To: Honorable Mayor and Members of City Council
From: Heather Ruiz, Human Resources Director
Prepared By: Ashley Titus, Management Analyst II
TITLE:
Title
CalPERS Health Benefits for Police Chiefs subject to the Public Employees' Medical and Hospital Care Act (PEMHCA)
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution electing to be subject to the Public Employees' Medical and Hospital Care Act at an equal amount for employees and annuitants with respect to a recognized employee organization 003 Police Chief.
Body
DISCUSSION:
The agreement between the City and the Police Chief for Compensation and Terms of Employment was approved by Council on March 18, 2025, and allows both current and retired Police Chiefs the option to choose CalPERS health plans.
In order to provide CalPERS Health benefits, the City must adopt a Resolution electing to be subject Public Employees' Medical and Hospital Care Act (PEMHCA). PEMHCA establishes a minimum required contribution for employees, which is adjusted annually by the Consumer Price Index; in 2025 the minimum contribution is $158 per employee per month. The PEMHCA minimum amount changes each year. Historically, the increase has been modest but consistent, typically ranging from 2% to 6% per year, depending on healthcare inflation trends. Each year, CalPERS publishes the updated PEMHCA minimum in their circular letters in September or October each year for the following calendar year.
This resolution does not change the City's total health contributions, as they are already set in the current agreement. The City's employer contribution will not change unless future CalPERS minimums exceed what's agreed upon in the contract. The resolution will allow the Police Chiefs group to join medical benefits through California Public Employees Retirement System (CalPERS), subject to Public Employees' Medical and Hospital Care Act (PEMHCA).
If approved, current and retired members of the Police Chiefs can enroll in...
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