AGENDA TITLE:
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Adopt a Resolution Approving Side-Letter Agreements with Lodi Police Dispatchers Association, the Police Officers' Association of Lodi, Lodi Police Mid-Management Organization, Lodi Professional Firefighters, and Lodi Fire Mid-Management to Address Holiday Leave Cash Out Requirements (HR)
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MEETING DATE:
November 19, 2025
PREPARED BY:
Cristina Gonzales, Interim Human Resources Manager
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RECOMMENDED ACTION:
Adopt a Resolution Approving Side-Letter Agreements with Lodi Police Dispatchers Association, the Police Officers' Association of Lodi, Police Mid-Management Organization, Lodi Professional Firefighters, and Lodi Fire Mid-Management to address holiday leave cash out requirements.
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BACKGROUND INFORMATION:
During the last financial audit, it was identified that the City of Lodi had incorrectly reported certain types of compensation to CalPERS. Specifically, the City's agreements ("MOUs") with public safety labor groups did not meet CalPERS requirements for reporting holiday cash-outs as pensionable, or special compensation for Classic members under state regulations (CCR Section 571(a)(5)).
Because public safety positions require staffing every day, including holidays, employees in these roles receive a bank of holiday leave each January. They may use this leave as time off during the year or cash out any unused hours. However, the way this benefit was described in the MOUs did not meet CalPERS reporting standards, creating compliance concerns and the risk of inaccurate pension reporting.
To address the issue, City staff worked with CalPERS to review each public safety MOU and identify the changes needed. The City provides holiday leave banks to members of the Lodi Police Dispatchers Association (LPDA), Police Officers' Association of Lodi (POAL), Lodi Police Mid-Management Organization (LPMO), Lodi Professional Firefighters (LPF), and Lodi Fire Mid-Management (LFM). While these groups already allowed...
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