The CITY will provide the Association with the total annual performance evaluation ratings for each employee and their department on a quarterly basis or monthly basis, if mutually agreed upon. The total annual performance evaluation ratings report will be anonymous and will not contain information that would link a rating to an individual employee. A. Merit Advance within a Range Other than the annual performance evaluation, the only reason for advancement within a range shall be meritorious performance in an employee’s assigned duties. 1. Except as allowed in this section, probationary employees will not be eligible for merit advancement at the conclusion of the probationary period. 2. Meritorious performance shall be determined by the overall rating on the employee’s evaluation for merit advancement. 3. Merit increases shall be based on meritorious service, described in the evaluation. Granted increases shall be effective on the same day in which the employee’s evaluation date for the merit advancement falls, whether or not the annual performance evaluation is conducted on the anniversary date. 4. All proposed advancements shall be recommended by the Department Head and approved by the City Manager before becoming effective. The City Manager shall make a final determination on all proposed merit increases based upon the overall rating on the employee’s most recent annual performance evaluation and the Department Head’s recommendation. Advancements under this section shall not change the employee’s annual performance evaluation date. B. Promotional Advancement When an employee is promoted from employment in one classification to employment in a classification assigned a higher salary range, advancement shall be at least five percent (5%) over his/her current rate of compensation, provided that the salary does not exceed the maximum amount of compensation within the new salary range. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 14 of 49 01203.0004 2007915.1 15 VII. Benefits The first of the month following initial appointment, all employees are eligible to participate in the CITY’s group medical, dental, and vision insurance plans. For employee-only coverage, the City currently pays the entire premium for the employee, and for employee plus dependent coverage, the City currently pays the amount equivalent to the employee-only coverage, plus 50% of the remaining dependent care premium. A. Medical Insurance and Opt-Out 1. Medical Insurance The City has five (5) medical plans available to employees (3 HMO’s, 1 traditional PPO, and a high deductible PPO). The high deductible PPO plan comes with a Health Savings Account (HSA) that is funded by the City. The City’s annual contribution to an employee’s HSA plan for the 2025 calendar year is Four- Thousand Three Hundred dollars ($4,300.00) for single coverage or Eight-Thousand Five Hundred Fifty dollars ($8,550.00) for employee and dependent coverage. Employees can make additional contributions, on a pre-tax basis, to their HSA account through payroll deductions, up to the IRS limits, based on their age (50+) and coverage level. 2. Opt-Out Employees who show proof of insurance elsewhere and do not enroll in the City’s medical plan can receive up to seventy-five percent (75%) of the premium cost of the least expensive medical plan. Pursuant to the Affordable Care Act (ACA) Employer Mandate “affordability” determination, an Eligible Opt-Out Arrangement requires the following for employees who opt-out of employer- provided health coverage and receive cash in lieu payment: a. Employee must provide reasonable evidence that the employee and each member of the employee’s expected tax family (individuals the employee expects to claim personal exemption deduction) have or will have minimum essential coverage (other than coverage in the individual market, whether or not obtained through Covered California) during the period of coverage to which the opt-out arrangement applies; b. The evidence of alternative coverage must be provided every plan year to which the eligible opt-out arrangement applies; and c. The reasonable evidence must be provided no earlier than a reasonable period of time before the plan year begins. B. Retirement Health Savings Account Employees shall be enrolled in the retirement health savings account upon completion of their initial probationary period. The Account is funded by a one percent (1%) employee deduction and a CITY contribution. Effective the first full pay period in July 2025, the CITY contribution is one hundred dollars ($100.00) per pay period. This amount shall annually increase in the first full pay period each July by the Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 15 of 49 01203.0004 2007915.1 16 Consumer Price Index (CPI-U) in the Los Angeles-Long Beach-Anaheim area for the twelve (12) month period ending March to March of each calendar year. The City shall continue the practice of annually increasing the City contribution effective the first full pay period in July by the percentage increase in CPI-U. C. Employee Assistance Program The CITY provides the Employee Assistance Program at no cost to the employee and employees’ family. D. Section 125 Flexible Benefits Plan Employees are eligible to enroll in the CITY’s flexible Benefits Plan on the first of the month following their date of hire and during the annual Open Enrollment event. The Section 125 plan allows employees to withhold a portion of their paycheck on a pre-tax basis. The money is then used to pay for health expenses not covered by their respective insurance providers or for reimbursement of the employee’s dependent care expenses, such as day care, throughout the year. Employees should calculate their deductions and track their expenses carefully, as any unused amount will be forfeited per IRS regulations. E. Life Insurance Employees are eligible for life insurance on the first of the month following their date of hire. The CITY pays the entire premium on a life insurance policy with a benefit of twice the employee’s annual salary, up to a maximum benefit of $350,000. F. Accidental Death and Dismemberment Employees are eligible for AD&D insurance on the first day of the month following their date of hire. The CITY pays the entire premium on an AD&D insurance policy. The benefit amount is based on the actual loss, up to a maximum benefit of $350,000. G. Short Term Disability Insurance All employees are required to participate in the California State Disability Insurance (SDI) program, which provides partial salary replacement benefits when an employee is disabled due to a non-work- related illness or injury. The program is funded by employee payroll deductions from the employee’s bi-weekly paycheck until a cap established by the State is reached. The benefits and terms are established by the State. H. Long Term Disability Insurance On the first day of the month following six full months of employment, eligible employees are covered by the CITY’s long term disability insurance program, which provides partial salary benefits when an employee is disabled due to a non-work-related illness of injury. The CITY pays the employee’s entire premium. Long term disability insurance does not become effective until an eligible employee has been unable to work for more than 90 days. Benefits are provided at a rate of 66.6667% of an employee’s monthly earnings, up to a maximum benefit of $10,000 per month. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 16 of 49 01203.0004 2007915.1 17 I. California Public Employees’ Retirement System (CalPERS) Employees are eligible, upon hire, to be enrolled in the CITY’s retirement system. The retirement plan is provided under contract with CalPERS. The CITY pays the employer portion of the CalPERS contribution. The employee pays the employee portion, as determined by statute and CalPERS contract. In the event of any conflict between this summary and either the CITY’s contract with CalPERS or law, the contract or law, as applicable, will prevail. 1. Tier 1 - Employees hired prior to October 6, 2012 are subject to the first tier benefit formula of 2.5%@55 with final compensation determined by the average of the 12 highest paid consecutive months (single highest year). The employees will be required to contribute eight percent (8%) of their base salary toward the pension benefit. 2. Tier 2 - Employees hired on or after October 6, 2012 who are not defined by CalPERS as “new members” are subject to the second tier benefit formula of 2%@60 based on the average monthly pay rate for the 36 highest paid consecutive months (3 year final compensation). The employees will be required to contribute seven percent (7%) of their base salary toward the pension benefit. 3. Tier 3 - Pursuant to the Public Employees’ Pension Reform Act of 2012 (PEPRA), on and after January 1, 2013, employees who are defined by CalPERS as “new members,” are subject to the reform tier benefit formula of 2%@62 based on the average monthly pay rate for the 36 highest paid consecutive months (3 year final compensation) and other PEPRA required terms. In addition, new members will be required to pay one half (1/2) of the total normal cost rate for their pension benefit. That rate is determined by CalPERS and will be communicated to the Association (and as it is adjusted in the future) once it is known by the CITY. As defined by CalPERS, a “new member” is: a. An individual who becomes a member of any public retirement system for the first time on or after January 1, 2013, and who was not a member of any other public retirement system prior to that date. b. An individual who becomes a member of a public retirement system for the first time on or after January 1, 2013, and who was a member of another public retirement system prior to that date, but who was not subject to reciprocity, as provided under PEPRA. c. An individual who was an active member in a retirement system and who, after a break in service of more than six months, returned to active membership in that system with a new employer. J. Deferred Compensation The CITY’s deferred compensation program (457 plan) allows employees to save and invest a portion (up to the maximum permitted by law) of their salary on a tax-deferred basis, to supplement their future retirement benefits. All employees are eligible to participate in the program. Effective the first full pay period in July 2025, for CalPERS designated Tier 1 employees, the City shall match employee contributions up to Sixty-Five dollars ($65) per month per employee towards the City’s deferred compensation program (457 plan). Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 17 of 49 01203.0004 2007915.1 18 For CalPERS designated Tier 2 and Tier 3 represented employees, the City shall match employee contributions up to One-Hundred Twenty dollars ($120) per month per employee towards the City’s deferred compensation program (457 plan). K. Tuition Reimbursement The CITY provides a tuition reimbursement program to encourage employees to pursue professional growth and development through accredited academic coursework. All employees who have completed probation are eligible to participate in the program. The course must be related to work within City government, and class time must not interfere with the employee’s normal duties, unless specifically authorized by the City Manager. A passing grade, or a certificate of completion for courses that do not bear credit, is required to receive payment. The maximum amount of reimbursement in a fiscal year shall not exceed two-thousand dollars ($2,000) per employee, per academic year for courses related to the employee’s scope of work or advancement within City government; if the employee voluntarily resigns from their employment within two (2) years of receipt of the reimbursement, the employee must repay the pro-rated amount of the reimbursement to the City. The repayment will be deducted from the employee’s final paycheck. Participation in the tuition reimbursement program is subject to final authorization by the City Manager. The total amount of funds available for the tuition reimbursement program is established each year by the City Council as part of the CITY’s operating budget. L. Workers’ Compensation and Unemployment Insurance 1. Coverage The CITY provides workers’ compensation and unemployment insurance to all employees, in accordance with California law. 2. On-the-Job Injuries All injuries suffered during working hours must be reported, in writing, immediately to the Department Head or City Manager. Unless there is an emergency, a CITY referral form must be obtained from the Human Resources Division before visiting a doctor. Employees who have a pre- designated physician on file with the Human Resources Division are not required to obtain a referral form. Upon returning to work from all on-the-job injuries, employees and probationary employees must have an approved return to work certificate signed by the attending doctor. M. Uniforms Effective July 1, 2025, Open Space and Trails (OST), Park Rangers, and Maintenance employes shall be provided City uniforms at no expense as follows: 1. New Employees: 7 sets of uniforms and 1 jacket. 2. Existing employees: 7 new sets of uniforms and 1 jacket per calendar year. 3. Replacement uniforms may be provided as needed upon request by employee and justification as determined by Department Head and/or designee. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 18 of 49 01203.0004 2007915.1 19 N. Boot Reimbursement Effective July 1, 2025, Open Space and Trails (OST), Park Rangers, Maintenance, Code Enforcement employees and Building Inspectors shall be provided on a reimbursement basis, with required receipts for same, one (1) set of work boots per calendar year, up to a maximum of Three-Hundred dollars ($300) per pair, as determined and approved by the CITY at no employee expense. Additional boots may be authorized as needed upon request by employee and with justification as determined by Department Head and/or designee. An additional set of work boots are paid up to Three Hundred dollars ($300) maximum reimbursement per pair, per year, due to extreme wear. VIII. Incentive Program From time-to-time, the City Manager may grant an incentive pay award to any employee or probationary employee in recognition for extraordinary work. 1. The City Manager shall approve the amount of incentive pay per employee award. However, in no case shall the incentive pay exceed five percent (5%) of an employee’s base salary. 2. Employees or probationary employees shall be limited to no more than two (2) incentive pay awards in a fiscal year, not to exceed a total of 5% of an employee’s base salary. IX. Employee Expenses A. Mileage and Parking Expenses An employee or probationary employee who is required to use his/her private automobile for CITY assignments shall be reimbursed for mileage at the current standard mileage rate set by the Internal Revenue Service and actual parking expenses. All claims for mileage and parking reimbursement shall first be approved in writing by the employee’s or probationary employee’s supervisor, department head or the City Manager, and shall be filed on forms and in accordance with the procedures established by the City Manager. Employees and probationary employees using their private automobile for CITY business shall supply the Human Resources Division with a Certificate of Insurance stating that their private automobile is covered by public liability and property damage insurance of not less than the amount required in the procedures established by the City Manager, established in coordination with the CITY’s liability coverage pool. X. Leaves Time spent by an employee on an approved paid leave shall not be construed as a break in service or employment, and rights accrued at the time the leave is granted shall be retained by the employee. Additionally, a leave of absence, with pay or without pay, granted to any employee shall not create a vacancy in the position. For the duration of any such leave of absence, the duties of the position may be performed by another employee from the competitive service on an acting assignment, an independent consultant, or a temporary employee, provided that any person so assigned shall possess the minimum qualifications for such position. Except as otherwise permitted by law, all requests for leave shall be in writing, and shall be sent to Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 19 of 49 01203.0004 2007915.1 20 the employee’s supervisor or department head or his/her designee. The request shall include the expected start and end dates of the leave, and any medical certifications required by the provisions of this MOU or CITY policy. An employee shall provide as much advance notice of the need for leave as practicable. Generally, when the need for the leave is foreseeable, the employee shall try to provide at least ten (10) days’ notice prior to the commencement of the leave. Failure to provide advance notice of the need for leave may be grounds for delaying the start of the leave. A. Vacation Leave 1. Employees are entitled to accrue paid vacation leave under the following schedule: Length of Employment Vacation Accrual Rates Maximum Accumulation Beginning of 1st month through 2 years 6.67 hours per month 160 hours Beginning of 3rd year through 5 years 8 hours per month 192 hours Beginning of 6th year through 15 years 10 hours per month 240 hours Beginning of 16th year and more 8 additional hours per year for each year of service up to a maximum of 160 hours per year Twice the annual accrual not to exceed 320 hours (i.e. 256, 272, 288, 304 or 320 hours, as applicable) 2. During the initial-hire probationary period, the employee will be credited with vacation leave earned during the probationary period and shall be entitled to take such leave during the initial-hire probationary period or extension thereof. 3. Vacation leave may be accumulated to a maximum of two years’ worth of accrued vacation leave. For specific amounts, see table above. Once an employee reaches the maximum vacation leave which may be accumulated, the employee shall cease to accrue any further vacation leave until the amount accumulated falls below the maximum. 4. The scheduling of vacation leave must be approved in advance by the employee’s Department Head or the City Manager. Employee shall submit a written request to schedule vacation leave to the employee’s Department Head or the City Manager within a reasonable amount of time prior to the desired date and may be granted in accordance with the work force needs of the CITY. 5. Employees will have the option to be paid for vacation leave that exceeds the maximum allowed by this MOU if a requested vacation leave is received and denied by the employee’s Department Head and the City Manager due to the work force needs of the CITY, not less than thirty (30) days prior to exceeding the maximum accrual. 6. Employees shall not be granted, and accordingly are not entitled to take, vacation leave in advance of its accrual. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 20 of 49 01203.0004 2007915.1 21 7. Upon termination or dismissal from employment, employees and probationary employees shall be paid for accumulated vacation leave up to a maximum amount which may be accumulated pursuant to this MOU. 8. Vacation leave may be used for medical appointments, pregnancy disability leave, and leave pursuant to the federal and California family and medical leave statutes. 9. Employees shall be entitled to cash out up to eighty (80) hours of accrued vacation leave per calendar year provided that the employee maintains fifty percent (50%) of their annual vacation accrual after cash out and that they irrevocably designate in writing the amount of leave to be cashed out in the following calendar year and may cash out only from leave to be accrued after such irrevocable designation. Cash out to be at the employee’s rate of pay at the time paid. Employees will be allowed two (2) cash outs per year, and Human Resources will supply the designation form by December 1st of each year. B. Sick Leave 1. Employees and probationary employees earn paid sick leave at the rate of eight (8) hours for each full calendar month of continuous employment with the CITY including time served in probationary status. 2. Probationary employees are eligible to use paid sick leave during their probationary period. 3. Unused sick leave may be accumulated to a maximum of seven hundred twenty (720) hours. 4. In order to receive paid sick leave, an employee or probationary employee must speak with his/her supervisor at the earliest possible time, generally before 8:30 a.m. on the day that the leave will be used. Alternatively, an employee or probationary employee must leave a voicemail with his/her supervisor and then call his/her Department Head. Such notice shall provide the fact and the reason for the leave and duration of the leave. Failure to provide reasonable notice will be cause for denial of sick leave with pay for the period of the absence. Written verification of the cause of absence may be required by the Department Head or City Manager. 5. Employees and probationary employees shall not be granted, and accordingly are not entitled to take, paid sick leave in advance of its accrual. 6. Employees and probationary employees who use more than twenty-seven (27) consecutive sick hours shall be required to furnish a physician’s certificate stating that the employee is able to safely return to work. A physician’s certification may be requested if a supervisor has reason to believe that sick leave is being abused. Regardless of the length of the sick leave used, the supervisor has the authority to determine if the employee is abusing the sick leave benefit. 7. Sick leave must be used in a minimum of fifteen (15) minute increments just like the reporting of regular hours worked. 8. Sick leave may be used for medical appointments, pregnancy disability leave, leaves Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 21 of 49 01203.0004 2007915.1 22 provided pursuant to the federal and California family and medical leave statutes, and to care for an employee’s spouse, child(ren), parent(s) or spouse’s child(ren) or parent(s) due to illness. 9. Upon termination or dismissal from employment, employees and probationary employees shall not be granted, and accordingly are not entitled to be paid for accumulated sick leave. 10. Upon retirement from employment with the CITY, an employee may convert any unused, accumulated sick leave into CalPERS service credits, in accordance with the CITY’S contract with CalPERS and CalPERS regulations. C. Administrative Leave Classifications exempt under the FLSA will receive a lump sum of 62 hours of Administrative Leave at the beginning of each fiscal year on July 1. If an employee is hired or promoted into an exempt position after July 1, then the administrative leave hours will be pro-rated based upon the employee’s hire or promotion date. Hours are pro-rated on a monthly basis using the calculation of 62 divided by 12. Administrative Leave hours are capped at 62 hours per fiscal year. Any administrative leave hours not used during a fiscal year will carry over into the next fiscal year and reduce the accrual accordingly, so that the total amount of administrative leave hours does not exceed 62 at the beginning of any fiscal year. Upon termination or dismissal from employment, employees and probationary employees shall be paid for accumulated administrative leave up to a maximum amount which may be accumulated pursuant to this MOU. D. Wellness Reimbursement Program The City will provide a wellness reimbursement of up to Three Hundred dollars ($300) per fiscal year (July 1- June 30) to support employee participation in health- and wellness-related activities and in the purchase of equipment that promote personal health and wellness. Eligible expenses must be incurred while the employee is actively employed and may include the following: 1. Fitness-related expenses: membership fees for gyms, fitness centers, or health clubs; yoga, pilates, or meditation classes; fitness and nutrition counseling and training sessions (in person or online) 2. Preventative health and wellness classes: Weight loss, smoking cessation, meditation, stress management, and health education classes and programs (in person or online) 3. Exercise equipment or apparatus Reimbursements are limited to expenses incurred by the employee only. The City will not cover costs for family or dependents. Ineligible expenses include, but are not limited to: Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 22 of 49 01203.0004 2007915.1 23 1. Apparel (e.g., workout clothes, shoes) 2. Vitamins, proteins, and supplements (no exceptions) 3. General electronics without a sole focus on fitness (i.e. smart watches and phones) All reimbursement requests are subject to approval by Human Resources. Reimbursements apply to eligible expenses incurred between July 1 and June 30 of each fiscal year. All reimbursements must be paid by the last check-run of the fiscal year in June. Requests must be submitted to Human Resources no later than June 1 of the fiscal year. Requests submitted after June 1 may not be processed in time and will not be carried over into the next fiscal year. Employees must complete and submit the Wellness Reimbursement Request Form along with itemized receipts or proof of purchase for all claimed expenses. Human Resources may request additional documentation to determine eligibility. Approved reimbursements will be processed according to the CITY’s bi-weekly check run schedule. There is no carryover of unused funds from one fiscal year to the next. E. Bereavement Leave Paid bereavement leave shall not be considered accrued leave which an employee or probationary employee may use at their discretion, but is granted by reason of the death of a member of the employee’s or probationary employee’s immediate family, consisting of an employee’s or probationary employee’s spouse or registered domestic partner and employee’s or probationary employee’s or their spouse’s child, parent, sibling, stepparent, stepchild and grandparent. An employee or probationary employee may take a maximum of five (5) working days of bereavement leave each time a death occurs within an employee’s or probationary employee’s immediate family, three (3) days of which are paid and the remaining two (2) are either unpaid or the employee may use accrued leave to cover the two (2) days. In order to receive paid bereavement leave, the employee or probationary employee must notify their Department Head or the City Manager at the earliest possible time, generally before 8:30 a.m. on the day that the leave is first requested, followed by a completed Absence Request Form submitted to Human Resources upon return from leave. In the event the employee or probationary employee must travel out of state in connection with the bereavement, the employee or probationary employee shall be allowed two (2) additional paid working days of bereavement leave, for a total of five (5) CITY paid days without use of other accrued leave for each incident. Bereavement leave must be completed within three (3) months of the family member’s death and may be intermittent leave and is not required to be used in consecutive amounts. Employees are required to provide documentation of the family member’s death within thirty (30) days of the first day of the leave. “Documentation” includes, but is not limited to, a death certificate, a published obituary, or written verification of death, burial, or memorial services from a mortuary, funeral home, burial society, crematorium, religious institution, or governmental agency. The CITY shall maintain the confidentiality of any employee requesting leave under this section. Any documentation provided to the CITY regarding this leave shall be maintained as confidential and shall not be disclosed except to internal personnel or counsel, as necessary, or as required by law. F. Jury Duty 1. Employees and probationary employees called for jury duty shall give the Department Head or City Manager reasonable advance written notice of his/her obligation to serve. 2. Employees and probationary employees will be paid their regular wages, less jury duty pay (other than mileage or subsistence allowances) or may elect to forfeit the jury duty Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 23 of 49 01203.0004 2007915.1 24 warrant to the CITY and receive full CITY wages. 3. Written evidence of jury duty attendance shall be presented to the Personnel Officer. 4. Employees and probationary employees shall continue to report to work on those days when excused from jury duty, and on which the employee or probationary employee can work at least four (4) hours during his/her regular workday. G. Leave of Absence without Pay The City Manager, after consultation with the employee’s or probationary employee’s Department Head, may grant an employee or probationary employee leave of absence without pay for a period not to exceed four (4) months in accordance with the work force needs of the CITY. Additionally, the City Manager may apply such conditions as he/she deems warranted in the best interest of the CITY. No such leave shall be granted except upon written request of the employee or probationary employee. Leave under this section shall only be granted to an employee or probationary employee under circumstances where the employee or probationary employee is not otherwise eligible for pregnancy disability leave or family and medical leave as provided under applicable law and Sections 8 (Pregnancy Disability Leave) and 11 (Family and Medical Leave) of the Personnel Rules. Approval shall be in writing and a copy filed with the Personnel Officer. 1. A leave of absence without pay shall not be construed as a break in service or employment; however, paid leave benefits, increases in salary, and other similar benefits shall not accrue to a person granted such leave during the period of absence. An employee shall stop accruing seniority after thirty (30) days on a leave of absence without pay. 2. Use of a leave of absence without pay for a purpose other than that requested may be cause for forfeiture of reinstatement rights. Failure on the part of an employee or probationary employee on leave to report to work promptly at its expiration may be cause for discharge. 3. An employee or probationary employee reinstated after a leave of absence without pay shall receive that same pay rate in the salary range that he/she received when the leave of absence began. Time spent on such leave without pay shall not count towards service for increases within the salary range, and the employee’s or probationary employee’s evaluation date shall be set forward one (1) month for each thirty (30) consecutive days taken. 4. The CITY shall maintain group health insurance coverage for an employee or probationary employee (including dependent coverage) while the employee or probationary employee is taking a medical leave of absence under this section at the level and under the conditions coverage would have been provided by the CITY if the employee or probationary employee had not taken such leave. In the event an employee or probationary employee does not return to work following the leave, the CITY reserves the right to recover the premiums or other sums the CITY paid for group health insurance coverage during the period of the leave. 5. The employee or probationary employee is responsible to pay the entire cost of all applicable health and life insurance premiums and other insurance premiums (such as long-term disability and accidental death and dismemberment) during a non- medical Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 24 of 49 01203.0004 2007915.1 25 leave of absence without pay that exceeds thirty (30) days. In addition, in advance of taking the leave, the employee or probationary employee must make written arrangements with the Finance Department to pay for the costs of such coverage. Premiums shall be paid within the time specified by the CITY or as otherwise required by the applicable insurance or benefit program. 6. If the leave of absence without pay was for medical reasons, prior to resuming regular duties, an employee or probationary employee shall furnish the Personnel Officer a physician’s certificate stating that the employee is able to return to work. H. Military Leave Military leave and military spouse leave shall be granted in accordance with applicable federal and California law. I. Paid Holiday Leave 1. Subject to the restrictions described below, nonexempt employees and nonexempt probationary (new-hire, transfer and promotional) employees shall receive paid leave at his/her straight hourly rate for the following designated CITY holidays: a. The third Monday of January (Martin Luther King Jr. Day) b. The third Monday of February (Presidents’ Day) c. The last Monday in May (Memorial Day) d. July 4th (Fourth of July) e. The first Monday in September (Labor Day) f. November 11 (Veterans Day) g. The fourth Thursday in November (Thanksgiving) h. The day after the fourth Thursday in November i. Winter Break, the period between and including December 24 and January 1 (Saturdays and Sundays or other non-work days excepted); and j. Floating Holiday: One day as a floating holiday, which shall be designated yearly by the City Manager. City agrees to provide one additional floating holiday to employees in lieu of adding Juneteenth as a City holiday, to be designated yearly by the employee. Employees working in the Park Ranger and Senior Park Ranger classification shall receive 10 hours for each floating holiday. 2. Exempt employees and exempt probationary employees shall receive paid leave for the Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 25 of 49 01203.0004 2007915.1 26 designated CITY holidays outlined above. At his/her discretion, the City Manager shall grant extra compensation or in lieu time off to exempt employees and exempt probationary employees who are required to work on a holiday, including the Winter Break. 3. If a holiday falls upon a Saturday, the Friday before is the observed holiday, and if the date falls upon a Sunday, the Monday following is the observed holiday. 4. In order to be eligible for holiday pay, an employee or probationary employee must work the last scheduled workday before and the first scheduled workday after the holiday unless the employee or probationary employee is taking approved paid leave. 5. If a holiday falls during an employee’s or probationary employee’s approved vacation leave period, the employee or probationary employee shall be paid for the holiday and shall not be charged with a vacation day for the day the holiday is observed. 6. If a holiday falls during an employee’s or probationary employee’s approved sick leave period, the employee or probationary employee will be paid for the holiday and will not be charged with a sick day for the day the holiday is observed. 7. Employees and probationary employees on non-paid leave of absence for any reason are ineligible for holiday benefits for holidays that are observed during the period they are on a non-paid leave of absence. 8. Regardless of the number of hours worked during the work week, nonexempt employees and nonexempt probationary employees will receive Paid Holiday Leave at their regular hourly rate if they work on a designated CITY holiday, including the Winter Break. In addition to their Paid Holiday Leave, they shall be paid holiday pay, which is one and one half (1½) times their regular hourly rate of pay for all hours worked on the holiday or receive credit for the equivalent number of hours worked of compensatory time off at one and one half (1 ½) hours of compensatory time off for all hours worked on the holiday. 9. Upon termination or dismissal from employment, employees and probationary employees shall not be granted, and accordingly are not entitled to be paid for a floating holiday. J. Holiday Leave Banks Employees working in the Park Ranger or Senior Park Ranger classifications who actually work on an actual holiday shall receive 10 holiday leave bank hours for each holiday worked to be credited to the same payroll period as the holiday worked. This holiday leave credit is in addition to overtime pay to be received at one and one-half (1 ½) times the regular rate of pay for working the holiday, as indicated below: 1. The third Monday of January (Martin Luther King Jr. Day) 2. The third Monday of February (Presidents’ Day) 3. The last Monday in May (Memorial Day) Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 26 of 49 01203.0004 2007915.1 27 4. July 4th (Fourth of July - this would be the actual date of July 4th is not a City observed date in lieu of July 4th) 5. The first Monday in September (Labor Day) 6. November 11 (Veterans Day) 7. The fourth Thursday in November (Thanksgiving) 8. The day after the fourth Thursday in November 9. Winter Break, the period between and including December 24 and January 1 (Saturdays and Sundays or other non-work days excepted) Earned holiday leave may be taken in quarter-hour (1/4) increments. Upon request of the employee, earned unused holiday leave may be “cashed-out” at any time during the fiscal year in which such leave time is earned. The payment will appear in the employee’s paycheck at the current value of their regular rate of pay. K. Family and Medical Leave Family and medical leave will be granted in accordance with the CITY’s Family and Medical Leave Policy and applicable law. L. Catastrophic Leave Employees in the unit shall be permitted to donate accrued vacation or compensatory time off to other members of the bargaining unit who have exhausted all paid leaves, who have been granted an unpaid leave and who need to continue to be absent from work because of a catastrophic injury or illness. The value of the leave will be determined based on the donating employee’s compensation. It will then be converted to vacation hours for the donee’s use based on the donee’s rate of pay. For example, if an employee who earns $40 per hour donated 10 hours of vacation to an employee who earns $30 per hour, the donee would receive $400 divided by $30 or 13.333 hours of vacation. M. Other Leaves The City Manager shall grant such other leaves as are required by law. Except as otherwise provided by law or by circumstances beyond the employee’s control, employees shall request such leave and obtain approval in advance. All such leaves shall be unpaid, unless otherwise required by law or this MOU, but employees may use otherwise applicable paid-leave benefits to remain in paid status. XI. Layoff Whenever in the judgment of the City Council it becomes necessary in the interest of economy, because the necessity for a position no longer exists or other legitimate purpose, the City Council may abolish any position in the competitive service; and the employee or probationary employee holding such position or employment may be laid off without taking disciplinary action and without the right of appeal. Except as otherwise determined by the City Council, the City Manager, when it becomes necessary in the interest of economy, because the necessity for a position no longer exists or for other legitimate purpose, may abolish any position or employment in the Competitive Service and may lay Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 27 of 49 01203.0004 2007915.1 28 off an employee holding such position or employment without taking disciplinary action and without right of appeal. A. Order of the Layoff of Employees The order of the layoff of employees and/or probationary employees shall be established by seniority in the employee’s classification. B. Employees or Probationary Employees Employees or probationary employees to be laid off shall be given at least ten (10) working days prior notice, equivalent pay if laid off immediately, or a combination of notice and pay totaling ten (10) working days if laid off with less than ten (10) working days’ notice. C. Reduction to Lower Job Classification An employee, promotional probationary employee, or transfer probationary employee who is subject to layoff may request a reduction to a lower job classification within the same occupational series in the layoff unit provided the employee, promotional probationary employee or transfer probationary employee possesses seniority, an acceptable performance and attendance record, and has the ability to perform the remaining work available without further training. The reduction shall be made only in cases where there is a vacant position in the layoff unit. D. Re-Employment List The names of employees and probationary employees laid off or demoted in lieu of layoff shall be placed on re-employment lists for those job classifications requiring basically the same qualifications, duties, and responsibilities of the class from which the layoff or demotion in lieu of layoff was made. Names of persons laid off or demoted in lieu of layoff in accordance with these procedures may be carried on a re-employment list(s), prepared and maintained by the Personnel Officer, for a period of six (6) months, unless extended by the City Manager at his/her sole discretion. 1. Persons who refuse re-employment shall be removed from the list. 2. Persons who are appointed to permanent positions of the same level, whether in the CITY or another agency, as that which was demoted or laid off shall be removed from the list. 3. Persons who fail to respond to a notice of re-employment mailed to the last known address within ten (10) working days from the date in which the notice was mailed shall be removed from the list. XII. Work Schedules, Hours, Attendance and Breaks A. Work Schedules and Hours The work schedule at City Hall is a 9/80 schedule. Employees work a 9-hour day, 7:30 AM to 5:30 PM, Monday through Thursday. Staff is divided into two teams, the “A” Team and the “B” Team, which alternate working every other Friday. For employees who work the 9/80 work schedule, their workweek shall begin exactly four hours after their start time on the day of the week which is their Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 28 of 49 01203.0004 2007915.1 29 alternating regular day off (typically Friday). During their Fridays “on,” employees work an 8-hour day, from 7:30 AM to 4:30 PM. City Hall offices remain open with at least one person in each department on duty to answer questions and to receive visitors. It is up to each Department Head to decide how best to divide his or her staff so that sufficient staff coverage is available on Fridays. When a team’s Friday “off’ falls on a CITY Holiday, that team takes the prior workday off instead. For example, if Christmas Eve falls on a Friday, the team that would have had that Friday off takes the Thursday off instead. At the beginning of each calendar year, the “A” and “B” Teams alternate which one takes the first Friday of the year off following the return to work from the CITY’s Winter Break. Employees are generally not allowed to switch Fridays, however, the Department Head may grant permission to do so, but only if to do so would not cause the employee to earn overtime as a result of the switch, if circumstances warrant and the staffing needs of the Department can still be met. An employee’s supervisor and/or Department Head shall set the hourly work schedule and workday for that employee. In the absence of other arrangements, working hours are 7:30 AM to 5:30 PM, Monday through Thursday and 7:30 AM to 4:30 PM every other Friday, with one hour for lunch. The work schedule for the classifications of Park Ranger and Senior Park Ranger is a 4/10 work week schedule. Employees work a 10-hour day, 4 days per work week. The schedule is flexible since open space needs to be patrolled 365 days a year. It is up to the department to best decide how to divide staff so that sufficient coverage is available. Employees are generally not allowed to switch days off; however, the Department Head, and/or designee, may grant permission to do so, but only if to do so would not cause the employee to earn overtime as a result of the switch, and the staffing needs of the department can still be met. An employee’s supervisor and/or Department Head shall set the hourly work schedule and workday for Park Rangers and Senior Park Ranger. Standard daily hours are 7:30 a.m. to 6:30 p.m.; however, daily hours may vary depending on season and/or time of year (i.e. daylight savings time). If hour variation is necessary, then hours would be 6:30 a.m. to 5:30 p.m. or 6:00 a.m. to 5:00 p.m. B. Attendance Failure of an employee, who is absent without leave, to return to work within 24 hours of notice to return, or failure to request leave of absence within the same period, shall be cause of disciplinary action, which may lead to discharge. Employees who leave during work hours without first notifying and receiving prior approval from their supervisor or Department Head of their whereabouts are subject to appropriate disciplinary action. C. Breaks 1. Lunch Lunch periods for office employees should be scheduled between 11:00 a.m. and 2:00 p.m. and are generally expected to be limited to one hour, except when CITY business is conducted during that time period. Department Heads have the responsibility for scheduling lunch periods for their employees. 2. Breaks The CITY allows every employee to take two (2) 15-minute paid break periods per day. Breaks for office employees are not to be taken outside the Civic Center area without permission of the Department Head. In addition, eating food in public areas is generally not accepted. Employees in the field, or those classifications that have been designated to a 4/10 work schedule, may suit the time of Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 29 of 49 01203.0004 2007915.1 30 work break to the situation at hand, recognizing that they are CITY representatives in all daily activities. Scheduling of breaks will be at the discretion of the Department Head or his/her designee. XIII. Grievance Procedures A. Purpose of Grievance Procedure The grievance procedure shall be used to resolve employee or probationary employee complaints concerning the express terms and condition of employment with the CITY. Except for oral warnings and written reprimands, the grievance procedure shall not be used for resolving any complaint concerning disciplinary action. Except as otherwise provided in this MOU, the grievance procedure may be utilized to resolve alleged: 1. Improper application of rules, regulations and procedures; 2. Unfair treatment, including coercion, restraint and reprisal; 3. Improper procedures utilized in employee layoff; 4. Discrimination because of race, color, religion, creed, sex, sexual orientation, pregnancy, national origin, ancestry, age (40 and over), marital status, disability, alienage, citizenship status or medical condition (cancer-related); or because of any other statutorily or constitutionally impermissible basis. 5. Any manner affecting an employee’s or probationary employee’s: a. Work schedule; b. Fringe benefits; c. Holidays; d. Vacation; e. Sick leave; f. Retirement; 6. Any alleged violation of this MOU. 7. Any other matter regarding the terms and conditions of employment. B. Informal Discussion of Grievance When an employee or probationary employee has a grievance, the employee or probationary employee shall first informally discuss the matter with the employee’s or probationary employee’s immediate supervisor within five (5) working days from the date of the incident or decision generating the grievance. If, after a discussion with the immediate supervisor, the grievance has not been satisfactorily resolved, the employee or probationary employee shall have the right to informally discuss the grievance with the supervisor’s immediate superior. The informal discussion with the supervisor’s immediate superior shall occur within ten (10) working days from the date of the incident or decision generating the grievance. If, after such a discussion, the grievance has not been satisfactorily resolved, the employee or probationary employee shall have the right to file a formal grievance. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 30 of 49 01203.0004 2007915.1 31 If an employee’s or probationary employee’s grievance is with his/her immediate supervisor or the supervisor’s immediate superior, and such employee or probationary employee reasonably believes that such grievance will not be resolved at that level, he/she may proceed to the next step of the grievance procedure. C. Formal Grievance Procedure The formal grievance procedure shall be used to resolve an employee’s or probationary employee’s grievance not satisfactorily resolved by informal discussion or otherwise allowed by this Rule. 1. An employee or probationary employee shall have the right to present a formal grievance in writing to the City Manager within fifteen (15) working days from the date of the incident or decision generating the grievance. All formal grievances shall state the reasons for the complaint and the employee’s suggested solution. 2. A formal grievance shall be timely presented to the City Manager. When the employee or probationary employee presents a formal grievance to the City Manager, the City Manager shall discuss the grievance with the employee or probationary employee. Within fifteen (15) working days after receipt of the formal grievance, the City Manager shall render a written decision. The decision of the City Manager shall resolve the grievance and no further review of the subject matter of the grievance shall be permitted. D. General Procedures 1. The employee or probationary employee and the CITY have the right to representation at any step in the grievance process. 2. Any grievance not filed or taken to the next step by the employee or probationary employee within the specified time limits shall be deemed settled on the basis of the last decision, and not subject to further reconsideration. By mutual agreement and for good cause, reasonable extensions of time may be given in writing to the employee or probationary employee by the City Manager at any step in the grievance procedure. 3. An employee or probationary employee who has filed a grievance shall suffer no discrimination for filing the grievance. XIV. Discipline Procedures A. Cause for Discipline Each of the following constitutes cause for discipline of any employee. It is the intent of these procedures to include as a cause for discipline any action or non-action by an employee which impedes or disrupts the performance of the CITY and its organizational component units, is detrimental to employees or public safety, violates properly established rules and procedures or adversely affects the reputation of the CITY, its officers or employees. Examples of causes for discipline include, but are not limited to: 1. Any violation of any written rule or regulation promulgated by CITY related to conduct or performance. 2. Fraud in securing appointment. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 31 of 49 01203.0004 2007915.1 32 3. Incompetence. 4. Inefficiency. 5. Neglect of duty. 6. Dishonesty. 7. Violation of any law relating to conflicts of interest, whether contractual or financial. 8. Use, possession, purchase, sale, manufacture, distribution, transportation or dispensation of controlled substances or alcohol while on duty or on CITY premises, except for the use of prescribed controlled substances (1) as directed by the licensed health care provider prescribing controlled substances and in accordance with the manufacturer’s directions, and (2) in a manner not otherwise in violation of these procedures. 9. The use of any substance, controlled or purchased over-the-counter, which impairs the employee’s performance of his/her duties. 10. Unexcused absences. 11. Conviction of a felony or conv1ct10n of a misdemeanor involving moral turpitude, including but expressly not limited to, any conviction for any offense set forth in the City of Rancho Palos Verdes Policy for conducting Criminal Background Checks and Securing Received Criminal History Information. A plea or verdict of guilty or nolo contendere to a charge of a felony or any offense involving moral turpitude is deemed to be a conviction within the meaning of this section. 12. Defrauding the CITY by making a false claim for compensation, benefits or reimbursements. 13. Making a false Workers’ Compensation Claim against the CITY. 14. Improper political activity which prevents the employee or other employees from the efficient performance of employment with the CITY, or which has a disruptive effect on the efficiency or integrity of the CITY service of the department in which such employee is employed. 15. Failure or refusal to cooperate with supervisory personnel or other employees. 16. Misuse or misappropriation of CITY property or funds. 17. Gambling for money or articles of value on CITY property or during working hours. 18. Tardiness. 19. Abuse of sick leave privileges. 20. Excessive absenteeism, which impairs the CITY’s ability to provide services or function effectively or efficiently. 21. Refusal to take and subscribe any oath or affirmation which is required by law in Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 32 of 49 01203.0004 2007915.1 33 connection with his/her employment. 22. Refusing to report on official call of emergency. 23. Violation of departmental rules and regulations. 24. Intentionally misrepresenting information or facts in any statement, declaration or affidavit duly required of an employee. 25. Failure or refusal to carry out a lawful order or directive of a supervisor. 26. Asking, receiving or agreeing to receive any bribe, gratuity or reward of any kind upon any understanding that any employee’s action shall be influenced thereby, or shall be given in any particular manner, or upon any particular question or matter upon which any employee may be required to act in the employee’s capacity; or attempting by menace, deceit, suppression of truth, or any corrupt means to influence any employee to commit any act, conduct or omission which is clearly inconsistent, incompatible, in conflict with, or inimical to the best interests of the CITY. 27. Failure to observe or comply with safe working standards, to endanger, to injure, or to damage public property or the private property of any employee or member of the public through negligent, improper or careless conduct or use of equipment; or to permit such actions on the part of any employee under his/her supervision or control. 28. Conduct disrespectful to the public, elected and appointed CITY officials, supervisors, superiors, Department Heads, City Manager, Deputy City Manager or members of CITY boards and commissions. 29. Failure to report any criminal conviction and/or arrest pending final adjudication as required by the City of Rancho Palos Verdes’ Policy for Conducting Criminal Background Checks and Securing Received Criminal History Information. In the event the CITY imposes disciplinary action for cause, including but not limited to any of the above acts or omissions, the employee shall have the right to contest or seek review of the disciplinary action or the basis thereof, in accordance with procedures set forth in this MOU. B. Types of Disciplinary Action Disciplinary actions include reprimands, suspensions, demotions, reductions in pay and dismissal, as defined below: 1. Verbal Reprimand. An oral warning that may be given to the employee in the event that a deficiency in performance or conduct is not of sufficient magnitude to warrant a more formal disciplinary action. A written record may be made of such conferences and a copy provided to the employee. Verbal reprimands are not subject to appeal. However, the employee has the right to a written response or rebuttal to any written record of verbal reprimand, provided that such response or rebuttal is submitted within thirty (30) days of the employee’s receipt of the written record. 2. Written Reprimand. A written statement relating to an action or omission which meets any of the grounds for disciplinary action listed in these procedures, indicating that there Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 33 of 49 01203.0004 2007915.1 34 is cause for dissatisfaction with the employee’s services and that further disciplinary measures may be taken if the cause is not corrected. The written statement shall be placed in the employee’s personnel file, with a copy provided to the employee. Written reprimands are not subject to appeal. However, the employee has the right to place in his/her personnel file a written response or rebuttal to any written statement, provided that such response or rebuttal is submitted for inclusion in the personnel file within thirty (30) days of the employee’s receipt of the written statement. 3. Suspension. The temporary separation of the employee from CITY service without pay for disciplinary purposes for a period not to exceed thirty (30) days per occurrence. 4. Demotion. A change in employment status from one position to another having a lower rate of pay and/or change in duties which are allocated to a class having a lower maximum rate of pay for disciplinary reasons. The disciplinary demotion may be temporary or permanent. 5. Reduction in Pay. A change in the salary of an employee to a lower rate within the same salary range for disciplinary reasons. 6. Dismissal. The discharge of the employee from CITY service for disciplinary reasons. Discharge and dismissal are used interchangeably in these procedures. C. Disciplinary Procedures 1. When an employee is to be suspended, demoted, reduced in pay or dismissed for disciplinary reasons, a preliminary written notification shall be provided to the employee. The written notice shall include: a. The charges against the employee and reasons for the proposed disciplinary action to be taken; b. The proposed disciplinary action to be taken; c. Copies of the charges and materials on which the proposed action is based; and, d. A statement advising the employee that, before any proposed disciplinary action takes effect, the employee or his/her representative has the right to respond orally or in writing within five (5) working days from the employee’s receipt of the written notice. If the employee chooses to respond orally, a meeting (i.e., a Skelly meeting) will be scheduled to allow the employee to present his/her response to the proposed discipline. 2. Within ten (10) working days after the employee has had the opportunity to respond, the employee shall be notified in writing of any disciplinary action to be taken and the effective date of such disciplinary action. D. Appeal of Disciplinary Action 1. An employee who has been suspended, demoted, reduced in pay or dismissed for disciplinary reasons may appeal the disciplinary action. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 34 of 49 01203.0004 2007915.1 35 2. In order to appeal the disciplinary action, the employee must file a written notice of appeal with the City Manager for a hearing within ten (10) working days after having been furnished with a copy of the notice of disciplinary action. E. Time of Hearing The hearing on the employee’s appeal shall be conducted within ninety (90) days after the employee’s filing of the written notice of appeal with the City Manager. The time limit may be extended by the City Manager for good cause and by agreement of the employee and the City Manager. F. Hearing Procedure The following procedure shall govern hearings on appeals of disciplinary action: 1. The City Manager may conduct the hearing or the City Manager may designate any third party to conduct the hearing. If the City Manager files the written statement to discipline an employee who works directly for the City Manager, the Deputy City Manager may conduct the hearing or the Deputy City Manager may designate any third party to conduct the hearing. 2. Hearings shall be conducted in the manner most conducive to determination of the truth, and the City Manager shall not be bound by technical rules of evidence. Decisions made shall not be invalidated by informality in the proceedings. 3. The City Manager shall make arrangements to have the hearing transcribed or recorded to preserve the proceedings and testimony. The employee may obtain a copy of the transcript or recording upon written request. 4. The City Manager shall determine the relevancy, weight and credibility of all testimony and evidence. 5. The City Manager shall base his/her findings and decision on the preponderance of the evidence presented. 6. The Department Head shall have the burden of proof. Each side will be permitted an opening statement and closing argument. The Department Head shall first present its witnesses and evidence to support the charges and disciplinary action. The employee shall then present his/her witnesses in defense. The Department Head may thereafter present witnesses and evidence in rebuttal. 7. Each side will be allowed to examine and cross-examine witnesses. All witnesses shall testify under oath. The City Manager may question any witness. 8. Both the Department Head and the employee may be represented by a designee or by legal counsel. The City Manager may obtain the legal advice of the City Attorney in performing the function of the hearing officer. 9. The City Manager shall, if requested by either side, subpoena witnesses and/or require the production of documents or other material evidence. 10. The City Manager may, during a hearing, grant a continuance for any reason believed to Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 35 of 49 01203.0004 2007915.1 36 be important to the reaching of a fair and proper decision. 11. Within thirty (30) days after the conclusion of the hearing, the City Manager shall prepare and serve on both sides a written decision setting forth the charges found to be sustained, and the reasons therefore, and the propriety of the disciplinary action imposed. The City Manager may sustain, reject or modify the disciplinary action imposed. If the City Manager rejects or modifies the disciplinary action imposed, all or part of any loss of the employee’s full compensation may be ordered restored. G. Finality of City Manager’s Decision The decision of the City Manager shall be final and conclusive. H. Judicial Review Any legal action to challenge any decision of the City Manager must be filed in a court of competent jurisdiction no later than ninety (90) days following the date the City Manager’s written decision becomes final as provided in California Code of Civil Procedure Section 1094.6. XV. Miscellaneous Procedures A. Transfers Transfers are permitted, subject to written consent of the Department Heads involved and the City Manager. Such changes are authorized only from one (1) position to another in the same class or to a position in another class having the same maximum salary limit and involving the performance of similar duties and requiring substantially the same qualifications. B. Reclassification The duties of positions that have changed materially may be allocated to a more appropriate class by the City Manager. An incumbent meeting the new qualifications of the reclassified position shall move with the position. C. Reinstatement With the written approval of the City Manager, a former employee or probationary employee may be reinstated (1) to his/her former position, if vacant; or (2) to a vacant position in the same comparable class; provided that the employee or probationary employee left the CITY’s employ less than one (1) year prior to seeking reinstatement. The City Manager may require that a reinstated employee or probationary employee serve an initial-hire probationary period. D. Dress Code All employees must present a professional appearance by wearing appropriate and clean attire for the position held and tasks to be completed. Attire should be considered business appropriate. If a uniform is required, it should be well maintained and worn in a presentable fashion. Matters of employee attire will be managed at the department level. Examples of appropriate attire include slacks or khakis; dress shirt or blouse; open- collar or polo shirt; optional tie or sport coat; a dress or skirt at knee-length or below; a tailored blazer, knit shirt or Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 36 of 49 01203.0004 2007915.1 37 sweater; loafers or dress shoes that cover all or most of the foot. Examples of inappropriate attire include t-shirts; gym or sweat clothing, including work out wear; halter tops, tank tops or crop tops; leggings or spandex (except with dresses); low back dresses, blouses, or shirts; sheer, see through or revealing clothing; shorts; and casual sandals (flip flops). Baseball hats are not acceptable, unless they are part of a uniform. Jeans and athletic shoes are limited to “Friday” casual unless the position held requires jeans and/or athletic shoes. “Friday” dress may be casual and allows for jeans and athletic shoes to be worn. Inappropriate attire listed above remains applicable for “Friday” dress. XVI. Administrative Instructions and Departmental Policies and Procedures: A. Administrative Instructions Without limiting the application of other Administrative Instructions, unless otherwise inconsistent with this MOU or the law, all employees are subject to Administrative Instructions 2-02 (Office Procedure), 2-03 (Workers’ Compensation Claims Procedures), 2-05 (Attendance), 2-09 (Gifts), 2-11 (Tuition Reimbursement Program), 2-12 (Outside Employment), 2-13 (Pets), 2-14 (Bulletin Boards), 7-01 (Safety Program), 8-01 (Use of City Vehicles), 8-02 (Use of Employee Vehicle for City Business), 8-05 (Computer Network Use), 8-07 (Electronic Mail and Internet Use) to the extent such instructions are not inconsistent with this MOU. Copies of the current Administrative Instructions are available in the Administrative Instruction Manual and from the Human Resources Office. Any changes to these documents that fall within the scope of bargaining remain subject to meet and confer. B. Departmental Policies and Procedures Where a department or work group has adopted employment and workplace policies, procedures or other instructions, employees within that group are subject to those policies, procedures and instructions. This includes, but is not limited to Department of Planning, Building and Code Enforcement Department Procedures Manual. Any changes to department policies or procedures that fall within the scope of bargaining remain subject to meet and confer. XVII. Written Notice Any written notice required to be given by the provisions of this MOU, unless herein otherwise specifically provided, may be given either by personal service or by mail. In the case of service by mail, the notice must be deposited in the United States mail, in a sealed envelope, with postage prepaid; addressed to the person on whom it is to be served; at the address in any notice given by him/her of his/her last known address, and, if there be no last known address, then addressed to him/her at the CITY (if still associated with the CITY in some capacity). Service by mail shall be deemed complete at the time of the deposit in the mail. XVIII. Outside Employment Employees and probationary employees shall be allowed to engage in employment other than their job with the CITY, with the understanding that CITY employment is the highest priority and such employment does not interfere with the performance of assigned duties and does not constitute a conflict of interest. The employee or probationary employee must notify the City Manager in writing regarding their outside employment. Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 37 of 49 01203.0004 2007915.1 38 XIX. Dues Deduction At RPVEA’s request, the CITY shall deduct membership dues, initiation fees, and general assessments, as well as payment of any other membership benefit program sponsored by RPVEA, from the wages and salaries of members of RPVEA. RPVEA hereby certifies that it has and shall maintain all such deduction authorizations signed by the individual from whose salary or wages the deduction is to be made and shall not be required to provide a copy of an individual authorization to the CITY unless a dispute arises about the existence or terms of the authorization. RPVEA membership dues shall be deducted each pay period in accordance with CITY procedures and provisions of applicable law from the salary of each employee whose name is provided by RPVEA. The CITY shall provide for payroll deductions on each payroll period (twenty-four times per calendar year). The CITY shall remit the total amount of deductions to RPVEA within thirty (30) days of the date of the deduction. Any changes in RPVEA dues must be given to the City a minimum of thirty (30) days prior to change to accommodate changes to payroll. RPVEA shall indemnify the CITY from any claims relating to the CITY’s compliance with this Dues Deduction provision, except for any claims arising from CITY’s own negligence. XX. Severability If any provisions of this MOU are declared to be illegal or unenforceable by a court of competent jurisdiction, the remaining provisions of the MOU will continue in full force and effect. XXI. Job Description Class Specifications: The classification plan shall consist of job specifications, which shall set forth a descriptive title, typical duties and responsibilities, essential functions of the position, and the training, experience, and other qualifications necessary or desirable for the effective performance of each position within a classification. XXII. Internet Use and Electronic Mail Employees are allowed to use CITY computers for legal Internet and electronic mail access. However, personal use is to be kept to a minimum. No employee is allowed to download information from an unknown source. The CITY reserves the right to review any and all information contained on all CITY computers and no personal privacy is granted or guaranteed. Employees have no expectation of privacy in information contained in CITY computers. Any illegal use of the Internet on any CITY computer may result in disciplinary action, which may include termination. XXIII. Association Access to New Hires and Employee Information The CITY will notify RPVEA’s President in writing or via email regarding all new hires at least ten (10) days prior to the employee’s orientation unless there is an urgent need that was not reasonably foreseeable. Within the earlier of thirty (30) days after the date of hire or by the first pay period of the month following the hire of each newly hired employee, the CITY will provide the RPVEA President with the new employee’s name, job title, department, work location, work email, and work phone numbers. No other information from the CITY is being requested by RPVEA even though RPVEA may be entitled to such additional information under law. The new hire will receive a copy of the MOU with his/her new employee orientation packet. RPVEA Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 38 of 49 01203.0004 2007915.1 39 shall be permitted one (1) hour for each orientation session to privately talk to new bargaining unit members to explain the rights and benefits under the MOU. The CITY will provide the RPVEA President a quarterly list of all employees in the represented bargaining unit, including the employee’s name, job title, department, work location, work email, and work phone number. The parties will mutually agree on a form to use to track said employee information. XXIV. Reopeners The parties shall reopen any provision of this MOU for the purpose of complying with any final order of a federal or state agency or court of competent jurisdiction requiring a modification or change in any provision or provisions of this MOU in order to comply with state or federal laws. The parties also agree to reopen the contract for the purpose of the following: A. Drafting, ratifying, adopting and implementing an Employer-Employee Relations Resolution for the City; B. Updating the City’s Personnel Rules and adding to the Definition of Terms for clarity; C. Merging Competitive Personnel Rules with Management Personnel Rules in a single document; D. Addressing the Maintenance Superintendent outstanding work schedule, call back and emergency call-in issues. [SIGNATURES ON NEXT PAGE] Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 39 of 49 01203.0004 2007915.1 40 SIGNATURE PAGE RPVEA MOU 2025-2028 City of Rancho Palos Verdes Rancho Palos Verdes Employees Association Ara M. Mihranian, City Manager Matt Waters, President Pam K. Lee, Chief Negotiator Cheri Bailiff, Vice President Catherine Jun, Deputy City Manager Robert Nemeth, Secretary Vina Ramos, Director of Finance Andrew Berg, Treasurer Vanessa Godinez, Human Resources & Risk Manager Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 40 of 49 01203.0004 2007915.1 41 RPVEA/CITY MEMORANDUM OF UNDERSTANDING INDEX Topic Page# Accidental Death Insurance 14 Acting Pay 6 Administrative Instructions 37 Agency Shop 39 Attendance 28 Benefits 12 Bereavement Leave 21 Callback Pay 8 Compensation Adjustment (COLA) 4 Compensation - Regular 4 Compensatory Time 6 Deferred Compensation 15 Definition of Terms 1 Disciplinary Action 31 Disciplinary Appeal Process 34 Disciplinary Procedure 30 Discipline - Types of 33 Dress Code 37 Employee Assistance Program 13 Employee Expenses : Mileage/Parking 17 Family Medical Leave 25 Grievance Procedure 28 Health Insurance 12 Holiday Leave - Paid 23 Incentive Pay Program 17 Internet Use & Electronic Mail 39 Job Descriptions 39 Jury Duty 22 Leaves - General Provisions 17 Layoff Process 26 Leave of Absence without Pay 22 Life Insurance 14 Long-Term Disability 14 Management Rights 3 Meals & Rest Breaks 28 Merit Advancement 11 Military Leave 23 On Call Duty and Pay 6 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 41 of 49 01203.0004 2007915.1 42 Topic Page# Other Leaves 26 Outside Employment 38 Overtime Compensation 5 Performance Evaluations 10 Probationary Period 9 Probationary Period - Duration 9 Probationary Period-Rejection 10 Probationary Period - Termination 9 Promotional Advancement 12 Reclassification 36 Re-Employment List 26 Regular Appointment Following Probation 10 Reinstatement 36 Retirement Health Savings Account 13 Retirement Plans - CalPERS 14 Section 125 Flexible Benefit Plan 13 Severability Clause 38 Short Term Disability Plan 14 Sick Leave 19 Term of Agreement 1 Top of Range 4 Transfer 36 Tuition Reimbursement 16 Unemployment Insurance 16 Vacation Leave 18 Wellness Leave 21 Workers’ Compensation 16 Work Schedule - Overtime Compensation 6 Work Schedule 27 Written Notice 38 Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 42 of 49 01203.0004 2007915.1 43 EXHIBIT A Classifications in the Rancho Palos Verdes Employees Association 1. Accounting Clerk 2. Accountant 3. Accounting Manager 4. Accounting Technician 5. Administrative Analyst 6. Senior Administrative Analyst 7. Senior Administrative Analyst / Emergency Management Coordinator 8. Administrative Assistant 9. Assistant Engineer 10. Assistant Planner 11. Associate Engineer 12. Associate Planner 13. Building Inspector 14. Senior Building Inspector 15. Cable TV Station Manager 16. Code Enforcement Officer 17. Deputy City Clerk 18. Engineering Technician 19. Geographic Information Systems Coordinator 20. Lead Worker 21. Maintenance Superintendent 22. Maintenance Supervisor 23. Maintenance Worker 24. Senior Maintenance Worker 25. Open Space & Trails Manager 26. Open Space & Trails Supervisor 27. Park Ranger 28. Permit Clerk 29. Permit Technician 30. Planning Technician 31. Principal Planner 32. Project Manager 33. Recreation Program Coordinator 34. Recreation Program Supervisor 35. Recreation Services Manager 36. Senior Accounting Technician 37. Senior Accountant 38. Senior Administrative Analyst 39. Senior Code Enforcement Officer 40. Senior Engineer 41. Senior Information Technician 42. Senior Park Ranger 43. Senior Planner 44. Staff Assistant 45. Senior Staff Assistant 46. Traffic Engineering Technician Docusign Envelope ID: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Resolution No. 2025-36 Exhibit B Page 43 of 49 Certificate Of Completion Envelope Id: F1157C86-BE5E-423A-A1EB-8A7B2BCC315A Status: Completed Subject: Complete with Docusign: RPVEA MOU 2025-2028 - Final - 2025-06-03.pdf Source Envelope: Document Pages: 43 Signatures: 9 Envelope Originator: Certificate Pages: 6 Initials: 0 Catherine Jun AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 cjun@rpvca.gov IP Address: 72.34.97.146 Record Tracking Status: Original 5/29/2025 1:04:15 PM Holder: Catherine Jun cjun@rpvca.gov Location: DocuSign Signer Events Signature Timestamp Matt Waters mattw@rpvca.gov Senior Administrative Analyst (R&P) City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/29/2025 1:12:14 PM Viewed: 5/29/2025 1:13:27 PM Signed: 5/29/2025 1:14:35 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Cheri Bailiff cherib@rpvca.gov Permit Technician I (PW) City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/29/2025 1:14:37 PM Viewed: 5/29/2025 1:14:59 PM Signed: 5/29/2025 1:15:36 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Robert Nemeth rnemeth@rpvca.gov Associate Planner City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/29/2025 1:15:38 PM Viewed: 5/29/2025 1:16:16 PM Signed: 5/29/2025 1:16:24 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Andrew Berg aberg@rpvca.gov Recreation Supervisor II City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 2603:8000:7201:be63:39fd:629d:a497:a220 Signed using mobile Sent: 5/29/2025 1:16:26 PM Viewed: 5/29/2025 1:22:14 PM Signed: 5/29/2025 1:22:30 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Resolution No. 2025-36 Exhibit B Page 44 of 49 Signer Events Signature Timestamp Ara Mihranian aram@rpvca.gov City Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Uploaded Signature Image Using IP Address: 104.35.6.177 Sent: 5/29/2025 1:22:32 PM Viewed: 5/29/2025 1:55:56 PM Signed: 5/29/2025 1:56:20 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Pam Lee plee@awattorneys.com Security Level: Email, Account Authentication (None) Signature Adoption: Uploaded Signature Image Using IP Address: 205.155.236.244 Sent: 5/29/2025 1:56:23 PM Viewed: 5/29/2025 1:56:57 PM Signed: 5/29/2025 1:57:08 PM Electronic Record and Signature Disclosure: Accepted: 5/14/2025 4:13:02 PM ID: 4c291ac8-bd82-4fae-858b-80685918895d Catherine Jun cjun@rpvca.gov Deputy City Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/29/2025 1:57:10 PM Viewed: 5/29/2025 2:00:55 PM Signed: 5/29/2025 2:01:06 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Vina Ramos vramos@rpvca.gov Director of Finance City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 72.34.97.146 Sent: 5/29/2025 2:01:09 PM Viewed: 5/29/2025 2:40:23 PM Signed: 5/29/2025 2:40:31 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Vanessa Godinez vgodinez@rpvca.gov Human Resources and Risk Manager City of Rancho Palos Verdes Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 2600:387:f:d3::2 Signed using mobile Sent: 5/29/2025 2:40:35 PM Viewed: 5/29/2025 3:11:33 PM Signed: 5/29/2025 3:12:07 PM Electronic Record and Signature Disclosure: Not Offered via Docusign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Resolution No. 2025-36 Exhibit B Page 45 of 49 Carbon Copy Events Status Timestamp Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 5/29/2025 1:12:14 PM Certified Delivered Security Checked 5/29/2025 3:11:33 PM Signing Complete Security Checked 5/29/2025 3:12:07 PM Completed Security Checked 5/29/2025 3:12:07 PM Payment Events Status Timestamps Electronic Record and Signature Disclosure Resolution No. 2025-36 Exhibit B Page 46 of 49 ELECTRONIC RECORD AND SIGNATURE DISCLOSURE From time to time, City of Rancho Palos Verdes (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronicall y through the DocuSign system. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to this Electronic Record and Signature Disclosure (ERSD), please confirm your agreement by selecting the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system. Getting paper copies At any time, you may request from us a paper copy of any record provided or made av ailable electronically to you by us. You will have the ability to download and print documents we send to you through the DocuSign system during and immediately after the signing session and, if you elect to create a DocuSign account, you may access the documents for a limited period of time (usually 30 days) after such documents are first sent to you. After such time, if you wish for us to send you paper copies of any such documents from our office to you, you will be charged a $0.00 per-page fee. You may request delivery of such paper copies from us by following the procedure described below. Withdrawing your consent If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below. Consequences of changing your mind If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. Further, you will no longer be able to use the DocuSign system to receive required notices and consents electronically from us or to sign electronically documents from us. All notices and disclosures will be sent to you electronically Electronic Record and Signature Disclosure created on: 6/15/2021 5:55:39 PM Parties agreed to: Pam Lee Resolution No. 2025-36 Exhibit B Page 47 of 49 Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through the DocuSign system all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us. How to contact City of Rancho Palos Verdes: You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows: To contact us by email send messages to: terit@rpvca.gov To advise City of Rancho Palos Verdes of your new email address To let us know of a change in your email address where we should send notices and disclosures electronically to you, you must send an email message to us at terit@rpvca.gov and in the body of such request you must state: your previous email address, your new email address. We do not require any other information from you to change your email address. If you created a DocuSign account, you may update it with your new email address through your account preferences. To request paper copies from City of Rancho Palos Verdes To request delivery from us of paper copies of the notices and disclosures previously provided by us to you electronically, you must send us an email to terit@rpvca.gov and in the body of such request you must state your email address, full name, mailing address, and telephone number. We will bill you for any fees at that time, if any. To withdraw your consent with City of Rancho Palos Verdes To inform us that you no longer wish to receive future notices and disclosures in electronic format you may: Resolution No. 2025-36 Exhibit B Page 48 of 49 i. decline to sign a document from within your signing session, and on the subsequent page, select the check-box indicating you wish to withdraw your consent, or you may; ii. send us an email to terit@rpvca.gov and in the body of such request you must state your email, full name, mailing address, and telephone number. We do not need any other information from you to withdraw consent.. The consequences of your withdrawing consent for online documents will be that transactions may take a longer time to process.. Required hardware and software The minimum system requirements for using the DocuSign system may change over time. The current system requirements are found here: https://support.docusign.com/guides/signer-guide- signing-system-requirements. Acknowledging your access and consent to receive and sign documents electronically To confirm to us that you can access this information electronically, which will be similar to other electronic notices and disclosures that we will provide to you, please confirm that you have read this ERSD, and (i) that you are able to print on paper or electronically save this ERSD for your future reference and access; or (ii) that you are able to email this ERSD to an email address where you will be able to print on paper or save it for your future reference and access. Further, if you consent to receiving notices and disclosures exclusively in electronic format as described herein, then select the check-box next to ‘I agree to use electronic records and signatures’ before clicking ‘CONTINUE’ within the DocuSign system. By selecting the check-box next to ‘I agree to use electronic records and signatures’, you confirm that:  You can access and read this Electronic Record and Signature Disclosure; and  You can print on paper this Electronic Record and Signature Disclosure, or save or send this Electronic Record and Disclosure to a location where you can print it, for future reference and access; and  Until or unless you notify City of Rancho Palos Verdes as described above, you consent to receive exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you by City of Rancho Palos Verdes during the course of your relationship with City of Rancho Palos Verdes. Resolution No. 2025-36 Exhibit B Page 49 of 49