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provide to employees an Employee Assistance Program. It is agreed that such program shall not <br />be an automatic substitution for appropriate disciplinary action when such action is appropriate. <br />Section 10.0 Retirement <br />The City shall, for management staff, contribute to the Public Employees' Retirement System <br />(PERS) each pay period a portion of the employees' contribution rate as established by law, <br />equal to eight percent (8%) of the employees' "compensation" as that term is administered by the <br />Board of Administration of PERS, for the purpose of computing final compensation. Such <br />contributions shall be reported to PERS as special compensation. <br />The City shall maintain its contribution of the employees' contribution rate for public safety <br />management staff to nine percent (9%}. <br />On or before July 1, 2002, the City shall implement a contract with the PERS Employees' <br />Retirement System that provides a 2.5% @ 55 retirement benefit formula for miscellaneous <br />management employees. The City shall also maintain a contract with the PERS Employees' <br />Retirement System to provide a 3% @ 50 retirement benefit formula for management Safety <br />employees. These plans shall contain the following options: <br />remarriage post survivor allowance continuance <br />credit for unused sick leave option <br />military service credit option <br />Section 11.0 Compensation <br />Effective January 1, 2003, the five percent formerly provided through the Deferred <br />Compensation Plan will be added to the scheduled three percent cost of living adjustment applied <br />to the 2003 management salary schedule included in the current MOU. The adjustment will be <br />applied to the top step of the management salary schedule, as in the original 2003 salary schedule <br />included in the current MOU, to maintain compensation plan step integrity. <br />Effective January 1, 2004, salaries shall be increased an amount equal to the change in the San <br />Francisco/Oakland Cost of Living Index for All Urban Consumers for the twelve (12) months <br />ending October, 2003. The minimum amount will not be less than three percent (3%) and the <br />maximum amount shall not be more than five percent (5%}. <br />For the term of this Agreement, the salary for Assistant City Manager shall be set equal to the <br />Police Chief. For Lieutenant, classification maximums shall be as provided in the 2005 SLMO <br />salary schedule or the addendum, whichever is higher. For Captain, classification maximums <br />shall be set at salary schedule maximums or fifteen percent (15%) above Lieutenant, whichever <br />is higher. <br />Section 12.0 Employee Defense and Indemnity <br />In the event that all or part of a claim or judgment is for punitive or exemplary damages in any <br />action otherwise governed by Section 825 of the Government Code and upon request of the <br />employee against whom such claim or judgment is rendered, the City agrees to consider whether <br />6 <br />