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El Segundo approves side letter clarifying CalPERS longevity pay and adopts two successor MOUs
Summary
Council adopted a corrective side letter addressing a CalPERS longevity-pay audit for the Police Support Services Employees Association and approved three-year successor MOUs for the PSSEA and Supervisory & Professional units, including COLAs, equity adjustments and retiree-medical restructuring.
The City Council on May 19 adopted a side letter to address a CalPERS audit of longevity-pay provisions for the El Segundo Police Support Services Employees Association (PSSEA) and approved successor memoranda of understanding for the PSSEA and the Supervisory & Professional Employees Association.
Director Redick told council that CalPERS randomly selected the city’s longevity-pay provision for review and that the side letter corrects language tying longevity pay incorrectly to merit. The side letter clarifies eligibility timing, confirms longevity pay is based on years of service with the city, and provides accommodations for two unit employees whose prior law-enforcement service was credited but not reportable to CalPERS. Council adopted the side letter and the PSSEA MOU by unanimous vote.
The PSSEA successor deal is a three-year contract with 3% cost-of-living adjustments each July 1, equity adjustments ranging from 3% to 7% on certain classifications, expanded professional-development reimbursement (from $2,000 to $4,000), and retiree-medical restructuring designed to reduce long-term OPEB liabilities. Director Redick estimated the three-year cost at approximately $267,000 with year-one cost under $47,000. Council also unanimously adopted the Supervisory & Professional Employees Association MOU with similar COLAs, equity adjustments and retiree-medical changes.
