Lodi council approves series of pay and benefit addenda for department heads, and a $1,000 side payment to police mid‑managers

The Lodi City Council on March 4 approved a package of labor and compensation actions affecting department heads and a police mid‑management bargaining unit.

Staff told council the common elements of the department head addenda include 3% cost‑of‑living adjustments effective January 2027 and January 2028, a change to the city’s medical premium contribution to pay 90% of the lowest HMO plan (employee 10%), and elimination or reduction of employee CalPERS cost‑sharing to align with recently negotiated labor agreements. Staff said equity adjustments for selected positions were based on a compensation study comparing market medians.

Specific items presented in council slides and discussed in the meeting included: a proposed library director base salary of $172,010 effective Jan. 4, 2027; an economic development director annual salary of $198,198 following a retroactive 5% adjustment; a police chief salary adjusted to $269,921 after a 1.21% retroactive equity increase; a fire chief salary shown at $236,752 after a 5% retroactive increase; a city attorney salary shown at $303,680 after a retroactive equity adjustment; and a city clerk annual salary of $162,842 after a retroactive 5.91% increase. Council also approved similar addenda for other department heads and appointees as presented.

Separately, staff described a side‑letter agreement with the Lodi Police Mid Management Organization (LPMO). The LPMO previously was to move from 9% to 3% employer cost‑sharing in negotiated MOUs; because an administrative amendment took longer than expected, members had contributed 9% for a short period. City staff and LPMO representatives negotiated a one‑time off‑salary‑schedule payment of $1,000 per LPMO member to resolve the complaint; staff said the payment is anticipated to be included on the March 19, 2026 paycheck, administratively, when possible.

Council members discussed retention, market competitiveness and fiscal prudence. One council member said retention saves taxpayer dollars by avoiding repeated hiring and training costs: "Pay individuals what they're worth," the member said during the discussion. Another member said some director addenda would be supported while others would not, and cast individual votes accordingly; overall the package passed by majority votes as recorded in the meeting.

Staff said the addenda reflect negotiated agreements, are intended to bring salaries closer to market medians and to reduce employee pension cost sharing. Council asked that future staff reports clearly tie strategic priorities and measurable objectives to budget and work plans.

Next steps: staff will implement pay changes consistent with the approved addenda, process the LPMO one‑time payment on the next feasible payroll, and present remaining negotiations in subsequent meetings as they conclude.