The City of Long Beach and the Long Beach Police Officers Association (LBPOA) reached a tentative agreement last week that will be considered by the City Council on September 15.
The deal, according to the City will reduce the current projected deficit by $7.6 million saving a total of $15 million through the end of Fiscal Year 2014.
“This contract saves Long Beach millions of dollars,” Mayor Bob Foster said. “The City and the POA worked together to find a way to help Long Beach maintain a high level of experienced and dedicated public safety personnel by providing fair compensation and a motivated workforce.”
According to a statement released by the City of Long Beach: The current legally binding contract between the City and the POA requires the City to raise police officer pay to the median of the nine largest California cities, which would be a 9.3 percent increase on September 30, 2009. Recognizing the City’s budget crisis, the POA has agreed to amend the contract and forgo 7.3 percent of the increase and accept only a 2 percent increase on September 30, 2009. This results in an immediate budget savings of $7.6 million next fiscal year.
“I am so proud of my membership’s commitment to public safety and their willingness to make personal sacrifice to keep officers on the streets of Long Beach,” said Steve James, Police Officers Association President.
“If this solution had not been negotiated, the City would be required to pay $49.5 million in increased police salary costs over the next five years and $9.9 million next year alone,” City Manager Pat West said. “Reaching this agreement is a testament to the City and the POA doing the right thing for the community.”
Agreement Details
– Provides no new salary increases in Fiscal Year 2010 and 2012, and the overall increases in the new MOU will total 11 percent during the five years.
– Mandates a reduced pension benefit for new police officers of 3 percent at 55 if any three of nine agreed-upon police departments enact this formula; this could help the City save money but ensures that benefits remains competitive.
– Guarantees that the City and the POA can discuss pension reform at any time, with a specific re-opening date on March 1, 2011. While any change would have to be agreed-upon by both parties, this ensures that discussion and negotiation will occur during the life of the contract.
– Provides a supplement to retirees’ retirement health insurance account if they retire before their retirement benefits reach the level they would have been had the median adjustment been paid on September 30, 2009.
– Increases skill pays in FY 12, and caps these costs at no more than $1 million per year. Examples include education pay increases of $25 per month, and reinstating Advanced POST certification pay as an alternative to Education Pay.
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