REPORT TO COUNCIL
SUBJECT
Title
Adopt Two Resolutions: (1) Setting the Employer's Contribution Under the Public Employees' Medical and Hospital Care Act (PEMHCA) for Management, Sunnyvale Employees' Association/International Federation of Professional and Technical Engineers Local 21 (SEA/IFPTE Local 21), Confidential, and Service Employees International Union (SEIU) Employees and Annuitants (Retirees); and (2) Amending the City's Salary Resolution to Reflect Representation by Service Employees International Union (SEIU) of Certain Casual/Temporary Positions and Modify the City's Contribution to Medical Insurance for Management, SEA/IFPTE Local 21, and SEIU Employees
Report
BACKGROUND
The Department of Human Resources periodically recommends amendments to the Salary Resolution to incorporate necessary updates and changes resulting from recently 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 Assembly Bill (AB) 1484 and to make changes to the 2026 employer contribution rates to health plans. Employers that offer healthcare plans under the Public Employees' Medical and Hospital Care Act (PEMHCA) are required to adopt a resolution stating the amount of the employer contribution toward the employees' and retirees' medical plans annually or when there are changes in a bargaining unit agreement affecting contribution amounts paid by the City.
EXISTING POLICY
In accordance with Article 8 of PEMHCA, the City's contract with CalPERS provides that the City's contribution towards medical insurance (and the effective date of said contribution) be the same for active employees and retirees.
Council Policy 7.3.1 Legislative Management - Goals and Policies, Goal 7.3D: Maintain a quality work force, consistent with state and federal laws, City Charter, and adopted policies in order to assur...
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