Title
Approve, adopt, and authorize the Human Resources Department to execute the side letter agreement with Monterey County Deputy Sheriffs’ Association (Units A & B) to amend the Longevity Pay provision in the Memorandum of Understanding (MOU) and remove the requirement of the Longevity Pay Certification Form retroactively pursuant to CalPERS’ audit requirements.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Approve, adopt, and authorize the Human Resources Department to execute the side letter agreement with Monterey County Deputy Sheriffs’ Association (Units A & B) to amend the Longevity Pay provision in the Memorandum of Understanding (MOU) and remove the requirement of the Longevity Pay Certification Form retroactively pursuant to CalPERS’ audit requirements.
SUMMARY:
In July 2025, CalPERS audited the County's longevity pay practices for the period of July 1, 2021, through December 31, 2024, and found the County was not in compliance with the Public Employees' Retirement Law (PERL). The audit determined that requiring employees to submit a Longevity Pay Certification Form made longevity pay non-pensionable. To correct this, the County needs to remove the certification form requirement from the applicable Memoranda of Understanding, bringing the County into compliance with CalPERS requirements and preserving the pensionable status of longevity pay for those units. The Monterey County Deputy Sheriffs’ Association (Units A & B) is the last remaining MOU with the form requirement, which will be retroactively amended via this side letter of agreement.
DISCUSSION:
In July 2025, CalPERS conducted a statewide audit of longevity pay practices covering July 1, 2021 through December 31, 2024, and found all 20 agencies reviewed, including the County of Monterey, out of compliance with the Public Employees’ Retirement Law (PERL). CalPERS determined that the County's requirement for employees to submit a Longevity Pay Certific...
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