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mem MUSKEGON
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: September 23, 2025 Title: Police Department Employment Retainer
Bonus
Submitted by: Timothy Kozal, Public Safety Department: Public Safety
Director
Brief Summary:
In recognition of the City of Muskegon Police Officer's tremendous work performed amidst
extraordinary circumstances and to ensure the Muskegon Police Department continues to retain
compassionate, professional, ethical and community-focused officers for the enhancement of
quality of life for all residents and visitors, the City of Muskegon is proposing to give current officers a
one-time $5,000 Employment Retainer Bonus.
Detailed Summary & Background:
The Muskegon Police Department, like many departments nationwide, has experienced staffing
shortages. Despite these challenges, our officers and command staff have continued to provide
exceptional service to the community.
To recognize their dedication, the City of Muskegon proposes providing a one-time Employment
Retainer Bonus of $5,000 to all current sworn officers and command staff (66 employees Fetal. The
bonus will be distributedin two installments of $2,500 each:
e The first installment will be paid during the second pay period in October 2025.
e The second installment will be paid during the second pay period in June 2026.
Funding for this initiative will come from the Police Department's salary budget, which currently
allocates for 71 sworn officers.
Goal/Action ltem:
2027 Goal 1: Destination Community & Quality of Life
Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
Amount Requested: Budgeted Item:
$330,000 Vise & Kile N/A
Fund(s) or Accouni(s): Budget Amendment Needed:
101-30-703 Yes No a N/A
Recommended Motion:
| move to approve the one-time $5,000 Employment Retainer Bonus for all eligible sworn officers of
the Muskegon Police Department.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
information
Technology
Other Division Heads
Communication
Legal Review S|
2025-80CL
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MEMORANDUM OF AGREEMENT
This Memorandum of Agreement (“Memorandum”) effective on September 24, 2025 (the
“Bffective Date”) by and between the City of Muskegon (“Employer”) and the Fraternal Order of
Police Labor Council (“Union”) representing the City of Muskegon Police Officers (the Employer
and Union together herein as the “Parties”) provides terms for a retention incentive for experienced
Muskegon Police Department Officers,
NO PRECEDENT
This memorandum is established in response to the open Police Officer vacancies currently
existing at the Muskegon Police Department and resulting staffing shortage. This Memorandum is
not intended to set a precedent for similar circumstances in the future.
SCOPE
\
This Memorandum covers all Muskegon Police Officers bargaining unit members.
AGREEMENT: ,
In recognition of the City of Muskegon Police Officer’s tremendous work performed amidst
extraordinary circumstances and to ensure the Muskegon Police Department continues to retain
compassionate, professional, ethical and community-focused officers for the enhancement of
quality of life for all residents and visitors, the Parties agree to the following terms:
1. Actively employed regular full-time sworn patrol officers in the Mu skegon Police
Department plet probatior
the ed
receive a one-time Employment Retainer Bonus, in, two
subject to normal withholding and subject to the terms and co
a, Regular full-time patrol officers that have received, or will be receiving the one-
time lateral signing bonus are not eligible for the retention bonus.
2. Employees have the option to receive the two installments of $2,500 as either cash
payments or 100% contribution into a 457(b) deferred compensation program,
who become éligible for the bonus between January 1, 2027 and December 31, 2027 shall
be paid the first installment no later than January 20, 2028.
5. Employees must remain actively employed in a full-time sworn patrol officer position at
the City of Muskegon Police Department and maintain their police officer license for
eight (8) months following receipt of the Retainer Bonus (commitment period) or they
will be required to reimburse the City the entire Retainer Bonus amount subject to the
following exceptions:
a, Anemployee who separates employment prior to the commitment period end date
due to disability or death will not be required to reimburse the City for any portion of
the Retainer Bonus.
b, When an Employee’s employment is involuntarily terminated for cause during the
commitment period, the Employee will be required to reimburse the City a prorated
portion of their retainer bonus on months remaining in the commitment period,
c, An Employee who retires with a full service retirement, in accordance with the City’s
pension plan and provides a 30-day written notice,
6. Any Employee who is obligated to reimburse any or all of the retainer bonus authorizes
the City to deduct the amount owed from the Employee’s final paycheck up to the
maximum extent allowed by law. If the Employee’s final paycheck is insufficient to
cover the amount owed, the Employee agrees to reimburse the City for the full amount
owed within fourteen (14) calendar days from the end of their employment.
7, Any disputes regarding the interpretation or application of this Agreement shall be
resolved pursuant to the applicable grievance procedure contained in the Parties’
collective bargaining agreement.
8. Employees may elect not to receive the retainer bonus by signing the waiver form
attached in Exhibit B. This election is final.
9, Unless the parties mutually agree to extend this MOU, this MOU will expite by its own
terms on December 31, 2027.
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Exhibit A
City of Muskegon
Employment Retainer Bonus Payment Option Waiver Form
Name:
Waiver Statement
?
My signature below certifies that I choose one of the following payment options for my Employment
Retainer Bonus.
Signature:
Date:
Payout Options — please choose ONE of the following options.
o Cash 100% cash payment made directly to employee.
Payment is made AFTER all applicable taxes.
o Mission Square
100% payment made to a 457(b) deferred compensation
o Empower program. :
o MERS Contribution is made BEFORE applicable taxes,
Exhibit B
City of Muskegon
Employment Retainer Bonus Waiver Form
Name;
Waiver Statement
My signature below certifies that I am voluntarily waiving receipt and payment of the Employment
Retainer Bonus, I understand that this waiver is permanent and cannot by revoked,
Signature:
Date:
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