City Council approves POA agreement

City officials are mulling a $100,000 traffic study for Welburn Avenue in Gilroy.

The City Council held a special meeting at 6 p.m. Thursday to
approve a proposal made last week between the city and the Gilroy
Police Officers Association regarding a two-year contract agreement
that includes salary and benefit concessions, a two-tier retirement
plan and a 9 percent officer-contribution toward pensions.
The City Council held a special meeting at 6 p.m. Thursday to approve a proposal made last week between the city and the Gilroy Police Officers Association regarding a two-year contract agreement that includes salary and benefit concessions, a two-tier retirement plan and a 9 percent officer-contribution toward pensions.

The council accepted the contract in a roll call vote after months of negotiations between the city and police that involved looking at cost savings similar to the ones recently reached with the Gilroy firefighters union.

At a special closed session meeting held Aug. 17, four city councilmembers reviewed the proposal approved by the majority of the 58 members of the Gilroy Police Officers Association, and gave city staff the nod to move forward with scheduling a public vote.

In the agreement, new officers would receive a scaled back two-tier retirement plan and all officers would begin contributing 9 percent toward their pensions, a sum the city currently contributes at a cost of about $800,000 annually.

Gilroy police officers now have a 3 percent at 50 retirement plan, meaning police accrue 3 percent of their highest annual salary for every year they work, up to 90 percent.

They can start collecting these benefits at age 50. Under the new agreement, new officers will receive a scaled back retirement benefit of 2 percent of their highest annual salary for every year of service.

The labor agreement will take effect retroactively starting July 1, 2010, and will remain in place through June 30, 2012. Go to GilroyDispatch.com for full results on the vote.

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