REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution Amending the City’s Salary Resolution to (1) Update the Schedule of Pay to Increase Salaries for Pay Plan Category C (Public Safety Officers Association) and Pay Plan Category M (Public Safety Managers Association) Effective July 5, 2026, and (2) Make Clarifying Changes and Updates to Certain Provisions
Report
BACKGROUND
The Department of Human Resources periodically recommends amendments to the Salary Resolution to incorporate necessary updates and changes resulting from negotiated Memoranda of Understanding (MOUs) or other policy requirements. This report presents for Council consideration a resolution to amend certain sections of the City’s Salary Resolution to reflect changes needed to comply with the 2025-2027 Memorandum of Understanding (MOU) with the Public Safety Officers Association (PSOA) and with the MOU with the Public Safety Management Association.
The PSOA represents Public Safety Officers-in-Training, Public Safety Officers, and Public Safety Lieutenants. This MOU provides for a salary adjustment effective the first full pay period in July of each year based on a market survey of total compensation for comparable positions in 8 Bay Area cities. The MOU states that City of Sunnyvale Public Safety Officer salaries will be set at the rate of 11% above the survey average. Public Safety Lieutenants pay rates are set at 20% above the Public Safety Officer pay rate.
Additionally, the 2026-2028 Memorandum of Understanding (MOU) with the Public Safety Managers Association (PSMA), which represents Public Safety Captains and Deputy Chiefs, provides differentials for these classifications that set their salary based of a percentage above the PSOA classification. It states that the maximum total cash compensation of the Public Safety Captain classification shall be 15% above the maximum total cash compensation of the Public Safety Lieutenant classification. Total cash compensation shall include the following compensation items:
a) Top of the salary range or top step on the salary table,
b) Holiday in-lieu pay,
c) Emergency medical technician (EMT) certification pay,
d) Education incentive with a bachelor’s degree,
e) The highest Peace Officer Standards and Training (POST) certification pay, and
f) The highest longevity/career incentive pay.
The maximum total cash compensation of the Deputy Chief classification shall be 12% above the maximum total cash compensation of the Captain classification.
EXISTING POLICY
Council Policy 7.3.1 Legislative Management - Goals and Policies, Goal 7.3D: Maintain a quality workforce, consistent with state and federal laws, City Charter, and adopted policies in order to assure that City services are provided in an effective, efficient, and high-quality manner.
The proposed increases are in accordance with the provisions of the MOU between the City and PSOA and between the City and PSMA.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(4) in that is a fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment.
DISCUSSION
(1) PSOA, PSMA Salary Increases
The current MOU with PSOA provides specific language regarding salary adjustments which are based upon an annual market survey of total compensation for eight Bay Area cities (Alameda, Fremont, Hayward, Milpitas, Mountain View, Richmond, San Leandro, and Santa Clara). The survey formula states the Public Safety Officer compensation will be 11% above the survey average on total compensation. The survey is conducted during the first 15 days of May, and the salary adjustments are effective in the first full pay period in July.
Pursuant to the PSOA MOU, the classification of Public Safety Officer-in-Training is set at 10% below Public Safety Officer 2. The classification of Public Safety Officer 1 is set at 5% above Public Safety Officer-in-Training. The classification of Public Safety Lieutenant is set with a 20% differential above the Public Safety Officer 2 rate.
Based on the PSOA MOU requirements and the 2026 compensation survey results (see Attachment 1), it is recommended that the Schedule of Pay for the Salary Resolution be amended to reflect the following pay increases effective July 5, 2026:
Public Safety Officer 2: 4.69%
Public Safety Lieutenant: 4.69%
Based on the PSMA MOU requirements maintaining a differential between the PSOA classifications, it is recommended that the Schedule of Pay of the Salary Resolution be further amended to reflect the following pay increases effective July 5, 2026:
Public Safety Captain: 4.45%
Deputy Chief of Public Safety: 4.44%
These terms and conditions have been negotiated between the Associations and the City, and approved by City Council in previous actions, therefore, this action is being recommended to ensure compliance with these current agreements.
(2) Salary Resolution Updates
Additionally, there are other minor modifications proposed in this amendment to the Salary Resolution. These modifications reflect ongoing language clean-up and efforts to locate policy language in the appropriate documents without duplication. A redlined copy of the current Salary Resolution is included for full transparency; however, a summary of these additional changes is as follows:
a) Clarifying language that aligns the language for unrepresented employee benefits with the language that exists in the comparable memoranda of understanding;
b) Removing historical date-specific language no longer in use;
c) Eliminating language regarding the merit increase process for part-time employees, as it is currently the same as the process for full-time employees;
d) Revising language to clarify that merit increases for Executive staff (category F) are at the discretion of the City Manager as to timing and amount, within the applicable range, and
e) Memorializing language regarding cross-bargaining unit bumping that was agreed to among the bargaining units in 2013.
FISCAL IMPACT
The FY 2026/27 Recommended Budget includes assumptions for increases in total compensation, which include salaries, benefits, and retirement. Salary adjustments also affect salary-related benefits, including retirement. The impact of the recommended increases exceeds the assumptions used in the FY 2026/27 Recommended Budget by an estimated $275,000 in FY 2026/27 and $7.9 million over the next twenty years. Due to the timing of this resolution in conjunction with the adoption of the FY 2026/27 Budget, salaries and benefits expenses will be tracked throughout FY 2026/27, and staff will return to Council at a later date if a budget modification is necessary.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
RECOMMENDATION
Recommendation
Adopt a Resolution amending the City’s Salary Resolution to (1) Update the Schedule of Pay to increase Salaries for Pay Plan Category C (Public Safety Officers Association) and Pay Plan Category M (Public Safety Managers Association) and (2)
Make clarifying changes and updates to certain provisions.
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Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
_X_ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Michelle Ahlberg, Human Resources Manager
Reviewed by: Heather Ruiz, Director, Human Resources
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. 2026 PSOA Survey
2. Resolution (Salary Schedules attached as Ex. A and Salary Resolution revisions attached as Ex. B)