Retired Oakland Police Officers Ass'n v. Oakland Police & Fire Ret. Sys.
Retired Oakland Police Officers Ass'n v. Oakland Police & Fire Ret. Sys.
Opinion of the Court
*787The Oakland Police and Fire Retirement System (retirement system), the retirement system board, and the City of Oakland appeal a judgment granting a writ of mandate in favor of the Retired Oakland Police Officers Association, along with several system members and beneficiaries (collectively, the association) directing that master police officer-terrorism pay (MPO pay) be included in the calculation of pension benefits. Appellants contend the trial court erred in concluding that MPO pay is "compensation attached to ... rank" as required by the Oakland City Charter for inclusion in pension benefits. We agree and therefore shall reverse the order granting the association's petition.
Background
A. The Retirement System
The retirement system is governed by article XXVI of the Oakland City Charter.
Under the retirement system, a retiree's pension is a fixed percentage of the compensation currently "attached to the average rank" held by the retiree at the time of retirement. (Oakland City Charter, § 2607.) "Thus, as the salaries of active firefighters increase, so do the pensions Oakland pays to its retired firefighters. This is a so-called 'fluctuating' pension system." ( Kreeft v. City of Oakland (1998)
B. MPO Pay
Between September 19, 2009 and June 30, 2015,
The association presented evidence that during the period that MPO Pay was available to qualifying police officers (from 2009 through 2015) virtually 100 percent of police officers with 20 years of service assigned to the patrol division received MPO pay. The retirement system presented evidence that the percentage of officers receiving MPO pay dropped to approximately 46 percent when the pool of potentially eligible active duty police officers was expanded to include officers who could have been but were not assigned to the patrol division.
C. Trial Court Proceedings
The association filed a petition for writ of mandate pursuant to Code of Civil Procedure section 1085, seeking to compel appellants to include MPO pay in calculating benefits for all retirees "in the ranks of police officer, sergeant, and lieutenant, who worked in patrol in their final three years of employment, and had 20 or more years of service at the time of their final three years of employment." The petition alleges, "In November 2013, the [retirement system] board held a hearing on the determination of the proper calculation of retirement benefits for a [retirement system] retiree. The hearing was conducted pursuant to Charter section 2603 to resolve a disputed matter which, among other things, involved [MPO] pay. At the request of the [retirement system] retiree, [MPO] pay was included as compensation attached to the average rank held for purposes of calculating his retirement benefits. A resolution was adopted by the [retirement system] board that held that [MPO] pay was compensation attached to the average rank held. [¶] Although it recognized that [MPO] pay was compensation attached to the average rank held for a retiree, the [retirement system] board, did not subsequently adjust retirement benefits for other qualified retirees and beneficiaries despite the fact that these retirees would have been qualified to receive [MPO] pay had they been active. [¶] On August 17, 2014, [the association] sent a letter to the [retirement system] board, requesting that [MPO] pay be included as compensation in the computation of retirement benefits. The letter requested that the item be placed on the board's August 2014 agenda for discussion and further scheduling. [¶] [The association's] request was rejected."
On May 23, 2016, following briefing and a hearing, the trial court held that MPO pay was attached to rank for purposes of pension calculations and granted the association's petition. Appellants timely filed a notice of appeal.
Discussion
1. Standard of Review
"A traditional writ of mandate under Code of Civil Procedure section 1085 *789is a method for compelling a city to perform a legal, usually ministerial duty. [Citation.] When a court reviews an administrative decision pursuant to Code of Civil Procedure section 1085, it merely asks whether the agency's action was arbitrary, capricious, or entirely lacking in evidentiary support, or whether the agency failed to follow the procedure and give the notices the law requires. [Citation.] In reviewing a trial court's judgment on a petition for writ of ordinary mandate, we apply the substantial evidence test to the trial court's factual findings. However, we exercise our independent judgment on legal issues, such as the interpretation of statutory retirement provisions." ( Kreeft v. City of Oakland, supra, 68 Cal.App.4th at pp. 52-53,
2. MPO pay was not attached to rank .
To be considered attached to rank, "compensation must 'adhere to' the rank 'as an appertaining quality or circumstance.' " ( Kreeft v. City of Oakland, supra, 68 Cal.App.4th at p. 57,
Here, the requirement that an officer be assigned to the patrol division to receive MPO pay compels the conclusion that MPO pay is not attached to the officer's rank. To the contrary, MPO pay attaches to the officer's assignment.
3. The MOU that added MPO pay did not restructure the relevant ranks or create an additional step within an existing rank .
In Dunham v. City of Berkeley (1970)
Here, MPO pay did not create a new rank or new steps within existing ranks. An active police officer received the additional pay when assigned to the patrol division and not if later assigned to a different division. As noted by appellants, it would be unfair for retired officers to "receive a general raise while active-duty officers only receive a temporary premium while assigned to patrol division."
The association points to the inconsistency between the appellants' current position and the retirement system board's prior inclusion of MPO pay in the pension calculations of a single retiree. However, no party suggests that the board is bound by the prior determination. It may well be that a mistake was made in the prior instance and that the particular retiree received a benefit to which he was not entitled. Such a mistake provides no justification for perpetuating the error.
Therefore, we conclude that the trial court erred in granting the association's petition for a writ of mandate.
*791Disposition
The order granting the petition for a writ of mandate is reversed with directions to issue a new order denying the petition.
WE CONCUR:
TUCHER, J.
BROWN,, J.
The association's request for judicial notice of amendments to the Oakland City Charter in 1969 and 1976 is denied on the ground of relevance.
MPO Pay was introduced as a new pay item in the July 1, 2006-June 30, 2013 memorandum of understanding (MOU) between the City of Oakland and the association and was extended by agreement of the parties to June 30, 2015. MPO Pay terminated with the expiration of the MOUs in 2015 and was not renewed in the successor MOU.
A city employee explained in his deposition that previously Oakland had made a contribution of 9 percent to the retirement fund for active duty officers, but under the new MOU, the officers were required to make that contribution. The MPO pay was designed to partially compensate for that change and encourage senior officers to approve the contract.
The record identifies other "premium assignment pay," including motorcycle and aerial patrol duty pay, under which employees who have completed the required training programs and who, thereafter, are assigned to duty as a motorcycle officer or to the helicopter unit receive "five percent (5.0%) in addition to his/her regular base rate of pay." Employees who are assigned as "evidence technicians" or certified as "field training officers" also receive an additional percentage as premium assignment pay. The parties agree that compensation within these "premium assignment pay" categories is not included in pension calculations. Contrary to the association's argument, "line-up pay," which was included in pension calculation, is not comparable to MPO pay. Although characterized as "premium pay," line-up pay was merely extra compensation for the organizational, pre-shift meeting that officers assigned to the traffic and patrol divisions were required to attend. (City of Oakland v. Oakland Police & Fire Retirement System (2014)
Case-law data current through December 31, 2025. Source: CourtListener bulk data.