LAKEPORT, Calif. – The Lakeport City Council's decision in August to not keep a contractual agreement to upgrade the retirement plan for the city's police officers is about to get the city sued, according to the Lakeport Police Officers Association.
Norm Taylor, the association's president, said a lawsuit currently is in the process of being filed against the city.
City Attorney Steve Brookes said the city so far hasn't been served with any suit from the association.
In a 2006 memorandum of understanding with the police officers association, the city agreed to improve the city's 2 percent at age 50 retirement formula to 3 percent at 50, implementing the changes this July, as Lake County News has reported.
However, in a July 20 meeting the council failed to approve the new retirement package, coming back and giving its approval on July 27.
Then, on Aug. 17, with the council needing to hold a public hearing in order to give final approval, it voted down the retirement package upgrade in a 3-2 vote, with Councilmen Bob Rumfelt and Roy Parmentier voting to uphold the agreement.
Mike Minton of Operating Engineers Local 3 – the union which represents Lakeport's police officers as well as Clearlake's officers and employees, and the Lake County Employees Association – said the first required step in fighting the council's actions is to file a grievance with the city.
He said he did that in mid-September, sending it to City Manager Margaret Silveira. Minton said he didn't get a response back.
However, both Silveira and Brookes characterized it more as a letter than a grievance.
Silveira said the letter essentially demanded that the city fulfill its contract with the police officers.
“We have received nothing other than the letter from Mike,” said Silveira.
Having just come on with the city in the spring, Silveira – who said she's never had to deal with such a situation – is letting Brookes take the lead on it.
The police officers readily gave up a lot of things to get the retirement package, said Minton.
Taylor said Lakeport's police officers agreed to take 1 percent less per year in salary increases as a concession. Those concessions now total nearly half the estimated cost of the retirement increase.
The association also agreed not to offer retiree medical benefits to new officers, with one-third of the city's police force now having no such benefits, Taylor said.
Plus, the city cut two dark police officer positions, which Taylor said the association was told only was done to afford the retirement benefit increase. The two cut positions totaled about $100,000 annually.
Minton said the benefits packages shouldn't even have gone up before the council for a vote, as the contract language was specific and said that the new package “shall” be implemented.
He said the 3 percent at 50 package is now the standard for public safety employees. “If you want to be able to recruit and retain, you have got to maintain the standard.”
Minton, himself a longtime law enforcement officer, explained that people don't hire on for the pay but for the benefits in such work. “The city understood that going in.”
With the police officers' contract coming to an end this December, Minton said the city should have asked the association to come to negotiations and then proposed a two-tier retirement system, honoring the agreement for current employees and suggesting a lesser benefit for future officers.
“Realistically and legally, that's how they should have approached this,” he said.
While some council members – including Councilman Ron Bertsch – said the memorandum of understanding was approved by a previous council and that financial circumstances had changed, Taylor said the entire council had approved an updated version of the agreement in 2009.
Indeed, according to city records, at the council's meeting on May 5, 2009, the current council unanimously approved an updated version of the 27-page memorandum, which stated that the city would amend its retirement plan effective July 31, 2010.
At that meeting, Rumfelt had it pulled from the consent agenda, asking Brookes what it was. Brookes, who presented it to the council, said it was a “comprehensive” and expanded version of the agreement.
His staff report for that meeting said the newer document replaced the earlier agreement “in order to spell out in much more detail the terms now existing between the police bargaining unit and the city.” It also made bereavement leave provisions consistent with those in the “miscellaneous employees” memorandum of understanding.
Rumfelt moved it be approved, it was seconded by Councilman Jim Irwin and approved by the full council, all of whom were present, according to the meeting's minutes.
Minton asked why, if the council had issues with the retirement, that council members didn't bring it up then.
Added Taylor, “They didn't pay any attention.”
Minton and Brookes also have discussed the matter, and Minton said Brookes suggested they wait until after the November election – when two council seats are on the ballot – to decide how to move forward, as the council could change. Brookes confirmed that he made the suggestion.
However, Minton said that wasn't good enough. With at least one Lakeport Police officer who was ready to retire and two others who were considering it, Minton said the situation can't wait, so he turned it over to the union's attorney.
Minton said the suit will allege failure to abide by a contract. “Not only are they now going to have to pay for what they've already negotiated and agreed to, they're going to get stuck paying attorney fees, so the cost is going to go up dramatically.”
He said he also wants to see the city pay additional penalties for its failure to honor the contract.
Brookes explained that there is a legal doctrine that he is evaluating that says a party can argue against implementing a contract if changed circumstances will mean huge costs and other difficulties.
“That's the direction I've been given, is to look at that defense and see if it's viable or not,” he said.
Meanwhile, Taylor said the association is waiting to move forward, and hasn't gotten any answers to questions such as what the city did with the money from the concessions officers gave up. He said they believe that the 4 percent given up from raises has been spent through the years.
Silveira said all city discussions about the negotiations are now taking place with the council in closed session.
With the need to start contract talks for a new police contract soon, Silveira said the city is hoping to sit down the association.
Taylor has written a letter on the association's concerns about the contract dispute. Read it here: Taylor: City broke its promises to police .
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